VIRTUAL SPRING TAKEAWAYS

Group of people watching many pictures.

In the barrage of virtual meetings and webinars industry groups and destinations have and are hosting in attempts to plan for a post-pandemic world the trillion-dollar question is when will we be free to travel again? No one knows. The best we can do is plan for how to re-open our businesses and scale up appropriately once the all-clear is given.

Roger Dow, president of US Travel Association, said the fallout of this pandemic is seven times worse than 9/11. At the time he spoke (April 14) he noted that of the 16 million Americans who filed for unemployment in the previous three weeks, 5.9 million were employed in travel and tourism. Dow says the travel sector has been disproportionately harmed. On the upside, the Association’s research shows 83 percent of people want to meet again and 78 percent want to meet more!

A representative of the American Society of Association Executives said the cancellation of AGMs and educational sessions due to the pandemic is costing associations 30-70 percent of their revenue. That will mean leaner staffing at association offices.

Another association executive worried about the fear, depression and anxiety pandemic closures were causing a lot of his members. This is especially stressful for younger colleagues who have only known continuous growth in travel and haven’t dealt with events like 9/11, SARS or the 2008 economic crises.

Across all groups – adventure, corporate, MICE and leisure – industry leaders believe the first six months will be focused on exploring our own backyards. Most travel will be confined to day trips or destinations people can drive to or reach by rail in a day.

Conventional wisdom is that it will take clients six months to rebuild trust and comfort with air travel. Which explains why various suppliers are promoting new levels of cleanliness and hygiene. For example, Delta Airlines launched “Delta Clean”, which is a new, higher standard of cleaning aircraft that includes “fogging” on all aircraft to all destinations. Previously “fogging” had only been done on certain international flights.

Delta Clean also means guaranteed cleaning of all high-touch areas (seatbelts, tray tables, door handles, etc.) and flight crew now have the authority to call back a cleaning crew if the standard isn’t met. Singapore has also launched a new city-wide standard, SG Clean. This is a certified level of cleanliness required of any business that wishes to be included in Singapore’s marketing.

In an Irish webinar a representative from the seven-property Hastings Hotels said among their increased cleanliness regime was a move to hospital-grade cleaning products.

Meanwhile, Marriott International announced the formation of the Marriott Global Cleanliness Council using in-house and outside experts to set an even higher standard for property cleanliness, food safety, employee and guest safety across all Marriott brands.

From now on, hygiene is not negotiable. We should expect all suppliers to have formalized hygiene standards. Another suggestion is that some long-term rentals may require formalized documentation of their deep cleans as proof of product.

Part of this enhanced hygiene regime is a new standard in contactless solutions for payments, check-in, security and more. Travellers should also expect more virtual aviators and digital assistants.

In terms of travellers, industry experts believe people will be social without crowding. So expect a rise in demand for small groups and a renewed interest in nature and off-the-beaten path, even isolated, destinations. The upside is that many of those seeking the small solutions will be less price sensitive due to the exclusivity and security of the experience. But the value of the experience must be obvious and clearly spelled out.

And before sending someone to a destination, find out if that destination welcomes strangers. Pre-pandemic we heard of over-tourism, now some residents may be concerned that visitors could bring the virus with them. Trust building is a two-street: for those who travel and those they visit.

The pioneers to rebuilding travel will be the corporate road warrior. BUT don’t take them for granted. Some will be nervous about catching something and bringing it home. Others will have a different economic reality. Like the travel sector many corporations have lost their revenue streams, so budgets will be leaner. If a company sent three people on the road in the past, expect only one for the near-term (six-to-12 months).

Yes, there will be hybrid or virtual meetings and events, but don’t expect people to stop travelling. In addition to pent-up demand there is also technology fatigue. Virtual meetings work in this extreme current situation, but people are still curious to see the world, meet their clients face-to-face and understand what their competitors are up to.

Many corporate events which have been postponed are going to struggle to find dates and space in whatever is left of the 2020 calendar and for much of 2021. MICE business is booked years in advance and there aren’t a lot of calendar gaps in the traditional host properties and destinations. Those events which haven’t been impacted will still go ahead as planned, where planned. The displaced groups may not be able to meet in their first-choice destination or property which means a lot of last-minute scrambling and competition for space by these orphaned groups. That can be a booking boost for agents and smaller destinations.

Some of the takeaways from the MPI virtual meeting were to use this “downtime” as an opportunity to take stock and re-think what we do, how to do it better and to use this period to expand your offerings. Finally, they discussed the need to keep marketing. Realizing that revenue streams are suspended, the marketing suggestion focuses on updating your websites. Add material, and inspire desire. In the US there are 27 million new pieces of content added on-line every day. Don’t let your web presence become dated. As the Swiss say, Dream Now, Travel Later.

The bottom line: whatever your pre-pandemic projections, expect a challenging 18 months. It won’t be easy money, but there are opportunities to re-establish relationship with clients who are tired of house-arrest.