Confidence is returning to the UK’s tourism industry

Many Brits are choosing to forgo their usual trip abroad this summer in favour of a staycation closer to home. Meanwhile, those who are heading overseas might be gasping at the price of their regular beach-side cocktail, due to a weak pound. An unsteady pound is having ramifications far wider than how much the annual week away in the sunshine costs, and domestic consumers here in the UK are battling mortgage rate rises, soaring inflation and an ever increasing supermarket shop. However, not everything is doom and gloom – as overseas tourists benefit from a weaker pound, we are seeing confidence return to UK inbound tourists. In fact, confidence levels for the UK’s inbound tourism industry are at their highest for the past three years, providing a much needed silver lining to the hospitality industry, as well as renewed optimism for those businesses after a tough winter of exorbitant energy bills. According to data from UKinbound, the UK's only trade association that represents inbound tourism, expected or confirmed bookings to visit the UK for the second quarter of 2023 are at the same level or higher than they were pre-pandemic. This is good news for the industry, providing our UK restaurants, bars and hotels with a much needed boost over the coming summer. American tourists are the main force driving the UK’s recovery more than any other region, according to VisitBritain. Part of this is due to intrigue post the Queen’s death and the Coronation of King Charles. In addition, what has been previously coined as ‘blended travel’ – mixing business with leisure and tagging on a few days of sightseeing to a business trip – is seeing a rise. The good news doesn’t stop there – our visitors from across the pond are set to be spending more than they were on their visits to Britain in 2019. Nevertheless, inflationary pressure, energy costs and staff shortages continue to pose a threat to the industry. As such, hotels must look at how they can keep costs down and save energy, while still providing outstanding service on all fronts to attract tourists. In this day and age, the majority of inbound tourists to the UK will search for a place to stay through online reviews, which fortunately or unfortunately can be the making or breaking of a successful business. Research commissioned by P&G Professional revealed that hotels and restaurants are the places people leave the most reviews and two thirds of these are negative. Going above and beyond with excellent customer service is key to driving excellent guest experience and therefore good reviews, as well as ensuring that any food offerings you may have are up to a high standard. One easy solution that can often be overlooked is making sure that a venue is spotless, as nowadays hygiene and cleanliness are high on the list for many consumers. In fact, 32% of those surveyed by P&G Professional said they would never return if a company’s hygiene wasn’t up to scratch on the first trip. While consumer expectations are high, a buoyant inbound travel market could mean lucrative returns for those hospitality businesses that pull out all the stops. Having weathered the storms of Covid and the energy crisis, hotels that get this right can look to the future with cautious optimism while maintaining a competitive edge over other hotels.

Checking In – The Hotel Owner Podcast

Confidence is returning to the UK’s tourism industry

By Liz Smith-Mills, an independent hotel consultant and member of the P&G Professional Expert Advisory Council

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