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Surge in overseas holiday bookings in 2023 has ‘surprised’ many working in travel industry

Projections indicate this summer is likely to be the busiest since the onset of the pandemic, says industry body chief

Capacity on some routes, such as flights to Faro and Malaga, have increased alongside newer routes, such as Kos in Greece. Photograph: iStock

Noel Baker
Wed Feb 15 2023 - 21:04

The surge in overseas holiday bookings so far this year has “surprised” many working in the travel industry, according to a former travel agent who now runs her own travel website.

Sarah Slattery, owner of thetravelexpert.ie, also said her site had 300,000 visitors in January despite many people having already booked this year’s holiday as far back as last September.

“I expected people to be much more focused on affordable travel and saving their money with the energy crisis and all that, but that is certainly not what I have seen,” she said.

“It’s like holidays are in a separate category.”

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Pat Dawson, chief executive of the Irish Travel Agents Association said projections mean this summer is likely to be the busiest since the onset of the pandemic and the number of people holidaying overseas is likely to blaze past the figure for 2019.

Those heading abroad on holidays this year can expect some higher costs however.

Both Ms Slattery and Mr Dawson said accommodation prices in many tourist destinations have increased by between 10 per cent and 20 per cent, while still offering value compared to rates in this country.

According to Mr Dawson, who also runs Dawson Travel, more people are heading overseas, including on long haul and cruises.

“The high season dates, like Easter, peak dates for summer, school finishing last week in June, are all predominantly full,” he said.

“The one thing we have noticed is that people are going for the more expensive product, the high end product,” he said. “Not five or six stars [hotels] but the good hotels, good apartments.

“There is also an increase in cruises – up 15 per cent to 20 per cent – because that is all inclusive.

“Families are also buying all inclusive hotels in Spain, Portugal, Greece and going all inclusive so their Johnny and Mary can have all the coke they want and they know how much it is going to cost before they go.

“There is no tightening of the belt when it comes to travelling abroad, but people want good quality stuff.

“The four and five star hotels and apartments are outselling the two and three star [hotels] because people are saying to hell with this, we have suffered enough the last two or three years with Covid.”

A beach in Kos, Greece. Photograph: iStock

Capacity on some routes, such as flights to Faro and Malaga, have increased this year alongside newer routes, such as Kos in Greece, with Ms Slattery saying there was potential value on fares for a destination served by both Ryanair and Aer Lingus.

On accommodation she said: “My experience has been that the really good places have gone up a lot – the 5 stars, two bed apartments on the beach, the prime time properties.”

She estimated in some cases prices have risen by 20 per cent, although she said mid-range three-star hotels and apartments have not seen similar price escalation and added: “I would not want to give the impression that everything is expensive.”

According to Mr Dawson, people can expect to pay from around €500 a head per week for high quality apartment accommodation in Europe and around €700 a head for a fortnight, but late booking will likely result in higher costs. Similarly, while car hire costs have increased in Europe, they are still far cheaper than in Ireland, with Mr Dawson estimating a weekly cost of around €200 a week, and €350 for a fortnight. A check on price comparison website kayak.ie showed a car rental for a family from Faro for the first week of the school holidays would cost between €165 and €363, depending on make and model.

There are approximately 100,000 package holidays for sale through a charter deal but the vast majority of people calling a travel agent want different elements factored into their stay overseas, said Mr Dawson.

“Eighty-five per cent of holidays booked out of Ireland is dynamic packaging, where travel agents build the package for you, not forcing you into a package that is already made for you,” he said. One area where holidaymakers can pay more is flights with “the days of the €29.99 flight – they are like hen’s teeth.”

Ms Slattery said Brinidisi and Genoa, while likely to have more expensive accommodation, may have decent value when it came to airfares, alongside Kos. The key is booking early, with prices likely to increase in March.

One issue that may not be as prevalent this year is airport departures chaos. While last year’s holiday season saw delayed and cancelled flights, issues with baggage and innovative queuing solutions to ease pressure inside terminal buildings, Mr Dawson believes this year it is a case of “once bitten, twice shy”.

However, Ms Slattery cautioned “one issue that people are going to have is car parking at Dublin Airport – no one books that until last minute. I am travelling Wednesday now and they are all full.”

Nevertheless, it looks like the departure points will be busy. “I would say people want to go and with increased capacity I would say the numbers – I have seen stats come in – it would be way ahead of 2019, that is for sure. There is no doubt about that,” added Mr Dawson.

The best tips for heading abroad in 2023

  • Experts say accommodation costs in popular destinations may have risen by as much as 20 per cent, particularly in higher-end properties
  • Booking before the end of February is likely to be better value on both flights and accommodation
  • Car hire costs in Europe can be from approximately €160 but averages at €200 for a week
  • Airport chaos, like the scenes of long ques at security checks, are seen as unlikely but holidaymakers urged to book car parking well in advance
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