Brits might be tightening their belts this winter, but agents have been warned not to let what could be once-in-a-lifetime bookings slip past them as affluent consumers – still flush from the Covid shutdown – seek to make inroads into their bucket lists.

Opulence and austerity look set to be key driving forces behind many 2023 travel trends, with luxury bookings likely to get even more luxurious as average spend grows. Meanwhile, at the other end of the spectrum, families are reining in their budgets and are expected to seek value more keenly than ever, as highlighted by numerous studies including TTG Media and PwC’s latest Agenda 2022 survey.

And yet holiday spend seems likely to endure the economic downturn, especially with many consumers placing greater emphasis on quality time spent with loved ones, such as by sharing multi-generational breaks. Australasia and much of Asia are now back on the tourism map, creating unique opportunities for affluent clients to explore some of the world’s most sought-after destinations before visitor numbers recover to pre-pandemic levels.

Meanwhile, although travel heads into the new year off the back of unprecedented strike action following major walkouts by Border Force officials, ground handlers and rail workers, agents are confident they can take anything in their stride after coping with the hellish pandemic years.

Blowing the budget

Sandra Corkin, managing director of Northern Irish agency Oasis Travel, said her agency had experienced a hike in bookings for “aspirational, bucket-list destinations” such as Australia, New Zealand and Canada at higher average spend per head compared with recent years.

“I do honestly think Covid has made people appreciate how precious time is,” she told TTG. “They want to do something that’s meaningful and special, and maybe spend a bit more but still get value for their money. There’s a real mix at the moment – a lot of luxury short-haul European breaks like vineyard stays, and really special trips like the Orient Express.”

Haslemere Travel owner Gemma Antrobus said clients were looking to lock in their holidays earlier than ever, a trend she expects to continue for the next couple of years. “Customers are booking for the next 12 to 18 months requesting really nice, juicy itineraries.

“It’s absolutely the right way to do it – booking 2024 or even 2025 will get you the best deal. People don’t really think booking at the last-minute will get them a good deal any more, and they want that value for money.”

Deben Travel in Woodbridge is another agency experiencing “very strong” forward bookings, as well as a surge in first-time clients. Owner Lee Hunt said November sales were up 20% on 2018 and 2019 levels. “Clients want peace of mind,” he said. “We can give them tips on budgeting and alternative travel options.”

One agency looking to capitalise on this longer-term outlook is Cumbria-based The Travel Team, which is working with clients to offer payment plans to offset the impact of the cost of living crisis. “I think people want to chip away at the price, and that’s probably to help with budgeting,” said the agency’s long-haul specialist Shannon Waugh, who was named Young Agent of the Year at the 2019 TTG Travel Awards.

Waugh added family holidays to Australia and New Zealand were in hot demand, with clients keen to get away and see family after the two countries tightly controlled their borders during the pandemic.

TravelTime World’s Ashley Quint also flagged the heightened demand for family breaks, with the agency’s “older, more affluent” customers shouldering more of the cost of multi-generational holidays with children and grandkids. “We’re seeing a lot of requests for holidays with friends and family,” he said. “Lots of customers are keen to build holidays around that, especially in Australia.”

Kilwinning’s Thorne Travel, meanwhile, is making waves with its recently-launched cruise division, Seas the Day. Owner Shona Thorne said demand had been “manic”. “We’re seeing really good uptake from older customers who are booking four weeks or so in January and February,” she said. “[They] would normally book to be away in the summer, but they don’t want to be here when it’s cold because of the price of everything.”

The agency has also had a steady stream of clients enquiring about its Beat the Gas Bill winter long-stay packages, with Thorne highlighting how clients are prioritising quality over the length of stay. “I think people are after that ‘feel good factor’, but they want to budget – and they want to know they can get back from somewhere quickly if the [Covid] situation changes.”

Personnel problems

However as the post-Covid demand for travel continues, recruitment remains a challenge for agents. Hunt said with bookings continuing to flood in, the agency will “absolutely” need another full-time member of staff. Deben usually takes on an apprentice from the local area, but Hunt said he didn’t feel able to spare his team’s time to train them up. “The issue for us is it takes a qualified person [away from] the shop floor. But it does mean we can train them in the way we want.”

Robert Lines, chair of Midlands consortium Elite Travel Group, admitted levels of pay in travel were a stumbling block when it comes to recruiting new talent. “It’s never been a highly paid business, that’s the problem. In 2020, [the feeling was] doom and gloom. People took the opportunity to leave [the sector], or had to leave, and they’ve found they can earn more doing something else.”

Lines added that while some of the consortium’s members would once have taken on students from local colleges, applications had “dried up”.

The pandemic, though, has given rise to more flexible working – something Althams Travel has embraced by shifting to a four-day working week. Managing director Sandra McAllister said this gave the agency “an edge” with potential new recruits.

“We’re not suffering from a lack of new recruits at all,” she told TTG. “Since introducing the system, we’ve not had a problem. Looking at profit and turnover for the year to the end of September, productivity per staff member is slightly higher than it was in 2019, which was our best year. It’s a win-win for staff morale and for the business.”

McAllister added: “We currently have two positions to fill, and because of the increase in productivity, we will be looking to increase numbers in the new year.”