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Below is an excerpt from a complimentary research note by our Gaming, Lodging & Leisure analyst Todd Jordan. We are pleased to announce our new Sector Pro Product Gaming, Lodging & Leisure Pro. Click HERE to learn more. |
With the onslaught of new headlines and fears of another Delta-like Covid wave, we’re holding firm on our concerns and reservations about the business travel customer, but our views on the leisure customer remain unchanged.
The leisure customer is in a different world and recent reported data shows trends are accelerating, not pulling back.
Sure, there could be some impact from the headlines that deters some incremental travel and shaves off a bit of Q4 growth, but the sentiment towards travel is probably not going to change much, unless the Omicron wave is materially different than the initial Delta wave.
In August and early September there was some reluctance among travelers to pull the trigger on bookings, but judging by recent survey data through mid-November, confidence in future travel is making new highs.
Longwoods International’s latest Covid-19 travel survey update (through 11/12) suggests that US consumers are prioritizing leisure travel and their collective confidence in booking travel over the next 6-mths has ticked up towards survey highs.
OTAs should be prime beneficiaries of this sentiment resilience.
