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Research Outline
Prepared for Philip | Delivered July 21, 2019
Luxury Business/Leisure Travelers-Profiles
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Goals
To understand the profile of luxury business and leisure travelers, including their hotel selection criteria, expectations for a travel experience, general psychographic profiles, and travel preferences.
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Early Findings
BUSINESS TRAVELERS
According to the 2017 U.S. Business Travel Economic Impact Report,
94%
of US business travelers primarily travel
in the United States, especially to high-population areas such as "the Pacific region, the Northwest, and the Southeast."
Some
35%
of business travelers travel by personal vehicle, while 28% fly, and the trips are short with 26% of trips lasting only one day, compared to 39% for two-day trips and 22% for three- or four-day trips.
Business travelers like
taxis
over
U
b
e
r
rides.
Most business travelers
have a college education and have an average income of $82,000. Some 60% of them are men, while half are over the age of 45.
About
55%
of business travelers will pay
o
u
t
o
f
p
o
c
k
e
t
to upgrade their flight, hotel room and
w
i
f
i
, or rental car options.
Some
70%
of business travelers like personalized online ads, based on their past purchasing behavior.
Nearly
90%
of business travelers report that their companies allow them to keep the loyalty or rewards points they accrue for their business travel.
Fully
83%
of
b
u
s
n
i
e
s
s
travelers consider travel a perk of their job.
According to a
survey of hotel reviews
, business travelers like reliable internet, lots of power outlets, a simple check-in process (think online check-in and
k
e
y
l
e
s
s
entry), transportation information during their stay, robust breakfast offerings, a hotel bar or in-room mini-bar, comfortable beds and pillows, quiet and dark for good sleep, ample caffeinated drinks, and an ironing board.
In addition to the above,
business travelers appreciate
a hotel that offers a comfortable working space and a good location that is central to the business they are doing (e.g., near a corporate headquarters) or close to amenities such as restaurants and bars. Wellness offerings, such as gyms, are also appreciated by this demographic.
LEISURE TRAVELERS
Once a group that gravitated to opulence, luxury travelers have now become more interested in
experiences
, such as new and diverse cultures.
The
demographic
of luxury travelers is shifting from the older, wealthier generation to the experience-seeking millennials who are willing to "trade up on exclusive activities."
Luxury leisure travelers are seeking authentic, healthy, and socially-responsible adventure travel opportunities.
Personalization
is important to the luxury traveler with technology playing an important role in attracting younger travelers.
Authentic experiences
, which might include an exclusive selection of regional wines at a hotel, appeal to luxury travelers, as do companies with reputations for sustainability.
Luxury travelers
like lots of personal touches and hands-on staff connections, as well as high-tech options that make for a more seamless experience, such as mobile check-ins, kiosks, apps, smart rooms, and "even AI-powered butlers."
Luxury travelers
are increasingly looking for shorter stays, such as weekend excursions (micro-travel), meaning they are likely more willing to spend the money needed to have a unique experience, such as food-oriented trips, staying at hotels offering a unique culinary experience (e.g., in-room dining, local foods, cooking classes).
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