Vaccine rollout drives travel recovery

SINGAPORE, 10 May 2021: Vaccinations appear to hold the key to reviving international travel, according to the latest research from ForwardKeys, based on available fight booking data.

Two destinations, Greece, and Iceland, which have announced that they will welcome vaccinated visitors this summer, have seen inbound flight bookings pick up dramatically from the moment of their announcements.

Three origin markets, Israel, the US and the UK, where vaccination campaigns are well advanced, have seen outbound flight bookings climb more steeply than elsewhere.

Greece, whose economy is highly dependent on tourism, has led the way in announcing a willingness to welcome visitors who have been vaccinated, passed a Covid-19 test or recovered from the disease.

That public position has boosted flight bookings from major outbound markets such as the US and the UK. For example, it tops the list of most popular destinations for British travellers this summer. Confirmed tickets for travel between July and September are currently 12% ahead of where they were at the equivalent moment in 2019.

Furthermore, analysis of the most resilient destinations in Europe this summer reveals that seven of the top ten cities are Greek, with the island of Mykonos leading the list, with summer bookings currently standing at 54.9% of what they were at the equivalent point, pre-pandemic.

It is followed by the Spanish island, Ibiza, where bookings are at 49.2%. The next eight destinations in order of resilience are Chania (GR) 48.9%, Thira (GR) 48.1%, Kerkyra (GR) 47.5%, Thessaloniki (GR) 43.7%, Palma de Mallorca (ES) 41.2%, Heraklion (GR) 36.6%, Athens (GR) 33.2% and Faro (PT) 32.8%.

The correlation between the announcement of relaxed travel restrictions and bookings is also dramatically demonstrated by flight tickets issued from the USA to Iceland.

On 26 March, its government announced that all vaccinated travellers would be exempt from entry restrictions, and the level of issued tickets soared to 158% of what they were during the equivalent week in 2019.

The correlation between vaccination rates and outbound travel is strong, as consumers gain confidence. Bookings to Europe from Israel, which has vaccinated over 60% of its population, are currently at 63% of 2019 levels and bookings from the UK, which has vaccinated over 52%, are at 32% of 2019 levels.

ForwardKeys VP insights, Olivier Ponti, commented: “Vaccinations appear to hold the key to reviving international travel, as countries that make clear promises to welcome vaccinated travellers are being rewarded by strong surges in flight bookings. We see a revival of confidence in outbound travel from countries where there has been a successful rollout of Covid-19 vaccines too.”

(Source: ForwardKeys)