Chase Merchant Services Study* Reveals August Will Be Peak Season for Road-Trips With Air Travel to Take Flight in the Fall

Rhea-AI Summary

A recent study by Chase Merchant Services indicates that 71% of Canadians intend to take road trips within Canada this August. Many are eager to travel post-lockdown, with an average planned expenditure of CAD $3,356.00, and baby boomers projecting CAD $4,225.00. Key findings include 78% preferring quiet destinations and an average trip duration of 7.3 days. Air travel interest is set to spike in November, with 55% considering flights. Health safety concerns dominate traveler expectations, including mandatory masks and contactless services.

Positive

• 71% of Canadians plan to travel domestically, indicating strong consumer confidence.
• Travel spending is expected to average CAD $3,356, with baby boomers averaging CAD $4,225.
• Increased interest in air travel expected with 55% of Canadians planning to fly in November.
• Emphasis on contactless payments reflects changing consumer preferences.

Negative

• Only 20% of Canadians plan to travel by plane during the summer, indicating a slow recovery in air travel.

A recent study conducted by Chase Merchant Services reveals that 71 percent of Canadians who plan to travel will be taking road-trips exclusively within Canada, as August’s peak travel season approaches. While vaccination rates and safety precautions remain a determining factor when planning travel, Canadians are ready to vacation within the next six months as a way to spend more time with family and friends after months of lockdown.

Canadians are also planning to spend more on leisure travel, averaging CAD $3,356.00, with baby boomers (adults between ages 57-75) willing to splurge an average of CAD $4,225.00. Among domestic leisure travellers:

• 78 percent will prefer a quiet destination
• 7.3 days is the average duration
• 24 percent anticipate spending more on travel this year than a pre-pandemic year

Road trips may begin to wane as cooler weather rolls around in the fall, and Canadians will likely be more open to domestic travel by plane, especially as more of the population is vaccinated. With November anticipated as the peak month for air travel, the number of Canadians interested in flying almost doubles to 55 percent, compared with 20 percent over the summer.

While only 20 percent of Canadians are planning their domestic trips by plane this summer; the forecasted numbers more than double beginning September through to the end of 2021, with November being the peak month that Canadians (55 percent) are considering air travel. Canadians are most comfortable staying at a family member or friend’s house; however, hotels make for 50 percent of lodging plans. 54% of travellers plan to be more diligent than usual in taking more time to research health and safety protocols when determining their lodging.

Among the top health and safety expectations from travellers:

• 82 percent expect mandatory masks for hotel staff and employees
• 70 percent expect contactless check-in/services

“Driven partly by changing consumer safety expectations, the manner in which travel payments are processed has also evolved over the past 18 months. Providing a contactless payments experience – whether by cards, through online or in-app purchases – is now table stakes for businesses whose customers have grown accustomed to this new easy and seamless payments experience,” said Marilu Gaudio, President of Chase Merchant Services. “The renewed level of interest in traveling more, combined with spending more, is validation that merchants must have their payments capabilities truly digital and contactless.”

Chase Merchant Services currently serves more than 112,000 Canadian businesses from coast to coast. Chase Merchant Services is one of the world’s leading banks and merchant services provider serving more than 25 markets and 130 currencies.

For more information on Chase Merchant Services, and its consumer poll on travel and hospitality, visit chase.ca.

About J.P. Morgan’s Wholesale Payments Business

J.P. Morgan’s Wholesale Payments combines our treasury services, trade, commercial card and merchant services capabilities to help clients pay anyone, in any currency, anywhere in the world. We are at the forefront of payments innovation, developing cutting-edge solutions to help our clients succeed in an era of service and technology transformation.

* The Consumer Pulse Poll of 600 Canadians was conducted by Audience Research & Development (AR&D) on behalf of Chase Merchant Services. Data was collected between April and May of 2021.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210728005336/en/

FAQ

What percentage of Canadians plan to travel domestically this August?

71% of Canadians are planning to take road trips exclusively within Canada in August.

What is the average spending planned by Canadians for leisure travel?

Canadians plan to spend an average of CAD $3,356.00 on leisure travel.

What are Canadians' expectations for health and safety while traveling?

82% expect mandatory masks for hotel staff and 70% expect contactless check-in/services.

When is air travel interest expected to peak among Canadians?

Air travel interest is anticipated to peak in November, with 55% of Canadians considering flying.

What is the average duration of domestic trips planned by Canadians?

The average duration of domestic trips planned by Canadians is 7.3 days.