Skip to content

Jordan Concords

simpleblogdescriptionhellog

  • Best Travel
  • Travel Bag
  • Family Trip
  • Best Tourist Spot
  • Camping Holiday
  • Vacation Packages
  • General
  • Toggle search form
Just How Hot is the Travel Market?

Just How Hot is the Travel Market?

Posted on November 17, 2022 By sNawaWebs.ADV

The travel market has suffered more than almost any other during the pandemic, and the recovery is also going to take longer. Based on research reports from Deloitte, The U.S. Travel Association and Statista, it’s clear that this pattern holds true across all pieces of the travel pie, including hotels (the biggest slice), vacation rentals, camping, holiday packages and cruises.

The pent-up demand for travel has been so great that the Hotels segment started recovering as soon as vaccines were available. Travelers still tend to be younger (because of hesitancy among older people) and more affluent (possibly because of greater confidence in safety parameters at up-market establishments). 2022 is unfolding into a very strong year with revenues expected to grow 45% this year to exceed 2019 levels, as indicated by Statista.

Vacation rentals, although dipping as a category in the last couple of years, has been relatively more resilient for a couple of reasons. The first is that they allowed the traveler some personal space, which was of course of primary importance during the pandemic when social distancing was the norm. And second, this personal space appears to be popular even now that those restrictions are gone, because of the increase in travelers combining work with pleasure.

The work-from-home/hybrid operating model allows the flexibility to choose a location that some people are taking advantage of. Since this requires the kind of personal space that mainly vacation rentals are able to offer, this segment is expected to remain popular. It can even bring stability in total travel revenue, as it allows people to take more trips. Therefore, this segment is expected to grow more than 23%, exceeding pre-pandemic levels in 2022 itself.

Holiday packages are expected to grow 47% this year but actual revenues won’t exceed 2019 levels until next year.

As may be expected, camping also picked up in 2020 and dropped sharply in 2021. It is expected to remain weak this year and return to growth from 2023. The segment is currently expected to recover very gradually, overtaking 2019 levels only in 2025.

The greatest strength is currently coming from the cruise segment, which grew 498% in 2021 and is on track to grow 33% this year. It will cross pre-pandemic 2019 sales in 2024.

According to the U.S. Travel Association, travel spending increased considerably in September, to 6% above 2019 levels, before the pandemic started. What’s more, 32% of American travelers said they intended to spend more on travel in the next three months. International travel remains sluggish although that too is up slightly on a year-over-year basis.

Business travel is likely to come back gradually over the next few years, although technology (online conferences) will take over part of it.

Therefore, the travel market looks very strong and the predictions override all the negative news flow about a recession. Analyst estimates, some of which have moderated in the past month are indicative of a robust market.

In the case of Zacks #2 (Buy) ranked Travelzoo TZOO for example, the 2022 estimate is up 10.5% in the last 30 days. The 2023 estimate is also up, by 15.9%. Analysts expect revenue growth of 12.0% and 16.0% in 2022 and 2023, respectively. Earnings are expected to grow 366.7% this year and 73.8% in the next.

Similarly, Expedia’s EXPE earnings estimates for 2022 are up 6.1% on average while for 2023, they’re up 3.0%. The Zacks Rank #2 company’s revenue and earnings are currently expected to grow a respective 36.7% and 341.8% in 2022. In 2023, they’re expected to grow a respective 9.5% and 21.2%.

For Booking Holdings BKNG, the 2022 estimate has moderated in the last seven days while the 2023 estimate increased. But in the last 30 days, the Zacks Consensus Estimates are down a respective 1.7% and 0.5%. Still, current estimates represent an increase of 53.9% in revenue and 101.2% in earnings in 2022. Revenue and earnings growth for 2023 is expected to be 13.1% and 28.1%, respectively. The shares carry a Zacks Rank #2.

One-Month Price Performance

Zacks Investment Research

Zacks Investment Research

Image Source: Zacks Investment Research

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Expedia Group, Inc. (EXPE) : Free Stock Analysis Report
 
Travelzoo (TZOO) : Free Stock Analysis Report
 
Booking Holdings Inc. (BKNG) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research

Camping Holiday Tags:Hot, Market, Travel

Post navigation

Previous Post: What Are the Best (and Busiest) Times to Travel Out of DC for Thanksgiving?
Next Post: UVA shooting: Suspected gunman was on the bus with victims returning from a Washington DC trip, school spokesperson says

More Related Articles

Debunking the 58 Biggest Myths in Hiking Debunking the 58 Biggest Myths in Hiking Camping Holiday
From camping to glamping: Long-time holiday park visitors love Temuka Camping Holiday
17 Great Gifts for the Outdoorsy Man or Woman 17 Great Gifts for the Outdoorsy Man or Woman Camping Holiday
Here are all of the stat holidays in Alberta for 2023 Here are all of the stat holidays in Alberta for 2023 Camping Holiday
The Maker Club 2022 Holiday Camp to create Zim’s first 3D-printed orchestra and your kid can be part of it The Maker Club 2022 Holiday Camp to create Zim’s first 3D-printed orchestra and your kid can be part of it Camping Holiday
For an enjoyable holiday, Wuyi County is the perfect cup of tea For an enjoyable holiday, Wuyi County is the perfect cup of tea Camping Holiday

Recent Posts

  • 33 best travel accessories you can buy on Amazon now
  • Family Travel: Saddle up for a mother-daughter cowgirl adventure in Arizona
  • Cat becomes Polish city’s top-rated tourist attraction
  • 13 Best Rolling Luggage 2023
  • Best camping gear 2023: top festival accessories and camping tech

Archives

  • April 2023
  • March 2023
  • February 2023
  • January 2023
  • December 2022
  • November 2022
  • October 2022
  • August 2022
  • July 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • September 2021

Categories

  • Best Tourist Spot
  • Best Travel
  • Camping Holiday
  • Family Trip
  • General
  • Travel Bag
  • Vacation Packages

SL

Visit Now

Home Improvement

Copyright © 2023 Jordan Concords.

Powered by PressBook Blog WordPress theme

We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
Cookie settingsACCEPT
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Non-necessary
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
SAVE & ACCEPT