Many travel sellers and B2B distributors are currently not anticipating the likely upcoming post-Presidential election boom in US travel bookings that will come very suddenly this January warns Custom Travel Solutions (CTS), the software-as-a-service (SaaS) private label platform for membership and loyalty programs. This is leaving the industry unprepared and likely to miss out on the one-off opportunity believes CTS, not just in the United States but for any destinations or travel businesses around the world dependent on US travelers.
The prediction and warning from CTS follows widely reported news that the recent election had dampened US consumer demand for travel, including a survey from The Vacationer and financial statements from JW Marriott, Delta and other airlines.
Mike Putman, CEO & Founder of CTS observes that: “throughout my career I’ve noticed a dip in travel bookings from the day of the elections up to January, a pattern that doesn’t fit with years where there is not Presidential election. But more interestingly I have also noticed that the more contentious an election the more pronounced the dip. Unsurprisingly then this particular Presidential election has seen the biggest dip I can recall in over three decades in this sector.”
The impact hasn’t gone unnoticed by clients of CTS and James Ferrara from InteleTravel – a global travel distribution group and one of the largest and oldest host travel agencies, with over 120,000 advisors – adds that “we’ve looked at the data and compared with both normal years and Presidential election cycle years and there’s a clear correlation. We’ve also discussed this with our B2B partners and they agree. Everyone is asking when will the recovery come and will it be sudden or slow.”
Despite the negative impact of the dip, in the opinion of CTS all signs point towards January – when typically in the company’s experience bookings recover following a Presidential election impact – being not only a record post-election booking period but perhaps one of the biggest January’s since before COVID.
CTS recommends that everyone in the travel distribution and sales channel – whether B2B or B2C – start getting ready now with not just appropriate deals, pricing and adequate supply of products, but that they also have in place appropriate resources when it comes to customer service and back office teams too. “If you don’t prepare now this could be one holiday season that you remember for many years for all the wrong reason” advises Putman. “And don’t just think this is a domestic USA only issue, any destinations and businesses out there that sell to US audiences need to take note”.