Price Sensitivity, Not Panic
Political volatility isn’t canceling trips for luxury travelers, but inflation and rate unpredictability are prompting them to reconsider their value.
The luxury consumer will still spend—but not blindly. Brands can retain share by transparently communicating pricing, policy flexibility, and the comparative value of their offering in a volatile economy. Clarity, flexibility, and confidence-building content are essential.
Quote from the Tribe:
"I’m not worried about getting there or being safe. I am thinking more about cost, though. Lots of unknowns right now.”
Commercial Takeaway:
Replace generic concern with solutions. Frame flexible policies, transparent tier pricing, and on-demand customer support as differentiators in rate explanations. Travelers want to understand why the premium rate is justified during times of political uncertainty.
Message us to discuss how your approach compares.
About the MODIV Tribes Series
Since 2022, MODIV’s always-on Mindset® study has engaged more than 48,000 frequent travelers across 25 countries. Our mission: decode the why behind traveler behavior—so travel and hospitality brands can act smarter, faster, and with greater commercial precision.
Our Tribes series distills what hospitality leaders need to know—direct from the source. Each quarter, we engage Business Travelers, Luxury Travelers, Zillennials, and Meeting Planners through our proprietary Mindset® study, then translate what we hear into strategic insights you can use.
This isn't one-and-done research. Each week, we go back to a tribe to test sharper questions based on what you tell us you need to know. Got a question you want answered? We invite you to add your voice in the comments or reach out directly.
About the Luxury Travel Tribe
This study reflects insights based on a blended qualitative and quantitative session with 87 travelers from 9 countries who are high-net-worth and prioritize luxury hotel brands and ADRs.
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