Over 50s and luxury markets set to grow

Over 50s and luxury markets set to grow

The luxury and the over-50s markets face the biggest potential growth in the UK travel industry, according to a new report. Data from Deloitte’s Hospitality 2015 report indicates that other than an emerging middle class in India, the maturation of baby boomers will present a group of travellers expecting quality and something different. “As life expectancy continues to grow there are longer terms of retirement so this group will be a source of global tourism, especially in 2020,” explained Deloitte LLP’s Head of Travel Sector Deborah Griffin. “They are more wealthy and have a higher propensity to travel.” Griffin revealed that the 60-75 sector is the fastest growing travel market but the 45-59 age bracket will represent 20% of the population in 2011. “This group is only defined by age so their characteristics vary and they will travel frequently but they are more demanding and want experiences,” said Griffin. “They will pay for expertise and convenience.” She predicted that timeshares and the cruise sectors would fuel the most growth and that the industry should appeal to a sense of adventure. In addition, the brand will be important as the over-50s group has more money to spend and have expectations of a hotel. “Like luxury hotels, tour operators servicing these more sophisticated and wealthy travellers need to offer personal service, consistency and a different experience.” Meanwhile, Griffin highlighted how important social media and the internet can be for brands. “People are looking at brochures less and less,” Griffins warned. “One in five consumers use websites to research pre-departure and one in 10 contribute to social websites after.” She urged operators to involve themselves with social media as it allows them to solve problems quicker and communicate directly with their customers. “The travel industry has been seeking feedback for many years through customer surveys, so this is nothing new, just amplified,” added Griffin. “If you can respond quickly, you may convert someone to a loyal customer.”  

Gary Marshall
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Gary Marshall
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