Five key insights from COVID-19 & Travel

 1. First of all, the crisis has highlighted how the tourism and hospitality sector is particularly vulnerable to ‘uncontrollable’ events, and for some destinations or sectors that were over-dependent on tourism, the pandemic has been a wake-up call. Destinations are beginning to recognize the need for a more diversified economy in order to weather the ups and downs of tourism - Barbados for example is targeting long-stay digital nomads to replace tourists.

2. Second, what the crisis has also shown is that businesses in the travel sector must be willing to adapt and change their business models in order to survive. I call this ‘COVID-aptability’, and it will be a crucial management skill moving forward. Many organizations did pivot successfully during lockdown: restaurants focused on takeout and delivery for income; commercial airlines flew critical medical supplies and other cargo around the world; and hotels offered people a facility to self-isolate and protect their families. However, as travel restrictions ease, organizations in the tourism and hospitality sector will have to consider how they can adapt to the next stage of the pandemic – one characterized by an emphasis on health and safety, technology, lower numbers, and a low-touch economy.  

3. Related to this, it is important to recognize that we are not going back to normal. The pandemic has changed us all, and the traveler of the future will be more cautious than before, and the public health conditions and hygiene standards of destinations and tourist sites will become a top priority. Travelers will be booking last-minute, taking more staycations, and exploring opportunities for domestic rather than foreign adventures – so target markets may have to change. We will also see an increased demand for health and wellness travel, wilderness trips, private accommodation, and visiting national parks.

4. Another insight is that communication during a crisis is critical. Those destinations and organizations that have kept open lines of communication are likely to recover faster than others (most cut their communications budgets), having projected to consumers the image of corporate stability during challenging times, and maintained or even increased ‘share of mind’. One excellent example was Zermatt in Switzerland, whose tourism authority took a creative but relevant approach to keep their destination top of mind by projecting one by one the flags of different countries on to the iconic Matterhorn mountain every night during lockdown as a display of solidarity with others. The campaign generated a considerable amount of media worldwide, reaching over 700 million people.

5. Finally, I believe some destinations might benefit from a ‘halo effect’ resulting from the positive media they have received in dealing the crisis and for being perceived as relatively ‘COVID-free’ after taking a predominantly health rather than wealth stance in combatting the spread of the virus. New Zealand, the South Pacific, Vietnam, Portugal and Iceland, for example, may move to the top of the list of ‘desired destinations’ for many travelers (and places to live). They may have paid a high price economically for prioritizing health over wealth, but there may be a positive long-term impact of following this strategy.