The Resurgence of Travel Agencies: A Post-Pandemic Trend in Canada

As travel demand surges following the COVID-19 pandemic, many Canadians are returning to travel agencies for assistance in planning their getaways.

This shift reflects a broader trend across the nation, where pent-up demand for travel is leading individuals to seek professional guidance to navigate the complexities of modern travel.

Recent statistics reveal a remarkable recovery for the travel industry.

As Open Jaw previously reported, in 2023, operating revenues for Canadian travel agencies reached approximately $2.79 billion, surpassing pre-pandemic levels of $2.5 billion in 2019.

ACTA’s latest State of the Industry report says Canada’s retail travel industry saw impressive 12% revenue growth to $2.8 billion in 2023 compared to 2019, “surpassing pre-pandemic levels and showcasing the sector’s vital role in Canada’s economic recovery.”

The allure of DIY booking has diminished as the intricacies of travel have grown more daunting. Nurudeen Assaf, owner of London-based Travel Genuine, points out the process has become increasingly complicated, laden with hidden exclusions and numerous regulations. With new requirements such as the electronic travel authorization (ETA) for Canadians visiting the UK, the importance of having expert assistance has never been clearer.

Assaf argues that while hiring a travel agent comes with a cost, navigating the myriad of airline policies, entry requirements, and insurance options independently can lead to unexpected expenses.

Ann Hoskings, owner of Budget Travel Warehouse, echoes Assaf’s sentiment, noting that 2023 was a robust year for her business as well. However, she cautions against reading too much into the numbers, suggesting that the heightened interest in travel may not be sustainable.

The types of trips Canadians are booking have also evolved. According to Statistics Canada, there has been a marked increase in interest in international tour and cruise packages, which now account for 40 per cent of agency revenue, up from 32 per cent in 2019.

Assaf has noticed a rise in requests for less traditional destinations, including Tunisia, Thailand, and the Dutch Caribbean islands of Aruba and Curaçao. This diversification in travel preferences underscores a broader willingness among Canadians to step outside their comfort zones and explore new cultures.

As today’s announcement of the demise of Play Airlines in Canada indicates, in a world where travel has become increasingly intricate, many are finding that professional guidance and expertise are invaluable assets.