USA Travelers in 2009

[maximagxe]

I would like to know from travel agents how the USA bookings for 2009 foreign travel are going as compared to 2008. The economy is down here in a number of areas but the media for some reason are not reporting any of a downturn in travel.

[maximagxe]

Still no downturn in travel being reported in the USA. Even though the stock market keeps loosing ground.

[Letsgo]

While traveling in Italy this summer we were told by local merchants that the number of USA travelers was down a lot but that the number of Europeon travelers was up. They were obviously not impacted by the value of the USD vs. the Euro.Actually the exchange rate is slightly better now than it was last summer.I wish I could say the same about the stock market.

[maximagxe]

Today's Orlando Sentinel had an article that local hotels here are starting to see a downturn in bookings for early 2009. I suspect that this will continue to get worse as domestic airlines are removing flights to and from Orlando and Las Vegas.

[maximagxe]

This is not good news for 2009. Neither is the Stock Market.

The travel industry has been hit hard by the economic slowdown, particularly in the last few weeks. Airlines reported sharp declines in passenger traffic for September. Hotel occupancy rates are down, and corporate travel managers are demanding new concessions on previously negotiated deals.


Cancellations are starting to rise even at four- and five-star hotels, which previously seemed immune to the economy’s travails. Hotels are feeling the slowdown. In September, domestic hotel occupancy was down 5 percent from the previous September, according to Smith Travel Research. And the higher-price segment of the hotel industry, which had been holding its own, now also seems to be feeling the pain.

“For the last two weeks, cancellations of existing reservations are running about 50 percent above normalâ€

[maximagxe]

Disney just announced today that you can book 7 nights at their hotels for the price of 4 nights. Also included is a $250 voucher if booked before November 20th. Also expect Disney employment cuts in the near future.

[maximagxe]

The jobs report for November just came out today. 533,000 Americans lost their jobs in November. They will have a tough time paying their mortgages which means more foreclosures. These unfortunates will also not be travelling on vacation in 2009.

[Letsgo]

Hi Max,

You would think with all this bad news the airlines would be cutting fares but they are NOT! I have been watching fares for next summer to Yellowstone area and the fares are not dropping at all. I would like to go back to Rome for a few days and the Europe fares are not dropping either.Maybe they will after the first of the year. I am somewhat worried about booking on a couple of the airlines that seem to be in danger of filing Bankruptcy.

Letsgo

[maximagxe]

Letsgo, I would wait at least a few months into 2009. The main reason that airlines are not cutting fares yet is that they have locked in prices for future fuel consumption from the oil companies. Some of these are in the $110 per barrel price range and are locked until the termination dates on their respective fuel contracts.

[Letsgo]

For sure I won't book at these rates. I watch really closely and the minute they drop I book. Last year I got a great fare to Rome,somewhere around $750.00 from Evansville so I booked it in the AM. By night that same fare had increased $300.00!! The fares can change several times a day and usually the best time to book is right after midnight on a Tuesday or Wednesday.I have fun though as it is all part of the challenge.

Do you have travel plans for 2009?

[maximagxe]

Yes, we just booked a two week cruise on Holland America to the Southern Caribbean. The cruise is in April.

[maximagxe]

The outlook for tour companies and travel outside the USA is not looking very good this year. The tour operators will have to discount more than $199 for a companion flying to Europe. The tours themselves need a 20% or 30% discount.

[Letsgo]

Hi Max

I have noticed several Rivercruises are being offered at 2 for 1 prices at different companies. I wish I didn't already have plans!! LOL!

Have you taken your cruise yet? Hope you have a great time.

Letsgo

[maximagxe]

We leave this Friday, April 24th from Ft Lauderdale.

[maximagxe]

The cruise we took on the Maasdam in April, 2008 for 14 days to the Caribbean was $2000 for 2 people. Holland America is offering a cruise sale right now and the same cruise in the same category cabin is now $2700 for the 2010 cruise. Not such a good sale.

[maximagxe]

This past summer we booked a 29 day South America cruise from Buenos Aires to Miami on the NCL Sun for an incredible low rate of $5000 for two people. This is a way lot cheaper than a trip to Autralia for 4 weeks.