Where is the travel sector headed? A talk with UN Tourism

MAWDY, the assistance division of the MAPFRE group, focuses primarily on travel assistance. Operating in 23 countries, it provides solutions and services to support travelers before, during, and after their journeys. As part of MAPFRE, MAWDY is an affiliated member of UN Tourism, working to enhance tourist safety and trust.

Following the COVID-19 pause, the number of international travelers has steadily increased year by year, with many regions around the world already surpassing pre-pandemic levels. What are the projections from UN Tourism?

“Indeed, we can confidently say that tourism is experiencing a period of strong dynamism,” says Ion Vîlcu, who believes 2024 will mark the full recovery point. However, this won’t simply be a return to normal, as it will bring new trends and shifts in consumer demands, expectations, and behaviors. Despite the recovery, challenges such as geopolitical conflicts and the climate crisis will continue to affect the sector in the years ahead.

One of the trends that is here to stay is the growing awareness among travelers about their safety. “People are increasingly seeking to travel with protection,” notes Leire Jiménez, who believes that the rise in travel insurance is not just due to the pandemic, but also the visibility of travel incidents, such as health issues, on social media and in the media.

UN Tourism also observes this concern, not only from consumers but also from public authorities, who aim to uphold the reputation of their destinations as safe places.

Moreover, Ion Vîlcu argues that this heightened demand for protection is part of a broader shift: travelers are now seeking experiences, not just tourist products. “And in that blend of factors that make up a true experience, feeling secure, avoiding the unexpected, and having a positive outcome are crucial,” explains the UN Tourism executive.

The head of UN Tourism says that “the only way to build a sustainable future for tourism is through public-private collaboration,” a crucial lesson the pandemic taught the sector. Ion Vîlcu emphasizes the importance of aligning on long-term strategic objectives, with the private sector involved in the discussion. Public authorities may focus on the impact of tourism and employment, while businesses prioritize the development and viability of their operations. However, it is the collaboration between both sectors that enables destinations to “establish strong foundations from the outset.”

UN Tourism also acknowledges the need for a fair distribution of costs and risks, as the implementation of sustainability measures, for instance, carries an impact that should be shared. In this context, Ion Vîlcu believes the public sector should contribute investment, while the private sector brings innovation and expertise.

Leire Jiménez highlights the “constant dynamism” of the tourism sector, which “must continually reinvent, improve, and innovate, as customers are becoming more demanding.”

Tools like Big Data analysis and AI will be crucial for staying aligned with tourist preferences, particularly in addressing sustainability concerns, according to Ion Vîlcu. This requires both information and technological tools that not only meet travelers’ needs but also enable businesses and public authorities to track these trends.

One of the challenges, as noted by MAWDY’s CEO, is ensuring these advancements do not “erode the human element,” which is so central to the tourism industry.

At UN Tourism, sustainability is viewed not only in environmental terms but also from a social perspective, which “goes hand in hand with a local community that feels tourism benefits it.” “If a local community sees tourism flows as an invasion and feels that the success of tourism is ultimately harming it, no measures will succeed in the long run,” says Ion Vîlcu.

Achieving the positive impact of tourism requires including the local business community, as they possess “the sensitivity, expertise, and technological capacity to assist governments in designing strategies.” For this reason, the UN agency sees a “window of opportunity,” as governments have “never been more aware of the importance of the private sector in modernizing and adapting tourism.”

As the CEO explains, MAWDY’s primary markets are Europe and Latin America. While Europe is a well-established tourism market, Latin America is still growing, with “enormous potential.”

The UN Tourism executive also views Latin America as “well-positioned,” particularly in a context where there is a strong demand for authentic experiences, and the region is known for its nature, local culture, habits, and cuisine. However, additional investment is still needed in these countries to ensure that their growth is accompanied by infrastructure and service development.

“Investments go together with building trust among investors and international tourists. This is where companies like MAPFRE can play a significant role,” says Ion Vîlcu.

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