Allianz’s Canadian Winter Vacation Confidence Index, back for its sixth annual edition, pegs Canadians’ vacation spending at $14.3 billion for 2023.

That would surpass the pre-pandemic high recorded in Allianz’s 2019 survey.

The Winter Vacation Confidence Index study is conducted by Ipsos for Allianz Global Assistance.

Four in 10 Canadians (43%) plan to escape the cold weather and take a vacation this winter, up from 32% in 2021-2022, according to the survey.

“With travel volume snipping at the heels of pre-pandemic levels, an overwhelming majority – 84% – of travellers feel they desperately need a vacation this year,” said Dan Keon, Vice President, Marketing & Insights at Allianz Global Assistance Canada. “A major driver of this ongoing travel come back is the continued desire for revenge travel, with half of Canadians intending to unapologetically makeup for lost vacation time that was postponed due to the pandemic.”

Despite rising travel costs, over half of travellers surveyed say they will be using their pandemic savings on a vacation this year. The average anticipated winter vacation spend has increased by 20% to $3,193 since 2021.

While pent-up demand is driving up spending, financial worries may be tempering the increase as 57% of travellers say they will be scaling back vacation plans this year due to inflationary pressures.

Looking ahead to the next twelve months, six in 10 Canadians are confident they will take a holiday – up eight points since last year, but still shy of pre-pandemic levels. Continued concerns about the possibility of COVID-19 impacting travel plans is a likely contributor, as expressed by six out of 10 respondents.

With both financial and pandemic considerations impacting travellers, Allianz Global Assistance is reminding travellers to plan ahead with travel insurance to protect their travel investments and themselves on their next trip.

“The pandemic has continued to expose the unpredictability of travel and the peace of mind travel protection can bring, as shown by the 74% of Canadians who think travel insurance is equally or more important than before the pandemic,” adds Keon.

“As Canadians continue to increase their vacation confidence and venture beyond our borders, we remain committed to being with them every step of the way and ready to help them in the moments that matter most with valued-added travel insurance and assistance services.”

More insights from the sixth annual Allianz Global Assistance Canada Winter Vacation Confidence Index Survey include:

• After dipping during the pandemic, 69% of Canadians are exhibiting renewed attitudes on the importance of an annual vacation (up six points since 2021)
• Out of those who find annual vacations important, 79% are confident they will take one in the next year
• Younger Canadians aged 18-34 are leading the resurgence in winter travel (55%), while those aged 55+ are much less likely to travel (30%)
• About one half (57%) of travellers say they’re scaling back their vacation plans this year and 37% say they can’t really afford a vacation this year

Source: Travelweek