TIA conference predicts travel outlook and trends
At this year’s annual TIA Marketing Outlook Forum, held October 27-29 in Scottsdale, Ariz., industry marketing representatives convened to learn more about the 2005 travel outlook and travel trends. The conference revealed that while the industry is recovering, the economy, including unemployment, continues to dominate as the most important problem. However, domestic and international travel is on the rise over last year. In fact, during the first six months of 2004, domestic travel is up 3.2 percent and leisure travel is up 3 percent, while international travel is exceeding U.S. expectations.

Many of the key travel trends that the industry saw last year are expected to continue in 2005. Travelers are still focusing on family travel, yet are more aggressively seeking cultural, historical and agricultural activities to complement their overall experience. In addition, they are also planning shorter, closer to home trips and last-minute trips. Lastly, the Internet continues to gain users in planning and booking travel, with 63 percent of travelers using it as a resource to plan their vacation and 54 percent booking their travel. The trends provide a great opportunity for Illinois to continue to focus on regional feeder markets, showcase the state’s cultural, historical and agricultural significance, and drive consumers to www.enjoyillinois.com to plan and research Magnificent 3-Day Getaways.

Roger Dow appointed TIA President and CEO
The TIA board of directors appointed Roger J. Dow, senior vice president of Global and Field Sales for Marriott International, Inc. as TIA’s new president and CEO at its 30th annual Marketing Outlook Forum in Scottsdale, Arizona. Dow, an industry veteran for more than three decades, will assume the top leadership position at TIA on January 1, 2005. William S. Norman, TIA president and CEO since 1995 announced his retirement effective the end of the year.

A graduate of Seton Hall University, a U.S. Army veteran with the 101st Airborne Division in Vietnam and an articulate and accomplished speaker, Dow has directed every aspect of sales and marketing during his 34 years with Marriott, including advertising, public relations, promotion and sales training. He also led the development of Marriott’s frequent travel program, which currently exceeds 20 million members. As senior vice president of Global and Field Sales he is responsible for Marriott’s 10,000-person worldwide sales organization and his scope of duties includes sales for 2,800 hotels in the U.S. and 69 countries. He has been the recipient of many awards during his illustrious career and is the co-author of two books on best business practices.

The appointment of Roger Dow culminates an exhaustive search process conducted by a TIA Board search committee chaired by past National Chair John Marks, president and CEO of the San Francisco Convention & Visitors Bureau.
Source: TIA.org

Holiday bookings best in four years
Travel agents and suppliers say bookings for the key Christmas holiday period are at their busiest levels in at least four years. An unusually large number of prime warm-weather destinations in Hawaii, Mexico, the Caribbean and Florida are already sold out for the week between Christmas and New Year’s. AAA travel says advance reservations through its systems were up 12 percent as of August, and hotel chains including Hilton Hotels and Marriott International say they’re seeing demand that has almost maxed out certain markets.
Source: Travel Advance

Travel industry optimistic for 2005
According to TIA, after years of little travel volume growth combined with significantly lower travel spending, this is the year of recovery the travel industry has been waiting for. It is the first year since 2000 that all travel industry sectors are showing increases in demand, with some finally exceeding 2000 levels. But some sectors remain troubled by weak revenues.

Two of the hardest-hit segments in the travel industry, domestic business travel and international inbound travel, will both see their first increases since before September 11, 2001. U.S. residents will take nearly 144 million business trips by the end of the year, an increase of 4 percent over 2003. In 2005, business travel will increase 3.6 percent to nearly 149 million trips.

Improved business travel also is fueling renewed strength in demand for both air travel and hotel rooms. The Air Transport Association forecasts a 5 percent increase in air passengers by year end. Smith Travel Research predicts a 4 percent gain in room demand this year.

After falling steadily for three years, international arrivals to the U.S. are forecast to rise 7.5 percent this year and nearly 5 percent in 2005. This translates into more than 43 million international arrivals by the end of this year and almost 46 million in 2005. However, these numbers remain well below the record high of 51 million in 2000. International traveler spending in the U.S. is projected to increase 11.2 percent by year end, to nearly $72 billion and increase nearly 8 percent in 2005 to over $77 billion. Once again, these spending levels are well below the $82 billion spent by international visitors in 2000.

Domestic leisure travel has slowly but steadily increased over the years, despite the aftermath of 9/11, the lagging economy, the war in Iraq and high gas prices. TIA forecasts leisure travel volume will grow 2.9 percent this year up from a 1.9 percent increase in 2003. It will increase once again in 2005 by nearly 2 percent.
Source: TIA.org

Forecast: Online travel will reach $91 billion by 2009
A new report from Jupiter Research, a division of Jupitermedia Corp., finds that the online travel market will total $54 billion this year, or 23 percent of all travel purchased. The online market is projected to grow to $91 billion in 2009, or 33 percent of all travel purchased. Sales are growing for both online agencies such as Orbitz, Expedia and Travelocity, as well as supplier Web sites, with supplier sites capturing the majority of the online market. In 2004, airline tickets remain the largest online leisure travel revenue category, representing $23.3 billion in revenue. More than $11.6 billion in hotel revenue was booked by consumers.
Source: Travel Advance

Survey says work interferes with play
A new study on vacation trends shows something most people have known for decades: work interferes with play. The study of more than 4,000 family vacationers, released by Yesawich, Pepperdine, Brown & Russell, found that “the lengthening work week and corresponding sense of time poverty burdens many adults who are employed full time.” The survey found that the nationwide trend of taking shorter, more frequent vacations is leaving families more stressed out. Most respondents said it takes at least three days to unwind, leaving only one day of relaxation before the average four-day vacation ends.
Source: Travel Advance