Travel predictions for 2006 include higher room rates and air fares
Travel and tourism is coming back this year, conventions are surging and room rates and airfares are going to cost more.
Those were among predictions by travel industry experts who see generally robust results for 2006.
“The reasons for their optimism, they say, include a continuing US economic expansion, strong consumer, and the desire of airlines and hotels to make up for several lean years by raising prices and returning to profitability,” said the San Francisco Chronicle.
American Express Business Travel predicted more travelers and higher prices just about everywhere, but particularly in the developed world.
Economy class fares on domestic and short flights will rise up to 6%, according to American Express, while business class fares on international and longer flights will also rise up to 5%.
American Express predicted room rates overall for mid-range properties will rise anywhere from 1 to 3%. Upper-range properties will see price increases up to 5%.
In North America, price increases will top the global average, said the forecast.
The Travel Industry Association of America (TIA) forecasts slightly lower growth expansions.
Leisure travelers will increase by 2%, says the TIA. International travel to the US will increase by 5.5%.
Report by David Wilkening
David
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