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Who will demanding travelers be?

13/12/2016 16:31 Blog

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Amadeus’ latest report titled “Shaping the Future of Luxury Travel” examines trends in the luxury travel market development that will happen by 2025, helping the tourism industry better define customer needs and increase the quality of service in this fastest growing segment of the market.

 

Consumers spend an increasing portion of their income on memorable experiences. They value experiences more than material goods, which is resulting in a dynamic increase in demand for luxury travel. According to this report, the value of the global tourism market is growing more dynamically than the world GDP, and the luxury travel segment is growing at an even faster pace, as customers demand ever higher standards.

 

For example, in the segment of transport services for the discerning traveler, the number of international business and first class flights grew faster in 2011-2015 than lower class ones did. This trend will accelerate over the next decade – the projected increase in the number of “top shelf” flights will be 6.2% per year, which is almost 1/3 higher than in other segments.

 

For some, a luxury trip means a yacht cruise around the Arctic, and for others, that their dietary requirements are consistently met throughout the journey, or that they have private yoga classes in their hotel room. Still others’ definition of luxury would be to have their favorite Michelin star chef prepare a meal in their suite. Therefore, the next stage of the development of the luxury travel segment means “tailor-made” offers that go above and beyond the expectations of the traveler.

 

This trend will continue in the future, so travel service providers will try to meet the needs of the more discerning traveler by offering them something more than just a material product. Some demanding customers who expect luxury will reject an offer which they consider to be standard or inauthentic, because they are looking for a truly unique, unforgettable experience. Tourist service providers who can sense client excitement achieve greater success on the market than those concentrated solely on offer quality. The new era of luxury travel will rely on guaranteeing access to the most amazing experiences that that can be bought (but only by the select).

 

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We have entered a new era of luxury travel. What is considered a luxury today will become standard by tomorrow. While the new middle class values the material aspects of travel, the more mature markets are seeing a growing need for a new kind of comfort. That’s why offering customers a more personalized, exclusive and tailored service will become even more important than before. The use of new technologies to improve the quality of service throughout the travel industry will allow for the achievement of a new level of luxury.

 

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