This article originally appeared in the March issue of AGENTatHOME magazine.?Subscribe here to receive your free copy each month.
Advisors are predicting another strong and profitable year for the luxury sectorand one that is not necessarily simply capitalizing on the post-pandemic travel boom.
While I think the pandemic created a new market for luxury travel, it has steadied out by now, but with a permanent and significant influx of travelers that can never go back now that theyve gotten a taste for luxury travel, said Jonathan Alder, CEO of Jonathans Travels. I think rates will start to level out, and Ive already seen a lot of that.
He added: Demand is still incredibly strong. Im already fighting with waitlists for holiday time.
1. Bucket-List Vacations
Belvin Baldwin II, CEO of Showtime Travel, believes the pandemic has changed the mindset of travelers. Luxury travelers are not waiting to take that bucket-list luxury vacation, he said. In fact, they are planning that bucket-list vacation well in advance to check it off the list so they can start working on the next vacation."
The luxury market is growing with requests that include customized personal experiences to make lifelong memories, he added. Travelers are willing to pay premium prices to have an experience that is hard to duplicate.
Pamina villa in Positano, Italy. (Photo Credit: Rental Escapes)
Baldwin said he is also witnessing growth in custom itineraries with stays at luxury hotels and villas. Our partnerships with some of the best on-location DMCs give our clients amazing experiences that provide us with referrals upon their return from their luxury vacations.
Trish Gastineau, owner of Simply Europe Travel, an affiliate of Travel Experts, said this year she is surpassing her 2023 sales, which were the highest since she became an independent contractor. Demand for five-star properties and private tours are still high, but there is a bit more space available in 2024 compared with the same time frame in 2023, Gastineau said, adding that pricing for hotels across all levels is still commanding premium rates.
2. Luxury Cruises
One of the strongest sectors for luxury travel this year is cruising, advisors said. Im seeing an uptick in premium cruise requests on lines such as Regent Seven Seas, Silversea, the new Explora Journeys and river cruises like Uniworld, Gastineau said. Ive also noticed more clients are inquiring about and booking upper-level suites this year versus 2022 and 2023.
I believe this is happening because people are not willing to let special milestones or family events pass by without celebrating them. The restrictions of the pandemic are still fresh in their minds and they dont want to waste an opportunity.
Seven Seas Explorer (photo credit: Regent Seven Seas Cruises).
Cruises with calls in Montenegro and Croatia are popular this year with Gastineaus cruise clients, as are river cruises visiting Christmas markets, which were strong sellers last year. There is limited availability left for 2024 as of right now, she said.
Alder is seeing strong demand for luxury expedition cruising. Its about the ultimate convenience of exploring places that are otherwise inaccessible without constantly unpacking and repacking because the ship itself is the one-stop destination, he said.
3. Africa and the Caribbean
Baldwin has noticed tremendous growth in the Africa market. Clients are requesting Morocco, Ghana, Egypt, South Africa, Tanzania and more, he said. We are starting to get island requests in Africa that include the Seychelles and Mauritius.
There is also a strong push for Caribbean islands that are not as touristy. Clients are looking for experiences outside of the resort where they can explore the island.
Alder is also seeing continued growth in the Africa market and Europe as well. Both of them are going to be quite full this year in the custom land travel arena, he said.
2024 Emerging Destinations
Madeira, Portugal. (Photo Credit: majonit/Adobe)
Im seeing more interest in the Portuguese islands of Madeira and the Azores, as well as Morocco and Egypt, said Trish Gastineau of Simply Europe Travel.
Jonathan Alder of Jonathans Travel said he is witnessing client interest in such destinations as New Zealand. Now its more accessible than ever with United being the first carrier to fly directly from the U.S. to the South Island, he said.
Other emerging destinations, he added, include French Polynesia, Turkey, Kenya, and Antarctica and South Georgia.
With more transportation options than ever before, its never been easier to visit the White Continent and the nearby Antarctic islands such as South Georgia C the best wildlife destination on earth, Alder said.
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