60% of agents cautious about business
More than half of UK agents believe leisure travel will be negatively impacted during 2005 – and a third reckon business travel will suffer similarly.
This is despite 71% having had a good start to the year with no signs of a downturn in business in the face of talk of an economic slowdown.
The trends emerged from an Amadeus poll of 300 agents and industry staff about how the travel trade is doing this year.
Of the 29% who felt business had been negactively impacted so far, more than a third (36%) said travel bookings had dropped by less than 5%, the same number felt bookings were down 6-10% and 20% said business was down 11-20%.
Of the total sample, 60% felt leisure travel would be weak and 35% said business travel would be negatively impacted.
Yet only 2.9% of agents think consumers view travel as a luxury, while 14.5% believe travel would be one of the last things to be sacrificed if disposable income was tight. The remaining 79% felt most people viewed travel as a flexible purchase that is adapted depending on circumstances.
Amadeus UK marketing communications manager Rob Golledge said: “The flexibility and breadth of product offered by many agents will be key to meeting any potential changes in demand.
“An economic slowdown also challenges travel agents to develop a value proposition to convince consumers that they ‘get more for their money’ throgh using the services of travel professionals compared to DIY bookings.”
Report by Phil Davies
Phil Davies
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