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Travel to Increase 2.2 Percent for Christmas-New Year's Holiday, Says AAA


December 2006
 Filed under: CAR CONSUMER Car News | CAR CONSUMER Headlines

Reasonable fuel and vacation costs persuade Americans to travel

Washington, D.C. - 12/13/2006 -- More Americans will travel this Christmas-New Year’s holiday than ever before, according to AAA. AAA estimates that 64.9 million Americans will travel 50 miles or more from home this holiday, a 2.2 percent increase from last year’s 63.5 million travelers.

“Because hotel rates, air fares and gas prices have risen only slightly from this time last year, Americans will not hold back when making travel arrangements this holiday season,” said AAA CEO and President Robert L. Darbelnet. “This Christmas-New Year’s holiday we will see a healthy growth in travelers, following relatively flat travel seasons earlier in the year.”
Approximately 52.6 million travelers (81 percent of all holiday travelers) expect to go by motor vehicle, a 2.1 percent increase from the 51.5 million who drove a year ago.

Holiday auto travelers will find gas prices nationwide currently averaging $2.29 for a gallon of self-serve regular gasoline—up 7 cents during the last month, and 12 cents higher than one year ago.

Another 9 million (nearly 14 percent of holiday travelers) plan to travel by airplane, up 2.7 percent from the 8.7 million that flew over the holidays last year. A projected 3.3 million travelers (5 percent) will go by train, bus, or other mode of transportation, up slightly from 3.21 million a year ago.

“Airports will be busy this December as Americans visit family and take end of the year vacations to beaches, ski slopes, cruise ships and more,” said Darbelnet. "We encourage travelers to make their Christmas-New Year’s plans early, since waiting until the last minute will result in higher rates and fewer options.”

Unlike this Thanksgiving, travelers will be happy to see more reasonable hotel rates, airfares, and rental car rates this holiday season, according to AAA’s Leisure Travel Index. Christmas hotel rates are up 4 percent for AAA-rated Three Diamond hotels, as strong demand allows hoteliers to raise rates. Airfares stayed at an even keel from last Christmas, while rental car rates have dropped a welcome average of 3 percent from their prices last Christmas.

Americans traveling over the New Year holiday will also be rewarded with lower airfares and no increase in hotel rates from last New Year. According to AAA’s Leisure Travel Index, travelers can expect to see a two percent decrease in airfares from this time last year, but will make up for those savings with higher rental car rates – up about five percent.

As in 2005, the greatest number of Christmas-New Year auto travelers will originate in the Southeast with 13.8 million, followed by the West, 13.2 million; Midwest, 10.2 million; the Great Lakes, 8.3 million; and the Northeast, 7.2 million.

The Southeast is expected to produce the largest number of air travelers with 2.7 million, followed closely by the West with 2.5 million; then the Northeast with 1.8 million; Midwest with 1 million; and Great Lakes with 924,000.

Most travelers will avoid the high hotel rates expected over Christmas and New Year’s, with 66 percent of holiday travelers expect to stay at a friend or relative’s home. Hotels and motels are a distant second at 19.7 percent, followed by cabin/condo, 2.4 percent; camper/trailer/RV/tent, 1.9 percent; other, 1.8 percent; no overnight stay, 5.1 percent; and didn’t know, 1.3 percent.

Small towns and rural areas are the expected destination for 37.6 percent of holiday travelers, followed by cities, 35.3 percent. Oceans and beaches should see 10.1 percent of travelers, followed by mountain areas, 6.5 percent; theme/amusement parks, 3.9 percent; 0.7 percent for lake areas, and 0.1 percent for state/national parks. Another 4.7 percent responded with other and 1.2 percent didn’t know.

Research for Christmas-New Year’s holiday travel is based on a national telephone survey of 2,000 adults by the Travel Industry Association of America, which conducts special research for AAA.

As North America’s largest motoring and leisure travel organization, AAA provides its more than 49 million members with travel, insurance, financial and automotive-related services and member-only savings. Since its founding in 1902, the not-for-profit, fully tax-paying AAA has been a leader and advocate for the safety and security of all travelers.

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Source: AAA

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