2009 Summer Travel Gas Price Fact Sheet
- Recent gasoline price increases will have an impact beyond
the estimated $30-$50 in additional costs for gas on the typical
vacation. Those impacts include consumers feeling pinched
by weekly gas costs while they are contemplating and booking
a vacation and also by possible declines in consumer confidence
caused by substantially higher gas prices.
- When asked specifically
about ways they might economize, 71 percent said would use one or more of tactics suggested.
The largest number said they would look to economize on food
purchases (52%). This could benefit fast-food chains and
family restaurants. Other areas where they would attempt to economize
are – in order – accommodations, activities, and
last, transportation. Almost one-third (31%) are looking
for what they perceive to be more economical destinations – 22
percent said they would shorten their trip.
- Twenty-six percent
of those planning to travel less or not at all this summer
cite gas prices as the reason versus 18% last summer. There is also growing concern about personal finances – 24
percent cite this concern this summer vs. 17 percent last summer.
- Auto
travel (88 percent of leisure travel) will be sluggish – and
probably closer to home. Destinations near major population
centers, as well as those offering creative incentives and
new things to see and do could benefit.
- Gas prices are attributed
as a major factor behind the recent decline in consumer sentiment
reported by the University of Michigan and the growing numbers
of Americans, according to a Gallup poll, who fear the economy
is beginning to sour.
- GDP was up a very robust 4.8 percent in the first quarter, as consumer spending surged, but Global Insight expects this to slow to 3.2 percent in the second quarter and 2.6 percent in the third. April retail sales data also show a slowdown in spending and we expect consumer spending to continue to slow in the coming months.
For more info, contact : Allen
Kay at
202-408-2136