Tour operator revenues in Brazil up in July; Northeast remains most popular destination

RIO DE JANEIRO, BRAZIL – Gramado, Salvador, and Fortaleza were the top performers in domestic sales in July, according to a survey by the Brazilian Association of Tour Operators (Braztoa).

According to data released Tuesday (17) by the Brazilian Association of Tour Operators (Braztoa), Brazilian tour operators recorded an increase in revenues in July this year compared to June.

According to the association’s survey of its members, 25% of respondents recorded settlements between 51% and 75% of the value recorded in July 2019. In June, this percentage was 15% in the same comparative model. In addition, the survey found that 44% of respondents recorded up to 25% of pre-pandemic sales. In June, this percentage was 52%.

Braztoa also pointed out that 91% of members made domestic sales this month. More than half of all sales were for travel in the same month or the next. Already 94% of members made out-of-state sales this month. A large portion of the international sales was for travel between September and December of this year.

Marina Figueiredo, vice president of Braztoa, said the sector has managed to resume operations but that the reduced flight network is still a problem. “We still have some destinations that are not as easy to reach or not as cheap as before,” she said during the presentation.

The national airlines recorded an average of 1,680 departures per day in early August, representing 70% of the number of flights in early March 2020, before the severe impact of the Covid 19 pandemic on the sector. The data were released Monday (16) by the Brazilian Airline Association (Abear) based on data from the National Civil Aviation Authority (Anac).

Braztoa also said that 86.5% of members cited the destination’s opening as a key factor for sales. The second most important factor (78.79%) is up-to-date information on the status of the pandemic at the destination. The customer must be vaccinated, and 75% of respondents cited flexibility in payment as fundamental.

The Northeast claimed the lead among the regions of Brazil most sought after by tourists. Second place went to the South region. In Braztoa’s monthly survey, the Northeast region also led the interest of Brazilian tourists.

Cancun remained the leader in the international market, which still faces many border restrictions. The region is a popular destination for tourists who quarantine and then enter the United States. It was followed by the Maldives, Punta Cana (Dominican Republic), and Dubai.

Frederico Levy, vice president of Braztoa, pointed out that international sales occur in regions where Brazilians can enter. However, he said that there are favorable travel opportunities in countries that are closed today in the medium term. “There is an expectation that it will be opened. So there is the possibility of negotiating good conditions with hotels, for example. In case of non-opening, there is a very flexible policy,” he said.

Levy also pointed out that tourists have focused on resorts, travel to regions with beaches and the luxury market.

The luxury segment has been favored in the domestic market, as the traditional destinations for this audience (United States, Europe, and Asia) are still barriers to entry for travelers.