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US operators finding strong European bookings
Members of the United States Tour Operators Association (USTOA) say there’s strong interest in European bookings of tour and vacation packages despite the weak dollar.
Sixty-five per cent of members polled said bookings were stronger. Another 25% said bookings were remaining the same. And only 10% reported weaker bookings.
USTOA president Bob Whitley said: “Since many tour operators will guarantee their prices when booked in advance, travellers who reserve and pay for their vacations early may be at a distinct advantage, especially if the dollar drops further.”
USTOA respondents have not added significant surcharges to their prices, and some who set prices in 2004 or have negotiated more favourable rates with hotels, are holding their prices, he said.
But this could change if the dollar drops dramatically.
The weak dollar can have a silver lining, according to USTOA member Juan Tamarit, president of Travel Bound, a company specializing in independent travel.
He said that business has increased, since there is better supply of higher category hotels which must now compete with lower-priced properties.
“This is good for the consumer, who is buying into a better quality product,” said Mr Tamari.
The survey found nearly 95% of USTOA respondents reporting that bookings to other areas of the world were also up over last year. A slight majority (56%) said that this increase was not due to the strong Euro, while 44% attributed the increase to the weak dollar.
Areas cited as strong included China, India, Central and South America, Australia, and the US; and to a lesser extent Mexico, Eastern Europe, South Africa, and Canada
USTOA members are responsible for the vacations of more than 10 million people a year.
Report by David Wilkening
David
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