Covid-19 has left a lot of people wondering whether they will ever take a holiday again. With cruise lines suspending their schedules and airlines cancelling flights most days, many people have put their holiday plans on hold. While the Government is hoping for the coronavirus, and therefore lockdown, to be over in a matter of months, the likelihood of that is getting slimmer each day.
Today, the UK experienced its highest rise in deaths in a single day, taking the death toll to 2,352.
With cases and death tolls rising all over the world, and travel companies seeking financial help, what does the future of the travel industry look like?
Less everyday travel
If remote collaboration and communication has proven to be more effective then people won’t travel as much.
The long-term impacts on businesses cannot be predicted but if isolation has led to more effective work and is better for the environment, then it is possible that people will continue working at home and travel less.
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He added: “Time is precious, so let’s hope people reward themselves more often by claiming some of it for themselves. It will certainly make for a happier workforce so let’s embrace that.”
Less international travel
A key analysts has lowered Expedia’s profitability estimates again as people wonder whether travel companies in the future will have a business at all.
On Monday, RBC Capital Markets lowered Expedia’s profitability, estimating that they will incur a $57million (£45.8million) loss.
Last year, in the same quarter, they made a profit of $176million (£141.6million).
The analysts wrote: “We continue to believe EXPE is one of the most at-risk names in terms of exposure to COVID-19 and view the extent and duration of this risk as an unknowable.”
Egencia President Rob Greyber, whose corporate travel company is owned by Expedia Group said he is optimistic.
He said: “I think what’s driven business travel is going to still be true as we emerge from this, but I don’t think it’s going to be a dramatic recovery overnight. But I do think travel recovers within a pretty close range of where it’s been. And I think it will continue to grow from there.”
The World Travel and Tourism Council projects that up to 75million travel and tourism jobs are at risk due to coronavirus.
The US Travel Association and Tourism Economics estimates a loss of 5.9million travel-related jobs in America by the end of April.
Microsoft’s global director of travel Eric Bailey said he thinks the way the travel sector works will shift after coronavirus.
He said: “It doesn’t mean that people stop travelling, necessarily, but it does mean that they they change the way that they travel. They don’t necessarily need to be face to face for a lot of things.”
He added: “I don’t think it’s going be about the dollars — it’s about the time.”
More holidays
However, others are more positive and think that the public will book more holidays.
A spokesman from ABTA, a travel association told Express.co.uk: “The coronavirus pandemic has placed the travel industry under immense financial and practical strain.
“The Great British public love their holidays and once we get back to normal there will be pent up demand for a much deserved break.
“It is essential that the government does everything in its power to support the travel industry to ensure businesses make it through to cater for this demand.
“This support will also safeguard the jobs of tens of thousands of workers and their families who depend on them.”
