Recovery of the tourism industry post Covid

2 min. reading
Digitalisation, Travel technology / 11 May, 2022

Karla García Gil Journalist

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After the harsh restrictions imposed by the SARS-CoV-2 pandemic significantly affected international tourism, it is expected that this 2022, hand in hand with the Easter and Summer vacations, the industry will manage to recover.

While booked airfares as of January were still 18% below pre-pandemic levels, those costs are increasing by about 7% per month, and the increase is not likely to stop until the summer vacations. On the other hand, the cost of package tours has rebounded by around 12 percent.

In Mexico, hotels of more than four stars have registered average rates higher than those of lodgings in countries such as the United States and Canada, rising to 280 dollars per night, almost double the 160 dollars in the neighboring country.

Advantages of technology as a way to facilitate tourism

Applying technological advances to developing industries has achieved a boost in them. The use of mobile phones, the internet of things, voice assistants and augmented reality are just some of the new technologies that have been adapted to this industry. What are the benefits it brings to the industry?

In this way, lodgings in the main Mexican beaches have recovered their rates almost completely or have surpassed pre-pandemic levels; one example is Los Cabos, which has an income per room 34% above what was recorded at the end of 2019.

According to a study conducted by Allianz Travel, for both vacation periods, the beaches of Cancun, Los Cabos and Puerto Vallarta are positioned as the three favorite international destinations for U.S. travelers, and is that, Mexico has been characterized for being one of the few places that allows the entry of tourism without the usual restrictions under the pandemic. Since June 1, 2020, the day on which international tourism resumed, visitors have been able to enter the country without showing proof of vaccination, negative Covid test, or undergoing quarantine, unlike other countries.

In this sense, the World Travel and Tourism Council (WTTC) has indicated that the recovery of the tourism industry will be around 8 billion dollars, which represents an increase of 32% compared to last year. However, the entity also affirms that the figures of 2019, when tourism generated 9.2 trillion dollars, equivalent to 10.4% of the global economy, will still not be recovered.

As for employment generation, during 2019 about 330 million jobs were generated, during 2020 and 2021 about 62 million were lost and it is estimated that for this year about 50 million jobs will be recovered.

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