Family Travel – Bermuda Style

Survey’s focus this yearv What does family travel mean to families?

v Where are there opportunities?

vWhat are the challenges?

v How do ages of children affect travel behavior?

v How do families evaluate the travel sector?

v How can we serve families better?

Family Travel Motivations

Family Travel Motivations

Parents top ranked motivation for family travel:

“To have my children discover new places and have new experiences”

Family Travel Motivations

Parents second ranked motivation for family travel:

“To bond and grow closer as a family”

Family Travel Motivations

Parents value the developmental benefits of travel for their children:• More broad-minded• More engaged learners• More adventurous• More flexible and adaptable• More confident• More interested in other cultures• Better communicators

Family Travel Behaviors &

Opportunities

Strong Intent for Family Travel58%

21%

11%

5% 5%

0%

10%

20%

30%

40%

50%

60%

70%

Very Likely Likely Undecided Unlikely Very Unlikely

How likely are you to go on a family vacation with your children in the next 12 months?

Winter season shows growth potential

19%

22%

13%

7%

11%

2%

19%

22% 22%

19%20%

2%

0%

5%

10%

15%

20%

25%

Spring break Summer Winter holiday season Mid-winter break Around other holidays Other

Have taken Planning

Shorter vacations are most popular

• 1-3 nights 73%

• 4-6 nights 50%

• 7-13 nights 30%

• 14 nights + 15%

Most Popular Vacation Types

• Visiting friends & relatives

• Theme Park

• Beach Vacation

• Family Road Trip

•Museum/Cultural Attraction

• Family Reunion

• 71%

• 59%

• 58%

• 56%

• 39%

• 37%

Future Vacation Interest Vacation Type• Cruises• All Inclusive Resorts• Safari/Wildlife• RV Trips• River Cruises• Ski/Snowboard• Volunteer/Mission

Future Interest• 29%• 26%• 18%• 16%• 15%• 15%• 12%

Travel Agent Usage

20% of survey families used a travel agent

in the past 3 years.

Travel Agent Usage20% of families who have used a travel agent

Top reasons• Travel agents have access to better rates and prices

• Travel agents have an in-depth understanding of the destination or vacation type I was interested in

• Travel agents can best deliver the vacation experience we are looking for

• If something goes wrong, a travel agent is there to help

Response• 48%

• 41%

• 39%

• 34%

Travel Agent Usage

80% of survey families have not used a travel agent

in the past 3 years.

Travel Agent Usage80% of families who have not used a travel agent

Top reasons

• I can find all the information I need online

• I enjoy the process of researching, planning and booking a family vacation

• I trust myself more to find the right travel options for my family

• It would add to the cost of the vacation

Response

• 50%

• 43%

• 38%

• 36%

Challenges for our industry

Affordability&

Value for Money

The Affordability Challenge

Affordability is an important concern across most income ranges

• Only a lower concern with HHI of $150,000 +

The Affordability Challenge

Value for money is a top consideration when selecting accommodations

• 69% consider it is an important factor• 36% consider it the most important factor

The Affordability Challenge

Of the 10% of families unlikely or very unlikely to take a family vacation

• 69% say “we can’t afford it”

Annual Travel Spend

How much would you estimate you spent on family travel last year?

13%

17%

23%

26%

15%

4%

2%

0%

5%

10%

15%

20%

25%

30%

Less than $500 $500 - 1,000 $1,000 - 2,500 $2,500 - 5,000 $5,000 - 10,000 $10,000 - 20,000 More than $20,000

Travel Spending by Income

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%

35.00%

40.00%

Less than $500 $500 - 1,000 $1,000 - 2,500 $2,500 - 5,000 $5,000 - 10,000 $10,000 - 20,000 More than $20,000Less than $40,000 $40,000 to $59,999 $60,000 to 79,999

$80,000 to $99,999 $100,000 to $149,999 Over $150,000

Spending on family vacations by household income band

Age of children

Impact on Family Travel

Common to all ages• My child loves to travel

• My child is interested in learning about the places we visit

• My child prefers to go theme parks

• My child has a lot of influence in choosing the activities we do on vacation

• My child prefers vacations where they can relax (beach,

resort, etc.)

Family Travel Sector Evaluation

OVERALL INDUSTRY EVALUATION

B-

OVERALL INDUSTRY EVALUATION

B-

Subsector scores from recent users (3 years)

Airlines: C+ > B-

Hotels: B

Vacation rentals: B- > B

Restaurants B+ > B

Car rental: B- > B

Cruises: B- > B+

Travel agents: B- > B+

Tour operators:

B- > B

Online booking:

B

What can we do better?

The best part about traveling with my kids is…

• “Seeing their faces when they learn and experience new things and have a good time”

The best part about traveling with my kids is…

• “Seeing their faces when they learn and experience new things and have a good time”• “To experience different cultures and how others live. To

explore the beauty of nature and man-made civilizations.”

The best part about traveling with my kids is…

• “Seeing their faces when they learn and experience new things and have a good time”• “To experience different cultures and how others live. To

explore the beauty of nature and man-made civilizations.” • “Pure joy in just watching them explore and learn about their

surroundings.”

ThankYou