As we come to the end of 2021, we inevitably look forward to what 2022 has in store for the vacation ownership industry. How will travel trends, changing customer behaviour and, yes, sadly, COVID-19 impact our industry in the months ahead?

So, let’s get out our crystal ball and see what the future holds…

1 The return of the travel agent

Amex Trendex survey data found that 36 per cent of Millennials are now more like to call their travel provider due to the pandemic. Why? Because they need help to navigate the complex travel environment we are all experiencing. Travellers are looking for someone they trust for advice and information.

What this means for vacation ownership 

Your owners, members, and rental guests are looking for advice and support when making their travel reservations. First, make sure your call centre staff understand all the travel rules and regulations in your region. 

And that your website, social media and all additional communication tools such as SMS, chatbots and newsletters regularly provide them with information so they can travel with confidence.

2 Travel big, shop small

Survey data from Amex Trendex found that 83 per cent of consumers shop and eat at small businesses when travelling to support the local economy. Moreover, 82 per cent look for destinations where they can immerse and experience the local culture.

What this means for vacation ownership

Your guests want to provide a positive experience to the destinations they visit. Resorts can help by improving their environmental credentials, working with local charities and groups, and supporting local businesses. Show your guests how you reduce your carbon footprint and invite small businesses into your resort.

3 The emergency of a new currency

According to the Securities and Exchange Commission, the top four US airlines had $10 billion in unused travel credits at the end of 2020. As a result, the new year will see consumers looking at ways to spend these outstanding credits, points, and vouchers.

What this means for vacation ownership 

For more prominent brands, it might be a good time to link up with brands and offer an opportunity for customers to spend these loyalty points with you. In addition, as your guests’ travel costs have already been paid for, and they are spending credits and vouchers instead, they could potentially have more money to spend in your bars, restaurants and on resort services.   

4 Focus on responsible tourism

Whether it’s the pandemic, the number of natural disasters or that the environmental message is getting through, your guests are now more purposeful about their purchase decisions. Research shows that 50 per cent of travellers are now more interested in responsible tourism while 87 per cent want to have a positive impact.

Moreover, American Express Travel found that consumers are willing to pay more to use travel and lifestyle brands that demonstrate environmental responsibility or offset their carbon footprint. In addition, travellers want travel brands to highlight the positive impact that they are making.

What this means for vacation ownership

It’s time to raise your game and show your environmental and social credentials and your plans to improve over the coming years.

5 Changing expectations and priorities

The pandemic has changed travellers’ requirements. Low prices are now not the first consideration when purchasing vacations. Instead, potential guests are looking for flexible booking conditions and enhanced cleaning protocols.

According to Expedia Group Traveler Index, the top considerations when booking are:

• Ability to get a full refund 24 per cent
• Enhanced cleaning and disinfection 22 per cent
• Atypical low pricing 17 per cent
• Flexible policies to change bookings 11 per cent
• Contactless experience 9 per cent
• Benefits and upgrades 9 per cent
• Environmentally-friendly policies 7 per cent

What this means for vacation ownership

Vacation ownership resorts can address these concerns and offer their owners and guests additional booking flexibility, improved hygiene protocols and personalised benefits. Then convey this through their social media, website, emails and newsletters.

6 Direct bookings will continue

As we have highlighted many times, direct bookings have long been the priority of resorts looking to keep costs low and avoid costly third-party commissions. However, the pandemic has helped domestic travellers’ confidence about booking directly rather than through an OTA platform.

Data for 2021 shows this growth is decreasing and that in 2022, it is expected that there will be a shift back to the OTA – especially with the rise in international travel. Direct bookings will remain strong but won’t be at 2020 levels. 

What this means for vacation ownership

With some experts predicting the return of the travel agent and others believing OTA bookings will increase, resorts with rental inventory need to have a property management system in place that can handle various reservation types. In addition, they need to ensure they are where their guests want to book, whether through the website or a third-party service. 

7 Social media changes

We never expected to write that TikTok is now a mainstream platform and that vacation ownership resorts need to pay attention. However, this is the case because TikTok has:

• Over 1 billion active users
• The most downloaded mobile app worldwide for six consecutive quarters
• The average user spends over 52 minutes per day on the platform
• Receives the highest level of engagement
• The fastest-growing segment is 25-39 years old

TikTok is no longer for teenagers and offers varied content, including travel recommendations. Advertising is also becoming more accessible as the platform matures.

As more people move away from Facebook, Tiktok grows its audience and enjoys more significant interaction and engagement.

What this means for vacation ownership

In 2022 resorts need to look at their social media strategy, decide where their customers are and focus on these platforms. For example, if your Twitter is not receiving any engagement, do you need it anymore? Is it time to move to new media such as TikTok? What about using Stories and Reels on Instagram to get your message across?

However, this does not mean that you should drop Facebook at this time. On the contrary, it is still the place for customer service, recruitment, content sharing and communication. Rather, diversification will be critical in 2022.

8 Return to ‘traditional’ newsletters and emails

When a social media algorithm can block 95 per cent of your posted content, one-to-one communication through email, SMS, and newsletters are more apposite than ever.

According to Campaign Monitor’s 2021 Global Email Benchmarks, the travel, hospitality and leisure industry enjoys on average:

• 17.7 per cent email open rates
• 2 per cent click-through rates
• 11.5 per cent click to open rates
• 0.2 per cent unsubscribe rates

What this means for vacation ownership

For resorts looking to push direct reservations and improve retention and loyalty, it is essential that in 2022 they have an email strategy in place. And have automated processes prior, during and after an owner or guest stay.

9 Increased importance in website SEO

A December 2020 Google survey highlighted that searches for “available near me” grew by more than 100 per cent from 2019. This year, these searches grew another 60 per cent, according to SearchEngineLand.

These searches are all rooted in travel experiences as your guests search for places to eat, things to do and shops to visit at their new destination.

What this means for vacation ownership

In 2022, it is not enough for your website to be designed mobile-first in mind. Your content must rank for keywords that are leading them to your brand. 

Have you claimed your Google My Business profile yet? This is essential for the coming year. Add your resort’s details, services, photos and videos and respond to reviews as part of your online reputation strategy.

10 Flexibility is key

One trait we have all learned over the past 18 months is flexibility. With the future of travel uncertain because of travel restrictions and new COVID-19 variants, it is crucial to have a plan A, B and C and be willing to pivot as needed.

Source: 

Federico Gonzalo

Audrey Hendley on EHotelier