Sterling takes a pounding
The fallout from Brexit continues to grab the headlines and the decision poses huge challenges for the travel industry in particular. One of our clients recently explored the effects of the weakened pound on British holidaymakers. To craft the story, they used Citigate Dewe Rogerson’s trusted research team to analyse historic currency exchange rates on xe.com for Sterling’s rate against all foreign currencies. This was combined with consumer research of a 2,000 plus sample base to assess traveller sentiment following Brexit.
The research found that Brits get less for their travel money, with holidaymakers losing out £70 per £500 worth of US dollars compared to a year ago. In fact, 21 million people will change their travel plans this year as a result of the drop in pound and eight million plan to ‘staycation’ in the UK instead of ‘vacation’. Of all the destinations that Britons will find more expensive this summer, sterling will buy holidaymakers less in Australia and Norway in particular.
The story gained widespread media attention across broadcast, national, online and regional press. Tapping into a topical issue, highlighting the financial impact and importantly giving advice to consumers on a much confused topic, proved the recipe for success.
In the communications world, it’s important to take a step back from a political debate and look at how it will affect the individual, or in this case, the holiday maker. Columbus Direct was able to give holiday makers much needed advice on which holiday destinations could empty their pockets versus where they could visit to gain more bang for their buck. The findings were released at a time when people could be considering their holiday choices for the year.
In the coming months, the discussions will no doubt go on as to the knock on effect of Brexit on travel and tourism. The rich appetite for this research story has shown that consumers want to be armed with the knowledge on how they could potentially be affected and scenario plan for the different costs and efforts that will ultimately affect their future holiday plans.
Written by Katie Moran, Director