MANY Cebu-based travelers are redirecting their plans toward closer, more accessible destinations within Asia, as rising transport costs and global uncertainties reshape how — and where — they travel.
Despite higher fares across land, sea, and air, Cebuanos continue to travel in significant numbers, signaling resilient consumer demand driven by post-pandemic behavior.
Data and industry sentiment gathered during the International Travel Festival (ITF) 2026 in March indicate that while cost pressures are weighing on spending, they have yet to dampen the appetite for travel.
“Despite the gloomy outlook and rising costs, there are still people traveling,” said Stephanie Villahermosa, managing director of Divaishnavi Travel and Tours and lead organizer of ITF 2026. “What has changed is how and where they travel.”
Travel demand, however, showed signs of softening toward the end of the first quarter, as higher airline surcharges—particularly on chartered flights to and from Cebu—began to dampen bookings, according to Amped Travel CEO Doyzkie Buenaviaje.
“It was good during the first quarter, but nearing the end of March, it became really slow,” Buenaviaje said, noting that added fees pushed up overall travel costs.
Nearer destinations
Instead of long-haul trips, many travelers are opting for nearer destinations. South Korea has emerged as a key beneficiary, supported by streamlined visa processes and aggressive tourism campaigns, while demand for Japan has softened amid tighter visa requirements. Interest in Australia and New Zealand is also picking up, reflecting a more selective recovery in long-haul travel as consumers weigh costs against convenience and value.
Travelers who had already booked short-haul trips to Southeast and East Asia have largely pushed through with their plans, Buenaviaje said. The slowdown is more evident in newly curated tour packages, where price sensitivity is higher.
Domestic travel remains a mixed picture. While local destinations continue to attract steady demand as a more affordable alternative, some operators are seeing a drop in bookings for experiences such as island hopping, particularly among both international and local tourists.
Buenaviaje attributed this to higher fees linked to the ongoing energy crisis, which has raised operating costs across transport and tourism services. Amped Travel, which primarily serves outbound Filipino travelers, has been adjusting its offerings to keep packages competitive by focusing on value-driven itineraries.
The sustained travel activity underscores a broader behavioral shift following the Covid-19 pandemic, which restricted mobility for nearly two years. Travelers are now more intentional with their spending but remain willing to allocate budgets for leisure.
Revenue growth for travel operators has moderated compared with last year, though the decline has been less severe than expected despite global risks, including geopolitical tensions that have driven fuel prices higher.
Forward bookings are increasingly skewed toward the latter half of 2026, as travelers anticipate improved conditions. Industry players said many are deferring long-haul trips to the third and fourth quarters, betting on stabilizing geopolitical conditions and travel costs.
Cebu’s travel sector is thus navigating a delicate balance—softer revenues but sustained demand—as consumers adapt their travel choices rather than pull back altogether. / KOC