U.S. leisure travel will grow in '08

CHARLOTTE, N.C. -- Leisure trips and travel spending are expected to continue modest growth through 2008, but travel preferences are changing, according to the Travel Industry Association's, or TIA, annual forecast.

Travel spending by domestic and international visitors to the U.S. in 2008 is expected to increase 5.2 percent, to $778.2 billion, and the number of leisure trips taken domestically is projected to increase 2.5 percent for 2007 and 2 percent next year, TIA predicted.

Despite higher hotel-room rates, higher gas prices and the hassles of flying, "people continue to value their leisure travel," said Suzanne Cooke, TIA's senior vice president of research.

But there are "changes in activity patterns," Cooke said.

Cooke said that spas, the gaming industry, the cruise industry and sports-related tourism, such as trips related to NASCAR races, are among the leisure travel sectors that are doing well. In contrast, she said, "the trend over the last decade is that national parks are showing stagnant growth (in numbers of visitors). Major historic properties have also had difficulties" attracting more guests.

She added that right after the Sept. 11 attacks, there was more family travel and people were interested in visiting familiar places, but now "people are looking for new destinations. … More traditional venues are having a hard time maintaining the spotlight."

International travel to the U.S., including visitors from Canada and Mexico, is expected to rise 3.7 percent in 2008 to 55.6 million visitors, following a projected 5.1 percent increase for 2007, the TIA said. However, since 2000, there has been an 11 percent decline overall in overseas visitors to the U.S., the TIA said, despite the fact that the weak dollar makes the U.S. a travel bargain for many travelers from abroad.

TIA's forecast also included findings by the leisure trend analyst Peter Yesawich, based on a nationwide online consumer survey of 2,296 adults who took at least one overnight trip in the past year.

Yesawich said 78 percent of those surveyed consider themselves to be environmentally conscious, and more than 50 percent said they were more likely to select a travel supplier who "demonstrated a true commitment to environmental responsibility." However, "only 13 percent of travelers would be willing to pay a higher fare or higher rate to a supplier that demonstrated environmental concerns."

Another trend involves business and salespeople using the Internet, videoconferencing and other high-tech communication options as a substitute for the hassles and expense of traveling to meet clients.

"If it's a one-on-one situation, they're trying to use advancements in technology to get the job done," Yesawich said.

On the other hand, he added, "most executives and professionals look at the annual meeting or the semiannual meeting as a must-do kind of event. They go for educational purposes, they go to learn what's happening. That's not true for another sales call."