Travel demand remains steady in Q2 – Lease operations

Expedia Group Media Solutions released its Traveler Insights Q2 2022 Report. The quarterly report combines Expedia Group’s proprietary data and dedicated research with insights and industry examples to support travel marketers on their journey to recovery.

“Despite various industry and economic difficulties in the second quarter, people still found a way to travel and in many cases went further,” said Jennifer Andre, global vice president, Media Solutions. “The return of long-haul and international family travel, higher average daily hotel rates and higher average ticket prices in Q2 are just some positive indicators of what we hope will be a strong second half of 2022. Our latest report provides valuable data and insights to help marketers effectively reach and engage potential travelers and capture sustainable travel demand.”

Following a 25% quarter-over-quarter surge in worldwide searches between Q4 2021 and Q1 2022, Expedia Group-branded sites saw search volumes remain flat in Q2, according to the report. Asia Pacific (APAC) recorded double-digit growth between Q1 and Q2 (30%), followed by Europe, the Middle East and Africa (EMEA) at 10%.

Weekly global search volume fluctuated throughout Q2, with the strongest increase during the week of June 6. Weekly searches worldwide rose 10% after it was announced on June 10 that the US would no longer require international travelers to be tested for COVID-19, according to a report.

Seasonal vacations and the desire to travel in the near term, along with economic and pandemic-related challenges, as well as regional instability, contributed to the increase in short search windows in the first quarter. The global share of searches in the 0-90 day window increased by more than 5% quarter-over-quarter, with the 61-90 day window seeing the largest quarter-over-quarter growth of 15%.

In the second quarter, the majority of global domestic searches were in the 0-30 day window, while the share of searches in the 91-180+ day window declined over the quarter. The continued easing of travel restrictions and testing requirements has contributed to double-digit growth in international searches worldwide in the 0-90 day period, with the strongest growth in the 61-90 day period.

As in previous quarters, major cities and beach destinations remained popular with travelers in Q2, but London and Paris had particularly strong performances. In the global list of the top 10 most booked destinations in Q2, London ranked 3rd and entered the list of the top 10 most booked destinations in all regions.

The second quarter also saw an increase in demand for long-haul flights (flights longer than four hours) as travelers look to travel further afield. Global traveler demand for long-haul flights has increased by more than 50% compared to last year.

In the second quarter, the demand for housing increased compared to the same period of the previous quarter, with the largest growth observed in the Asia-Pacific region. Amid steady global demand, average daily rates (ADR) increased in the second quarter compared to Q2 2019 and even more so compared to Q2 2019, while the number of cancellation days decreased by double digits compared to the second quarter of 2019.

Consumers are also paying attention to a travel brand’s commitment to inclusion, diversity and accessibility. In fact, 78% of consumers said they chose a trip based on promotions or advertising that they felt represented them through messages or visuals, while seven in 10 consumers would choose a destination, accommodation or transportation that was more includes all types of travelers even if it is more expensive.