Inflation … sure, but hands off my vacation!

A key annual barometer, CAA-Quebec’s 14th Survey1 of Vacation Plans reveals that 69% of Quebecers want to go on vacation in the coming months, despite the current inflationary context. And there’s good news for the travel industry: several indicators are now back to pre-pandemic levels.

Quebec, Ontario, United States, Europe, there’s no shortage of destinations. While a good number will be taking to the road in a car or recreational vehicle (68%), many will opt for air travel (22%). On the schedule? Some rest, sightseeing or visiting friends and family. One thing’s for sure: the upturn initiated last year in international travel is continuing, and some vacationers will be taking advantage of it this summer.

Europe makes a comeback!

Perhaps unsurprisingly, Quebec is still the most popular destination for vacationers (57%), whether to stay at home (17%) or to tour other regions (40%). However, the survey shows an 8-point drop when compared to 2022 (65%).

Might some people have decided to ditch their fleur-de-lis and travel overseas? Well, according to the survey results, 16% of vacationers will travel to a country other than Canada and the United States. A significant increase over last year’s 8%.

Where exactly will they be going? Mostly in Europe (9%), where they will spend their summer vacations discovering France, Spain and Italy.

The survey results show that the desire to explore the world remains unchanged, in line with pre-pandemic intentions (15%).

“The data confirms the trend observed in our Travel Centres. The upturn initiated last year is still ongoing this year. Our counsellors know how to cope with inflationary cycles and provide travellers with the best recommendations.”

– Philippe Blain, Vice President, Travel

When pump prices and inflation enter the fray

It’s hard to ignore the skyrocketing cost of living over the past year. Groceries, gas, electricity, mortgage rates, entertainment, etc., we’re seeing inflation on all fronts. The same goes for Quebecers’ summer plans.

Among those planning a vacation this summer, more than half (54%) feel that inflation will have a direct impact on their planning, and 49% feel the same way about gas prices. Among those who will be spending their vacations at home, 64% say that high gas prices have a direct impact on their planning.

And for those who won’t be taking a vacation this summer, 29% cite budgetary reasons.

In any case, these two variables are omnipresent in people’s minds when the time comes to make decisions. Even though the average budget per vacationer has risen to $1043 ($848 in 2022), many will feel the effects of inflation on their plans. Duration, type of accommodation, activities at the destination: choices will be made!

Impacts identified by vacationers

• I will travel less far (29%)
• I will restrict my movements once I reach my destination (21%)
• I will favour free or low-cost activities (33%)
• I will reduce the frequency of activities or entertainment (28%)
• I will travel less often (28%)
• I will cut down on the number of restaurant meals (31%)

Travel insurance: a must-have!

Whether for medical care (65%), cancellation (45%) or even lost or stolen baggage (40%), a good proportion of Quebecers say they are covered by their group insurance program or one of their credit cards. Nevertheless, CAA-Quebec advises everyone to carefully read their contracts before they leave in order to understand the coverage and amounts associated with them.

“At the very least, the pandemic has helped travellers reflect on the importance of having travel insurance that provides proper coverage, states Suzanne Michaud, Vice President, Insurance at CAA-Quebec. Travelling with peace of mind in the face of life’s hazards certainly enriches the experience at your destination, wherever it may be.”

Results in brief

Vacation destinations under consideration

·    In Quebec: 57% (65% in 2022)

• Staying at home: 17% (20% in 2022)
• Travelling elsewhere in Quebec: 40% (45% in 2022)
• Top 5 regions: Gaspésie (18%), Capitale-Nationale (17%), Eastern Townships (14%), Charlevoix (14%), Bas-Saint-Laurent (12%)

·    Other Canadian provinces: 10% (11% in 2022)

• Top 3 provinces: Ontario (55%), New Brunswick (25%), British Columbia (15%)

·    United States: 9% (10% in 2022)

• Top 5 states: Florida (19%), Maine (15%), New York (13%), Vermont (10%), California (8%)

·    Europe: 9% (5% in 2022)

• Top 3 countries: France (39%), Spain (24%), Italy (23%)

·    Caribbean and Mexico: 4% (2% in 2022)

Length of vacation

• A few days: 7%
• One week: 20%
• Two weeks: 35%
• Three weeks or more: 36%

Vacation period

• June: 21%
• July (before the construction holidays): 35%
• During the construction holidays: 28%
• August (after the construction holidays): 44%
• September: 14%

Main activities at destination

• Resting: 39%
• Sightseeing: 36%
• Visiting family or friends: 33%
• Going to the beach: 26%
• Hiking or trekking: 24%
• In decline compared with 2022: road tripping at 15% (20% in 2022); attending one or more sporting events at 3% (6% in 2022)

Means of transport

• Motorized vehicle (personal motor vehicle, recreational vehicle, rented motor vehicle, motorcycle): 68%

        In decline compared with 2022: personal motor vehicle at 53% (66% in 2022)

• Other means of transport: plane (22%), train (3%), bicycle (2%), bus (2%), boat (2%)

       On the rise compared with 2022: plane at 22% (15% in 2022); bicycle at 2% (0% in 2022).

Type of accommodation

• Traditional accommodation (hotel, motel, inn, lodge, etc.): 37%

In decline compared with 2022: staying at a friend’s or family’s home at 13% (20% in 2022)

• Personal secondary residence: 3%
• Tourist residence (rental house, villa, chalet, apartment or condo): 17%
• Nature (camping or outfitting): 19%
• Resort (seaside resorts, vacation centres, cruises, etc.): 7%

About CAA-Quebec

CAA-Quebec, a non-profit organization, assists each of its members by providing mobility, travel, insurance and residential benefits, products and services. CAA was named the number one most trusted brand in Canada in the annual Trusted Brand Index for 2022 by the Peter B. Gustavson School of Business at the University of Victoria.

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1. This online survey was conducted by Leger, on behalf of CAA-Quebec, among a sample of 1000 respondents aged 18 and over, representative of the Quebec population, between April 28 and May 2, 2023. As a guideline, a probability sample of the same size would enable us to extrapolate the results with a margin of error of +/- 3.1%, within a 95% confidence interval (19 times out of 20).