Travel industry – A slow and cautious recovery

Posted on 08/08/2020, Teodora Stojšin

The travel industry has been hit hard for much of the first half of 2020. As a result, there has been plenty of conjecture and speculation as to how the rest of the year would play out. Understandably, the situation is unpredictable and rather difficult to interpret at present but some of the data available appears to suggest that things are beginning to improve.

A resumption of flights

According to the Official Airline Guide, the majority of recovering flights are in domestic markets (approximately 90%), while international flights remain highly limited due to travel restrictions. The volumes of scheduled flights are reflecting airline confidence in travel recovery and increasing flow between countries as they reopen their borders.

Scheduled flights grew 43% from April (low point) to July.

Kiwi.com – stronger than its competitors

 

The global pandemic and subsequent lockdown we have all experienced has been a huge challenge for us all. Within Kiwi.com, it required many adjustments and rapid changes. With data from third-party payment platforms comparing travel providers, our company can be seen to be recovering faster, mainly in Europe and Asia (see the graph above).

As you can see from the graph below, the Virtual Interlining (VI) itineraries that we sell are more popular in times of reduced supply and offer Kiwi.com a competitive advantage. Thanks to VI itineraries, we are providing greater flexibility to our customers who need to get from A to B but can’t find the appropriate connections via traditional itineraries.

 

The secret to Kiwi.com’s lasting success

Thanks to the many previous profitable years of our business, we are confident that Kiwi.com will not only survive these unprecedented times but go on to reshape the travel industry in the future years to come. This belief comes from our global presence, the innovations we continue to bring to the industry, as well as the low-cost value-for-money, offers we bring to our customers. Incredibly, we never ceased hiring during the pandemic and we have even managed to create a Phantom Stock Scheme for our employees. This scheme will allow Kiwis to earn without investing any additional capital or giving up any bonuses or salary raises.

 

Would you like to be part of Kiwi.com journey in becoming leaders of the travel industry? Check our open positions and other benefits that Kiwi.com offers and don’t hesitate to apply.

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