Rising Demand for Affordable Travel Fuels Interest in Domestic and Nearby Destinations

Consumer concerns about the economy and geopolitical situation are sparking changes in bookings, according to a new survey of advisors affiliated with TRAVELSAVERS Canada agencies.

Travel Expense Top Client Concern

The high cost of travel is the top concern clients are mentioning now, cited by 62 per cent of the responding advisors. Related, 46 per cent named unfavourable exchange rates as a client concern. Geopolitical issues were mentioned by 38 per cent. Lack of consumer confidence in the economy was cited by 36 per cent of the respondents, with 35 per cent saying clients are worried about inflation and rising prices.

“Even with economic and geopolitical concerns, Canadians are still prioritizing travel,” said Jane Clementino, Senior Vice President and General Manager of TRAVELSAVERS Canada. “Advisors are essential in this environment. They bring expertise, flexibility, and access to value-driven
options that help clients feel confident and excited about their plans no matter their budget.”

Advisors Shape Lower-Cost Options

Uneasy travellers are turning to advisors for expert assistance in lowering the cost of trips, employing a variety of tactics to decrease spending.

Selecting less expensive destinations was named by 43 per cent of advisors. Using loyalty points to offset travel costs and taking fewer trips were each mentioned by 41 per cent. Meanwhile, 35 per cent said their clients are being flexible with travel dates to secure better fares, and 29 per cent reported that travellers are opting to vacation within their home country.

The Summer of Staying Close to Home

Canadians are opting in increasing numbers to vacation in their home country this summer, and advisors are promoting the trend. Canada is not only one of the most in-demand destinations, it’s also the number one recommendation from advisors looking to ease client concerns about cost, complexity, and global uncertainty.

While Italy led the list of summer travel bookings at 48 per cent, Canada followed closely behind at 46 per cent, tying with Portugal and ahead of other popular spots like Ireland and the Riviera Maya. When asked where they most often guide clients, nearly half (49 per cent) of advisors pointed to Canada as their top choice, reinforcing the growing appeal of domestic travel as a smart, exciting, and convenient option.

“We’re seeing a clear shift toward trusted, accessible destinations and Canada is leading the way,” said Clementino. “Whether it’s the appeal of exploring our own backyard or the flexibility domestic travel offers, advisors are confidently proposing Canada as their first choice for
summer travel.”

2025 Sales Predictions Shift

As a result of this changing behavior, advisors are adjusting their forecasts for 2025 sales with 35 per cent predicting sales will rise this year. However, 21 per cent envisioned them staying at 2024 levels, and 44 per cent foresee their sales decreasing.

Last fall, 81 per cent of advisors anticipated higher sales in 2025, compared with 15 per cent who predicted sales would remain at 2024 levels. At that time, only 4 per cent envisioned a slight decrease.

Summer Bookings Dip

With some consumers taking a wait-and-see approach to travel, hoping their personal situation improves, summer sales have trended slightly down from last year.

Twenty-nine per cent of advisors said their summer travel bookings are up from last year, while 52 per cent reported sales are down. Meanwhile, 19 per cent of the respondents said sales are level compared to summer 2024.

Survey Results
2025 Sales (results from April/May 2025)

? 27% predict sales will increase somewhat
? 8% predict sales will increase significantly
? 21% predict sales will stay the same
? 33% predict sales will decrease somewhat
? 11% predict sales will decrease significantly

2025 Sales (results from October/November 2024)

? 54% predict sales will increase somewhat
? 27% predict sales will increase significantly

 15% predict sales will stay the same
? 4% predict sales will decrease somewhat

Summer Bookings

? 8% up 10% or more from last summer
? 21% up between 1% and 9% from last summer
? 19% the same as last summer
? 33% down between 1% and 9% from last summer
? 19% down 10% or more from last summer

Client Concerns

? 62% high cost of travel
? 46% unfavourable exchange rates
? 38% geopolitical issues
? 36% lack of consumer confidence in the economy
? 35% inflation/rising prices

Vacation Budgeting

? 43% selecting less expensive destinations
? 41% using loyalty points to pay for travel
? 41% taking fewer trips
? 35% being flexible with travel timing for lower fares
? 29% vacationing in their home country

Top Summer Travel Destinations

? 49% Italy
? 46% Canada
? 46% Portugal
? 24% Ireland
? 21% Riviera Maya

Top Advisor Recommendations for Summer Travel

? 49% Canada
? 46% Portugal
? 44% Italy
? 24% Ireland
? 24% Spain

Advisors from TRAVELSAVERS Canada took the survey from April 22 to May 9, 2025. To discover more about TRAVELSAVERS Canada, please visit http://www.travelsavers.ca.