Covid-19 Impacts on the Travel Industry
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"IN THE WAKE of the coronavirus pandemic, few industries have fallen as far and as fast as tourism.” (Elizabeth Becker) Airplane tickets and hotel prices have fallen as there are not many people traveling due to the outbreak and shelter-in-place order to flatten the curve. So the question is whether Covid-19 will permanently change travel.
In the article “How Hard Will the Coronavirus Hit the Travel Industry?” by Elizabeth Becker, the author focuses on the impacts that Covid-19 has on the travel industry. Due to the outbreak, tourism has declined, leading to popular tourist attractions, casinos, and hotels have closed off. National limits on travel and stay-at-home orders have led companies to losing their revenue.
In my opinion, this article expresses the topic of travel as well as the topic of Covid-19 impacts on many industries. In my knowledge, the exponential spread of the virus is hitting cruise operators particularly hard. Every lost voyage is approximately $3 to $4 million of revenue. In addition, the cancellations of cruises and scheduled trips will have a negative impact on earnings at these companies.
Nevertheless, airline companies and hotels are receiving billions of dollars in aid support during this difficult time. However, cruise companies are not eligible because they don’t count as American enterprises. That is because they operate offices in Miami, Florida, but they are all incorporated in countries with very different labor, tax, and other laws than those of the U.S. However, it seems unfair to me because cruise companies are suffering as well. Although the Coronavirus has hit the travel industry hard, but there is tons of support from the government, as well as the amount of cash on hand the companies have. So, I believe that they should be able to cover the expenses in the next months or years.
In the article “How Hard Will the Coronavirus Hit the Travel Industry?” by Elizabeth Becker, the author focuses on the impacts that Covid-19 has on the travel industry. Due to the outbreak, tourism has declined, leading to popular tourist attractions, casinos, and hotels have closed off. National limits on travel and stay-at-home orders have led companies to losing their revenue.
In my opinion, this article expresses the topic of travel as well as the topic of Covid-19 impacts on many industries. In my knowledge, the exponential spread of the virus is hitting cruise operators particularly hard. Every lost voyage is approximately $3 to $4 million of revenue. In addition, the cancellations of cruises and scheduled trips will have a negative impact on earnings at these companies.
Nevertheless, airline companies and hotels are receiving billions of dollars in aid support during this difficult time. However, cruise companies are not eligible because they don’t count as American enterprises. That is because they operate offices in Miami, Florida, but they are all incorporated in countries with very different labor, tax, and other laws than those of the U.S. However, it seems unfair to me because cruise companies are suffering as well. Although the Coronavirus has hit the travel industry hard, but there is tons of support from the government, as well as the amount of cash on hand the companies have. So, I believe that they should be able to cover the expenses in the next months or years.
Similarly, in the article “How Will Covid-19 Affect Future Travel Behavior?” by Elaine Glusac, the author discusses the impacts that Covid-19 has on travel in the future. She states that the levels of travel anxiety and concern have increased due to an increased attention to stay-at-home orders, not traveling and protecting oneself and others. While younger people may not have the same level of travel anxiety, the older generation is more concerned and follow orders. I think the reason is because the youth tends to be more accepting of risk. They’re more adventurous travelers. They participate in riskier activities, not just in travel but in their lifestyle in general. Therefore, it's difficult to get everyone to respond in the same way so that we can level out the curve.
I think during this time, people will more likely to travel closer to home by driving instead of flying or using public transportation. As I know, they often go to the beaches, lakes where there are not a lot of people. They usually go with family or close friends, following national limit on gatherings of no more than 10 people.
Once the pandemic ends, people will be ready to travel and there will be some pent-up demand. They will more likely to travel closer to home and do more driving tourism. But there’s going to be some people that are more willing to take a flight and go overseas. By then, hotel bookings and daily flights will increase, the travel industry, as well as others, will be able to recover.
First, I would like to compliment you on the layout of your blog- I really enjoyed seeing the images while I was reading your post. Although I was aware that the travel industry lost much revenue, I was shocked to find out that it was around 3-4 million for each voyage. I do agree that the older generation would be more careful in traveling especially for the rest of this year because COVID 19 is still very much new and impacting and taking many lives. The older generation and immunocompromised individuals should stay more dormant and be very careful as to where they are traveling until a vaccine is created. However, this said I know that many younger people are excited for the quarantine to be lifted because of the low cost of flights and other traveling costs. I personally know many young adults and some families who have already booked flights to other areas during the end of this year and beginning of next because they believe that the environment will be safer during that time period. I personally believe that the traveling industry will recover much faster than say small businesses and other industries because people will desire to get out and travel due to staying home, in quarantine, for so long.
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