The outlook for travel to Europe is promising despite global pressures such as high inflation, the war in Ukraine and consequent energy crisis, and the looming economic recession. The latest data indicates a recovery of 75% of 2019 travel volumes to Europe in 2022. This strong tourism rebound is expected to continue well into 2023, though at a slower pace. Looking forward, international travel to Europe is forecast to reach pre-pandemic levels in 2025, while domestic travel will fully recover in 2024.
Amid financial stress, Europeans determined to keep their travel spend
The European Travel Commission (ETC) has today released its latest report on Monitoring Sentiment for Domestic and Intra-European Travel, providing insights into European travel plans in spring – summer 2023.
Long-Haul travel sentiment to Europe improves despite high global inflation
The desire for overseas travel in 2023 has increased significantly in large travel markets compared to a year ago. Over 60% of potential travellers in Australia, Brazil, Canada, China, and the US intend to travel long-haul in 2023, with Europe being top of mind. Travel sentiment to Europe in the first four months of the year has also improved, with the most notable year-over-year increases observed in China (+21 points) and Brazil (+13 points). The exception to these positive trends is Japan, with 27% of respondents enthusiastic about long-haul trips in 2023 as a whole and 13% between January and April.
European tourism resilient in face of low consumer confidence
Europe is expected to recover close to 75% of 2019 travel volumes by the end of 2022
Challenging economic backdrop will lead to a difficult winter for the tourism sector in Europe
Transatlantic travel gets a boost in 2022, spurred by a stronger dollar against key European currencies
Europeans embrace Intra-European travel in spite of growing cost-of-living concerns
40% of Europeans are worried about increasing travel costs in light of the ongoing cost-of-living crisis. Nonetheless, the appetite for travel among Europeans is growing with 70% planning a trip in the next six months. This represents a 4% increase in just one year. Over half (52%) intend to travel at least twice evidencing pent-up demand for vacationing.
Staff shortages and cost of living looms for European tourism
Sudden surge in consumer demand coupled with staff shortages pose serious challenges for the sector going into the summer months.
Rising travel costs the leading concern across Europe
Overall, travel sentiment remains resilient in the face of ongoing challenges.
Russo-Ukranian crisis has little impact on inbound travel sentiment to Europe
Intention for long-haul travel remains weak in key markets amid worsening economic prospects, COVID-19, and geopolitical shocks.
Ukraine tourism agency invited to join ETC
In a show of support, ETC national members voted in agreement to extend complimentary ETC membership to State Agency for Tourism Development of Ukraine.
European tourism remain resilient amidst pandemic and geopolitical uncertainty
Domestic travel is projected to make a complete recovery in 2022, while international arrivals to Europe are forecast to be 30% below 2019 volumes.