Two customer groups, one ever-changing Nordic travelling world.
The Nordic motorhomes market shows that demand for travel doesn't always evolve on one level path, rather it does so on many paths in harmony with both domestic and international tourists who could be the market source, or main source, depending on the situation. Elle Tick's research, which relates to her thesis, illustrates this evolving situation by drawing upon transaction data from several years.
International was previously the market base, roughly 80% of rentals were from outside of the Nordic region in 2017, increasing to 84% in 2019.
Amongst typical source markets for international travel were Switzerland, the Netherlands, Germany and France. International people were also responsible for the customers that they are used to, the age of drivers recorded were 45-46 for example. Families also dominated what could be regarded as the typical customer for the rental trade in 2019, around 65% of data recorded came from families. Around 35% was the proportion of couples captured at this point.
This sudden interruption then appeared.
The amount of included rentals was reduced from 2,290 in 2019 down to 1,257. International people travelled less far, but domestic tourists drove higher, increasing from just over 16% to 53% in 2020. This transformed the composition of the customers nearly overnight and the rental trade had another significant market to rely on who were taking their opportunities to make use of motorhomes, to travel and holiday without relying upon international travelling.
Local people also represented roughly 47% of included rentals in 2021 too and International people represented 86% in 2022. An argument could therefore be put forward that, in regard to the tourism world, an exclusive strategy relying on international people could, in times of trouble (i.e pandemic) damage some of the leading market people significantly. International tourists travelled on their holidays around 12 days for each period of travel (pre-pandemic), 12.7 in 2021, and 14.3 in 2022.
The trips taken are then extended around 14 days of duration, until 2025.
There is also proof that customer composition had been shifted, 35% being from families (previously) moving towards closer to 46% by 2025. Thus, as can be inferred from these three main developments, it would appear, on both account, that the market is being shaped by people traveling all over the world. It is important, if there is an opportunity to do so, for businesses to rely on several customer bases, if the situation is changed and international traveling is restricted perhaps the general public can contribute to demand. Elle Tick's data show a progression of this movement between these two markets and provides evidence for future business development in this segment.
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