Virtuoso bookings are soaring, Canada and Japan are popular destinations, and demand for travel advisors remains high.
As part of the annual Travel Week in Las Vegas, which attracted more than 4,700 advisors from 97 countries, Virtuoso hosted a media event on August 12 to highlight travel trends and keep advisors up to date on the latest in the travel industry. The session touched on top travel trends, including popular (and cool) travel destinations, the value of a travel advisor, female solo travel, sustainability, the continued appeal of multi-generational travel, and global hotel rates.
Misty Bells, vice president of global public affairs, said Virtuoso has 20,000 advisers, more than half of whom are outside the United States.
“Travel advisors are in high demand right now,” she says. “It’s been that way for a while, but it’s becoming more and more in demand. It’s because of two forces coming together: the demand for travel is incredibly high, and there are travelers who can and want to spend money on travel.”
“The pandemic has really increased the value of advisors from an advocacy perspective – there were a lot of unknowns and you needed someone you could really rely on.
“Now that travel is picking up again, with so many people competing for the same things, it’s important to have access to travel and someone who can take you to the places you want to go and give you the same experiences,” she said.
“We’ve always said that advice, access, accountability, advocacy, value and time savings are key elements that can’t be replicated otherwise than with a Virtuoso Advisor. I’d also add trust to this. As AI becomes more prevalent, having a trusted advisor relationship with an actual human being will be more valuable than ever.”
Bells said the number of people searching for Virtuoso advisors on its website has increased 76% this year.
She also noted that the industry is moving from “travel at all costs” to “travel at all costs.”
“These prices are going up and up and now people are determined to travel at all costs and have the experiences they want, regardless of the price.”
Bells said this year has been a “really great year” for Virtuoso, with revenue up 211% over 2019. Revenue in the first half of the year is up 14% over 2023, he said, “so it’s been a really strong year.”
Hot Topics
Bells said Japan has bounced back and now we are starting to see a bounce back in China and other parts of Asia.
Virtuoso’s top 10 countries for fall travel bookings are, in order, the United States, Italy, France, Mexico, the United Kingdom, Spain, St. Barthélemy, Portugal, Canada and Japan.
“Canada is having a great year, up 168 percent,” Bells said. Japan is up 160 percent and St. Barts is up 155 percent.
Greece, Ireland and South Africa were in the top 10 last year but did not make this year’s list, she said.
For Canadians using Virtuoso Advisors, the top five countries for fall were the U.S., Italy, France, Canada and Japan. For Americans, the top five were the U.S., Italy, Mexico, France and the U.K.
Interest in China increased by 146%, Japan by 108% and Iceland by 72%. Interest in French Polynesia increased by 60%, the UK and Ireland by 33% and Australia by 18%.
Here are the best cities to travel to (with hotel prices):
1. Paris (12% increase from 2023 onwards)
2. London (up 2%)
3. New York (up 32%)
4. Rome (up 16%)
5. Tokyo (-14%)
For festival trips, popular destinations are Mexico, Hawaii, Anguilla, Costa Rica and St. Barts. Destinations that are becoming increasingly popular during the festive season include St. Lucia, the Dominican Republic and Grenada.
Cool stuff
Travel to cool destinations like Canada, Iceland and Scandinavia increased 44% this summer, according to Bells, with Canadian bookings up 40% and Norway bookings up a whopping 89%.
Travel to warmer climates was down 0.5 percent, but that’s to be expected in the summer, and Bells noted that bookings in warmer climates are still 10 times higher than those in cooler climates.
Hotel
In the first half of the year, ADR for Virtuoso travel has increased 1.4% with an average daily rate of US$1,465, and in the upcoming holiday season, the average rate is set to jump to more than US$2,000.
Bells said the Caribbean was looking very strong heading into the festive season, while Mexico was stable and Hawaii rates were down slightly.
“Room rates in Morocco increased by 59 percent, with the average room rate over the festive season exceeding $4,600 per night. Indonesia is also showing strong growth, with room rates up 120 percent compared to last year’s festive season, to just over $3,800 per night.”
Booking Trends
Belz said fall and holiday travel increased significantly last year and that trend is continuing.
“We’re seeing a shift toward fall travel,” she said. “Fall is the new summer.” Bookings and prices are both rising for fall.
Maui Recovery
Through the first six months of the year, Virtuoso sales on Maui are up 4 percent. Holiday bookings are up 66 percent. Bells said bookings in West Maui/Lahaina are about 75 percent lower than Wailea, which is not surprising given Lahaina suffered extensive fire damage last August.
Sustainable Travel
Environmental concerns are especially strong among younger travelers: 57% of Gen Z travelers say they prioritize environmentally conscious travel, along with 54% of millennials, according to Bells. That drops to 37% of Gen Xers and is important to just 27% of baby boomers.
Solo travel: Women dominate
Bell said 71% of Virtuoso’s solo travelers are women, and 47% of those are divorced, separated or widowed.
Multi-generational travel
Bells said that with Gen Z having children, there will soon be seven generations traveling at the same time. “The diversity of travelers matches the diversity of our travel advisors. We have people from different regions and at different ages, and that’s reflected in the clients we welcome into Virtuoso.”
She also mentioned the Beta Babies, the kids of Generation Z.
“If Gen Z were born with a passport, they would be born on a plane going somewhere. Travel will become part of their identity.”
“Gen Z parents are also more likely to turn to Travel Advisor, which is very exciting for us.”
Concert and sports trips
Traveling for big experiences, like the Paris Olympics or a Taylor Swift concert, also remains a big trend.
Also popular is what Virtuso calls the “F-it List,” which is like a bucket list, but for things you want to do “here and now.”
Gen Z and millennial travelers are twice as likely as older generations to seek an adrenaline rush while traveling. They also prioritize ultra-luxury hotels, business- or first-class flights, and luxury cruises, Bells said.
Canadian representatives also participated in the panel presentation
Virtuoso also hosted a panel presentation, with Virtuoso advisors from Canada, the U.S., the U.K. and Australia sharing their thoughts on travel trends and answering questions.
Cathy Holler, president and CEO of Momenti Travel in Vancouver, said people are often surprised by the high prices.
“People are surprised at how expensive things are in Italy. They say, ‘When I went to Italy 10 years ago, it wasn’t like this at all.'”
Holler said many clients are looking for last-minute luxury trips, but that doesn’t work for trips to countries like Japan, where there may not be enough English-speaking guides or drivers.
She said booking early was essential in popular tourist destinations, “otherwise it’s like playing Tetris.”
