I have a background in wealth management, and my tendency is to run my travel consultancy in much the same way as I ran my wealth management practice in my former life. It’s like muscle memory, or a reflex at this point. But I also know my approach stems from operating a travel business in an era of great turbulence in the world.
For me, being a travel advisor is not just about planning expensive, high-end trips for milestone occasions, or helping busy, successful families and jet setters who love to travel. It’s also about providing sound and responsible investment advice to my clients, with the investment being their time and money. I have a responsibility to look after them and provide prudent guidance so that they can make good decisions about their travel choices.
So, what does that look like exactly? It means making sure of two things:
Your travel investment is in line with your travel goals, experience wishes, and risk tolerance.
Your travel investment is protected to the greatest extent possible.
During a consultation session, I find out as much as I can about a client and their trip. We examine not only their ideas about where they want to go and what they want to do, but also the tangible and intangible factors that will go into planning the experience. Things such as budget and time are the obvious facts we must have, but we also must look at personal factors and the motivations behind the experience that come into play, and that are just as important. This is very much akin to a needs analysis or portfolio analysis in my former life.
I am also very much aware that for most of my clients, time is the ultimate luxury. It is often the most precious part of the whole investment. It is the travel advisor version of the retirement “nest egg”, if you will. This is why it is very important to understand how a client feels about risk/reward when it comes to their time investment.
Here is an example to illustrate:
A client’s itinerary has 4 days budgeted in Paris, a city they have never visited. It is the era of COVID 19. Lines and wait times for major sites and museums will be significant due to social distancing protocols and capacity control. Does the client want to spend extra money for private after-hours tours and save TIME, or does the client wish to spend extra time standing in line and see fewer sites but save MONEY? These are the important things we have to know.
I have mentioned this before, but I will say it again. We cannot predict travel interruptions any more than a wealth manager can predict market interruptions. But unlike financial investing, we do have insurance that can provide a level of security for both your time AND financial travel investment. If something unexpected happens, all is not lost if you have the proper protection in place.
So, here comes the good stuff. These are the recommendations I’m giving my clients going forward for the remainder of the year, and that you too can use to act on as we navigate these waters together over the coming months.
1. Stay close to home this summer.
Why: We get news weekly about changes to policies around the world. Even our top contacts can’t tell us with certainty if our clients will be able to visit overseas countries this summer, and if you do the government where you are may require masks in all common areas at resorts. Domestic travel isn’t sexy, but it’s low-risk. And frankly, wearing a mask at a beach anywhere isn’t sexy either.
2. If you must travel beyond American borders, wait till our winter.
Why: There will be a greater chance that foreign nations will have opened their borders to Americans so there will be less risk of having to reschedule OR spend your precious vacation time under a government-mandated quarantine when you land. However, be mindful of and prepared for the winter/fall COVID surge that is predicted for cold and flu season. Though a vaccine is unlikely, there is a better probability of proven go-to-market therapeutic treatments for the disease.
3. Domestic travel sounds boring and international travel too much of a risk? SAVE YOUR MONEY. Go next year.
Why: Don’t waste it on a trip that doesn’t fit your goals and risk tolerance (see #1 above). Start saving now for a bigger, better 2021. Open a 6 or 9-month CD to deter you from spending what you had already earmarked. Or better yet, put your money on account with your travel advisor to be applied toward your 2021 travel.
4. Do not travel without insurance.
Why: Even if you rent your favorite beach house this summer, you never know if a governor or a new administration will close the beaches where you are due to a COVID outbreak. Out of nowhere, your beach break becomes a bust. Insure it.
5. Don’t wait!
Why: People are antsy and demand is already bubbling. I am finding that a lot of dates for private tour options for the summer of 2021 are already sold out. The pent up demand to reward ourselves with travel, particularly for those who love to do so, will cause availability to be scarce. Anyone tried booking an appointment to get your hair done lately? Book now. Reserve now. Travel later. You’ll be glad that you did.
Lastly, don’t give up! There is always a new day and a new opportunity to do and be better. I encourage you to reconnect to yourself and to others through travel. It is the best classroom money can buy.
Stay safe and be well!
Rachel
