‘Revenge travel’: Last year’s hot vax summer didn’t pan out, but Gen Z is ready to hit the road

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Share this email Share this email on LinkedIn   Share this email on Twitter   Share this email on Facebook   CURATED READS FOR GEN Z—AND THEIR Z-CURIOUS COLLEAGUES Subscribe Click to get this newsletter weekly first up Welcome back—this week, we're talking about vacations. Bon voyage, everyone. Grab your passport, your noise-canceling headphones, and your bucket hats: the second coming of "revenge travel" is upon us. These lavish vacays, taken to avenge travelers' canceled pandemic-era trips, are filling up airports, hotels, and attractions with people eager to spend on once-in-a-lifetime trips.  While jet-setters coined the term in the past few years, revenge travel is seeing even stronger projections for 2022. A renewed focus on customer experience could also bring back some of the magic of travel. That's a relief for airline execs: the industry suffered major financial losses in 2020—an estimated $168 billion—and flights aren't expected to rebound to 2019 levels until 2024. Business travel may never return to what it once was, as digital workspaces and video calls are eclipsing the need to fly to collaborate.   One area that wasn't hurting: air cargo airlines, aka the people delivering your new low-rise jeans (they're back). Online commerce spurred an increased demand for air delivery that's still strong.  But while you're sipping Dirty Shirleys (or a fabulous mocktail) or trying to win a lottery to hike in a national park, don't forget travel's impact on the environment. Aircraft emissions prepandemic accounted for up to 2.5 percent of all emissions worldwide.   Cutting down on those emissions will be important to reaching net-zero goals. Some of that's in customers' hands: travelers still prioritize price over sustainability, but many would pay a little more for carbon-neutral tickets. Young people, citing climate anxiety, are especially ready to pay that premium. Others plan to travel less to keep their impact low—some even report "flygskam," or shame about flying.    The rest of the work falls to the aviation industry, for efforts such as investing in sustainable fuels or prototyping fuel-efficient aircraft. Here's hoping that the next few years see those efforts … take off.  Safe travels if you are setting out. Planning a big trip, or just back from an adventure? Tell us about it at newideas@mckinsey.com. VISUALIZE IT Airline economics weren't perfect before COVID-19—many airlines were reporting big losses even before the pandemic came to town. Charting ahead Wait, don't scroll  Watch that shift. Although the desire to travel fluctuates in China, the dips tend to rebound quickly, especially among Gen Z and the country's aging Silver Generation, both of which have become a major travel market segment there. Young people are more likely to book online, often after seeing travel videos that inspire their trips.   Free solo your own life. Even if you don't have the internal fear-processing center of the daredevils who climb huge cliffs without ropes, you can still work to overcome the anxiety of innovation. Here's how you can stop relying on someone else to push things skyward.  A quantum leap for climate. Quantum computing, while in its infancy, offers amazing potential in the fight for decarbonization. Without major innovation, we won't hit climate goals—but quantum computing might solve some of the "unsolvable" problems slowing us down.   Not us; still great  Fly now, pay later. In the US, young people desperate for revenge trips are more likely to splurge or take on debt to fund travel or experiences than their older peers are, even as costs rise. [Bloomberg] Looking for a dream job? Gen Zers say they want careers that are driven by a strong mission—but financial worries such as inflation and student loans are putting do-gooding on pause. With the cost of living polling as Gen Z's number-one concern, many are choosing security before purpose. [WSJ] Don't get hooked. Many social-media apps capitalize on addictiveness, using easy dopamine hits to keep users scrolling for hours. But amid criticism of that approach, daily apps such as Wordle, BeReal, and more limit how much time you can spend on them, creating anticipation instead. [ThePrint] RACK UP SOME VACATION DAYS WITH US  Search 500+ job openings  On our Careers Blog, Alexander, an associate partner in Amsterdam, talks about the impact his team had on accelerating a country toward net zero Sign up for our free Careers Blog newsletter or 40+ other free alerts and newsletters  TAKE IT ON THE PLANE Your latest McKinsey Crossword: Pride Month 56-Across: Diversity ___ inclusion. Can you solve it? Play now — Edited by Sarah Skinner, Gen Z curation editor, New York Subscribe Click to get this newsletter weekly BACKTALK Have feedback or other ideas? We'd love to hear from you.  Tell us what you think Follow our thinking McKinsey Insights - Get our latest thinking on your iPhone, iPad, or Android. This email contains information about McKinsey’s research, insights, services, or events. By opening our emails or clicking on links, you agree to our use of cookies and web tracking technology. For more information on how we use and protect your information, please review our privacy policy. You received this email because you subscribed to our Travel, Logistics & Transport Infrastructure alert list. Manage subscriptions | Unsubscribe Copyright © 2022 | McKinsey & Company, 3 World Trade Center, 175 Greenwich Street, New York, NY 10007