Rising travel costs are reshaping summer vacation plans. Photo courtesy of Princess Hotels & Resorts
A survey conducted by Omnisend, a marketing automation platform, found that the rising cost of travel is reshaping summer vacation plans, with 47% of U.S., Canadian and British travelers delaying, curtailing or canceling their trips.
Yet, an analysis conducted by IMPLAN, which provides analysis for tourism, transportation and consumer spending, found that Americans are indeed investing significant funds – an estimated $47.7 billion in all – on summer travel, “driven by a 26.7% spike in airfare, a 40.9% surge in motor fuel prices and a 5.1% rise in hotel rates.”
Travelers Scale Back or Stay Local
For its part, Omnisend, which polled 1,075 U.S. consumers, 1,068 Canadian consumers and 1,114 British consumers, noted that “while 59%have travel plans this summer, only 17% are taking a major trip involving flights or paid lodging.”
Alternatively, 21% of respondents are opting for abbreviated or less expensive trips, 20% are limiting their vacations to day trips or local activities, and 14% are opting to simply stay home.
What’s Hurting Wallets Most
“Among those affected, gas priceswere cited most often (46%), along with groceries and everyday bills (29%), hotel or vacation rental (24%) and food costs while traveling (18%).
the survey found.
“Americans aren’t giving up on summer. They’re giving up on the idea that a memorable vacation has to involve flights, hotels, or a hefty price tag,” said Omnisend Ecommerce Expert Marty Bauer.
“A vacation budget no longer exists in isolation,” he added. “It’s competing with higher fuel costs, grocery bills and other everyday expenses that have become harder to ignore.
Economic Impact Remains Significant
Meanwhile, the IMPLAN analysis is projecting an estimated $47.7% increase in spending, noting that “additional spending ripples far beyond the airport and hotel lobby, generating $93.6 billion in total economic output nationwide.”
All told, the estimated $47.7 billion in travel spending is “projected to generate $93.6 billion in total economic output, support 433,969 jobs, and contribute $53.9 billion to U.S. GDP,” IMPLAN said.
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