Gen Z is skewed towards challenge travelling while Millennials prefer the comfort option
by AUFA MARDHIAH
DESPITE the global shift towards comfort travelling, Malaysia’s tourism industry is gearing up for the influx of challenge travellers from both local and foreign tourists as emerging data shows that the Malaysian market is contradicting the international trend.
Tourism has been put on a reset by Covid-19 lockdowns and while arrival is slowly recovering since April, a new trend emerges where the new generation of travellers are spending more prudently while maintaining a cautious approach with regard to hygiene and privacy.
By definition, “comfort travel” means encountering all that the real world has to offer with an added degree of familiarity and well, comfort. On the other hand, “challenge travel” is going through the same offering but involves faraway places and unaccustomed experiences.
The new trend of gourmet meals served in amazing Instagrammable locations such as paddy fields at Ninja Private Kitchen Sekinchan (Source: Ninja Private Kitchen Sekinchan’s FB)
According to OYO’s country head for Malaysia and Singapore Tan Ming Luk, tourists are generally categorised by age group and within these generations of interest, Gen Z is skewed towards challenge travelling while Millennials preferred the comfort option.
“Gen Z is growing up as a globally aware generation, conscious of their responsibility towards the environment and society. They believe that tourism (should) benefits local communities, and are also aware of the personal benefits of travel, such as understanding other cultures and building life experiences and self-confidence.
“As such, those in Gen Z, are happy to mix budget and luxury experiences for self-reward or when set against the cost of cheaper modes of transport, although some 30% are likely to choose a budget hotel,” Tan said to The Malaysian Reserve (TMR).
He added that while the recent pandemic affected travellers and their plans worldwide, Gen Zs appear to be more resilient to the challenges the pandemic has caused.
“For instance, people in other cohorts choose isolated lodging, less crowded destinations and local destinations.
“Unlike Millennials who want to mix business and pleasure, Gen Z is more interested in enjoying their vacation in a unique way. This could mean climbing Mount Kinabalu or embarking on a community project like building homes for the Orang Asli in Malaysia,” he explained.
On that note, Tan said social travel — another subset of challenge travelling — is a trend that is on the rise as more and more solo travellers around the world seek to meet new people (locals) and engage with different cultures of the world.
“Nearly half of Gen Zs seek authentic experiences that are representative of local culture. This can only be achieved by living, eating and traveling like the locals,” he said.
On the reason why some travellers are still opting for comfort options, he stated that the pandemic has brought about massive shifts in consumer behaviour, thus accelerating the way small and medium hotel businesses operate leading to a slew of pioneering technologies and higher-tech adoption, which will further shape the future of hospitality.
“What we are seeing is that when customers are travelling, they are doing so via their own transport — staying away from public transport including trains and airplanes. We are seeing a trend where hotels in the city or ones where you can access via your own cars or bikes within 45 minutes to an hour are doing well.
“Customers are also not experimenting, two-thirds of OYO’s customers in South-East-Asia are repeat customers, with 70% of those staying in the same OYO hotels they have stayed in previously. Customers trust us. They know they can expect a certain standard of quality at an OYO Hotel.
“In the past, people looked at properties near airports, central business districts and in some instances, beaches. Now, they are looking for clean, hygienic and contactless properties,” he highlighted to TMR.
“Regardless of which travel preference you choose for your holiday plan, one man’s comfort travel could also be another man’s challenging travel and vice versa.
“This is because there are days when you want to be pampered and there are times when you are game for new experiences in a more challenging and robust environment. The popularity of either is an individual choice and preference,” he added.
The Umah Temuan in Serendah, Selangor, offers high-pitched roofs, locally-sourced atap bertam and bamboo wall panel weaving to cultivate understanding and appreciation for the Orang Asli’s culture and heritage (Source: Umah Temuan)
According to VIP Pass Holidays (M) Sdn Bhd CEO Sandeep S Grewal, more tourists are looking at challenge travelling as their preferred mode as they are more concerned about budget constraints.
He revealed that his company gets about half a million-ringgit worth of bookings monthly where people are more budget conscious and opted for a close-by vacation destination.
“Due to budget issues, people tend to take vacations near their residences to save on transportation costs as flights and petrol costs have skyrocketed. In today’s Instagram age, we can sacrifice on destination but not the experience.”
Nonetheless, comfort is still prioritised by tourists as most of them would pick comfort options from various discounted deals in the market.
“There are many comfort options at great budget price points such as 5-star hotels doing weekday family activities to fill up their unused weekday rooms. Some have come up with a ‘late check-out, early check-in’ with breakfast options whereby you pay for one night but get two full days in the hotel,” added Sandeep.
He also noted that one of the interesting innovations that have popped up is private dining venues where some hotels have converted their hotel rooms to private dining rooms, as well as the new trend of gourmet meals served in amazing Instagrammable locations such as paddy fields (Ninja Private Kitchen Sekinchan in Selangor) or places of nature (Jeff’s Cellar at The Banjaran Hotsprings Retreat, in Ipoh, Perak).
BuddyBackpackers co-founder Muhammad Nazrin Ismail opined that the difference between both options is in the travel experience as one is more relaxed and the other is more thrilling.
“Usually, people prefer comfort travel when they travel with big families. When they bring their parents and people who are much older than them, the tour is more organised and everything is well planned with advance bookings with also great customer service and luxury hotels.
“As for challenge travel, it is more adventurous and more popular among the younger generation who wants to experience traveling with a tight budget and get the maximum travel satisfaction. They save a lot when they do things on their own such as cooking, exploring public transport with a flexible itinerary, as well as staying at homestays,” said Muhammad Nazrin.
On BuddyBackpackers customers’ choice between both options, he said that challenge travel is their top pick due to their target market (clients under 35 years old).
“Usually, our clients choose to travel like locals and commute using public transportation such as train and buses. They also like to travel with a lesser crowd and enjoy ample time strolling around the city.
“When they travel as backpackers, they get to meet a lot of locals and able to enjoy the diversity of cultures during the trip,” he further added.
On a separate note, Tourism Malaysia said the local players should strive to re-invent and transform the tourism industy to remain competitive.
“There are signs that Malaysia’s tourism industry is stuck in a comfort zone. Existing tourism products are becoming tired and unattractive due to the lack of creativity and innovation, resulting from over-dependence on the government and a silo mentality.
“The inability to harness a service culture has resulted in a real or perceived deterioration in service quality in comparison to our Asean neighbours,” it said in the National Tourism Policy 2020-2030 report.
According to the agency, poor destination management has led to unsustainable physical development and negative tourist experience.
“An over-reliance on traditional marketing and promotion has left Malaysia behind in terms of embracing ‘Smart Tourism’. Hence, the need to re-invent and transform the industry to remain competitive,” Tourism Malaysia said.
On challenge travel, Tourism Malaysia also aims to position suitable destinations in Malaysia as the capital of adventure tourism in response to discerning tourist demand for exciting, challenging and life-changing experiences.
- This article first appeared in The Malaysian Reserve weekly print edition