Q2 2022 Global Trend Report
Global Travel Trends - Quarterly Update
A challenging travel recovery
Travel is back in earnest. With COVID travel restrictions rapidly disappearing around the world, it wasn’t long until travelers returned in droves to airports and hotels. However, with inflation at a high, some borders opening later than others, and employment shortages across the travel industry, the recovery hasn’t been without its challenges.
According to the latest industry data in FCM Consulting’s Global Trends Report for Q2 2022, hotels and car rental providers saw an uptick beyond 2019 volumes, while available air seats are still 13-15% lower than 2019 volumes. Prices are up for airfares, hotel rooms, and car rentals across all regions due to the extreme shift in supply and demand. “Domestic airfares in several markets are still flat on 2019, due to the higher supply than the current demands. However, conversely, international fares are, by major routes, all up on 2019 volumes,” added Felicity Burke, General Manager, FCM Consulting.
What’s causing these price increases?
1. Cost of fuel
2. Rising operating costs
3. Debt recovery of the past two years
4. Salary increases to attract talent
Amid these fluctuations, sustainability remains a high priority for both companies and the travel industry. Hotels and airlines are taking steps to meet the expectations of business travelers and procurement teams, but is it enough?
What does it mean for travel programs?
• With rising costs passed to consumers, high hotel occupancy rates, and high car demand, it’s important to book early now more than ever.
• Now is the time to review your hotels and car rental providers – from contracts to caps.
• Travel suppliers, especially hotels, need to up their sustainability credentials if they’re to make the cut for RFPs.
How regions are faring
Covering global statistics as well as regional insights across the Americas, Asia, Australia & New Zealand, Europe, and the Middle East, FCM Consulting’s report details the latest trends for:
• Global aviation seat growth
• Regional aviation seat growth
• Top origin and destination airfares, compared with Q2 2019
• Occupancy rates year-to-date by region
• Hotel rate growth and reduction by city