Tuesday, May 22, 2007

Americans may travel more this year

Americans won't let high-priced gasoline interfere with their travel plans if industry surveys prove true.

The Travel Industry Association (TIA) predicts that leisure travel will increase 1.4 percent over last summer.

The forecast comes on top of a AAA survey last week that predicted travel for the Memorial Day weekend will increase 1.7 percent over a year ago.

AAA also predicted that travel by motor vehicle would be up by 1.8 percent.

TIA, however, suggested that travelers this summer may spend less on hotels or restaurants to make up for the dollars they will pour into their gas tanks.

"Some people will shorten the trip in terms of nights they spend away from home or distance traveled," said Suzanne Cook, senior vice president of research for the association. "They'll do things like find a more modest form of food, cut back on restaurant purchases, downscale on their hotels. We've already been seeing some trading down in the hotel sector."

Automobile travel will account for eight in 10 summer trips, TIA said. Air travel, however, will rise about 3 percent, the association predicted.

"Airlines are going to be crowded this summer," TIA spokeswoman Cathy Keefe said.

Business and convention travel is expected to remain strong as well, increasing by about 3 percent this summer, TIA said.

The association predicted that 330 million Americans will travel 50 miles or more one-way during the summer.

AAA predicts that 38.3 million Americans will travel 50 miles or more away from home for the Memorial Day weekend. About 84 percent of those travelers, or 32.1 million, will go by motor vehicle. Average household spending for the Memorial Day weekend will be $594, AAA said. Fifty-seven percent of those households will travel with children.

The Midwest region is likely to have the highest portion of travelers with children at 66.6 percent, AAA said.

No comments: