Travel

Tourism hit by British move

Posted under Cruises - Nov 30th, 08 - Comments Off

The new charges, already described as a "tax grab" and "revenue gathering exercise", were announced by the British Government yesterday as part of a 21 billion pound ($59 billion) economic package aimed at reinforcing the country's economy. Currently, passengers flying out of Britain are charged a departure tax of 40 pounds (NZ$111.61). That would increase to 55 pounds in November next year and 85 pounds in November 2010, taking the total cost of taxes and surcharges to 235 pounds (NZ$655). The increases were expected to hit New Zealand's inbound tourism, which was already down 10 per cent in the past two years. Prime Minister and Tourism Minister John Key and Tourism New Zealand chief executive George Hickton were set yesterday to host the Queen and Duke of Edinburgh and London mayor Boris Johnson in the $4 million inflatable rugby ball installed in London for the promotion of the 2011 Rugby World Cup. It was unclear whether Mr Key or Mr Hickton would raise the issue. The new charges would be applied across four bands of destinations, with the most expensive and most distant band including New Zealand, Australia and other southern hemisphere destinations. Business passengers will pay twice as much as those in economy. Air New Zealand's head of international airline, Ed Sims said the increase would have a negative impact on the airline and tourism industries which were already struggling due to higher costs and falling demand. "We will be talking to the New Zealand Government to see what actions are available." Inbound Tourism Operators Council chief executive Paul Yeo said Mr Darling's justification that the tax was environmentally-targeted held very little merit and it was effectively a "tax grab". A family of four would be looking at an extra $1000 for a Britain-New Zealand trip, he said. "It doesn't matter whether it's someone from the UK coming here or a Kiwi visiting there," Mr Yeo said. It was clear they were trying to make up for lowering their VAT point-of-sale taxes and saw the travel and tourism industry as a "soft target", he said. "They are trying to dress it up under environmental issues, but in effect the money goes into the government coffers," Mr Yeo said. Inbound British tourist numbers were already down about 10 per cent for October compared to two years ago as the economic crisis hit home around the world. Mr Yeo said the new tax would hurt this further. People already committed to coming as far as New Zealand might bite the bullet and go anyway, but buy less when they arrived. Corporate travel specialists Gilpin Travel managing director Keith Sumner said the supposed "green" tax would be unpopular with companies who took their carbon footprint seriously and were working to offset their travel. "I would assume the business traveller will be very cynical." The higher costs for premium seats also made no sense on an environmental basis. "A premium seat on an aircraft is making the same emissions [as an economy seat]. That's a wealth tax, not a green tax," he said. However, he doubted business travellers would change their itineraries just to avoid the tax when they were already paying more than $10,000 for a return fare. "It's something they'll take on the chin. It's not enough to justify routing around it."  

Southwest Puts Miles-for-Dining on the Menu

Posted under Airfare - Nov 27th, 08 - Comments Off

Southwest Puts Miles-for-Dining on the Menu
Southwest Puts Miles-for-Dining on the Menu Southwest announced that Rapid Rewards members can earn credits by dining at more than 9,000 restaurants participating in the Rapid Rewards Dining program. To participate, Rapid Rewards members register up to five credit cards on the Rapid Rewards Dining website. Thereafter, whenever they use a registered card to charge a meal at a participating restaurant, they will earn a quarter credit every time their cumulative expenditure reaches $100. There’s also a quarter credit enrollment bonus awarded after the first $25. Miles-for-dining has been a standard feature of larger airline programs for years. In most programs, the miles-for-dining feature awards five miles for every $1 spent. That means you’d spend $5,000 to earn the 25,000 miles required for a free round-trip domestic ticket. With the Southwest earning rate, you’ll have to spend $6,400—28 percent more—to earn the 16 Rapid Rewards credits needed for a free ticket. That’s not the only negative feature of Rapid Rewards Dining. Southwest has also elected to impose a consumer-unfriendly expiration policy on the earnings: “The dollar amount for each transaction expires 365 days after the date the transaction is processed and will no longer be applied toward earning credits.” The policy is poorly communicated, as well, buried in the fine print where it’s not likely to be read. This is another example of Southwest’s split personality. The discount carrier has taken the high road in some areas. In particular, their refusal to follow other airlines’ lead in the current fee-for-all is laudable. But in its loyalty marketing, Southwest has consistently made decisions that show it views Rapid Rewards more as an expense than an investment. For years, Southwest expired Rapid Rewards credit after just one year. The current two-year expiration policy is still among the industry’s harshest. And it was implemented to soften the blow of imposing capacity controls on awards. There are reasons to be loyal to Southwest. Ironically, its loyalty program isn’t one of them.

The Atheist’s Guide to Christmas

Posted under Reviews - Nov 26th, 08 - Comments Off

As I understand it, the crux of Christmas is giving and sharing. Isn’t that nice? It is — and a lot of people would do well to remember these sentimental verbs as they traverse the financially frightening hustle and bustle of this holiday season. Festivals of old celebrated the return of longer days and shorter nights with community meals and fellowship. Nowadays we regard these traditions as quaint, reserving them for the poorest and most unfortunate among us. As more of us become poorer and more unfortunate with each passing foreclosure, tradition might be the escape valve we need. Those who might suffer for lack of what they used to have are the people who used Christmas to compete with their neighbors (although, if I know the male psyche, the competition will revolve around who has it worse), those whose rituals revolved solely around gifts, and those who upped the ante with each passing year by making things ever more extravagant. The Grinch had it right when he said, even before his heart grew three sizes, “It came without ribbons! It came without tags! It came without packages, boxes, or bags!” Indeed it did, and always has. It also came without credit. It came without banks. It came without financing, savings, or angst. While the hungry and homeless are a modern-day focus, it’s worth giving a bit of thought to what else is needed after we’ve dressed, eaten, and found a place to sleep. Such was the intent behind Christ’s birth, the story of St. Nicholas (regardless of whether you believe these are stories of fact or fiction) and the Yule: everyone contributes. Not most to the rest, but rather everyone to each other. We’ve buried the concept of giving under heaps of commercialism and political correctness to the point that no one seems to remember how it all started, but what lies beneath has not rotted away. It’s waiting to be found in much the same way and for much the same reason we squeal with delight (even if just on the inside) to see our stockings full and things poking out the top. Tumultuous times remind us of how little we have on the outside. These times are also an opportunity to remember how much we have on the inside. There are many venues for giving that require little or no financial output, the most gracious of which is giving of ourselves to those we don’t even know — yet. While a homeless, single mother many years ago, I volunteered to serve meals to other homeless people for one reason only: I was provided a place to keep my children safe and warm as well as a way to feed them. I felt selfish, insincere, and a little deceptive. Oh well, it was my kids and me against the world. By the end of the first week I felt honest, helpful, and accomplished. That was most unexpected. When I shared this with others at the shelter, I was told I’d underestimated my own value while understandably focused on making sure my children were protected.

Outlook for Thanksgiving Flights: Full

Posted under Airfare - Nov 25th, 08 - Comments Off

Outlook for Thanksgiving Flights: Full
We’ve been keeping a close eye on Thanksgiving travel, paying particular attention to demand (falling, due to the worsening recession) and ticket prices (also falling, reflecting the softening demand). The Air Transport Association (ATA), a trade group representing the airlines, has released its projections for Thanksgiving flights, giving us a glimpse of holiday travel from a slightly different perspective: the passenger’s. Picture this: full flights. During the three busiest days—Sunday, November 30; Monday, December 1; and Wednesday, November 26—planes will fly 90 percent full on average. And, warns ATA President and CEO James C. May, “Make no mistake—the airports will be busy and many flights will be 100 percent full.” Whether the plane is 90 or 100 percent full, holiday flyers should be prepared for long lines at security check points and at boarding gates. The ATA recommends that holiday travelers “Allow plenty of time for checking in and for security screening at the airport, and to familiarize themselves with the list of TSA permitted and prohibited items and under what circumstance permitted items may be carried onboard.” As for the claustrophobia associated with a middle seat on a long flight, well, there isn’t much you can do to mitigate the discomfort except to remember to fully charge your iPod before heading for the airport. On the other hand, with the airlines’ recent flight cuts, the air traffic control system will be less stressed, so flight delays should be less of an issue than in past years. Still, the ATA suggests that travelers sign up with their airline to receive automated travel notifications delivered to their cell phone or wireless device. Or, for a lower-tech approach, flyers can call the airline’s toll-free number to check the status of their flights. Whether on time or delayed, they’ll be full.

If I Could Change the World

Posted under Travel - Nov 24th, 08 - Comments Off

If I could change the world I would create a program that made going abroad easier and more attractive for college-aged people. I’m a kinesthetic learner. I have to touch, feel, and otherwise experience something before it takes up gray matter. Classes with a lecture portion and a lab never made much sense to me. Why suffer through an hour trying to remain still? Tomorrow is lab day, and in lab you get to do something instead of hearing about things other people have done. History class was particularly painful. It was an overload of dates and names and events that meant absolutely nothing to me. It all seemed very random - until, that is, I began to travel. While Oklahoma has a rich past of its own, it is a blip on the sonar of history and world affairs. An epiphany that stands out in my mind is my family vacation to the Northeast. The Freedom Trail — an historic walk through Boston — changed my world. Suddenly, all the dreary speeches on the Revolution were cast into a sharp light. History was only a part of the trip. I also got to live in a Northern harbor city for a few days, a culture vastly different from my suburban plains. Traveling gave me the chance to see, touch, and experience everything I’d learned about in a way that meant something to me. The road trips of my youth were contained to the United States. Think of all the culture and history I could absorb abroad! The youth of America is often harangued for their ignorance in foreign affairs. Our being content to never venture beyond Canada and Mexico is contemptible. The world is shrinking; today there are few transactions that aren’t international. Do you only see the “Made in China” sticker or do you wonder what life is like in a country that can mass-produce almost anything? “Laissez-Faire” isn’t just some economic theory - its French! Do you know what it really means? It’s time we, as the new generation of young adults, thought about what else (and who else) is out there. There are various excuses for not taking the opportunity for going abroad. Money, however, is the only legitimate reason for not immediately hopping on a plane during your college years. Early 20s is synonymous with broke. Mom and Dad don’t want you to starve, but they aren’t ready to dish out the cash to fly you to Spain next week. The part-time department store job pays for your gas money - and that’s it. Financial aid is provided for education all the time. Going abroad is simply on-location education. Philanthropy and community outreach programs are expected of large corporations and the independently wealthy. By financing a student’s time abroad, they are also investing in the future of their company and consumers. They sponsor a student who comes home an informed citizen of the world. The students would be expected to present the findings of their exploration to their benefactor. The company could learn valuable international information from their student.

ABC Family’s “25 Days of Christmas” 2008

Posted under Reviews - Nov 24th, 08 - Comments Off

I come here and I tell you a lot of bad things.  I talk about what's wrong on a ton of different TV shows. I tell you just a couple of days before it happens for real that Pushing Daisies cancellation is a virtual certainty.  I point out plot flaws, bad acting, ridiculous storylines, and dissect reality-TV contestants whom we never want to see again. Now, that's all good.  I wouldn't change a thing about that.  I'm here to tell the truth, whether it's My Name is Earl managing to be funny after an entire season where it wasn't, or that The Amazing Race needs to add a literacy test to their contestant-selection process.  The unfortunate side of my truth-telling is that as much as I love television, the negative aspects tend to stand out and I tend to discuss them.  Well, not today.  Today we are all sweetness and light (and completely ignoring Pushing Daisies actual, official, cancellation). You see, I have in my grubby little hands the ABC Family "25 Days of Christmas" schedule.  For those of you out there who seem to think that it's simply too early to start thinking about Christmas, you're wrong… wrong, wrong, wrong.  Thanksgiving is a week away and the Christmas season starts the day after Thanksgiving, so it's totally time to prepare.  My perusing of the ABC Family schedule seems to indicate that there are three new specials this year and a ton of other good stuff.  Specials-wise we're getting A Miser Brothers' Christmas, Snow 2 Brain Freeze, and Christmas in Wonderland.  The first two of these are sequels… sort of.  Well, the first sort of and the second definitely.  Let me clarify here – Snow 2 Brain Freeze is a sequel, the sequel to the ABC Family original film Snow from a couple years back.  Ashley Williams (she grew up right near me and I've liked her ever since I saw her on How I Met Your Mother) and Tom Cavanagh are both returning Then, A Miser Brothers' Christmas.  That features Snow Miser and Heat Miser from the truly classic Christmas special – The Year Without a Santa Claus, one of those great Rankin/Bass Christmas specials.  They did stuff like 'Twas the Night Before Christmas; Santa Claus is Coming to Town; Frosty the Snowman, and Rudolph; the Red-Nosed Reindeer (all of which, save Frosty seem to be airing on ABC Family this year).   They even have some of the original cast coming back for the new Miser Brothers' (Mickey Rooney and George S. Irving to be specific). There's also a Patrick Swayze/Carmen Electra pic (that would be the non-sequel), Christmas in Wonderland.  That one features a down-on-their-luck family finding a big bag o' cash which turns out to belong to a couple of crooks who are less than amused by the loss of the bag.  Of course, the movie also features Chris Kattan and Tim Curry, so while the crooks may not be amused, the thing may be amusing (no promises though, I haven't seen it). So, on ABC Family from December 1st to 25th there will be three new things, a bunch of new-to-ABC-Family things, lots of Dr. Seuss, and some classic Christmas specials. It's okay, you can admit you're ready for Christmas.  I won't tell anyone.

Southwest to Serve New York City’s LaGuardia Airport

Posted under Vacation News - Nov 23rd, 08 - Comments Off

Southwest to Serve New York City's LaGuardia Airport
Southwest to Serve New York City’s LaGuardia Airport Southwest announced it intends to purchase ATA, which is bankrupt, with the hopes of obtaining ATA’s rights to 14 slots at New York City’s LaGuardia. These slots would permit Southwest to operate up to seven daily round-trip flights at LaGuardia. The move would bring Southwest firmly into the New York City market, as the airline previously served only Long Island MacArthur Airport, some 50 miles outside the city. Southwest’s approach to growth has always been to avoid big cities and their delay-prone airports in favor of secondary options, which are generally less crowded. This allows Southwest to quickly turn around its planes and fly more routes while staying reasonably on time. So despite what seems like a can’t-lose scenario, Southwest is taking a gamble here, albeit a pretty safe one. This is an airline that relies upon timely service, both for its passengers and behind the scenes. Delay problems in New York cannot be understated—each of the big three area airports is regularly among the worst performers when it comes to punctual service—and will present a big hurdle for Southwest to clear. If Southwest hopes to maintain its quick-turnaround style of operation at LaGuardia, the airline has its work cut out for it. That said, Southwest spokesperson Whitney Eichinger, speaking to the AP, pointed out that Southwest has been successful in Philadelphia, where critics thought the airline would run into trouble. Moving to LaGuardia will, however, open Southwest to an enormous population of business travelers—not to mention eight million New Yorkers, some of whom may not have been interested in driving to Long Island just to snag a low Southwest fare. Speculation is that Southwest will fly to Florida and possibly Chicago. If you’re a fan of Southwest and live in New York, I would imagine you’re pretty happy right now: No more long drives out the Long Island Expressway! For the rest, though, the carrier’s entry into New York should signal a new round of competitive pricing, at least on the routes Southwest flies. So yes, in general, it’s a good thing. But whether or not New York is big enough for yet another airline is another matter, and Southwest’s presence could only compound the existing delay problems, creating an overall worse traveling experience. Tell me what you think—is Southwest a good fit for New York? Leave a comment below with your thoughts.

Shopping the city of sales

Posted under Cruises - Nov 22nd, 08 - Comments Off

Shopping the city of sales
Forget everything you thought you knew about this city. Beyond its choked motorways and mega-malls lies a string of rare gems that will put a sparkle into anyone's shopping trip. Here's a three-day itinerary that mixes the quirky with the quintessential. Start your excursion with a spellbinding whale and dolphin safari to put you in your very best shopping mood. Explore NZ's high-speed luxury catamaran leaves Viaduct Basin at 8.30 each morning for a marine adventure on the Hauraki Gulf. Its clued-up crew promise to seek out the most exciting marine activity. Returning replete with wonder and inspiration, jump on a smart circle-line Link bus to Newmarket and take a stroll down Broadway to browse everything from high fashion to leisureware. A little detour will find you in Nuffield Street, where you'll find Lucie Bouchier's colourful retail emporium. The self-proclaimed "wacky" designer is selling up to move to the United States, and is offering bargains before she bolts. On the same street is the magical world of Trelise Cooper Kids. If you don't have littlies to buy for, find some – you won't be able to resist the treasures. Big girls will have to pop down the road to Parnell (or across the city to the Trelise Cooper outlet store in Richmond Rd, Ponsonby). But linger on Parnell Rise for the afternoon, the sunny shopping village has views that complement the shopping. Mana Gallery has a great selection of gifts inspired by the beauty of our country and prides itself of selling affordable, 100 per cent New Zealand-made art work, quirky prints, jewellery, beautiful glassware and ceramics. Right next door is the Chocolate Boutique Cafe featuring gourmet handmade chocolates. At the end the day, take yourself off to one of Parnell's host of award-winning restaurants for dinner, then head up to the Ivory Lounge and gather around the duelling pianos. Resident pianist and vocalist Deryn Trainer – this year's grand champion winner of TV1's Stars in Your Eyes (Billy Joel) – and a guest pianist belt out everyone's favourite retro tunes. After a leisurely breakfast at Cin Cin on Auckland's waterfront, take a stroll around Auckland's downtown. On Customs St East you can lose yourself for an hour or two in the Urban Loft, a magnificent brick-and-timber warehouse with a surfeit of designer homewares and gifts. From there it is a short walk to High St and the Chancery precinct, home to many fashion boutiques and designer stores including Karen Walker, Zambesi, Nom*D and World. For something a little different, pop around to Freyberg Place and rummage through the newly opened City Designers Market, a great place to buy beautiful New Zealand-made fashion directly from the creators – without paying the earth. Labels include Design by Nature, Flos, Harriet Falvey, Misty Lang, Jimmy Hood and Ribbon on a Bombshell. When your feet can take no more, jump in a taxi and treat yourself to high tea at the Langham Hotel – the one that comes with a glass of Laurent-Perrier Brut NV Champagne. Delicate sandwiches, scones, cakes and delicacies are served up on a three- tiered platter. Having rendered yourself incapable of further shopping, head back to your hotel for a quick spa (or nap), then glam up for a night of romance. Merlot Wine Cafe is the perfect place for an intimate meal. Tucked away on O'Connell St (in the Chancery precinct), candlelight and smooth jazz sounds create a cosy, relaxed ambience. Serving home-cooked-style meals, Merlot is known for its extensive list of New Zealand wine – and its red-themed toilets, nicknamed Moulin Rouge. Or for something a little different, try an early dinner at Tanuki Japanese Sake and Sushi Bar on Queen St – where customers sit at long counter seats and watch the chefs at work – then head across the road to the magnificently- restored Civic Theatre for a performance of Phantom of the Opera. Forget shopping. Hire a scooter from Scootling on Ponsonby Rd and drive out along the picturesque Tamaki Drive to Mission Bay, walk barefoot along the golden sand beach and roll up your jeans to splash about in the park's massive fountain. Even better, hire a pair of rollerblades from Ferg's Kayaks and cruise along the Promenade, popping into Movenpick of Switzerland for a hand-rolled waffle icecream. Before heading home, call into the Fish Pot Cafe for takeaways and eat them on the beach while you watch the sun set. Or you could catch a Fuller's ferry to Rangitoto Island. Once there, hop on board the 4WD road-train, Volcanic Explorer, for a guided tour to the base of the 600-year-old volcano, then take a 15-minute boardwalk climb to the top for spectacular 360-degree views of Auckland and the Hauraki Gulf islands. On your return to Auckland, head to the new Sale St bar in Freeman's Bay. The mega bar sports its own micro- brewery, creating an exquisite range of beers under the guidance from DB's master brewer. On the food front, you can choose from an a la carte menu, "upmarket" bar snacks, gourmet pizzas or an array of sizzling hotplates cooked in front of you at the Yakatori Skewer Grill. Live entertainment is offered on selected nights but if you want to escape the crowds, there is a large outdoor courtyard, an intimate back room bar, and a library-style area with a selection of games. Take an early flight home, arriving in Wellington in time to start work, safe in the knowledge that if you have forgotten to buy anyone their present you will have plenty of snaps you can pop into a stylish photo frame and wrap up as a gift.

Readers Share Their Favorite Free Vacation Activities

Posted under Vacation News - Nov 21st, 08 - Comments Off

Readers Share Their Favorite Free Vacation Activities
Last month we asked you to share your favorite free things to do on vacation. Your answers highlight just how much you can do without spending a dime. From people watching in parks to savoring scenic drives, here are some of your favorite ways to forgo the admission fees without sacrificing any of the memories. Get Outdoors Walking, snorkeling, and swimming are all great ways to immerse yourself in the beauty of a place. Reader D. Baird wrote in with this packing tip for anyone who plans to snorkel more than once on a trip: “In Belize, Mexico, Zanzibar, and the Galapagos, I brought along my own personal snorkel gear so I could swim off shore as many times and as often I wanted—all for free!!” Another anonymous reader sings the glories of snorkeling: “Snorkeling is my favorite thing to do on vacation. No matter the age, it’s good exercise and makes you feel great—like being in another world. The awesome beautiful coral, fish plants, and the colors are so unbelievable.” Aileen Kow, writing about Hawaii, suggests getting out early: “Beach walks in the morning for sunrise are also great.” Reader Hmmmichelle advocates exploring on foot at any time of day: “Walk around the town or city! I check out the markets, street performers, and beaches and just get myself acquainted with the city, its people, and its culture.” Explore Local Cultures Experiencing other cultures is a huge part of most vacation experiences. Many readers shared their tips for soaking up the local flavors. Lyndee from Fairfax, Virginia, recommends “people watching in Europe while you’re sitting in a plaza, or by a fountain, or at an outdoor cafe. I love seeing how people are dressed, how they interact and what normal folks do on an ordinary day while I’m on vacation in their country.” Maggi Wagner and Chuck Cleveland take a similar approach: “Our favorite free thing to do on vacations around the world is to get lunch to go, take our books to read in a local park or square, and just relax and ‘people watch.’ We frequently strike up conversations with the locals and learn lots of special things to do and see off the tourist path.” Ellen, meanwhile, creates her own cultural walking tours with a little help from local organizations: “I go to the local historical society and find out what a town/city has to offer. For example, while in Oil City, Pennsylvania recently, I designed two tours. One included historical, Victorian homes, and one reflected unique commercial structures. You can do this anywhere in the world (with cautions, of course) and get quality exercise, while you do some unique visual learning. Once, in Delos (Greece) we did our own “discovery” walk to analyze what the people were like many centuries ago.” Nadine does as the locals do by shopping where the locals shop: “Wander through a foreign supermarket or hardware store. They always have interesting items that we don’t have back home.” SarahP finds free ways to soak up local history: “I always like to visit cathedrals—beautiful architecture and history, all free!” Make the Most of Public Spaces From making the most of hotel common areas to checking email in city buildings, visitors can find all sorts of free things to do in spaces open to the public. Aileen Kow shares a tip for making the most of cool hotel lobbies, even when you’re not a guest: “I have always enjoyed relaxing in an air-conditioned hotel along the way to another walking tour spot. Maybe hit the lobby or the patio area if one is available. We get spoiled here as there are some great views of beachfront and white sands here in Hawaii that even we as locals can enjoy.” Wondering where to go to find noteworthy architecture, a comfortable place to sit, and free Internet access? Four separate readers wrote in to recommend the local public library as a great place for out-of-town visitors. Roz Paris says, “When we travel in large American cities, there is often a wonderful and free tour of the central library, for those who are inclined. These are beautiful old buildings, and often have an interesting history, told by enthusiastic docents.” Megan Allen adds, “if possible, get a library card—make a donation and have a great memento of your vacation.” Kathy Phillips of Fresno, California, says libraries offer “beautiful architecture, clean restrooms, and comfortable places to sit and read local papers and about local resources/events/sights.” And libraries can save visitors money, too. An anonymous reader says, “I love to go to the local library and email my friends for FREE. I set up a free account on Yahoo before I leave for vacation and then use the local library’s computers to email my friends.” Recommended Free Spots So what are our readers’ favorite free spots? Don MacNeil recommends, “Free museums and parks like all the museums in Glasgow, or the Garden of the Gods in Colorado Springs.” Kathy Phillips recommends the Pana’ewa Rainforest Zoo & Gardens (in Hilo, Hawaii), walking through Central Park in New York City, as well as “wave watching at Pacific Grove’s Asilomar Beach in California, driving/walking through the Avenue of the Giants in Northern California, and driving Highway 1 from Ft. Bragg, California, to Coos Bay, Oregon.” What are your favorite free things to do on vacation? Continue the conversation below!   

Thanksgiving Airfares Fall as Economy Softens

Posted under Airfare - Nov 21st, 08 - Comments Off

Thanksgiving Airfares Fall as Economy Softens
All eyes are on the Thanksgiving travel period as a harbinger of future ticket prices. While the sky-high fuel costs that were hobbling airlines have abated, the economy has gone into a tailspin, undermining demand for travel and other non-essential goods and services. Will the airlines respond by cutting prices? When? And by how much? Our recent survey of SmarterTravel.com readers’ Thanksgiving travel plans suggested that plenty of consumers will either be staying closer to home, traveling by car instead of flying, or not traveling at all this year. And that scenario would suggest that airlines will indeed be forced to scale back prices to keep cost-conscious flyers in the air. A recent report by Travelocity provides some hard data on holiday airfares, confirming that prices are softening. According to the study, “While airfares remain higher than last year, Travelocity’s Thanksgiving data report shows a decrease in domestic airfare over the past several weeks. On average, travelers can expect to pay $393 for a domestic ticket this Thanksgiving, down from $404 just three weeks ago.” While prices are higher than they were last Thanksgiving, they are only up about 9 percent, which translates into an extra $35 per ticket. Normally, such a modest increase wouldn’t be a deal-breaker. But with consumer confidence low and falling, price-sensitivity is high and rising. With just over two weeks to go before Thanksgiving, and with no end to the gloomy economic news in sight, there’s a strong likelihood that airfares will slip even further. Stay tuned to SmarterTravel’s Airfare section for breaking news on newly announced airfare sales.