Try this exercise: get 10 people together, give them each a sheet of paper and ask them to define ‘luxury’. You’re likely to get 10 very different answers! 

In short, despite luxury travel being big business, the term ‘luxury’ is becoming increasingly diluted, meaning it is difficult to find a universal consensus as to what the travel industry considers to be ‘luxury’ – and equally what consumers consider it to be. 

Over the last decade, consumer demands have increased, and this disruption has led to people expecting high-quality service in almost every aspect of their lives.  Hence, luxury travel can now refer to almost anything from personalisation to authenticity, money-can’t-buy experiences to sustainability.

In fact, over the past five years, the search term ‘luxury holidays’ has been steadily losing its share, while terms like ‘bespoke’, ‘unique’ and ‘retreats’ are all on the rise. From this, we can derive that luxury travel is not always defined by monetary value and materialism, but emotional experiences enjoyed.

Think about why a customer buys a Rolls-Royce, a Patek Phillipe watch or a Chanel bag; they want to stand out from the crowd by owning something that almost no-one else has. The same principle applies to travel - customers want to feel pampered on a unique, exclusive getaway that they feel has been completely tailored to their needs. 

The 2018 Kadence Luxury Index Report states that the more a brand is perceived to have an established heritage and story, the greater chance it has of being seen as a luxury brand.  So, to cater to this, travel brands need to think carefully about the way they package and promote their holiday, emphasising at every opportunity the aspects that make a trip exclusive, personalised and ultra-high-quality.  

Ask yourself: are you factoring in every stage of the consumer path to purchase?
At Accord, we recognise and highlight the importance of exposing a brand to prospects across every stage of the consumer journey, from the initial research phase through to final conversion and even post-holiday advocacy.  

When it comes to luxury travel, the early inspiration stage, where emotions hold much more sway, is a defining consideration and empowerment.

Price is still a factor, but luxury travellers are a shrewd and discerning group who will always look for brands that show expertise, authority and service excellence.

Research into brand consideration (Ebiquity, ThinkBox 2018) shows that a simple 10% increase in share of voice can help brands reduce consumer price sensitivity by a staggering 5-20%. The message is clear: invest more in building your brand reputation and customers will be more inclined to pay a premium.  

To hear more from Jasman attend ABTA’s Luxury Travel Conference taking place on 21 March at the 5* luxury Courthouse Hotel. 

For further details, to view the agenda and book your place please visit abta.com/events.