A traveller scrolling through tabs late at night, balancing dreams against doubts. One operator offers twenty percent off. Another promises the “best deal in town.” A third, slightly more expensive, shows photographs of glowing reviews and stories about local guides. The traveller pauses. Should they trust the discount, or pay a little more for something that looks like it will actually be worth their time? More often than not, hesitation creeps in. The supposed bargain starts to feel like a red flag.

This moment is familiar to anyone in tourism. In shaky times, whether caused by inflation, political turbulence, or sudden global shocks, operators reach instinctively for discounts. Yet the human response to uncertainty is rarely as simple as chasing the lowest price.

The Discount Reflex, Seen Through a Critical Lens

The common assumption is that when the economy wobbles, the only way to keep bookings alive is to lower prices. But does this narrative hold up? Evidence suggests otherwise.

A 2025 report from the World Tourism Organization revealed that international tourist arrivals rose by five percent in the first quarter of the year, despite global inflation and geopolitical tension. In other words, demand did not collapse. It shifted. A Deloitte survey of global consumer behaviour during the same period showed that when faced with economic stress, people were not automatically cutting spending, they were shifting it toward brands and experiences that felt like better value. Atmosphere, inclusions, and perceived quality mattered more than shaving off a few dollars.

Academic work backs this up. A study published in Tourism Economics in 2020 found that uncertainty reduces outbound tourism, but travellers tend to delay bookings or downscale trips rather than cancel altogether. Price drops do little to address that hesitation. More recently, research published in 2025 under the title Short-Term Discounts, Long-Term Perceptions confirmed that while discounts boost bookings in the moment, they erode perceptions of quality and train customers to wait for the next markdown.

The pattern is clear. Discounting works in the short term but creates a long-term drag. Tourists don’t simply want “cheaper.” They want “worth it.”

Maldicore’s Take: Anchoring on Value Instead of Racing to the Bottom

At Maldicore, we argue that resilience for tour operators comes not from cutting, but from reframing. Travellers are not just spending less; they are spending smarter. The task is to show them why your offer is not only safe for their wallet, but rich for their memory.

Value does not mean adding endless extras. It means creating the conditions where a traveller feels that their money is well placed. That could be the reassurance of premium gear instead of flimsy rentals, the comfort of knowing transport is included, or the story of how your guides are rooted in the local community. It could be flexible deposits that let them book without fear, or a clear list of what is included so that no surprises lurk at the end of the trip.

We believe that a discount rarely conveys trust. Transparency, storytelling, and a sense of generosity do.

The Data That Proves Value Wins

The gains from resisting discount pressure are not abstract. They are measurable.

Protecting rates instead of slicing them keeps margins intact at a time when operator costs, fuel, wages, insurance, are rising. Clear, value-rich listings convert significantly better than stripped-down ones; studies suggest as much as a forty percent lift in bookings when inclusions are spelled out in detail. Loyalty and retention also tell the story: guests who feel their experience was “worth it” are more than twice as likely to rebook or recommend, compared to those who booked only because the price was lower than expected.

Even technology is rewarding clarity over cheapness. As AI-powered search increasingly guides travel decisions, the listings that surface are not always the cheapest. They are the most transparent, the ones with detailed descriptions of what is included, the ones that reassure rather than confuse. Discounting cuts your margins; transparency boosts your discoverability.

Regional Spotlight: The Maldives and the Indian Ocean Test Case

The Maldives offers one of the clearest laboratories for understanding the tension between discounts and value. With over 170 resorts scattered across distant atolls, the economics of the archipelago make discounting both tempting and risky. Operating costs are among the highest in the world: everything from food and beverages to building materials and fuel must be imported, and staff often live full-time on resort islands. A simple ten-percent rate cut can eat disproportionately into margins.

Travel demand here is also highly seasonal. Resorts often slash prices in the off-season, but the long-term effect has been to condition repeat visitors to wait for those discounts. Agents and online travel platforms reinforce this cycle by advertising “flash deals” rather than focusing on the differentiated value of one island experience over another.

Yet the most resilient resorts are those that resist this spiral. Properties that have leaned into all-inclusive packages, bundled transfers, or transparent pricing have found stronger guest satisfaction and loyalty. For example, speedboat-accessible resorts near Malé often highlight that their transfer cost is built in, while others in distant atolls stress the added value of unique dive sites, conservation programs, or cultural experiences with local communities. Guest reviews consistently show that clarity and inclusions outweigh the raw lure of a cheaper sticker price.

The broader Indian Ocean shows a similar pattern. In Sri Lanka, boutique hotels that emphasize local immersion, wellness, or sustainability often attract steady demand even during downturns, while those that compete purely on price struggle to maintain service quality. In Mauritius, resorts known for transparent all-inclusive offers often outperform those that market aggressively discounted half-board rates. Across the region, the lesson is consistent: value and clarity protect reputation, while discounts alone rarely build resilience.

Lessons from the Research: What Travellers Actually Want

Studies on travel under uncertainty converge on a few themes. Travellers delay bookings, but not because they are waiting for the lowest price, often they are waiting for clarity and confidence. They are drawn to experiences that feel authentic, memorable, or stress-free. A 2025 Mastercard travel report noted that global travellers increased spending on experiences by thirty-two percent compared to pre-pandemic levels, prioritising culture, nature, and uniqueness over generic “touristy” activities.

Other research confirms that transparency has become a powerful trust signal. When customers know exactly what is included and what isn’t, they are far more willing to commit, even at a higher price. Flexible payment terms and booking options also matter. A deposit scheme that lets travellers secure a spot with a smaller upfront cost can reduce hesitation more effectively than a broad ten-percent discount.

The pattern is consistent. The currency of trust beats the lure of a markdown.

From Discounts to Depth: Building a Resilient Operator Mindset

So what does this mean in practice? Operators can begin by reframing their packages. Instead of “budget-friendly” labels, highlight what is included and why it matters. Imagine a kayak operator shifting from “cheap overnight trek” to “premium overnight eco-journey with high-quality gear, locally sourced gourmet meals, and a guided hike with a community naturalist.” The price may be higher, but the perceived value is far stronger. Customers leave with memories of comfort, flavour, and authentic connection rather than a faint sense of having cut corners.

Flexibility is another anchor. Deposits, staged payments, or tiered packages give travellers options that match their level of comfort. Transparency seals the deal: the more upfront you are, the less anxiety they carry into the booking process. And never underestimate the power of stories. A heartfelt narrative about your team, your community, or your landscape can turn hesitation into trust far more effectively than a discount code.

When Discounting Might Still Be Useful, and How to Do It Responsibly

It would be easy to argue that discounting should be avoided altogether, but the truth is more nuanced. In the Maldives and beyond, there are moments when reducing rates can serve a legitimate purpose, provided it is framed as a strategic tool rather than a desperate reflex. The key is discipline: knowing when, why, and how to do it without eroding the long-term value of the brand.

One of the clearest cases is the low season. Resorts face monsoon rains, softer demand, and empty villas. A carefully targeted discount at this time can fill occupancy that would otherwise remain unused. The trick, however, is to package the promotion in a way that highlights inclusions and experiences rather than raw price. For instance, a resort might frame its offer as “Stay longer for less, with transfers and spa credits included” instead of simply “30% off.” The difference is that the guest feels they are gaining more, not that the brand is worth less.

Another responsible use is during a resort’s launch or relaunch phase. Soft-opening rates are common in the Maldives, where new properties take months to bring every restaurant, spa, or water sports facility online. Introductory pricing allows early guests to experience the resort at a fairer reflection of its current state. The responsibility here lies in being transparent: guests should know that not all facilities are yet operational, so they see the reduced rate as generosity, not a bait-and-switch.

Discounts can also be used tactically to clear specific inventory. If a handful of room categories remain empty or if a resort is trying to shift demand from peak weekends to mid-week stays, a well-timed promotion can smooth occupancy. Yet even here, communication matters. When guests believe a resort always has discounts lurking around the corner, they hesitate to book at full price. A promotion must feel exceptional, not routine.

Finally, discounting can be a powerful entry point for new markets. For example, if a Maldivian resort is trying to attract first-time visitors from India or China, an introductory offer can lower the barrier. But once guests arrive, the experience must deliver such value that they are willing to return without expecting the same reduced rate.

The common thread is responsibility. Discounts work only when they are framed as part of a larger value story, seasonal generosity, launch transparency, inventory management, or market expansion. Used carelessly, they erode perception. Used wisely, they can be a bridge to loyalty, provided the resort never lets “cheapness” define its core identity.

The Maldicore Frame: Replacing Cheapness with Confidence

The temptation to discount will always be there. Sometimes, in low season or when capacity sits empty, promotions make sense. But if they become the centre of your strategy, you risk eroding the very thing customers value most: trust in your quality.

Our frame is straightforward. In times of uncertainty, customers are not asking, “How can I pay less?” They are asking, “How do I know this will be worth it?” The role of the operator is to answer that question through clarity, through inclusions that feel generous, through narratives that feel human.

We invite you to challenge this with your own stories. Have you replaced discounts with value and seen stronger bookings? Have you tried the opposite and felt the long-term damage? Share your experiments. As an industry, we must learn to thrive not by lowering numbers, but by raising confidence.