Brits Won’t Let Credit Crunch Direct Holidays
Holiday spending won't be affected too much by the news of an economic downturn forecast, consumers believe.
TNS Travel and Tourism, a marketing research company, found that a mere seven per cent, or three million British adults, claim that the credit crunch will influence their holiday decisions this year.
Despite increasingly poor economic conditions, the study has shown that the UK holiday market should hold up. According to the survey, 30 million British adults are planning on taking a holiday this year, amounting to 68 per cent of the population.
Despite the negative market inclination, almost 20 per cent of people still plan to have more than two holidays this year.
The most popular breaks being booked by most people this year seems to be seven nights or less in Ireland and the UK. 27 per cent of people are booking seven-night stays in Europe and the Mediterranean. 17 per cent of people say they're booking holidays of more than seven nights in a long-haul destination.
Tom Costley, TNS head of tourism, said: "This data highlights a number of trends that suggest the UK holiday market appears resilient in the face of the economic downturn."
Some slowdown is expected in the market, according to travel agent consortium Advantage, but they plan on avoiding the worst effects by selling their products to customers more advanced in years who have a more disposable income.
Colin O'Neill, Advantage sales and marketing director, said: "The crunch may hit first in the package market, where customers are younger, with young families and high mortgage payments. The older market will be less likely to be hit by the slowdown in house prices or increase in interest rates.
"We are not complacent, but we have seen a good start to 2008."
Holidays and Flights News posted on 31 July 2008
