Solo Travel Is Booming, and Suppliers Are Responding

In the first of a three-part series about the growth of solo travel, Travel Market Report looks at new programs and pricing from suppliers.

More tour operators and cruise lines are offering attractive pricing and options for a market long overlooked and overcharged: the solo traveler. For travel agents, the offerings create an opportunity to tap a growing market and introduce new ideas to current clients.

One supplier courting solo travelers is Norwegian Cruise Lines (Norwegian). Last year, the cruise line introduced 128 Studio staterooms designed for solo passengers and priced without a single supplement on the Norwegian Epic.

Recently, Norwegian announced that Studio staterooms would be in the mix for the two ships scheduled for delivery in 2013 and 2014.

On the tour side, Abercrombie & Kent earlier this year launched Solo Savings departures, which either waive the single supplement or reduce it by up to 75%. The savings are available on over 30 departures on 13 programs.

And last week, Grand Circle Corp. announced free or reduced single supplements for all its 2012 Overseas Adventure Travel Small Ship Adventures. It also reduced single supplements on its Grand Circle Travel European river cruises.

Insight Vacations is considering developing new pricing and options for solo travelers in its programs for 2013, according to Insight president Marc Kazlauskas.

“Our solo travelers are up 10% this year over last,” he said.

Solo market growing
So far the new deals for solo travelers appear to be paying off, indicating a healthy market opportunity for suppliers and agents alike.

“The Studios are one of the most popular stateroom categories to sell out – second only to our suites and villas,” said NCL spokeswoman Amanda Graham. “We find they are attracting a wide variety of cruisers, from solo travelers of all ages to friends traveling together who still want their own private space.”

According to Graham, Norwegian introduced the Studios based on research showing that only 5% of the estimated 35 million adults who take solo vacations were taking a cruise. “So the growth potential for this market is huge.”

At Abercrombie & Kent, business from solo travelers has already increased this year, going from 10% of all bookings to 15%, according to spokeswoman Jill Fawcett.

Traveler profile
Perhaps surprisingly, many of the customers opting for the tour operators’ Solo Savings departures are not single.

“Often they are married or have partners, but the spouses don’t share the same interest,” Fawcett said. “They want to travel with like-minded people and the small group gives them some interaction. Then they go back to the privacy of their own room.”

Adventurous women
Demand from solo travelers is highest for programs that are adventure-oriented or that feature exotic destinations, according to Fawcett.

“For instance, 25% of people who opt for our Extreme Adventure series are solo travelers,” she said. “People feel a little more secure in a group if the destination is intimidating or there’s a language barrier.”

Women are a growing force in the solo travel market, according to Alan Lewis, chairman of Grand Circle Corp., where the solo market has grown from about 20% to 25% of overall bookings during the past five years.

“More than nine out of 10 [solo travelers] who book with us are women,” he said. “Women are no longer hesitant to travel alone and within a group. The stigma of traveling alone has long been gone, and tours are no longer just about couples.”

While noting the trend for more solo travelers, Mike Schields, director of group sales for Globus, said he didn’t see “an avalanche or a flood.”

Tour firm Cosmos, one of Globus’ brands, does offer a program to match up solo travelers with roommates and also waives or reduces single supplements on some tours.

Coming up: How agents can cash in on the growth in solo travel, plus a closer look at what cruise lines are doing to accommodate solo travelers.