A recent National Tour Association (NTA) survey gives a more detailed picture of the extent to which the coronavirus outbreak has affected tour operators.
The results of the survey, which was completed on April 3, 2020, shows that NTA tour operators refunded nearly $1 billion to customers due to the cancellations incurred by the virus.
The economic impact on these businesses has been great with 43 percent of tour operators and 70 percent of tour suppliers being forced to lay off of furlough workers, according to a report in Travel Weekly.
Furthermore, tour operators have canceled more than 59,000 trips. Most of the cancellations, which have affected 1.8 million travelers, were for travel in March, April and May but companies said they are seeing cancellations as far out as 2021.
Tour operators reported refunding $1.8 million on average and tour suppliers had refunded customers approximately $334,000.
Eighty percent reported seeking help under the CARES Act, passed by Congress earlier this month.
The research also included the impact on destination marketing organizations (DMOs), which are also experiencing a significant decline in business during the outbreak.
Many of these organizations do not qualify for assistance under the CARES Act currently, something that the NTA hopes will be rectified through further legislation.
Ninety-three percent of these organizations had frozen or reduced their budgets, and 59 percent said that they had reduced staff positions or hours.
Eighty-eight percent of tour operators had frozen or reduced their budgets and 74 percent of suppliers had done the same, according to the results of the survey.
The vast majority of DMOs and tour operators reported staying open during the outbreak with employees working remotely. When it came to tour suppliers, however, at least half were closed temporarily.
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