Tourism After Coronavirus: A Fresh Start for Experiences in Europe

July 2020

Driven by the steady growth of trips to and within Europe, the attractions and experiences market had never been so large or diverse as it was at the start of 2020. The global Coronavirus (COVID-19) pandemic however put an abrupt halt to tourism across Europe. As movement slowly resumes, the market is pivoting to cater to visitors closer to home, while preparing for more permanent changes. The experiences market emerging in Europe offers important lessons for global tourism.

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This report comes in PPT.

Key findings

Longer road to recovery for tours and experiences

Tours and experiences sales will lag those in transport and lodging in 2020, as spending becomes restricted and consumers look to make leaner trips. Recovery however will benefit from digitalisation efforts in place before COVID-19.

Operators will pivot towards more local audiences

After months of lockdown, consumers have gained a new appreciation for their local surroundings and will be willing to travel more locally given the restrictions of long distance travel. Localised services will sit alongside existing offerings moving forward.

Sustainability becomes more urgent for destinations, tour operators and consumers

Sustainability will be increasingly important to the way consumers travel, as tourists demand more transparency from tour companies and experiences providers, and seek out more balanced, sustainable ways to experience destinations.

Digital disruption and adaptation to accelerate

The tours, attractions and experiences market was ripe for disruption, in line with megatrends that favour more authentic, experience-driven travel opportunities. Digital players such as GetYourGuide and Airbnb will re-emerge quickly, leveraging technology to streamline offerings, generating new opportunities for consumers.

Virtual experiences are here to stay

Some experimentation from experience providers will outlast the pandemic, including new virtual experiences which were an important lifeline for guides and a crucial escape for consumers confined to their homes.

Experiences become key motivation for taking trips

In the coming “new normal”, in-destination experiences will drive value, benefiting from increased visibility from digital marketplaces and higher quality offerings differentiated from the commoditisation of experiences that can be had virtually.

Experiences will be the final piece of the customer journey

In-destination experiences will frame the packaged holidays curated and sold for consumers, taking a more prominent role moving forward. Experiences will be available at the time of booking, along with flights, lodging and local transport.

Scope
Geographies and markets covered in this report
Key findings
Growth in arrivals a boon for experience providers
More tourists, more spending power: especially from Asia
Growing interest in unique, cultural in-destination experiences
A market on the cusp of digital disruption
COVID-19 lockdown across Europe halts all tourism activities
European recovery, but additional challenges for experiences
Travel segments adapt to ensure safe opportunities for tourists
GetYourGuide guides partners through lockdown
Airbnb remains available with new Online Experiences feature
Attractions and experiences recovery lagged during 2008 financial crisis
Short- to mid-term shifts overview
Online and home-orientated are top expected permanent shifts
Localisation : renewed interest in discovering places closer to home
Sustainability: awareness of the environment, and of over-tourism
Digitalisation : more disruption, more options
Three final thoughts on future development

Travel

Travel encompasses several categories including tourism flows, lodging, travel modes, in-destination spending and booking.

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