Americans will spend a record $100 billion on summer vacations in 2014, up 20% from the amount spent in 2013, according to the fifth annual Allianz Travel Insurance Vacation Confidence Index.
The survey shows that 2014 will be a banner year for the travel industry, with more respondents saying they are confident they’ll take a vacation and will spend more.
Summer vacations appear to be back on track as more than half (52%) of Americans say they’re confident they’ll take a summer vacation this year, up 5 points from 2013. As more Americans hit the road, they’ll also be loosening their purse strings, as the average vacationer intends to spend $1,894 on the family vacation, up $139 (8%) from last year’s $1,755. With more Americans intending to travel and spending more, the travel industry will benefit from an increase of $18 billion (20%) over what vacationers spent in 2013 ($82 billion). For travel marketers, the sweet spot appears to be travelers aged 35-54 who will spend the most on their vacation ($2,359), followed by those aged 55+ ($1,733) and those aged 18-34 ($1,411).
The survey also reported that the country’s “Vacation Deficit” has eased. The Vacation Deficit is the percentage of Americans who think that a vacation is important but are not confident they’ll be able to take one. The survey found that one in five (21%) Americans are facing a Vacation Deficit, down three points from last year’s 24%. Also, fewer Americans report they’re vacation deprived, as four in ten (39%) say they haven’t had a vacation in more than two years, down 5 points from 2013.
Travel insurance is also on the mind of many travelers as half of Americans (49%) said that recent global events have caused them to consider purchasing travel insurance for future foreign travel. One in three (34%) respondents said they have already purchased travel insurance for a trip abroad.
The Vacation Confidence Index has been conducted each summer since 2010 by national polling firm Ipsos Public Affairs on behalf of Allianz Global Assistance USA. A vacation is defined as a trip of at least a week to a spot that is more than 100 miles from home.