Most Brazilian tour operators fail to reach 25% of pre-pandemic average sales this year

RIO DE JANEIRO, BRAZIL – The Covid-19 pandemic impact on travel in the first half of 2021 caused 75% of Brazilian tour operators to handle less than a quarter of their pre-pandemic period bookings. The data were released by the Brazilian Association of Tour Operators (BRAZTOA) in its June sector report.

The Covid-19 pandemic had its most lethal period in Brazil in the first half of this year, when the number of victims jumped from 200,000 on January 7 to 518,000 in late June, a scenario driven by the spread of the Gamma variant in the country.

The most lethal months of the pandemic were March, April and May, when states and municipalities tightened restrictive measures in an attempt to curb the spread of the virus and reduce the number of victims, according to the report released on Tuesday, July 20.

Despite the health and economic crisis, the association assesses that the progress of vaccination and promotions announced in the period were decisive for travel sales.

The survey shows that from January through June this year, 22% of operators posted revenues higher or equal to the pre-pandemic period.

For the month of June, the study shows that 26% of operators were unable to handle any bookings, and only 25% reached at least half of the historical average bookings for the month.

BRAZTOA reports that Brazilian destinations with the highest demand are Porto de Galinhas, Gramado, Praia do Forte/Salvador, Maceió, Porto Seguro, and Rio de Janeiro.

In the international scope, Central America and the Caribbean continue to be the top sellers.

According to the tour operators association, sun and beach, luxury, and wellness itineraries are among travelers’ preferences, who have been looking for “a greater connection with nature, local communities, and self-awareness.”

Some 30% of the sector’s companies expect average revenues to rebound by the first half of 2022, while 22% are more optimistic and expect to return to pre-pandemic levels by the second half of 2021.

For 19%, sales should only normalize in 2023.