After two years of pandemic, tourism is “taking over”, experts say in Germany. This summer will have everything except. Discounts.
Neither the ever-increasing inflation nor the general uncertainty about the war in Ukraine has so far limited demand for more travel this summer. Tour operators are recording more bookings approaching pre-pandemic levels this year. In fact, it seems that many travelers do not hesitate to pay more this summer. TUI, the world’s largest tour operator, notes that more and more people are booking travel packages for longer days or at more luxury hotels. According to a recent market research by the private company GfK, 69% of respondents say that this summer “definitely wants” to go on vacation.
“After a long absence, Germans are feeling the urge for a special holiday this summer,” said Norbert Fiebig, president of the Association of German Travel Agents (DRV) at the German News Agency (DPA). He even notes that this year people are willing to spend more money on their holidays. But are there last-minute price hikes? Many tour operators have bought their tourist “packages” early and in these cases logically no increases are expected. However, things are different for those who have not yet booked, hoping for discounts or last minute offers.
“Less last minute discount packages this year“
Fritz Jussen, head of TUI, believes that not so many last minute offers will appear this year. This is despite the fact that one in three of those who have not yet booked, clearly states that “price is the main criterion for choosing”. What is certain is that, due to the war in Ukraine, airline tickets will be more expensive this summer, as the price of kerosene is constantly rising. “When costs go up, we have to pass them on to our customers,” said Lufthansa CFO Remko Steinbergen. Similar forecasts are published by the Air France-KLM aviation alliance.
For his part, the general manager of the German tour operator FTI, Ralph Schiller, says that in the first days of the war in Ukraine the bookings were reduced, but “from the Easter holidays until the autumn they have recovered and even exceeded the corresponding levels. for 2019 “. According to Schiller, the top of the preferences are the Mediterranean countries such as Greece, Turkey, Croatia, but also Egypt. Corresponding estimates from Alltours: “In many days, bookings for the summer exceed by 40-80% the corresponding number of bookings in 2019” says a company representative, assuring that for bookings already made Alltours does not impose increases last minute due to kerosene.
“Stable prices in Turkey, Balearic Islands and Canary Islands” sees DER Touristik. He even claims that some of the most popular remote and exotic destinations, such as Thailand and the Caribbean, are about 5% cheaper this year than in the summer of 2021. On the other hand, “there is an increased demand for high-end holidays, mainly in Greece. Turkey and the Balearic Islands “.
Less revenue from 2019
But as you know, bookings are different and turnover is different. The Association of German Travel Agents points out that the income of tour operators and travel agencies is likely to remain lower than in 2019. “We may have a great summer this year, but that does not mean we will return to the income we had before the pandemic “, estimates Norbert Fibig. As for 2023, he says he is “moderately optimistic”.
Friedrich Marx (DPA)
Source: Deutsche Welle
Source: Capital
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
