On June 13, Global Insight, an economic and financial analysis firm, released the second quarter 208 update of "U.S. Travel Insights, " predicting a slight year-over-year increase in business-related travel. "Rising hotel rates, gasoline prices, and air fares have thus far been met by changing trip behavior with travelers spending less -- rather than a decision to stay home. This is strong evidence of the surprising resiliency of travel," said Kenneth McGill, managing director of Global Insights Travel and Tourism Service Group.
Unfortunately, 2009 looks to be a more challenging year as both leisure and business travel are expected to backslide as the slowing economy and lingering influence of rising oil prices will finally take their toll, the report said.
The good news, said Jennifer Fuller, director at Global Insight and principal author of U.S. Travel Insights, "is that slowing demand and rising supplies will take some of the heat off of hotel rates, gasoline prices, and other trip costs."
Source: Convention South, Sept 2008