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Travel Leaders: Europe Airfares Getting More AffordableAugust 13, 2012 By: Newswire Travel Agent
Travel Leaders Corporate research reports it has found hotel rates and rental car rates to be climbing slightly, while airfare to Europe is becoming increasingly more affordable for business travelers.
Analysis of the second quarter data on international air travel indicates the average cost of an airline ticket in the second quarter of this year decreased by roughly 1 percent, as compared to the first quarter of 2012. When comparing quarterly data year-over-year, the average ticket cost dropped even more – approximately 5 percent. Travel Leaders Corporate is a division of Travel Leaders Group.
“For the second straight quarter, we’re seeing softening demand in the international business travel market that is directly related to lingering economic uncertainty in Europe,” said Travel Leaders Corporate President David Holyoke. “We are not seeing that uncertainty in Europe affect airfares in the United States yet. Still, we’re experiencing growth in these segments, as our clients booked over 3 percent more domestic air tickets and 12 percent more international air tickets year-over-year.” The average international ticket cost for the 2nd Quarter of 2012 was $2,174 down from $2,290 in 2011.
Domestic airfare costs increased roughly 5 percent in the second quarter of this year as compared to the second quarter of 2011, Travel Leaders Corporate reports. The increase in costs is nearly the same percentage when comparing the first and second quarters of this year. The average ticket cost for domestic air travel in the 2nd Quarter of 2012 was $534 up from $508 in the 2nd Quarter of 2011.
Regarding car rentals, Travel Leaders Corporate found that previous quarter-over-quarter decreases have leveled off slightly. “While overall rates increased slightly, we saw cost per day remain in check even more with our most booked rental car companies,” Holyoke said.
“We also noticed business travelers appear to be holding their rentals slightly longer – as cost per rental has remained in check. Perhaps our clients’ customers are picking up their cars earlier and dropping them off later due to varying flight schedules. Regardless, we continue to see growth in this segment as rental car bookings overall are up roughly 12.5 percent year-over-year.” The average cost per rental in the 2nd Quarter was $134.69 and the average cost per day was $41.09
When looking at the average cost per night of a hotel room for both domestic and international business travelers, Travel Leaders Corporate’s data suggests rates are inching upward – as are the number of room nights being booked.
“It’s no surprise hotel rates for business travelers are inching upward as various industry indicators have been forecasting increases for quite some time,” Holyoke said. “We continue to see more of our clients’ travelers booking affordable mid-priced hotels. The good news is the slightly higher rates are not keeping business travelers away. Our domestic hotel bookings are up approximately 6.5 percent. Internationally, bookings are up even more – over 9 percent.” The average cost per night for domestic travelers was $134.09 and $215.81 for international.