The Shift Towards Purposeful Travel

What the changing motivations behind traveling mean for the future of the travel industry

Why do people travel? A question commonly asked at airport customs, “for business or pleasure?” neatly sums up the two main reasons for travel. However, with the pandemic drastically accelerating the shift towards remote work and turning every meeting into a Zoom call, many companies are starting to question the necessity of business travel. Of course, business travel won’t completely go away — in places like Australia and East Asia, domestic business trips have already tipped back up — but it may never return to its pre-pandemic level due to the diminishing cost-efficiency of international business travel.

That leaves us with “pleasure,” an all-encompassing word for the various personal reasons that people travel for, be it to see natural wonders and landmarks, to experience different cultures, or to simply relax on a beach and soak up the sun. Whatever your definition of fun is, the underlying impetus for traveling is to get away, to trade the humdrum of everyday life for a change of scenery. And as we slowly emerge out of the pandemic, many are itching to get away. In a recent survey commissioned by American Express, 65% of respondents said they plan to travel after they and their family members have received a vaccine for COVID-19.

In the near term, this pent-up demand will fuel the travel industry and help tourism and hospitality businesses recover from the pandemic losses. Travel motivations will shift heavily towards “pleasure,” with the rise of digital nomads who embrace “work-cations” generating new demands. Still, the core motivation for travel remains the same — an egotistical pursuit of escape and pleasure, with social media bragging rights to boot. Though it may manifest as curiosity about the big wide world, most trips are ultimately hedonistic and self-indulgent, with no higher purpose other than to “eat, pray, love” our way into self-discovery.

Travel motivations will shift heavily towards “pleasure,” with the rise of digital nomads who embrace “work-cations” generating new demands.

In the coming decades, this self-centered, pleasure-oriented mindset for travel will be increasingly challenged by the rising concerns over climate change and global inequality. Being able to travel for pleasure, especially internationally, is a privilege, and how not to abuse that privilege and travel responsibly will become a priority for many consumers as the cultural conversation evolves. At the same time, virtual experiences and the emerging metaverse will start to strongly compete with the travel industry to satisfy the consumer demand for escapism. Therefore, the future of travel will depend on a gradual pivot in tandem with the shift in travel mindset towards higher purposes. If we are lucky, the long-term future of travel will be more sustainable, engaging, and purposeful.

How to travel responsibly will become a priority for many consumers as the cultural conversation evolves.

Travel & Sustainability

Environmental consciousness is a growing trend worldwide, especially among younger generations. The latest Purpose Pulse survey found nearly two-thirds (65%) of Millennials and Gen Z regard climate change as a key concern. Resultingly, sustainability is becoming a top-of-mind consideration for many consumers, and travel is no exception, as the pandemic has sharpened our collective awareness of travel’s impact on the environment. “Nature is healing” became a meme while people stayed at home, and now 53% of global travelers wish to travel more sustainably in the future.

It may not seem obvious now, but the travel sector is facing a major reckoning regarding its impact on the environment. In 2018, tourism alone was responsible for 8% of the world’s carbon emissions, and that number is only growing, with air travel being the main culprit. By some estimates, a one-way flight from Montreal to London emits as much carbon emissions as heating a European home for an entire year. Even short-haul flights produce huge amounts of greenhouse gas, research shows. The increasingly eco-conscious consumers demand actions too. The aforementioned American Express survey found that 60% of respondents agree they want to book airlines that have a carbon neutral commitment. Therefore, reducing tourism’s carbon footprint to address the sector’s contribution to climate change is set to become a top priority for travel brands looking to future-proof their businesses.

The travel sector is facing a major reckoning regarding its impact on the environment.

As the severe consequences of climate change start to happen frequently, sustainability and climate activism will likely grow into mainstream considerations that could shift the travel mindset. This shift could manifest in various ways: some people will want to see famous sites before they are permanently damaged by climate change; others will cut back on air travel to reduce carbon emission and travel via more sustainable means; some may even blend travel with activism as they aim to help local communities to mitigate the effects of climate change. As more eco-conscious travelers aim to make a positive impact by minimizing waste and contributing to a sharing economy, concepts such as slow travel and volunteer trips will likely grow in popularity as Gen Z travelers take action to save the planet. Whichever the case, there will be opportunities for brands to lean into the eco-conscious travel angle and empower more people to travel sustainably, using dynamic creatives to target differently motivated travelers.

Another way that future travelers may consider to help justify the high carbon footprint of air travel is to book a longer stay. With remote work becoming a reality for many knowledgeable workers, 52% of travelers now say they would take the opportunity to extend any business trips to enjoy leisure time at the destination. Embracing a digital nomad lifestyle, even just for some months of the year, would help counteract the enormous carbon emission generated by careless jet-setting and in-and-out trips. Extended house swaps and remote work villages can help people looking to embrace workcations find affordable accommodations and transform travel from short bursts of escapism into a year-round lifestyle.

In response to the mindset shift triggered by environmental concerns, travel and hospitality brands should start developing more sustainable and carbon-neutral travel products, practices, and experiences to meet emerging demands, and they should start today. From the products hotels provide for guests to the routes that travel agencies curate, every aspect of travel should be taken into consideration for their environmental impact. Eco-friendly travel companies such as Kind Traveler, Intrepid Travel, and Aqua-Aston hotel are already leading the way in making sustainable travel more accessible and enjoyable. The brands that start early will be able to stay ahead of the market curve and establish themselves as leaders in the space.

Travel & Local Engagement

In the pleasure-seeking travel mindset of today, going on vacations often means spending money to have our every need catered to. Rarely would most travelers pause to consider how their actions while traveling are impacting local communities. Overtourism, which has been exacerbated by social media in recent years, is not only bad for the environment; it also negatively impacts the lives of local residents as they are forced to deal with the pressure that a consistent influx of tourists put on local infrastructure. For places that count tourism as their primary source of income, having to answer to the whims of careless tourists can come at a cost for local communities, as the recent debate over whether tourism-dependent countries should stay open during the pandemic has shown.

Thankfully, as the cultural conversation around privilege and global inequality continues to progress, the travel mindset is also evolving to become more considerate to the local communities at destinations. Travelers are becoming more conscientious of their choices: 72% of travelers say they are passionate about traveling to destinations to help boost tourism revenue and the local economy. In time, travelers will become more aware of companies aligned with their values and will journey to destinations where they can have a positive impact on communities.

As the cultural conversation around privilege and global inequality progresses, the travel mindset is also evolving to become more considerate to the local communities at destinations.

Embracing the digital nomad lifestyle and booking longer stays will allow travelers ample time to engage with the local culture and communities, thus transforming the often self-centric goals of traveling to something more responsible and even altruistic. Of course, this does not mean that every future traveler will become a missionary or doctor without borders, traveling for the sake of pushing their agenda or providing humanitarian aid to disadvantaged communities. Rather, hopefully a significant segment of globetrotters will be more willing to engage with the local communities when they travel to “live like a local,” to truly escape the merry-go-round of fast travel and instant gratifications for a real change of pace.

For travel brands on the destination side, it is imperative that local communities are involved in the design and implementation of travel programs. Listen to what the local residents have to say, design programs that uplift and empower the locals, and invest part of the profits back into the communities to form a virtuous cycle of growth and feedback. For example, Canadian travel firm G Adventures aims to maximize the positive economic impact of travel on communities around the world. In 2018, it introduced the Ripple Score, a metric that quantifies how much of the money spent on a G Adventures package benefits the people and places they visit. By helping travelers to meaningfully engage with local communities, brands can provide unique and enriching experiences for them.

Travel vs. Digital Escapes

Yet another major long-term disruption to the future of travel is the rising popularity of virtual experiences, for they offer a similar dose of escapism at a much lower price. As the consumer mindset around travel evolves, digital escapes provided by the emerging metaverse may turn out to be a convenient and affordable option for people looking for a change of scenery. Some VR travel companies such as Ascape have been fielding growing interest from consumers last year; Ascape’s app downloads went up 60% over December.

It is true that in its current form, virtual travel offers a poor imitation of the real-world experience. But virtual tourism doesn’t need to be as real as offline travel to be competitive; it just needs to be good enough to scratch the itch and satisfy the need for escapism. In the long run, with the continued development of immersive technologies like VR and haptics, virtual experiences will evolve to become the kind of multi-sensory experiences that closely mimic the real-world counterparts.

To travel is to engage with the real world, with all of its marvelous wonders and profound problems. In contrast, virtual travel seeks to offer the same kind of wonders without forcing travelers to confront real-world problems. Some may appreciate the way that virtual travel allows them to circumvent the difficult conversations of sustainability and responsibility to local communities while still being able to enjoy the simulated pleasures of traveling. Yet, for some others, it could be seen as a cop-out that exacerbates the real-world issues through inaction. How brands navigate this push-and-pull between escapism and engagement will be at the crux of designing customer experiences in the age of digital transformation.

To travel is to engage with the real world, with all of its marvelous wonders and profound problems.

All things considered, there is a real opportunity for travel brands to leverage the popularity of virtual experiences to spur travel inspirations. Over the course of the pandemic, some travel brands have already pivoted to virtual travel experiences to keep their customers engaged and keep themselves afloat. Post-pandemic, travel brands should not simply toss aside virtual travel as the real world opens up again. Instead, smart brands will learn to update their business model to include virtual experiences as part of the lead generation and trip-planning to entice travelers. It can also be leveraged as an educational tool for visualizing the impact of real-world trips and teaching people how to travel responsibly and purposefully.

In conclusion, the evolving cultural discourse around climate change and global inequality is pushing some consumers to re-examine their travel motivations, leading to a mindset shift from a self-centric core of pleasure-seeking to something more responsible and considerate. This mindset shift will take years, if not decades to play out, but its long-term trajectory has been set today. It will no doubt bring disruptions to all sectors of the travel industry, but with every disruption comes new opportunities that travel brands can explore to change with the times.

The future of travel is dynamically developing and we here at the Lab are keeping a close eye on all the developing trends that will change how we travel. If you wish to start a conversation around the key trends highlighted in this article and discuss how your brand can leverage these opportunities to future-proof your business, please reach out to Josh Mallalieu at [email protected].