Travel Outlook: Labor Day 2022

Labor Day is one of the busiest U.S. holidays, with active families and busy professionals all keen to soak up the last of the summer travel season. No matter which travelers you’re targeting, or what your ROI goals this September, the travel industry experts at Koddi have the latest data to keep savvy hoteliers and travel marketers in the know.

 

Demand Overview

While overall demand is up 5% YoY in August 2022 MTD, we’ve seen demand increase 16% YoY for Labor Day weekend check-ins in June and July. In the past two weeks, Labor Day hotel demand has climbed 100% compared to the two weeks prior, as we get closer to the holiday, and is increasing at a similar rate compared to 2021. This indicates a strong interest in Labor Day stays and an opportunity to capitalize on Labor Day demand.

Luxury and resort brands have seen the highest improvement in demand YoY with +29% growth in August, while extended stay hotels have also seen a +13% increase in demand YoY. Demand for full-service brands has seen a smaller 3% YoY increase in August, but limited-service brands have lagged behind the growth seen in other brand segments.

Most destinations with high overall demand are seeing strong YoY increases in demand for Labor Day, but certain destinations like New Orleans, Denver, and Savannah are seeing reduced demand YoY.

There’s a general trend expressing travelers have increased interest in urban destinations in 2022, as opposed to the previously popular outdoor destinations like Denver, Colorado Springs, Anchorage, and Chattanooga. Travel to continental destinations in Canada has also seen major demand increases; Toronto, Montreal, and Niagara Falls are enjoying +100% overall demand.

 

How to Leverage These Trends for Your Campaigns

Data is great, but how should hoteliers apply it to their Labor Day marketing strategy? With a few key considerations and strategic adjustments, marketers can hit consumers wherever they’re searching to capture maximum demand.

Take a look at some of Koddi’s proven best practices:

Market Approach

      • Focus on urban destinations, mid-sized US cities, and destinations in Canada
      • Adopt a market-focused strategy since 2021 market trends won’t necessarily hold true in 2022

Meet Travelers Where They Are

      • Mobile demand has seen the most growth YoY; it’s important to target this segment leading up to the holiday weekend

Sponsored Placements

      • Deploy additional dollars toward direct sponsored tactics after maximizing metasearch (Google Property Promotion Ads, TripAdvisor Sponsored Placements, Kayak Sponsored Listings, or Trivago Sponsored Listings)
      • With more travelers shopping on mobile, it’s important to invest on mobile in 2022
      • Create a Booking Network Sponsored Ad campaign that specifically targets Labor Day travelers
      • Maximize exposure on Expedia Travel Ads for weekend travelers in the weeks leading up to the holiday

 

In conclusion, Labor Day wraps up summer, typically the biggest travel period of the year. Hoteliers need to capitalize on demand to finish out the season with a strong return, and Koddi is happy to help clients and partners adjust their strategies to drive increased bookings and revenue.

Reach out today to get started optimizing your Labor Day strategy with expert insights from Koddi’s leading analysts.