A recent study commissioned by Allianz Travel Insurance predicted Americans’ spending on summer vacations this year will be spending less – $85.5 billion, versus $98.8 billion in 2014. The study, Allianz’s sixth annual Vacation Confidence Index, attributed much of the decline to 18-to 34-year-olds... the same population segment most confident that they would indeed take a summer vacation.
The index says this is due to millennials’ use of the “sharing economy” model – opting for cost-cutting services like Airbnb, Home Away, Uber, Lyft, GetAround and Feastly.
According to the report, “A majority (60 percent) of millennials trust the sharing economy, compared to only 37 percent of all other travelers.
“While only 47 percent of Americans are aware of at least one of (the above-mentioned) sharing economy services, more than 58 percent” of millennials are.
Also: “While only 17 percent of Americans say they’re likely to use a sharing economy service during their summer vacation this year, 28 percent... under the age of 35 are planning to book their travel in these non-traditional ways.”
A chart accompanying a digest of the report ranks the reasons of travelers who go the sharing-economy route; the top three factors are “better value for money” followed by “more authentic local experience” and “best overall experience.”
For travelers who book accommodations, transportation and experiences using established methods – booking directly with the provider, a travel agent or via an online service like Orbitz, Hotels.com or Expedia – the top three factors are “better customer support when things go wrong,” “best overall experience” and “better quality product.”