According to the media outlet Valor Investe, a survey carried out by the Brazilian Association of Tour Operators (Braztoa) with its associates indicates that the country’s travel agencies lost BRL 3.9 billion in travel cancellations and postponements, due to the Covid-19 pandemic. This amount is equivalent to 25% of the sector’s total revenue in 2019.
According to the survey, 90.4% of the trips planned for March were canceled or postponed. Consumers, in their turn, also canceled or postponed 96.2% of the trips planned for April, 94.2% of the ones of May, and 63.5% of the June trips.
Also according to the survey, even with some of the current forecasts showing a possible normalization of the industry in Brazil from August, the cancellations extend to the second half of 2020 (26.9% of the trips planned for the period are canceled) and to 2021 ( 3.8% of planned trips canceled).
As highlighted by Valor Investe, of the total loss estimated by Braztoa, BRL 3.5 billion are estimated losses of the first half of the year, BRL 350 million are expected losses for the second half, and BRL 50 million for 2021.