Luxury travel sure did take the brunt of recession not just in North America, but also in the Euro-powered Europe.
Luxury travel sector in Europe fell by 18% last year and only 5% of the travelers can be categorized as luxury travelers. Nevertheless, they spend nearly 27% of the total money that is spent by travelers. This means, some travelers spend as much as 500 times more than what middle class and regular Joes spend when they go traveling. This was the key finding of ITB World Travel Trends Report 2010.
Thus, though the luxury travel has come down. most people in the travel industry will try hard to get the remaining 5% to their hotels and travel services. They do know that the money lies with the rich and with the rich who are ready to spend. Destinations, airlines and travel operators who are conscious of what well heeled travelers require stand to gain from this fiasco.
Moreover, the luxury sector is going to grow more individualized and personalized. It would be a shame if the luxury travel industry didn’t pick as we would like it to. However, the 5% could be tapped to attract the others who may soon begin to spend like the top 5% as well.
Via: eTravel Black Board