The Gap Between Evolving Traveler Expectations and Hospitality Industry Perceptions

In the dynamic world of hospitality, adaptation is a constant. The pandemic not only changed the way we travel, but also consumer expectations and industry perceptions. The impact of the pandemic has created a more discerning consumer profile, with higher expectations for the travel experience—from booking accommodation to the taxi ride home. The Traveler Value Index 2023, the result of a collaboration between Expedia Group and Wakefield Research, examines what people value in their travel experience, compared with the priorities and considerations influencing industry professionals’ decisions and investments.

Renewed Strength of the Desire to Travel

The analysis reveals a renewed appetite for travel. Searches for car rentals and holidays across our travel sites exceeded 2019 search volumes during the first three quarters of 2022. Searches for cruises and activities saw the highest percentage growth compared with accommodation and other modes of transport.

Flexibility as an Unwavering Priority

Despite greater confidence and a less turbulent travel environment, consumers continue to demand flexible options. Nearly half (47%) of travellers say they would never book non-refundable accommodation for domestic trips, while more than half (51%) would avoid booking transport that could not be changed. This need for flexibility intensifies for international travel, reaching 57% and 59% for accommodation and transport, respectively.

Personal Values: The New Decision-Making Factor

Travellers now prefer to book with providers that align with their personal values. The 2023 Traveler Value Index reveals that people are seeking welcoming businesses that are accessible to all travellers: 70% say they are more likely to choose more inclusive travel options, even if this comes at a higher cost.

Temporary Trends and Shifting Priorities

While certain temporary concerns, such as cleanliness and health, have become less relevant, others remain. Business and international travel are expected to rebound as restrictive policies ease.

Current Relevance: Understanding Travel Conditions in the Near Future

This insight is not merely an academic exercise; it is vital guidance for hospitality marketing professionals. Our platform processes millions of properties, flight bookings and car rentals, cruises and activities around the world. The valuable insights gained from our qualitative research and more than 70 petabytes of first-party data help hoteliers understand travellers’ evolving expectations.

Inflation vs. the Pandemic: What Concerns Travellers Most?

In a world marked by inflation, consumers express greater price sensitivity than ongoing concerns about the pandemic and travel restrictions. Price sensitivity does not mean consumers always seek the lowest rate; rather, it suggests they want value for money. The feeling that “the experience was worth the cost” was the most important factor in a positive travel experience, according to our respondents.

Advice for Hospitality Marketing Professionals

To stand out in an increasingly competitive market and meet travellers’ changing expectations, hospitality marketing professionals should:

1. Maintain Refundable Rates and Flexible Policies

Flexibility remains a crucial consideration for travellers, especially those venturing abroad.

2. Manage Expectations Realistically

Transparency is key. Ensure that the information you communicate to travellers accurately reflects their experience.