Probably the two most significant new developments in travel are (1) soaring fuel prices and (2) the rising Canadian dollar. The latter, of course, is good news for Canadian travelers (although not necessarily for exporters). The former, soaring fuel prices, is a concern. Certainly, it will translate into even higher airline ticket prices (see web article); but perhaps even more disturbing is the fact that it will do further damage to airlines (particularly U.S. ones) already in shaky financial condition.
Already, the world’s two largest airlines, American and United, have announced new cuts to capacity in anticipation of decline in demand due to higher ticket prices. Also, sadly American is fazing out its much-praised extra legroom in economy class in an effort to squeeze more cost savings. And, as airline capacity starts to shrink, you can expect more delays and disruptions due to over-booked flights and fewer options.
In summary, the bad news is look for higher prices, lower comfort, and less convenience. The good news: once you get to the U.S. (and many other countries), our dollar will go further than before.
With the expectation of higher airfares, this is one more reason that wise travelers rely on professional travel consultants to not only find the best airfares, but to advise when to buy and when to hold off until a better deal comes along. Like the old Kenny Rogers’ song says, we have “to know when to hold ‘em and when to fold ‘em.”
No comments:
Post a Comment