Large events increase travel costs
Statistics and data
28.05.2024 France Paris   28
Large events increase travel costs

International events such as Taylor Swift's Eras Tour and the Paris Olympics have had the side effect of high airfare and unaffordable housing becoming the order of the day.  

According to travel agency Embark Beyond, fans flocked to Paris to see her favorite pop star's performance (May 9-12), resulting in a 36% increase in luxury hotel stays during the week she performed compared to the same week last year.

With 2024 being the year of the Paris Olympics, the French government announced at the beginning of the year that it would increase tourism taxes by 300% in the lead-up to the Olympics, making the city an extremely expensive destination to travel to. 

“Due to limited availability and high demand, airfare and accommodation prices can fluctuate during these events, complicating budgeted travel, but proactive planning is critical. We always recommend booking your trip as early as possible,” says Lynette Machiri, Head of Customer Experience at Flight Center Travel Group in South Africa.

This is where travel advisors make a critical difference.

“As a rule, large international events are always the focus of travel agents,” says Aadil Esak, general director of product and marketing at XL Travel Group.

“Partners will make purchases ahead of time, knowing that there will be a surge in demand."

For those who need to travel during this time, there are several workarounds they can consider to avoid exorbitant accommodation and travel costs.

“Travel agencies could explore alternative accommodation options outside the immediate area of ​​the event. This may include recommendations for alternative transportation or charming, lesser-known areas. Agents' expertise extends to finding transportation options, discovering hidden treasures and suggesting alternative activities to avoid crowds,” says Machiri.

Price sensitivity is a growing problem for clients traveling to countries with poor exchange rate, especially when serving the younger generation. 

A recent survey by Flight Center found that South Africans (Gen Z and Millennials) are the most likely to adapt their travel plans due to inflation and rising costs of living (96%). Their strategies include searching for exclusive deals and discounts to support travel plans (55%), choosing more economical accommodations (47%) or exploring alternative destinations (39%). 

For agents who want to provide their clients with a cost-effective experience, Esak says, it's important to determine hotel rooms and flight availability as early as possible to ensure the best value can be negotiated.

“Make the most of your opportunities while they last.”


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