Why travel is expected to get more expensive in 2019
BRACE YOURSELVES, travelers.
According to the fifth annual Global Travel Forecast, travel is expected to get more expensive next year.
The forecast, published by Global Business Travel Association (GBTA) and Carlson Wagonlit Travel (CWT) with the support of the Carlson Family Foundation, claims the cost of flights and hotels are predicted to rise.
The rise of low-cost long-haul flights has helped create opportunities for travelers to visit far-flung destinations without breaking the bank and these carriers are predicted to multiply next year. And they will continue to fight for long-haul routes.
Such proliferation has benefited travelers in 2018, who were able to take advantage of super-cheap fares. But the increase in demand is one of the major contributing factors for the increase in pricing.
Ultra-long-haul flights are expected to become a major air travel trend for 2019, but rising oil prices, pilot shortages, and potential trade wars are expected to drive up airfares in almost all global regions.
Just how much more expensive is travel expected to get in 2019?
In Western Europe, for example, the cost of air travel is expected to rise 4.8 percent. This is particularly pronounced in Norway (11.5 percent), Germany (7.3 percent), France (6.9 percent) and Spain (6.7 percent).
However, Eastern Europe and the Middle East and African countries are likely to see a decline of 2.3 percent and two percent respectively.
In the Asia-Pacific region, flight prices are expected to rise 3.2 percent, with Chinese demand remaining high. By 2020, China is predicted to become the world’s biggest air travel market. In 2019, the country’s flights are expected to go up by 3.9 percent.
Similarly, air travel is likely to be more costly in India, with prices expected to rise 7.3 percent, while fares in New Zealand could increase by 7.5 percent.
When it comes to hotels, the report predicts price increases driven by the growing role of technology in personalizing guest experiences and by upward demand fuelled by air travel growth.
On top of constantly bettering their amenities and features, hotels are also busy getting smarter, which requires the companies to invest more in technologies such as in-room entertainment, facial recognition, and mobile apps.
Across the Asia Pacific region, prices are expected to rise 5.1 percent (with a whopping 11.8 percent likely for New Zealand), with the exception of Japan, where a fall of 3.2 percent is predicted.
So if you have got your heart set on an exotic destination in Asia to visit and if you are thinking of jetting off next year, it is worth looking at booking your 2019 flights and accommodation now.
If you are not the type to plan this far ahead, then take full advantage of those flash airfare sales or loyalty programs and credit card points.