UK consumers have changed their minds on travel, argues Marloes de Vries of Mintel
The UK traffic light system has made people change their minds on travelling overseas, with the number of bookings for domestic holidays increasing while those still open to travelling overseas wait for more detail.
The UK’s Global Travel Taskforce published a framework for the resumption of international travel on April 9. This includes a traffic light system which requires overseas travellers to undergo at least two Covid-19 tests and arrivals from destinations in the amber and red categories to undergo quarantine.
The allocation of countries is kept under review and a ‘green watchlist’ will identify countries at risk of moving from green to amber. However, the government emphasised it would not hesitate to act immediately if the data shows countries’ risk ratings have changed.
In January, UK travellers were still fairly optimistic about international travel with most planning to go abroad for their main holiday in 2021.
However, the cautious approach from the government and a rise in cases in many European destinations has significantly impacted people’s confidence in international travel.
The announcement of the traffic light system subdued the appeal of international travel particularly among over-55s who are more likely to wait until restrictions are lifted before making a booking.
Prior to Covid-19, 59% of Brits took their main holiday abroad while 41% stayed in the UK. Based on current intentions, this will change to 42% abroad and 58% in the UK in 2021.
Most travellers are holding off booking until restrictions are lifted and/or the number of coronavirus cases in the UK has reached a very low level.
As of April 16-22, only 21% of those planning to travel overseas this year had booked their main break – defined as the holiday respondents were planning to spend the most on. But 30% of those planning to stay in the UK had booked their main holiday, up from 26% on March 4-12.
However, receiving the coronavirus vaccine would make the majority of travellers feel comfortable about returning to popular holiday destinations.
One area of growth will be ‘holidays of a lifetime’, given 10% of holidaymakers planned to take a holiday of a lifetime in the 12 months from November 2018, but in March 2021, 17% of UK travellers planned to take such a trip once the pandemic is over, with affluent travellers likely to have increased savings over the past year.
What the research means
Ongoing uncertainty about the lifting of international travel restrictions will see more consumers opt for staycations, with an unprecedented number of travellers planning a holiday in the UK countryside.
Many travellers are waiting until restrictions are lifted and the appearance of popular destinations on the ‘green list’ could lead to a significant uptick in bookings.
Consumers who are still interested in holidaying overseas in the near future show a willingness to splash out on these trips. As a result, luxury holidays will be more popular in 2021, while more travellers will be looking to take a once-in-a-lifetime holiday once the threat of Covid-19 is low.
Integrating Covid-19 measures into search filters could help to simplify the holiday planning and booking process.
In March 2021, 51% of UK travellers said they would like to have the option to exclude holiday destinations from search results on a travel website based on their entry requirements.
Most travellers would like to exclude destinations that require them to self-isolate upon arrival at the destination and at home after their return.
This analysis draws on Mintel’s report COVID-19 and Travel: A Year On: UK, April 2021 and on the upcoming report Holiday Planning and Booking Process: UK, June 2021.
Marloes de Vries is Mintel associate director for travel