THE TRAVEL market in the Asia-Pacific region is thriving, and is leading the way in many economic indicators and in business travel volumes, according to to the 2012 Travel Price Forecast of Carlson Wagonlit Travel (CWT), a global firm that focuses on business travel and meetings and events management.
“However, APAC travel prices will be flatter in 2012 on a quarter-over-quarter basis, given that the region was not as affected by the economic downturn as other parts of the world, and has already been experiencing strong growth rates throughout 2011,” stated the study.
For next year, CWT foresees airline pricing in the region to increase by 3.1 per cent to 3.8 per cent, as “a dynamic mix of legacy airlines and a growing group of low-cost carriers compete for travellers, holding down fares in the region.”
Regarding hotel projections, average daily rates (ADR) are seen to range from a 1.9 per cent decrease to a 2.1 per cent increase in the first half of 2012, and a 0.9 decrease to remain flat for the second half of the year.
The region’s business hubs currently have the highest occupancy rates in the world, which remain a challenge for travellers. But the strong supply growth across the region will keep overall ADR modest, as per the study.
The 2012 Travel Price Forecast, which projects supplier prices for airlines, hotels, ground transportation providers, and meetings and events spend, provides projections for every region in the world and country-level expectations for markets where CWT clients travel to most frequently. Based on the study, the most substantial increases are projected for Latin America.
