Travel Demand Holds Steady in Q2

Expedia Group Media Solutions has released its Q2 2022 Traveler Insights Report. The quarterly report combines Expedia Group first-party data and custom research with insights and industry examples to support travel marketers on their journey toward rebuilding. 

“Despite a variety of industry and economic headwinds during Q2, people still found a way to travel, and in many cases, went further afield,” said Jennifer Andre, global vice president, Media Solutions. “The return of long-haul and international family travel, higher hotel average daily rates, and higher average ticket prices in Q2 are just a few positive indicators for what we hope will be a strong second half of 2022. Our latest report provides valuable data and insights to help marketers effectively reach and engage potential travelers and capture sustained traveler demand.” 

Following a 25% quarter-over-quarter surge in searches globally between Q4 2021 and Q1 2022 across the Expedia Group branded sites, search volumes held steady in Q2, according to the report. Asia Pacific (APAC) saw double-digit growth between Q1 and Q2 (30%), followed by Europe, the Middle East, and Africa (EMEA) at 10%.  

Week-over-week global search volume fluctuated throughout Q2, with the strongest gains during the week of June 6. Week-over-week searches globally increased 10% following the June 10 announcement that the U.S. would no longer require COVID-19 testing for international travelers, according to the report. 

Seasonal holidays and a desire to travel in the near term, along with economic and pandemic-related concerns and regional instability, contributed to growth in shorter search windows during Q1. Global share of searches in the 0- to 90–day window increased more than 5% quarter-over-quarter, with the 61- to 90–day window seeing the largest quarter-over-quarter lift at 15%.     

In Q2, most global domestic searches fell within the 0- to 30–day window, while the share of searches in the 91- to 180+ day window decreased quarter-over-quarter. The continued easing of travel restrictions and testing requirements contributed to a double-digit quarter-over-quarter lift in international searches globally in the 0- to 90–day window, with the strongest growth in the 61- to 90–day window.

As with prior quarters, major cities and beach destinations remained popular with travelers in Q2, but London and Paris had particularly strong showings. On the global top 10 list of booked destinations in Q2, London took the No. 3 spot and made the top 10 list of booked destinations across all regions.

Q2 also saw an increase in demand for long-haul flights (flights with a duration of four-plus hours) as travelers look to go travel further. There was more than a 50% year-over-year increase in global traveler demand for long-haul flights.

Lodging demand increased quarter-over-quarter in Q2, with APAC seeing the strongest growth. With sustained demand globally, average daily rates (ADR) in Q2 increased quarter-over-quarter and even more so compared to Q2 2019, while room night cancellation rates declined by double digits compared to Q2 2019. 

Consumers are also paying attention to a travel brand’s commitment to inclusion, diversity, and accessibility. In fact, 78% of consumers said they have made a travel choice based on promotions or ads that they felt represented them through messaging or visuals, while seven in 10 consumers would choose a destination, lodging, or transportation option that is more inclusive of all types of travelers, even if it’s more expensive.