WASHINGTON -- U.S. traveler concerns about the affordability of
vacations is rising, probably because of sharp increases in gas
prices, the Travel Industry Association of America (TIA) reported.
TIA's latest quarterly Traveler Sentiment Index, released last
week, was based on traveler surveys done in April.
Since then, gas prices have risen even higher -- to a nationwide
average of $1.64 for self-serve regular and above $2 in some parts
of the Midwest, according to AAA.
Nonetheless, TIA president William Norman and other TIA
officials insist price increases at the fuel pump won't keep people
from traveling in the U.S. this summer.
That belief stems partly from the index findings that, although
Americans believe travel is less affordable, they also believe they
personally have more time and money to take pleasure trips.
The belief also comes from knowledge about how much is spent on
fuel in a typical U.S. vacation.
The average U.S. family traveling by car spends about 5% of its
total vacation budget on gasoline; this year's increase in costs
adds only about $13 to a roundtrip excursion of 700 miles, TIA
researchers said.
"The difference in fuel cost for the average family auto trip
this summer compared with last year amounts to the equivalent of a
plain cheese pizza at Domino's, and I don't think that's enough of
a pressure point to create a crisis in travel," Norman said at a
June 22 press conference in Washington.
As a result, he said, "[although] there is some shifting of
travel arrangements taking place, we really have seen no evidence
of Americans deep-sixing their travel plans."
The "shifting," he said, might include shorter trips, cheaper
hotels, rentals of more fuel-efficient cars and more travel at
off-peak times.
The TIA is sticking to its earlier prediction that summer travel
will increase by 3%, and said some destinations may even benefit
because some vacationers are turning one-day tourist destinations
into three- or four-night stays.
Other destinations are trying to encourage travel by offering to
help pay for fuel.
For example, LaPlaya Resort in Naples, Fla., is offering guests
a $25 reimbursement for fuel costs; in Schoharie County, New York,
located between Albany and Cooperstown, is offering Fueling the Fun
packages that include $25 worth of free gasoline.
Although still confident about travel this summer, Norman said
there is some concern when gas prices rise above $2 a gallon. At
that point, he said, 30% of those who plan to travel by auto said
they would seriously consider canceling travel plans.
TIA's Traveler Sentiment Index, which began from a baseline of
100, showed affordability rating of travel fell to 79.2 in the
second quarter of this year. In the Midwest, where gas prices have
since passed $2 in some places, the affordability rating fell to
74.4.
Nationwide, the interest in travel fell in the Midwest, West and
South, leaving the Northeast as the only exception.
Nonetheless, in every region of the country, including the
Midwest, travelers said they feel they have more time and money to
travel.
TIA researchers said that indicates "although travelers feel
they have more financial resources available to travel vs. one year
ago, they feel they are getting less for their travel dollars."