Travel Market Report's Wellness Travel Outlook 2020-21 - Based on the Voice of the Travel Advisor 2020
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Travel Market Report’s Wellness Travel Outlook 2020-21 Based on the Voice of the Travel Advisor 2020
Discover the world in
unforgettable Cunard style.
®
© 2020 Cunard. Ships’ Registry: Bermuda.
A Cunard voyage is more than exploring incredible ports of call, it is a journey filled with enriching
opportunities for your clients. Invite them to unwind at sea and experience the world, Only on Cunard.SM
For more information on Cunard voyages, visit OneSourceCruises.com or call (800) 528-6273.
LETTER FROM THE PUBLISHER
Dear Travel Advisor,
We are happy to welcome you to this, Travel Market Report’s Wellness Travel
Outlook for 2020-2021, our guide to what is happening in one of the fastest-growing
niches inside of the travel industry.
We know that 2020 has not been a normal year for advisors. COVID-19 has caused
a level of upheaval and uncertainty within the travel industry, perhaps not seen ever
before. The craziness in 2020 has changed the industry in both the short-term and
the long-term and, with consumers laser-focused on their health now, it’s a great
time to talk about wellness travel.
The niche is growing. In fact, according to our research, 71% of advisors say that
their annual sales for wellness travel is likely to increase in 2021, whether it be
spa vacations solely focused on wellness or adventure travel with some wellness
component included.
Our goal behind this Outlook is to provide you the tools and knowledge you need to
be able to dive into this emerging travel trend and help you catapult yourself out of
the pandemic-induced slowdown.
To do so, we asked advisors where their wellness clients were coming from, why
the clients say they want to take a wellness vacation, and what the most popular
destinations for wellness travel were.
All that information, and more, is included in the following pages, available for you to
educate yourself on wellness and prepare yourself for a new normal post-COVID-19.
We hope that you find this information valuable and take the time to recognize the
growing-trend toward wellness.
Sincerely,
Anne Marie Moebes
Publisher
2020
Seventy-one percent (71%) of respondents said
their annual sales volume for wellness travel is
KEY
FINDINGS
likely to increase in 2021. IN FACT, WELLNESS
TRAVEL SALES FOR 18% ADVISORS WILL
INCREASE BY OVER 25% YEAR-OVER-YEAR IN
2021, REPRESENTING ANNUAL GROSS SALES
OF MORE THAN $2 MILLION.
When it comes to wellness travel, 63% OF
THE RESPONDENTS SOLD SPAS, WHILE One in two advisors needs more awareness
A SLIGHTLY HIGHER PERCENTAGE (73%) of safety protocols. THIRTY-THREE PERCENT
UPSOLD THE SAME. (33%) SAID THEY WERE ONLY ‘MODERATELY
AWARE’ about them.
Fourteen percent (14%) of advisors said their
clients’ TOTAL SPEND ON WELLNESS MAY GO A whopping 75% of advisors said their preferred
BEYOND $6,000. wellness travel training method was VIA
PERSONAL EXPERIENCES AND AN EQUAL
FIFTY-THREE PERCENT (53%) OF ADVISORS SHARE CHOSE DESTINATION INFORMATION
SAID THEY TYPICALLY SELL WELLNESS AS THEIR TOP RESOURCE TO SELL WELLNESS
TRAVEL TO LUXURY TRAVELERS AND TRAVEL.
COUPLES. A key motivation (55%) for these
travelers is to enhance the quality of life.
HAWAII REMAINS THE NUMBER ONE
DESTINATION FOR WELLNESS AT 60% OF
RESPONSES followed closely by Arizona at 57%.
For the most part, WELLNESS ACTIVITY WAS
AN ADD-ON TO EXISTING VACATION PLANS
FOR 32% ADVISORS AND 25% ACTIVELY
recommended wellness products to clients.
MORE THAN HALF (56%) OF ADVISORS said
reputation was the most important factor for
choosing a wellness supplier.
TABLE OF CONTENTS Letter From The Publisher . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Key Findings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Methodology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Advisor Demographics 1: Advisors By Type, Share . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 2: Sales Specialization By Wellness Travel Categories . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 3: 2018 Vs. 2019 Annual Gross Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 4: Outlook For Wellness Travel Annual Gross Sales, 2021 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 Client Preferences And Motivations 5: Client Attitude Towards Wellness Travel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 6: Client Attitude Towards Wellness Travel By Travel Spend . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 7: Client Profiles . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 8: Key Client Motivations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 9: Top Wellness Destinations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 10: Client Behavior In Booking . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 11: Client Behavior By Travel Spend . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 Product Differentiation 12: Upsold Wellness Experiences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 13: Prominent Prebooked Wellness Experiences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 Advisor Motivations 14: Factors To Work With Wellness Suppliers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24 An Element Of Safety 15: Awareness Of Safety Protocols . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 16: Safety Protocols Enquired By Clients . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 Training For A New Normal 17: Preferred Wellness Training Programs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 18: Top Resources To Sell Wellness Travel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 19: Top Marketing Mediums To Sell Wellness Travel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30
INTRODUCTION As our world has since been turned upside down for the better part of 2020, it has fueled the need for personal well-being – both physical and emotional. This was reinforced in a consumer survey conducted by the Wellness Tourism Association where over 24% of travelers indicated that wellness “could” or “will” be the focus of their next trip.* The global wellness tourism market is large and all-encompassing, valued at approximately $641.3 billion in 2019.** Any travel that is focused on improving one’s well-being can be considered as wellness travel. So vast and bubbling with potential this industry is today, especially in the aftermath of the COVID-19 pandemic, that there are dedicated health retreats and bespoke wellness vacations available in the market, even designed day-by-day for specific needs. However, selling this type of travel is unlike any other. Since this usually revolves around a travel- er’s well-being and therefore often incredibly personal, it often requires handling (and planning) with kid gloves. However, identifying a potential wellness traveler precedes that. The Global Wellness Institute defines one as falling under two types: primary and secondary. A traveler whose trip or destination choice is mainly motivated by wellness is termed as primary. Over time, some secondary wellness travelers will decide to take a primary wellness trip, as their interest in and experience with wellness grows. Travel Market Report’s survey brought out a number of telling points about wellness travel but one stood out: many advisors have not considered selling wellness as a dedicated niche, well-packaged product, or are not sure how to start. Therefore, the objective of Travel Market Report’s Wellness Travel Outlook 2020-21 is to showcase this emerging travel trend that can help advisors catapult themselves out of the pandemic-induced slowdown. The Outlook also presents advisors with insights on the popular destinations and activities for this kind of travel, client behavior and motivations, and the segments that offer the most potential. The advisor will play a key role, not just in introducing them to the concept of wellness, but to also help their clients make that transition from a secondary to a primary wellness traveler – often in the process themselves taking that metaphorical journey with the client. Whether it is being in nature, getting an ayurvedic treatment, or a digital or physical detox, it is up to the advisor to steer the client in the right direction. Personal experience, therefore, comes into play even more distinctly here – especially with many wellness retreats now innovating to ensure they incorporate adequate hygiene and social distancing protocols to their activities. Now, more than ever, it is imperative that advisors pivot to take advantage of changing consumer demands. “Now (since COVID-19), people are more conscious about their health. Health is the new luxury now and people will certainly spend more on it.” * Nearly 4,000 consumers reveal Wellness Vacation Motivations for Post-Pandemic Travel, Wellness Tourism Association (July 2020) ** Wellness Tourism Market - Forecasts from 2020 to 2025, Research and Markets (August 2020)
METHODOLOGY
Travel Market Report conducted an online survey in
July 2020, targeting its database of travel agencies
and advisors via email.
A total of 1,127 agency owners and advisors from across North
America took the survey. The aggregated results and analysis
presented here are based on the responses and insights shared by
advisors. Discrepancies or nuances in the analysis are highlighted,
wherever applicable.
ADVISOR DEMOGRAPHICS
The Wellness Travel Outlook reflects a
high degree of participation from deci-
sion-makers from the advisor commu-
nity, ensuring higher accuracy of facts
and deeper insights about the market.
Seventy-nine percent (79%) of respon-
dents were either an agency owner
or a manager (40%) or an Indepen-
dent Contractor (39%). They were also
high-value advisors; four in 10 agency
owners and one in four Independent
Contractors had annual gross bookings
of more than $1 million (see Chart 1).
This also indicates that owners manage
to sell more/high-end packages
compared to Independent Contrac-
tors. As the percentage of ownership
increases, so does the volume. It is also
interesting to note that as the agency
booking volume increases, the number
of Independent Contractors decreases.
ADVISORS BY TYPE (%) ADVISORS BY TYPE AND ANNUAL GROSS BOOKINGS,
SHARE (%)
Travel Agency
31% 28% 30% 12%
39% Owner/Manager
40%
Travel Advisor
Employee
20% 30% 43% 8%
Travel Advisor
22% 47% 28% 20% 4%
Independent Contractor
Travel Agency Owner/Manager Up to $499,999 $500,000 - $999,999
Travel Advisor – Employee $1 - $1.9 million $2 - $4 million+
Travel Advisor – Independent Contractor
Data rounded up and may not total up to 100%
8 | CHART 1
ADVISOR DEMOGRAPHICS
SALES SPECIALIZATION BY WELLNESS TRAVEL CATEGORIES, SHARE (%)
Spa and beyond 63%
Adventure travel 57%
Disconnecting from everyday stress 41%
Retreats 32%
Physical fitness 32%
Sustainable travel 20%
Spiritual 19%
Transformative 16%
Voluntourism 12%
Holistic 8% It is where client wants health/
well-being in a vacation, so
None of the above 10% they do a split stay with an
active resort as well. They get
the best of both worlds this
way. This is actually more
common than most realize. I do
many each year like this.
When it comes to wellness travel, the majority (63%)
of advisors typically sell spa treatments (see Chart 2),
followed closely by adventure travel at 57%, which is also
considered to have an element of wellness. But, we can
easily expect some new and innovative wellness products
and experiences to top this list by 2021.
While spas and beyond are the go-to choices for travel-
ers when it comes to rest and relaxation, they are also a
stepping-stone into the world of wellness. For example,
a person who visits a day spa for a massage or alternate
therapies to relax during a family vacation (secondary
wellness travel) may later be motivated to plan a retreat
to focus on improving their emotional resilience staying
at a dedicated wellness retreat (primary wellness travel).
Or plan a ‘hybrid vacation.’ Nevertheless, it is interesting
to see that wellness also has an active lifestyle component
to it that is popular.
CHART 2 | 9
ADVISOR DEMOGRAPHICS
Wellness products, on average,
accounted for 15% of advisors’
sales in 2019. A striking reve-
lation is that 42% of advisors
had an increase in their well-
ness travel annual gross sales
in 2019 versus 2018 (see Chart
3) – an indication that wellness
was already on its way to gain
popularity pre-COVID-19. This
augmentation was in varying
degrees: 4% had their wellness
travel sales increase more than
50% in those 12 months, while
5% had an increase of between
26-50%. This movement in the
wellness trajectory seems like the
humble beginnings of something
we can expect to grow even more
in 2021. We see signs of this in the
advisors’ forecast for next year.
CHANGE IN WELLNESS TRAVEL ANNUAL GROSS SALES, 2018 vs. 2019
7% 4% 5%
Increased over 50%
13% Increased 26-50% 6-10 years
Increased 11-25%
Increased under 10%
13%
No change
58%
Decreased
10 | CHART 3ADVISOR DEMOGRAPHICS
In terms of outlook, the majority of respon-
dents (61%) expect the wellness travel
segment and its sales to grow in 2021 (see
Chart 4). Six percent (6%) forecast that it will
increase more than 50% while 11% expect
it to increase more than 26%. Given that
advisors are constantly in dialogue with
their clients (existing and potential), they
are the best at understanding the consum-
ers’ thought process. They have the pulse
of the situation, and this is indicated by the
anecdotes that respondents shared.
(Especially) during COVID,
people are learning to
understand and appreciate
wellness. This will translate
into their travels.
OUTLOOK FOR WELLNESS TRAVEL ANNUAL GROSS SALES, 2021
Increase over 50%
Decrease
11% 6%
Increase 26-50%
11%
28%
No change
Increase 11-25%
24%
20%
Increase under 10%
CHART 4 | 11CLIENT PREFERENCES AND MOTIVATIONS
Fifteen percent (15%) of advi-
sors anticipate a great deal of
increase in their clients’ atti-
tudes towards health and well-
ness going forward. A larger
portion of 26% expects it to
increase too but by a slightly
lesser degree (see Chart 5). The
overarching response, however,
is that their clients will begin to
think more positively towards
wellness, which will be greatly
influenced by the pandemic.
I think there will be much more interest post COVID for more wellness programs beyond
spa and massage.
CLIENT ATTITUDE TOWARDS WELLNESS TRAVEL, SHARE (%)
10%
15%
By a great deal
10%
Much
Somewhat
26%
Little
39% Not much
12 | CHART 5CLIENT PREFERENCES AND MOTIVATIONS
This change in attitude is expected to play out even by spend. Forty-eight percent (48%) of advisors expect their
clients to spend more than US$6,000 on wellness packages, and an almost equal percentage (50%) anticipate it to
be between $4,000 and $6,000 (see Chart 6). This could indicate two things: clients will spend more per wellness
trip (which may imply a longer trip or a luxury package) or seek wellness more often. The survey also revealed
that the average length of wellness vacations that advisors typically sell to clients is 6 nights.
CLIENT ATTITUDE TOWARDS WELLNESS TRAVEL BY TRAVEL SPEND , SHARE (%)
$6,000+ 14% 34% 39% 5% 8%
$4,001 - $6,000 19% 31% 36% 11% 4%
$2,001 - $4,000 15% 26% 42% 9% 8%
Upto $2,000 13% 18% 41% 13% 15%
By a great deal Much Somewhat
Little Not much
CHART 6 | 13CLIENT PREFERENCES AND MOTIVATIONS
Either way, the affluent traveler will
be a key segment that will help grow
wellness travel. The top two contend-
ers for this type of wellness were tied,
with 53% of advisors stating luxury
clients with an equal number choos-
ing couples (see Chart 7). However,
there is a possibility there is an over-
lap between the two client profiles. A
close third was solo travelers at 43%,
which is understandable because
some types of wellness travel – for
instance, a silent meditation package –
is a completely individual experience.
Many wellness travelers are intent on
reaching a personal goal or outcome
during their healthy vacation. They
will often travel solo during their initial
primary trip but later return taking
along a friend, or partner, to share the
experience with them.
Moreover, given the current scenario,
group travel will probably fall back
(I sell) family and things that are inclusive
a little, keeping in line with physical
of children such as kids club with yoga, eco
distancing protocols in place right now.
programs that teach children and adults about the
But we can expect family group travel
environment where they are traveling. Encouraging
to pick up given the numerous possi-
educational experiences through their stay such as
bilities for them for wellness.
pop in wellness seminars.
PROMINENT CLIENT PROFILES TO SELL WELLNESS TRAVEL, SHARE (%)
Luxury/affluent 53%
Couples 53%
Solo travelers 43%
Young professionals 40%
Friends 40%
Seniors 35%
Empty nesters 32%
Millennials 26%
Groups 22%
Multi-generational family 21%
Corporate clients 8%
Nuclear families 7%
Students 6%
Incentive/ conference groups 5%
14 | CHART 7CLIENT PREFERENCES AND MOTIVATIONS
Holistic and preventative health care
measures are increasingly at the center of
consumer decision-making when it comes
to wellness travel. The top-most client moti-
vators for taking a wellness vacation was
to enhance their quality of life at 55% (see
Chart 8). Among these clients, a whopping
51% booked travel (vacations) for more than
7 nights.
A close runner-up was the desire to take a
break at 54%. Half of the advisors also said
that experiencing something new was a
common intention.
One outcome deserves a special mention
though. Self-realization was a key motiva-
tor for clients of just one in five advisors.
However, by virtue of its nature, it had a
maximum percentage of clients (63%) book-
ing it for more than 7 days. This niche within
a niche could be where advisors can hope
to earn higher commissions.
KEY CLIENT MOTIVATIONS FOR WELLNESS VACTIONS, SHARE (%)
Enhancing quality of life 55%
Desire to take a break 54%
Experiencing something different/new 50%
Improving health 48%
Engaging in refreshing activities 41%
Personal growth 33%
Best way to experience the destination 27%
Seeking inner peace 26%
Available vacation time from work/school 26%
Self-realization 19%
Sought spiritual guidance 11%
CHART 8 | 15© 2020 Cunard. Ships’ Registry: Bermuda.
Cunard — A world of opportunities.
®
With wide-open spaces and enriching experiences, invite your clients to
escape the everyday with Cunard.
Enjoy a change of pace. senses and awaken curiosity. No matter Discover enriching journeys crafted
The moment your clients step aboard a where your clients choose to sail, intriguing for discerning travelers.
Cunard Queen, the hurry of the everyday ports of call and fresh sea air accompany Sailing with Cunard means your clients
slips away. Guests are invited to do as much their voyage every step of the way. have access to exclusive signature
or as little as they please, whether that experiences. Our traditional Afternoon Tea
means lounging with a book in hand on delights with finger sandwiches, scones
our spacious decks or attending a riveting Feel free to take time away. and pastries and the Cunard Insights TM
lecture. There’s no schedule on a Cunard Cunard’s breadth of luxurious amenities program enhances your clients’ journey
voyage and your clients are free to choose and attentive service invite guests to relax with thought-provoking discussions
what enriches their journey. and enjoy the ride. Soothing experiences at by explorers, celebrities and more. Our
our onboard spa inspire blissful relaxation Special Events voyages bring themes to life,
with pampering treatments and therapy including music, theater and fashion, on
Embrace a fresh perspective. pools complemented by vast ocean views. tailor-made sailings that offer an insightful
Each day brings new views and different Our uncrowded areas, from the onboard and exciting look into a variety of topics.
experiences. On every voyage, the ocean library to the outdoor jogging track, are just
We look forward to welcoming your clients
horizon and calming sound of the waves some of the thoughtfully designed open
back on board a Cunard Queen for a
escort guests from one port to the next, spaces to put your clients’ minds at ease.
blissful journey of a lifetime.
and exciting destinations invigorate the
For more information on Cunard voyages, visit OneSourceCruises.com or call (800) 528-6273.Revel in the freedom of time. Our signature White Star ServiceTM is experiences. Our traditional Afternoon
Cunard’s breadth of luxurious amenities just one more way Cunard is able to Tea delights with finger sandwiches,
and attentive service invite your clients personalize guests’ journeys to their scones and pastries and the Cunard
to relax and enjoy the ride. Soothing preferences. No detail is too small, InsightsTM program enhances your
experiences at our onboard spa inspire no request is too big for our attentive clients’ journey with thought-provoking
blissful relaxation with pampering white-gloved crew, who ensures that discussions by explorers, celebrities, and
treatments and therapy pools your clients have everything they need more. Our Special Events voyages bring
complemented by vast ocean views. for the unforgettable voyage they always themes to life, including music, theater
Our uncrowded spaces, from the onboard imagined. and fashion, on tailor-made sailings that
library to the outdoor jogging track, are offer an insightful and exciting look into a
just some of the thoughtfully designed variety of topics.
Discover enriching journeys crafted
shared spaces to put your clients’ minds
for discerning travelers. We look forward to welcoming your
at ease.
Sailing with Cunard means your clients clients back on board a Cunard Queen
have access to exclusive signature for a blissful journey of a lifetime.
For more information on Cunard voyages, visit OneSourceCruises.com or call (800) 528-6273.CLIENT PREFERENCES AND MOTIVATIONS
Hawaii remains an
ever-popular destination in
the U.S. for wellness clients.
Sixty percent (60%) of the
respondents chose Hawaii,
followed by Arizona at 57%
(see Chart 9). This was on
par with the non-U.S. desti-
nation of the Caribbean and
Bermuda, with Mexico as
part of North America
coming in second at 44%.
However, since the survey
was undertaken in July
2020, it does not reflect the
changes in rules for tourist
entry at these destinations.
TOP WELLNESS DESTINATIONS BY CLIENT INTEREST, SHARE (%)
Hawaii 60%
Arizona 57%
California 45%
Florida 33%
Nevada 14%
New York 8%
Other U.S. Destinations 18%
Caribbean and Bermuda 57%
N.A. (US, Canada, Mexico) 44%
Europe 38%
Central America 38%
Australia/New Zealand 23%
Southeast Asia 20%
Asia 17%
South America 16%
Africa 15%
No destination specialization 7% U.S. Destinations
Other Non-U.S. Destinations 3% Non-U.S. Destinations
18 | CHART 9CLIENT PREFERENCES AND MOTIVATIONS
Wellness travel is a prominent
client requirement among
roughly six in ten advisors.
Twenty-five percent (25%)
of advisors took the oppor-
tunity to push wellness when
they saw one (see Chart 10).
They actively recommended
it when their clients wanted
new experiences.
Meanwhile, 32% of advi-
sors added wellness to the
clients’ existing vacation
plan, which indicates a large
slice of the market that can
be tapped for a complete
wellness package.
CLIENTS BEHAVIOR IN BOOKING WELLNESS TRAVEL, SHARE (%)
9%
Wellness activity was an add-on to
their existing vacation plans
32%
15% Client wanted new experiences for
travel, and we recommended wellness
The primary purpose of the trip was
wellness
Client was familiar with wellness travel
19% and sought recommendations
None of the above
25%
CHART 10 | 19CLIENT PREFERENCES AND MOTIVATIONS
It won’t be wrong to assume that the
higher the spend, the more focused
the trip is on wellness. Among the
advisors who recommended well-
ness experiences, clients for roughly
one in two advisors spent more than
$4,000 (see Chart 11). This was fairly
consistent with advisors whose
clients either took a trip primarily
for wellness experiences or were
familiar with the category at large.
On the flip side, advisors also play
a crucial role in upselling a wellness
product. One axis that consistently
showed a large share across the
value board was where wellness
was an add-on to the client’s plans.
Nearly two in five advisors upsold
wellness experiences in the range
of $2,000 to $4,000. This is expected
to swell even more in 2021 as travel
restrictions ease and people aim to
de-stress.
CLIENTS BEHAVIOR IN BOOKING WELLNESS TRAVEL BY TRAVEL SPEND , SHARE (%)
Wellness activity was an add-on to
27% 38% 22% 12%
their existing vacation plans
Client wanted new experiences for 20% 32% 27% 20%
travel, and we recommended wellness
The primary purpose of the trip was 22% 33% 27% 18%
wellness
Client was familiar with wellness travel
19% 38% 27% 16%
and sought recommendations
None of the above 74% 18% 8%
Up to $2,000 $2,001 - $4,000 $4,001 - $6,000 $6,000+
20 | CHART 11PRODUCT DIFFERENTIATION
The ever-popular spa experience remains the most upsold wellness product with 73% of advisors making a bigger
sale than originally intended (see Chart 12). Adventure travel was second with 57%.
Most clients don't think of it as ‘wellness travel’. Instead, it might be a spa getaway or a
broader vacation focus that might include hiking or biking, for example.
MOST UPSOLD WELLNESS EXPERIENCES, SHARE (%)
Spa and beyond 73%
Adventure travel 57%
Beauty treatments 31%
Physical fitness 28%
Retreats 23%
Mind and body 18%
Voluntourism 13%
Spiritual 11%
Transformative 6%
CHART 12 | 21PRODUCT DIFFERENTIATION
Advance bookings by clients can reveal a
lot about their buying patterns, and what
they are pre-booking can tell where they
are on the wellness evolution curve. Spa
treatments came up on top again with
91% of respondents saying they were
pre-booked by the client (see Chart 13).
This indicates that choosing a spa expe-
rience is on the must-to-do list and not
an impulse buy. Excursions came close
at 81%.
It is interesting to note that adventure
travel or excursions are now often tagged
under ‘wellness.’ Everyone looks at well-
ness travel through their own lens, and
advisors need to determine what their
clients are looking for.
I am finding that more and
more clients are becoming
interested in sustainable
travel.
PROMINENT PREBOOKED WELLNESS EXPERIENCES, SHARE (%)
Spa treatments 91%
Excursions 81%
Physical fitness sessions 30%
Dietary sessions 25%
Meditation sessions 19%
Spiritual sessions 15%
None of the above 1%
22 | CHART 13ADVISOR MOTIVATIONS
Understandably, reputation tops
the list of key factors that influence
advisors to work with a particular
supplier. Wellness travel offerings
are highly personalized experiences
and suppliers need to take utmost
care of not just the quality of the
experience but also the travelers’
expectations of the outcome. When
it comes to health and wellness,
no one wants to take a chance.
Fifty-six percent (56%) of respon-
dents chose this factor, followed
by 43% who considered personal
experience as the next best thing
(see Chart 14). So important is the
quality of wellness products offered
that commissions took fifth place
at 40%. For advisors, the experi-
ence, well-being, and safety of their
clients are paramount.
IMPORTANT FACTORS TO WORK WITH WELLNESS SUPPLIERS, SHARE (%)
Reputation 56%
Personal experience 43%
Product specialization 41%
End-to-end vacation experience 41%
Commissions 40%
Follows updated health and safety protocols 39%
Customer support 39%
Product diversity 29%
Customer testimonials 28%
Deals and promotions 24%
24 | CHART 14AN ELEMENT OF SAFETY
The new normal that will take shape with COVID-19 as plans and for their overall knowledge and expertise.
the backdrop will also mean new responsibilities for Consumer confidence in travel will be greater working
the advisor. Travel suppliers are rushing to rebuild the with a trusted professional!
confidence that travelers have lost in the last few months.
This means that advisors will need to be front and center The survey revealed that less than half of the respon-
when it comes to communicating to their clients. As the dents – 49% – were moderately to completely unaware
last – yet a critical – link in the retail chain, it is the advi- of the safety protocols (see Chart 15). This calls for a
sors who will convey the final message. greater need for communication between the supplier
and the advisor.
More consumers will be even more inclined to use a
travel advisor because of the extraordinary job they did
in getting people home, cancelling and rebooking their
AWARENESS OF SAFETY PROTOCOLS, SHARE (%)
3% 11% Extremely aware
13%
Very much aware
One in two
advisors need
awareness Moderately aware
on safety
protocols 39%
33% A little aware
Not at all aware
CHART 15 | 25AN ELEMENT OF SAFETY
Travel safety protocols are so new and diverse that it is extremely challenging to keep up with changing supplier
policies. Empty middle seats on flights, trains, or buses seem to be the top-most doubt in clients’ minds. Fifty-six
percent (56%) of advisors received inquiries about this, followed by disinfected rooms (43%) and room hold-off
period between guests (41%) (see Chart 16). This means advisors will also need to actively seek information on
this to keep themselves updated as a priority at least for the next 6-8 months, which could prove to be a challenge
as situations on the ground change constantly.
PROMINENT SAFETY PROTOCOLS ENQUIRED BY CLIENTS, SHARE (%)
Empty middle seats on flights/rail/bus 56%
Disinfected rooms 43%
Room/Cabin hold-off period between guests 41%
Social distancing norms/ limited attendance details 41%
Protective kits 40%
Information on quarantine upon arrival 39%
Restaurant and dining options 39%
26 | CHART 16TRAINING FOR A NEW NORMAL
Advisors indicated huge interest in wellness training This was followed by wellness product training for 65%
– 75% have a preference for wellness experiences and of advisors. Another key insight is that 55% of advisors
familiarization trips (see Chart 17), indicating their want training on health and safety protocols, which
continued preference for face-to-face training. Perhaps, means that they are already thinking about preparing
it may also be the most effective… themselves for the re-start.
A personal experience is the key
component for me. I can certainly sell
what I know from personally being
there.
PREFERRED WELLNESS TRAINING PROGRAMS, SHARE (%)
Wellness experiences/ Fam trips 75%
Wellness product training 65%
Sales & marketing of wellness travel 62%
Health and safety protocols 55%
CHART 17 | 27TRAINING FOR A NEW NORMAL
Pushing a (relatively) new product to a
client segment that is largely unfamil-
iar with it requires support and advi-
sors are happy to accept it. Fifty-eight
percent (58%) of respondents said they
need assistance with sales and market-
ing strategies to sell wellness. Health
and safety protocols came up high on
the list (63%) for advisors when asked
about the sales resources that are most
important to them when selling wellness
travel (see Chart 18).
This was topped only by destination infor-
mation by 75% of advisors. Keeping pace
with the new normal is also the need
for online training which came in at the third spot at 57%. So, while
they would prefer familiarization trips and in-person training, the
I'm looking to expand my medium they are utilizing right now is online. Clearly, advisors are
product knowledge and sell more than ready to bring back the business they have lost and have
more trips in the wellness already started adjusting to the new norms. Checklists for wellness
category as demand took the fifth spot at 51%. Different wellness experiences may have
increases. different to-dos, and given that it is such a nuanced product one in
two advisors sought it.
TOP RESOURCES TO SELL WELLNESS TRAVEL, SHARE (%)
Destination Information 75%
Health and safety protocols 63%
Online training 57%
Experience video 56%
Checklists 51%
Testimonials 36%
Content and shared stories 35%
Brand videos 33%
28 | CHART 18TRAINING FOR A NEW NORMAL
Referrals are the main medium
that 71% of advisors use to market
wellness travel products (see
Chart 19). A far second is social
media at 53%. Interestingly, a new
entrant on this list is virtual events
which until COVID-19 were not
even in the picture. Again, this is
evidence that advisors are being
attentive to the changing horizon
of the travel landscape.
TOP MARKETING MEDIUMS TO SELL WELLNESS TRAVEL, SHARE (%)
Word of mouth, referral 71%
Social media 53%
Client networking 50%
Digital marketing 31%
In-person events 22%
Virtual events 16%
Print advertising 14%
CHART 19 | 29CONCLUSION
Undoubtedly, wellness travel will become more vital than ever in the wake of COVID-19. It may also prove
to be the savior that delivers advisors from this dreary slowdown. And while wellness travel was also show-
ing the beginnings of an upswing in 2019 (the survey revealed that the average traveler spend on wellness
vacations was $4,007), it is expected to do even better in 2021. The survey showed that advisors anticipate
an average share of 15% for first-time wellness vacationers in 2021. This is 13% by advisor gross bookings
for 2021.
While many advisors are already selling wellness in some form or another, there are a few who haven’t
considered it yet or don’t have the know-how. The good news is that they are already thinking about either
introducing it to their portfolio or scaling it up. The survey also reveals that advisors have started prepping
themselves to face the new world. Whether it is adapting to online trainings or seeking information about
wellness travel and safety protocols, they have begun to align themselves with the changing market dynamics.
As travel becomes more complicated, people will not travel unless they know their well-being is taken care
of. There will be more thoughtfulness before taking a vacation, and more travelers will seek out experiences
that allow them to spend time with loved ones or rejuvenate and recover from the restrictions on regular life
as we knew it. This could signal a take-off for high-end wellness travel.
Hygiene is the new baseline now and the high standards that have been implemented due to the pandemic
will need to remain in place. Suppliers – whether it is an airline, hotel, cruise liner, or even a tour operator –
will need to get better at offering products with a high quotient of wellness attached to it and perhaps even
more innovative wellness experiences. Ensuring that all this is being communicated to the advisor promptly
and effectively will also need to be a prime concern for them.
These unprecedented times have presented an opportunity to overhaul old thinking and practices. COVID-19
has served as a reminder not to take health and happiness for granted. And this idea will guide the decisions
of future travelers for the foreseeable future.
“I would love to increase this niche area. I need to learn more about it, so I can promote it effectively.
I am paying more attention to resorts in particular that offer this.”The most luxurious way
to unwind at sea.
© 2020 Cunard. Ships’ Registry: Bermuda.
Invite your clients to discover the wonderful world of Cunard.® We look forward to
welcoming them back for a blissful journey on board a Cunard Queen.
For more information on Cunard voyages, visit OneSourceCruises.com or call (800) 528-6273.Please go to the following link to view the downloadable pdf version of this outlook:
https://www.travelmarketreport.com/library/tmr/wellness_2020.pdf
Travel Market Report is a leader in the North American travel agency community with over 100 years of experience. Our award
winning editorial team leverages scientific data to uncover compelling insights and an “Outlook” on the future for travel advisors.
Travel Market Reports’ highly engaged audience is ideal for customized research on your behalf.
RESEARCH AUTHORS:
VIDEC Dan McCarthy, Editor
Anne Marie Moebes, Publisher
FOR MORE INFORMATION ON OUTLOOK RESEARCH PLEASE CONTACT SALES:
Brian Israel, Associate Publisher, bisrael@travelmarketreport.com
11489_11/01/20You can also read
