Leading hotel commerce platform SiteMinder, has released the 2023 edition of what it says is the world’s largest consumer research on accommodation. Among its notable findings are the continued dependence of travellers on both new and familiar technologies (and devices) – from artificial intelligence to social media and the Web – in the travel planning and booking process.
SiteMinder’s ‘Changing Traveller Report 2023,’ which offers analysis from more than 10,000 global travellers surveyed, further revealed that 91% of travellers intend to travel at least the same amount as they did over the past year, including at least one in two (57%) who intend to travel more. Additionally, the number planning to travel only internationally has more than doubled, from 20% last year to 42% this year.
The outlook, concludes SiteMinder, is “bullish” for the travel and tourism industry, especially those that can tap into the trends, which the report says are underpinned by four key traveller profiles and motivations over the coming year:
• The enduring explorer: Committed to travelling, regardless of living costs
• The digital dependent: Reliant on new technologies and bound to devices
• The memory maker: Investing in experiences, in a roaring ‘20s rerun
• The conscious collaborator: An open ally to accommodations and the community
When it comes to accommodation, in spite of inflation, over four-fifths of travellers say they are happy to spend money beyond the cost of their room. However, increased prices are forcing them to adapt, with cheaper rooms and package deals listed as the two most common ways they will overcome rising costs.
The finding is unsurprising given that two-thirds travellers say that what they need from their accommodation has changed in the last year. A “‘great experience”’ and “space for their family and friends” are what guests want most from their accommodation and, for a quarter, it is more important now than this time last year that their accommodation provides a connection with the local culture and community.
The number of travellers intending to work during their next trip has risen incrementally from 29% last year to 31% this year. Likewise, budget accommodation and camping or holiday parks have gained ground vis-a-vis big chains and resorts.
SiteMinder’s regional VP for the Americas, Jason Lugo, says the research affirms the health of the travel sector in Canada and the critical role that local accommodation providers must play.
“Our research provides strong indicators that travel over the coming year will remain steady even as travellers plan for ways to adapt to inflationary pressures,” says Lugo. “Encouragingly for accommodation providers, we are seeing the intent continuing to grow among travellers, especially internationally.”
While almost three quarters of travellers will be tolerant of accommodation providers having lower standards of service in light of staff shortages, a fundamental finding from SiteMinder’s Changing Traveller Report 2023 is that the accommodation sector is perceived to be lagging other industries from a technology standpoint. Among Americans, 82% think the accommodation industry is either average or behind when it comes to technology adoption, while more than half (55%) agree that their booking experience and stay could be better if accommodation businesses were more tech-savvy.
SiteMinder’s research has found that technology use among travellers includes:
• AI – more than half of travellers globally, including more than two-thirds of millennials, are either likely or very likely to use AI to generate accommodation recommendations. North American travellers are slightly more cautious, with only 36% either likely or very likely to use AI to generate accommodation recommendations.
• Social media – almost two-thirds of travellers, including fourth-fifths of Generation Zers, say social media influences how they discover their accommodation.
• Booking websites – while 7-in-10 guests will arrange their accommodation by booking online, more than half (51%) say they have decided not to proceed with a booking because of a bad experience. Difficult processes and websites that don’t feel secure are the top two reasons listed for this decision.
“Our research shows that (travellers) are enduring, conscious and digitized,” concludes Lugo. “However, they consider the accommodation industry to be lagging in its adoption and use of technology. This is an invitation for (travel) businesses to embrace and invest in technology that allows them to meet travellers where they are at today, wherever they may be in their customer journey,” says Lugo.