U.S. Travel Industry Anticipates a Slight Recovery in 2010

Take offThough there seems to be disagreement amongst even the most well informed, the consensus across the board is the any recovery within the U.S. travel industry may be modest at best. With the economy still quite weak within the United States, many speculate that there may be some sort of recovery within 2010 but that it will not necessarily be as large as once expected. Though the economy is showing some small signs of recovery, there continue to be mixed messages across the board. This means that if any recovery within the travel industry and the airline carriers were to happen, it may be less than some had anticipated.

Business Travel is a Big Factor

With record high unemployment rates and less business people travelling within their current jobs, business travel continues to be down overall. This is due to these two factors whereby there are fewer people working jobs within a given company. For those that previously traveled, they are finding alternative ways to communicate with clients, team members, or business associates. This is bad news for the airline carriers and travel industry overall because business travel makes up a rather large sector. Without this increase, any other demand isn’t quite as effective.

Though there has been better leisure travel than originally anticipated, this is due primarily to cheaper flights. The travel industry needs to make up for these lower fares and get business travellers back into the mix. Though there are efforts to revive employment, they will take time. Though we may see some of these efforts come into play, it may not be as quickly as many within the travel industry would like.

Recovery One Step at a Time

Any increase in travel is good for the industry overall. Though the recovery is expected to happen, it may not be as quickly as some had hoped. Though there was much hope that the economy would start to show major signs of improvement, it may not happen in the spring as some had thought. Any increase is good, so many within the travel industry are hoping for the best as they brace themselves for a new year.