The sharp rises in energy and fuel prices will not leave the travel sector unchanged. The war in Ukraine could also play a role in the holiday season. Bargain hunting in June and July is not advisable.
The sharp rises in energy and fuel prices will not leave the travel sector unchanged. “It shouldn’t be cheaper,” Michele Fanton, managing director of Ruefa travel agencies, told reporters on Tuesday. If you’re planning a trip this year, don’t wait too long to book. “Bargain hunting in June and July is not advisable this year – the earlier you book, the cheaper your vacation will be.”
It is very difficult to estimate how much more expensive travel will actually be. However, as energy and fuel prices will play a role above all else, Fanton expects the rise in kerosene prices to be primarily reflected “where people fly”. When traveling to neighboring countries, where the trip is usually self-planned, less serious effects are to be expected.
Price increases should not be passed on to existing reserves, Fanton continued. In principle, there is a commitment from the main organizers. Managing director of Ruefa travel agencies and member of the board of the Verkehrsbüro Group, Helga Freund, does not believe this creates an accessibility problem for tour operators. “With an organizer, especially when it comes to all-inclusive pricing, people buy things well in advance. Guarantees are made, prices are guaranteed — and they last,” says Freund. The situation is different when you book a flight or accommodation online as prices change dynamically here.
Aspect of sustainability is becoming more important
The war in Ukraine could also play a role in the holiday season. Russia is currently not reserved because of the sanctions. On the other hand, even before the war, Ukraine “wasn’t really the big travel destination,” says Fanton. What you do notice, however, are effects in the direction of Poland and Romania. “It’s booked very differently now,” says Fanton. However, some trips to the Baltic States have recently been carried out normally.
Freund does not expect the war in Ukraine to have any impact on travel to Austria in Europe. “Germans, Italians, Dutch will certainly come to Austria anyway.” However, it may be noticeable to travelers from distant markets – namely Asia and the USA. However, the exact effects remain to be seen.
More attention should be paid to the sustainability aspect in the future. There’s still a lot of “room for improvement” here, Freund said. Customers are also increasingly asking for sustainable offers and want travel offers to be more straightforward than sustainable. There are already smaller offerings in this regard and next year there should be a larger portfolio of sustainable products, according to the head of the Verkehrsbüro. A separate sustainability seal is also planned.
1550 euros holiday budget
During the pandemic, Ruefa had to close some locations. “We’ve cut staff and closed a total of 25 locations in Austria,” says Fanton. The store was trying to intercept with other branches. However, it is still difficult to say how this was achieved. In any case, there are no plans to open new branches for this year. Closures are also not planned. However, according to Fanton, they definitely want to hire new employees so they can serve the Austrian market. There are currently 75 Ruefa travel agencies.
In any case, the travel agency is becoming more important again for customers who, after two years of a pandemic, are mainly looking for security. According to an online survey of market agents for Ruefa, the main requirements for travel agencies include information on cancellation conditions (83%) and entry and exit conditions (79%) in addition to the normal search for a hotel or help in choosing a destination. 70% of the 1,000 or so respondents want information about the current status of their travel agency’s crown.
According to the survey, Austrians planned an average holiday budget of 1550 euros for this year, which is 70 euros less than in the last survey at the end of 2019. On average, a main holiday of 11 days is planned. With regard to destinations, Europe (76 percent) continues to have high demand, while long-distance travel is more restrictive (20 percent).
(APA)