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Facts or Trends - Who Knows for Sure
Facts or Trends - Who Knows for Sure
While training for run # 59 this weekend in MO and right after my anecdotal comments on Trends, the CEO for Expedia and the Travel Advisor for Delotte Touche were on CNBC with the following claims:
• DEALS are driving demand for the summer season
• Expedia has over 5,000 hotels on line this year VS 1,800 last year at this time
• 2/3 of Americans are taking vacations but are planning on spending less
Here are the primary 'drivers' of this condition and it's a bit of a Perfect Storm:
• There is no such thing as normal Business Travel anymore - it's all been dramatically reduced
• Group Bookings through all of 2009 are very light
• Leisure Travel is the saving grace, but it is all deal and discount oriented.
So, there's the official, financial, electronic booking explanation....ah, but no solution.
From where I am sitting in row 16 en route to Kansas City, with only one suit on board....the solution is to find new ways to attract new business in new markets...
otherwise, it's all about discounting and we know from 9/11 that it will take years to recover and build back rates: so that's really not an option, right?
by Jim Miller
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