New year … Cheapflights.com predicts Here, Cheapflights.com issues Air Travel’s Top Five Predictions for 2011: Solo Travel / Literary Travel The world is more open to solo travel and soul searching than ever before. The release of iconic movies such as Eat Pray Love has brought new elements to last year’s “Travel with a Purpose” trend. Since its premiere on 13 August 2010, search to India has seen an increase of 26 percent showing that more travelers are up to following in the footsteps of author Liz Gilbert to explore the world independently, and travel companies and lodging is supporting the trend with special accommodations in the solo travel category. Travel Hot Spots With every New Year come predictions for new holiday hotspots. The effects of the recession coupled with global events such as the World Cup have reprioritised the way travelers search, what leads their destination choices and have even expanded the distances they’re willing to travel. We’re predicting the trending hot spots for 2011 will include the likes of Brazil, Morocco, Tunisia, China, and up and comers within Eastern Europe that are still in Europe but don’t yet use the Euro such as Latvia and Lithuania. In other words, people are a lot more flexible with their destinations, trying new things, and open to new places. Techno-travel 2011 Smart phones and applications add an extra element of fun on the go, and the fact that the Internet is accessible at any time through smart phones could spur an increase in last-minute travel bookings from phones. Flexibility is key to finding great deals so the ability to search and compare flights on the go should encourage last-minute travel. Air Fares will Rise We believe that air fares will tend to move upwards in 2011. Passenger demand has increased to 5 percent over pre-2008 levels although Iata sees increase in demand slowing a bit early in 2011. Some important points for consumers to keep in mind include: • Increased taxation and other fees charged to aviation are likely to be passed on to consumers; • Airlines are increasing capacity at a conservative pace, keeping the supply/demand ratio more in sync than it was pre-recession; • Asian economies are recovering well and energy demand from them is putting demand on oil prices – analysts expect the price to push through $100 per barrel in the near future; • The International Energy Agency has revised its estimate of world-wide oil demand for this year to 2.3 million barrels a day, the second highest in the past 15 years. The Airline Fee Wars Continue Many legacy airlines have turned added fees and services into a new and profitable line of business. From baggage to peak travel to flight change fees as well as in-cabin services from WiFi to wine, users face a surround sound of potential extras charges. The battles tie to brand as well. Southwest is making this an issue with its no-fee advertising campaigns while, on the flipside, American and Delta are playing with their sales channels, looking at ways to control how all their services are packaged and sold to consumers. Look for bolder moves by airlines as they try to minimize their fees while maximizing consumers’. And be prepared to take control of your own travel costs through more deals research, checking sites such as Cheapflights.com that work with a diverse mix of airlines and online travel agencies. (Image: iUnique Fx)
