Key Takeaways from the Affluent Traveler Symposium
The Affluent Traveler Symposium (ATS) took place 28OCT - 30OCT in Miami, where scorching temperatures were rivalled only by the fiery discussions about the escalating demand for exclusive, tailor-made luxury travel experiences.
Open Jaw was in attendance at the luxury travel focused event, which took place at the Kimpton Epic Hotel in downtown Miami. Among the key takeaways were the 40% increase in high-end travel sales in Canada in 2023, the need for comprehensive training to ensure the success and longevity of new advisors, and the call to diversify the demographics of travel advisors, bringing in a younger generation.
Trends in Luxury Travel
As the number of travellers seeking luxury experiences continues to grow, there is a surging consumer appetite for the specialized services of luxury-specific advisors. This has led to substantial sales expansion for The Affluent Traveler Collection (ATC).
During its yearly Symposium, ATC announced a 32% year-over-year increase in revenue from its array of luxury suppliers, with luxury room revenue up 45%, luxury guided revenue up 24% and luxury cruise revenue seeing an increase of 22% in 2023.
ATC CMO Nicole Mazza said, "The number of affluent consumers is on the rise, and travel is a priority for them."
Mazza added ATC has brought on other partners to help its advisor meet the demand, which includes a "desire for boutique hotels, villas and residences, unique itineraries and personalized experiences."
ATC has expanded its portfolio by incorporating properties in destinations like Mexico and the Dominican Republic, Morocco and Cambodia. In addition, they have welcomed prestigious hotel properties from brands like Raffles, One&Only, and Waldorf Astoria, bringing the total to over 1,100 luxury hotels and resorts.
Jane Clementino, SVP and GM of Travelsavers Canada spoke with Open Jaw's Natasha McKenty at the event, where she shared details of the heightened consumer demand for high-end travel, with luxury sales up 40% this year.
"Luxury and premium sales in Canada surpassed our mass market sales. Everybody wants the high sensory, the indulgence, the immersive culture, and they want it to be personalized and unique. And people are paying the price for it," Clementino said.
She said she learned something while attending ATS, "It's not just the baby boomers [booking luxury travel], it's the millennials, and [they are] the largest population in the world. They are coming to the table with disposable income ... and they want to have that unique experience that's authentic and curated for them."
Advisor Training
About a year and a half ago, ATC introduced KORE in the U.S. market; during a press conference held on the final day of the event, Kathryn Mazza-Burney, CSO of ATC, shared, "We're pleased to announce we'll be expanding to the Canadian market within the next 30 days."
She shared that people aspire to venture into the travel industry but often lack a clear starting point. She emphasized that KORE is specifically designed to address this challenge, offering "everything from geography to sales" training.
Paving the Way for the Next Generation of Advisors
Faith Sproule, the owner of Niche Travel Group in Halifax, found herself in a unique position, thanks to the closure of agencies in Atlantic Canada during the pandemic lockdowns. This allowed her to recruit highly trained advisors and managers. As part of a speaker panel focused on attracting the next generation of luxury travel advisors, Sproule shared her views on the aging population of advisors, noting that out of her 16 advisors, only one is under 35.
She emphasized the importance of flexibility in attracting younger advisors, stating that accommodating the under-35 demographic requires adaptability in business practices and working hours.
Insights
The symposium saw the participation of over 250 advisors, with more than 50 from Canada. Asked about their motivation for attending the event, advisors unanimously told Open Jaw about wanting to connect with peers in the luxury market, access insider information, and engage in educational sessions to boost their sales.
During a press conference, Mazza emphasized that geopolitical concerns have taken center stage this year as the primary concern for advisors, overshadowing worries about a potential recession, though such concerns still linger.
Mazza regards artificial intelligence (AI) as an opportunity rather than a challenge, predicting it will revolutionize the industry. With the surging demand for advisors and the strain on the industry due to an advisor shortage, AI is seen as a tool to enhance productivity.
TravelSavers also plans to integrate AI into its content creation, workflow management, and efficiency systems. The company's applications are set to weave AI functionalities into social media platforms, itinerary building, cryptocurrency payment methods, and direct application programming interfaces.
An IC model will be available on OnlineXpress, a consumer travel platform. Paired with enhancements to Softvoyage, Travelsavers affiliates gain access to booking tools.
Clementino told Open Jaw it's essential for Canada to be present at events like the Affluent Traveler Symposium, highlighting the benefits of luxury expertise. Reinforcing the significance of knowledge-sharing and collective success within the industry, she added, "We are sharing best practices. Everybody is colloborating because you want to be successful as a group. We are under one family."
