Staycation boom meant £2bn boost for small local businesses
New research reveals that small and micro hospitality and leisure firms in the UK will have made over £2bn this summer from holidaymakers avoiding international travel.
The figures, from GoDaddy, come as nearly two in three Brits (62%) say the cost-of-living crisis means they can’t afford to travel abroad so prioritised day trips and ‘staycations’. Meanwhile, almost three quarters (71%) were put off by ongoing issues at UK airports, including flight cancellations, baggage handling mistakes and extensive queues.
This means that more than a third of Brits (37%) have already booked or been on a staycation since the start of summer. Among this group, three in five (59%) people say they prefer to spend with locally-owned, independent businesses.
GoDaddy’s research found the top five destinations for staycations this summer have been the Lake District, Cornwall, Devon, the Cotswolds and the New Forest whilst the top five city break destinations have been London, Manchester, Bath, Edinburgh and Liverpool.
One business that noticed a surge in bookings is GoDaddy customer, Fairfax Corner, an eco-friendly guesthouse based in York. The house uses no electricity, has been retrofitted with energy efficient insulation and is furnished with second-hand furniture exclusively.
Owners Shan Oakes and Bill Rigby have seen a 42% increase in turnover compared to last Summer. Their current income is 14% above pre-pandemic levels when taking inflation into account, driven in part by the boom in staycations. The duo say that there has been a move towards shorter breaks rather than longer trips as holidaymakers look to conserve spending.
Shan explains: “Historically, we’ve seen people booking for weeks at a time during the summer months as it’s a good base from which to explore York and Yorkshire. However, this year we’ve noticed a definite shift towards shorter breaks. It means we’ve had a higher turnover of guests and a significantly higher level of income overall.”
Bill and Shan recently worked with GoDaddy to overhaul the Fairfax Corner website and ensure a strong digital presence for the business.
Bill says: “For ages we had a poor, clunky website that didn’t showcase the guesthouse in the best way. We decided a few months ago that if we wanted to continue the growth of the business in the medium-to-long term, we needed to fix that. We chose to work with GoDaddy to create something entirely new that looks great and is easy for prospective guests to navigate. We’re delighted with it.”
“Guests are drawn to the property because of its eco-credentials. Our café sells exclusively local produce, and we showcase art from local creators which tourists seem to enjoy.”
Ben Law, head of UK & Ireland, GoDaddy, said: “GoDaddy helps entrepreneurs and small business owners create an online presence, and it’s heartening to see that despite sizeable financial challenges, Brits are still finding ways to go on holiday this Summer and that everyday entrepreneurs like Shan and Bill are benefiting. The willingness of Brits to support independent hospitality firms during the cost-of-living crisis is great to see, and we’re proud to help entrepreneurs and small business owners create an online presence.”
