Travel News

Airguide Online, April 30, 2004

Low-frills airlines in Europe currently hold 18 percent of the market share, and that could go to 32 percent in just the next few years, according to Kark Garnadt, senior vice president-Network for Lufthansa. Speaking at the 13th annual Phoenix Aviation Symposium, Garnadt said that how quickly they grow depends on the response of the legacy carriers, which have been complacent in responding to the new competition. Michael Whitacker, vice president of alliances, international and regulatory affairs for United, said airlines no longer fit neatly into buckets of domestic and international and low- cost and point-to-point carriers. Most experts agreed that global aviation would eventually evolve into a system of three global alliances with many partners, and then many smaller operators.

According to a new report from PricewaterhouseCoopers, record gasoline prices will not stop Americans from hitting the road this summer. The report predicts that the increase in domestic summer travel will create an increase of 5.3 percent in revenue per available room for hotels.

Honolulu media are reporting that a person suspected in a ticket scam involving Hawaiian Airlines transpacific tickets turned himself in to Honolulu police. According to reports, consumers may have lost $200,000 thus far, but that dollar figure could rise if additional victims come forward. Hawaiian Airlines had issued a warning to would-be travelers earlier this month that an individual was offering consumers five roundtrip tickets between Hawaii and the U.S. mainland for $250 each and promising a sixth ticket for free. In its warning, the airline noted that the first ticket was legitimate but the subsequent ones were not. Consumers who think they've been scammed should file a police report and call Hawaiian Airlines' customer advocate line at 808-838- 3500 to confirm ticketed reservations.

Access America, a travel insurance company, has partnered with Continental to offer trip protection to passengers whom book from Continental.com. The insurance will be available starting next month. It will offer Airline Ticket Protector, which provides trip cancellation and interruption coverage, and 24-hour global emergency assistance. A site www.etravelprotection.com/continental has been developed exclusively for Continental's customers.

A national survey conducted on behalf of Orbitz for Business by Harris Interactive reveals the majority of business travelers are equally or more cost-conscious when it comes to saving their company money in 2004. According to the poll, 83 percent of business travelers feel "more" obligated to save their company money when traveling for business this year. The survey also found that 35 percent of business travelers plan to use an online agency to book business travel in 2004, while one in five (19 percent) said they would use their company's in- house corporate travel agent. Less than one in ten (8 percent) said they would use leisure travel agents for their business-travel needs. For business travelers who use corporate agents, 42 percent feel their corporate travel agent does not always give them the lowest price and 44 percent believe that corporate agents charge high service fees. In addition, more than a third (36 percent) of business travelers frequently search online to see if they can find a better deal than their corporate agent. Eighty-four percent of business travelers cite convenience as a reason for booking business travel online in 2004; 69 percent cite a preference for self-service. The survey, conducted online March 1-3 2004, sampled 2,272 U.S. adults 18 years or older, 733 of whom are employed and plan to travel for business at least once in 2004.

The FAA, at its Annual Forecast Conference in Washington, said as the U.S. and other economies rapidly recover over the next two years, aviation would benefit. Passenger demand will return to pre-Sept. 11 levels by 2005, and large and small airlines will see an annual growth rate of 4.3 percent, the FAA predicts. Low-cost carriers and regional airlines could account for more than 50 percent of all domestic passengers by the end of the 12-year forecast period--2004-2015. But rising fuel prices are still a concern, and the profitability of airlines hinges on the business traveler returning to enough degree. DOT Secretary Norman Mineta said passengers are using different airlines and different airports than in the past, such as Long Beach, Charlotte and Midway, which helps with traffic congestion.

St. Louis-based INTRAV is offering a series of four new private-jet tours that provide shorter, regionally focused journeys to North America, South America and Western Europe. The four itineraries visit:

* Southern California, the Grand Canyon, the Colorado Rockies and New Orleans

* Vancouver, Santa Barbara, Portland and San Francisco

* The countryside in England, Ireland and France and

* Argentina, Uruguay and Costa Rica

For these nine and ten day Luxury Getaways, INTRAV has partnered exclusively with Four Seasons Hotels and Ritz-Carlton. With an intimate group size, each journey consists of at least two nights in three different cities, plus a day-trip to another destination along the way. Deluxe accommodations, sightseeing excursions and select meals are included, as well as special events and all flights aboard the privately chartered jet. An INTRAV travel director will accompany each departure to handle all the details of baggage transfers, tips, etc., and serving as passengers' private concierge. The tours are priced from 13,600 to $22,800 per person double.