Pull out your wallet once and done. It seems logical that guests staying at a resort would rather not have to produce a credit card every time they order a frozen daiquiri. But for years, this has not been the case, and still is not—unless it's an all-inclusive property, which includes services and meals that are not paid for piecemeal.
It's a space that consumers are now more curious about, according to results from a newly released study commissioned by Wyndham Hotels & Resorts and conducted by OnePoll.
The survey found that 75 percent of travelers believe the best way to travel is to book an all-inclusive trip and 77 percent believe that an all-inclusive vacation is the least stressful way to travel.
With many Americans now working remotely at least part of the time, travel plans are also shifting with workers' newfound flexibility. Based on the data, 65 percent of working travelers plan to take a working vacation in 2022, and among these respondents, all-inclusive resorts were the top-desired destination. Sixty-two percent of respondents said that the beach is their top anticipated destination this year, with three in five agreeing that Mexico is a top choice for their next vacation.
Last fall, Wyndham formed an alliance with Playa Hotels & Resorts and unveiled a new all-inclusive resort brand, Wyndham Alltra. The first two resorts in the Wyndham Alltra collection are the 458-room Wyndham Alltra Cancun and the adults-only 287-room Wyndham Alltra Playa del Carmen, which both opened in Mexico in December. The brand plans to develop additional upper-midscale, all-inclusive Wyndham Alltra resorts in the Caribbean and other resort destinations.
According to the study, the top five things travelers look for when planning a vacation included:
- All-inclusive packages: 44 percent.
- Beach access: 44 percent.
- High-quality restaurants: 44 percent.
- Local culture: 43 percent.
- Excursions/activities: 43 percent.
Two-thirds of parents surveyed citing interest in booking an all-inclusive vacation.
"With an increase in daily work and family stress in the past two years, we're seeing demand for simple, stress-free vacations," said Scott LePage, president, Americas at Wyndham Hotels & Resorts.
All-Inclusive Rise
The all-inclusive segment has seen substantial investment in recent years and months. In November, Hyatt Hotels Corp. completed the acquisition of Apple Leisure Group from affiliates of KKR and KSL Capital Partners for $2.7 billion in cash. The deal saw Hyatt double its global resorts footprint through the addition of the AMR Collection brand portfolio, which includes around 100 hotels and resorts operating in 10 countries, as well as a pipeline of 24 executed deals in the Americas and Europe.
In a statement at the time of the closing, Mark Hoplamazian, CEO of Hyatt, noted the company’s interest in all-inclusive development. “We are ideally positioned to capture the significant and rising demand for leisure travel,” he said at the time.
Last month, Covivio sold the all-inclusive Club Med Grand Massif in Samoëns, France, for €125 million to Perial Asset Management.
Also in November, the Sani/Ikos Group announced plans to open the all-inclusive Ikos Cortesia in 2024, investing €140 million in the project. The new property will have 448 rooms, suites, bungalows and villas. The company also acquired the former Club Med in Corfu, Greece.
With numbers like these, it is easy to see the value in the all-inclusive segment. Real estate investment trusts and hotel companies are investing heavily in the sector, especially as leisure continues to dominate.
Wyndham's survey illustrates customer appetite for all-inclusive experiences, a signal to investors and developers that the customer is always right.