Economic uncertainty clouds analysts’ outlook for travel | Tech US News

[ad_1]

What is the outlook for the travel industry from Wall Street analysts?

Naved Khan, senior analyst at Truist Securities, says “the question we keep asking ourselves as analysts is, ‘What do you think growth looks like in ’23, with everything going on at the macro level?'”

Due to economic conditions, consumers could reduce their trips, for example, from five-star hotels to four stars and from five or seven nights to three or four, Khan says during the Phocuswright Conference Executive Panel: Street Talk.

Mark Mahaney, Evercore’s senior managing director, says that as the economy slows, “the only part of consumer discretionary spending that’s holding up is travel, and I expect it to continue to hold up.”

But the shrinking workforce in 2023 could lead to the unemployed canceling their vacations, Mahaney adds.

Lloyd Walmsley, managing director of UBS, says the investment community is worried about what will happen, especially in Europe, in 2023.

Booking.com is well positioned for a slowdown, but because much of Booking’s business comes from Europe, it could be hurt if that continent suffers an economic blow, according to Walmsley.

“We’re in this phase where we’ve gone from … recovery stories to questions about, ‘What does normalized growth look like?'” he continues.

“As for this it’s, ‘What about traveling in a recession?'”

Watch the entire conversation moderated by Charuta Fadnis, senior vice president of research and product strategy at Phocuswright, in the video below.

Executive panel: Street Talk – The Phocuswright Conference

[ad_2]

Source link

Please disable your adblocker or whitelist this site!