Frankfurt Since August, employees of the travel company Tui have been able to work from abroad for up to 30 days a year, provided the job allows it. But Stefan Baumert was surprised by the response: 300 employees around the world have already made use of this, says the CEO of Tui Germany: “I would not have expected such a large number in such a short time.”
Workation – an artificial word made up of the two terms work and vacation – is trendy. The work is combined with the vacation and integrated into a longer trip. The idea for this came up before the pandemic. However, Corona and the consequences have accelerated the trend.
“The companies have learned that it is possible to work remotely,” says Jesko-Phillip Neuenburg, Managing Director of the consulting firm Accenture. More and more companies are now even expressly allowing their employees to join in from abroad for a certain period of time, provided that labor, tax and social security requirements are complied with.
According to a recently published study by the opinion research institute Kantar on behalf of the communication platform Slack, 73 percent of the approximately 2000 respondents no longer want to work in the office every day. What works in the home office also applies to suitably equipped holiday homes.
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The workation offer is growing steadily. The Expedia platform lists suitable destinations for vacation with work in the “Work from here” section. Travel agencies like Aldiana have special offers in their program. Regions like South Tyrol or North Friesland advertise themselves with Workation. “The travel providers have to adapt to this trend,” says Neuchâtel from Accenture: “The quarters must be appropriately equipped, for example with a comfortable working environment and high-performance WLAN.”
Rooms with specially developed working environments
“We have our own room categories for work in our TuiBlue, Robinson and Tui Magic Life hotels,” says Tui manager Baumert. This includes a desk, keyboard, mouse, sufficient sockets and a coffee machine. “The rooms don’t cost more than comparable normal rooms.”
As an option, Tui customers can book a 27-inch monitor for three euros per day or a headset. “Those who stay longer than two weeks also receive a voucher for a treatment in the wellness area. If you book for more than four weeks, we will even pick you up from the airport and bring you there again, ”says Baumert, giving further details of the special offer.
Basically, it is a matter of aligning offers such as catering or wellness to the needs of the guests so that they can take a short break from work more frequently during the day and use it sensibly, Baumert continues. He could also imagine converting seminar rooms in hotels into coworking rooms in the future.
It is still a rather small business for tourism professionals. “Workation is a niche product that has a lot of potential,” says Baumert. Although the share is rather small, it is conceivable that it could even reach ten percent of the business volume. “However, there is a kind of unreported number, i.e. people who go on vacation and work from there without booking a special workation offer.”
Studies confirm the hope of good business with the trend. According to a survey by strategy and marketing consultancy Simon-Kucher & Partners, 43 percent of the 7,000 people surveyed in seven countries are planning a workation trip. Over half of Germans would even extend their vacation by two or more weeks.
The booking portal Airbnb is also feeling this. Airbnb co-founder and CEO Brian Chesky recently told The Atlantic magazine that 20 percent of customers would book accommodation for 28 days or more: “I think that has to do with the fact that people are no longer in their offices have to return. “
“The shift to remote working and hybrid models is good news for the tourism industry,” says Lisa Remmelberger, partner at Simon-Kucher & Partners, with conviction. The possibility of working during the day and being able to relax in a beautiful vacation spot in the evenings and on weekends attracts many people.
The trend fits in with another observation made by tourism managers: “People are willing to spend more money on their vacation,” says Baumert. You would book a higher room category, for example a room with a sea view. “Or it is the private pool, the junior suite and the XL seat on the plane. We are also observing that the travel time is increasing. “
The Tui Germany boss believes that this trend will fundamentally remain, if perhaps not to the full extent: “But once you get used to the nicer room in the beach resort, for example, you will book it again the next time.”
The distribution of travel is changing
Workation fuels a different development. The distribution of travel is changing. Workation, for example, can be marketed very well on social media, says Baumert. This has consequences for conventional sales channels. “The classic travel agency, in which you leaf through the catalog with the employee or the employees then look up the Internet, has had its day,” says Frank Schäfer from Accenture. Today, most customers would take their time to find out more at home. “Many then book directly from there.”
The travel agency will have a different, new role in the future, continued Schäfer. It will become a place for individual and personalized premium advice. “It will take place in a pleasant atmosphere, for example in a kind of lounge, and enable customers to explore different destinations in advance using technologies such as virtual reality.”
Baumert von Tui does not want to go that far, at least in the short term. But the design of the travel agencies is also changing at the largest European travel company: “Our flagship stores are spacious and bright, with comfortable seating, a counter and, as in Berlin, for example, with a large barista coffee bar.”
At the same time, the link with the online channel will increase significantly. “Customers have recently been able to book appointments at the travel agency,” says Baumert, giving an example: “Trips can also be placed in the shopping cart, which can then be further processed and supplemented on site at the travel agency.”
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