The highway of dreams is making a comeback.
For a brief time in North American tourism, travel was about the journey, not the destination. Route 66 was an iconic highway taking travelers more than 2,400 miles across the United States from Chicago to the Pacific Ocean. It was commissioned in 1926 as a way to connect the east to the west and was paved by the hands of unemployed men during the Great Depression. It represents hope and freedom, key themes that resonate with consumers seeking to escape and regain control amid current COVID-19 restrictions. With long-haul leisure plans shelved for the time being, travelers are turning their focus back toward the open road.
As COVID-19 continues to progress and individual states, cities, and Canadian provinces begin to reopen, consumers appear ready to get moving again. After weeks of laying low, Americans took to their cars this Memorial weekend as evidence of pent-up demand. While the country remains in lockdown to varying degrees, May 22-23 saw a 48.5% increase in road travel compared to the weekend of May 15-16. It marked the biggest weekend-over-weekend increase in road trips this year. The data comes from Arrivalist’s Daily Travel Index[1], which measures the volume of daily vehicle trips of at least 50 miles using anonymized GPS data from smartphones and other sensors and excluding commuter, freight, delivery and other types of frequently repeated trips.
Instead of hopping on planes or trains this summer, many vacationers will spend their time closer to home. Across the country, recreational vehicles sales are up, with some reporting triple the volume from this time last year. If the numbers tell us anything, it’s that there is plenty of pent-up demand for travel. Americans are itching for a change in scenery.
Sandy Haberman, Regional Vice President at Causal IQ shared, "I have already taken advantage of flexible cancellation policies at many of the larger hotel chains that are within a two, three or even a five-hour drive from home for future vacations. For their part, chains including Hilton, Marriott, Radisson, Hyatt and IHG are offering cancellations up to 24 hours before the scheduled arrival date - but do make sure to fully understand the individual policy prior to booking”. With a strong passion for cruising, Haberman also noted, "For those that may be interested in combining drive and cruise vacations; Carnival Cruise Line recently announced their plans to phase in North American sailings with a total of eight ships scheduled to resume service beginning August 1 from homeports that are easily accessible by car, including Miami, Port Canaveral and Galveston."
As regions ease restrictions, the “new normal” is beginning to emerge with indications that consumers are on the verge of developing innovative habits likely to stick around. The road trip isn’t just practical, it puts consumers back in the driver’s seat where they are able to control their exposure to other people and possible transmission of the coronavirus. Smart travel brands need to be ready to promote local, road-trip ready destinations.
Causal IQ Marketer Recommendation
Start a recovery plan
As North America slowly reopens, airlines report cancellations are dropping and bookings are creeping back up, at least for domestic travel. Similar to Arrivalist, Causal IQ location partner Cuebiq is providing free access to mobility and store visitation patterns during the COVID-19 crisis to help businesses as they look to adjust their strategies during recovery. Their Shelter-in-Place analysis [2] represents the percentage of users staying at home in any given county. The data shows that millions of Americans have started leaving home and traveling to different counties in recent weeks. The granularity provided is exactly what brands and advertisers need to know as they consider resuming operations.
Not all reopening’s look the same, but no matter where you start, it’s essential to follow a course of action that produces ongoing improvement. If brands want to sustain themselves for the long run, they need to plan for it.
Likewise, creating a winning campaign starts with setting the right objectives and navigating the delicate balance between short-term activations and long-term brand building. We don’t recommend focusing ad spend on lower funnel tactics at scale during a crisis; instead diversify your channels and deliver a message that your brand will be there, when people are ready. While it may be tempting (and necessary) to jump-start marketing with lower funnel tactics to drive immediate ROI, don’t forget to engage with consumers that may be near-market, rather than in market. Expect that travelers may spend more time in consideration as they weigh their desire to travel against their desire for safety.
DON’T stop communicating with your customers – with many under quarantine, consumers want and need to hear from your brand. Research from Kantar shows 92% of consumers believe brands should continue communicating during the COVID-19 pandemic.
Prepare health & safety messages
According to a new survey by Qualtrics, consumers are looking to brands to share practical messaging around how they’re helping customers and the community and are less interested in messages of hope and optimism. Key behaviors identified in that survey to increase brand trust include: taking care of employees (43%), not taking advantage of the crisis (43%), and taking care of customers (40%).[3]
Now that travel is back on the map - travelers will be returning to brands they know and trust. COVID-19 has impacted individuals on a personal level, so the risk of inadvertently coming off as insensitive or even exploitative is higher than ever right now. At its best, advertising can find new audiences, engage brand loyalists, and increase market-share. At its worst, it can alienate the people it’s supposed to be engaging. Ensure your messaging isn’t tone deaf and provide reassurance that when consumers travel again, you have their best interests in mind. Reassure guests by showing what's being done to ensure their safety.
Focus on value
Promotional offers can be a great way to help you hold rate but demonstrate a clear benefit to the guest. Develop and offer value propositions based on customers' desires and perception of value. Co-branding can be an effective way to build business, boost awareness and break into new markets. For example, outdoor specialty retailer REI and interior design company West Elm have joined forces on a collection created to encourage consumers to spend more of the summer outdoors, wherever that may be.[4] The collection is designed to help people feel at home while they're outside.
Flexible booking opportunities allow travelers the ability to book without fear, which in turn leads to increased trust and booking. Qatar Airways recently made waves by offering travelers some of the most flexible booking conditions of any airline, offering customers the option to change the destination on their ticket to any city the airline serves within 5,000 miles flying distance of the original. If the new travel date is by the end of this year, no fare difference will be applied.
Tell your story
Every organization has a unique story when it comes to its history, values, culture, people and geography. Make this a core part of your organizational identity. As business resumes, this is the perfect time to reconnect and share your “why”. Why does your company exist? Why do you do what you do? When travelers emotionally connect with the why of your company, your brand becomes much more relevant and memorable.
A perfect example is the Wynn experience at home – a series of email newsletters that were sent in April their mailing list. Roger Thomas, Vice President Emeritus of Wynn Design, took us on an art walk through the casino, exploring pieces we’ve passed but might not have truly seen. Wynn’s master mixologist, Andrew Pollard, showed us how to make the perfect gimlet. Resident DJ Regg Ruck provided over an hour of music mixed for the occasion. We learned about the Wynn’s culinary team providing 1000 daily boxed meals, and of their comprehensive new Health & Safety Plan that is now considered the gold standard in the hospitality industry. The emails present Wynn’s complete luxury experience and provide guests with the peace of mind needed to return.
Travelers will be back, and they plan to make up for lost time. In the near term, we’ll see increased demand for drive markets, and when travelers feel comfortable, destination markets will follow.
1 https://www.arrivalist.com/Daily-Travel-Index/
2 https://www.cuebiq.com/visitation-insights-covid19/
3 https://www.cmo.com.au/article/679081/research-consumers-looking-practical-messaging-optimistic-advertising/
4 https://www.fastcompany.com/90509400/west-elm-and-rei-collaborate-on-new-products-for-all-our-summer-staycations