Industry predictions about the response to changing economic conditions in 2023
Attraction management platform innovator Convious and tourism research consultancy Decision House have unveiled research findings about how the economic situation is likely to affect visitation at leisure destinations over the next 12 months.
Countries all over the world have been facing an economic downturn indicated by a rise in inflation rates, which had a great impact on the price sensitivity of consumers. The UK Consumer Confidence Barometer shows the public’s outlook for their own financial situation over the next year is at the lowest point for the past 15 years. This is echoed in the survey findings by Decision House, who found that almost half (47%) felt worse off financially in September than they did at the same time the year before.
The increasing financial concerns of families is impacting visitation, with an increasing number of those surveyed saying they will visit theme parks, zoos, historic destinations, museums and gardens less often than last year, with 52% expressing concerns about visiting in September 2022 compared to 44% in June 2022.
The research also concludes that 21% of those surveyed are less likely to renew memberships and season passes and that free attractions are likely to benefit as a result, with 35% saying they plan to visit more often.
Convious has responded to this survey with practical advice on how destinations can optimise every step of the visitor journey to improve relationships with guests and acquire more of them.
Andy Povey, Managing Director of UK and Ireland for Convious explains:
“This includes being honest and open about price and giving the customer choice, through initiatives like dynamic pricing. This is where the cost can be lowered during quieter times to enhance accessibility for all budgets.
“Destinations can also improve the perception of value for money through subscriptions, by communicating visitor value outside of the financial element, such as creating memories, and by unbundling items to reduce the cost of the initial sale.
“VIP events or those with limited supply are also a great way of generating FOMO, and think local, this is a crucial audience in the economic situation we find ourselves in for the foreseeable future.”
Steve Mills, Director at Decision House comments:
“By making people aware of these predicted trends, we are aiming togive operators key data to understand their visitors’ future behaviours and support them with the tools they need to put practical plans in place that will allow them to maximise all opportunities, reach new audiences and communicate better value to the guests they already have, helping them to stand out from the competition.”
Download the main research data commissioned by the Association of Leading Visitor Attractions in the UK and practical insights report here: