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Budget Travel Trends of 2005

By , About.com Guide

The travel industry changes very rapidly. Trends of two years ago are often reversed, and budget travel strategies that worked in the recent past might not be of much value today. That's why it's important to stay abreast of the latest developments. About Budget Travel focuses on trends throughout the year, to give you a better idea of where to find money-saving strategies and why they will work. Here are the five most promising trends of 2005, with links to more information.

1. The Decline of Restrictions on Airfares

Business travelers have more options in 2005 than they did in 2000. There are budget carriers that offer low airfares and compete directly with the majors. So the majors have had to rethink their standard fare rules, such as requiring a Saturday night stay. In the face of Chapter 11 reorganization, others had to cap some of their higher short-notice fares to increase ticket sales. All of these things make it easier to shop for a lower airfare.

2. Fewer Internet Connection Charges, More Wi-Fi

The extravagant fees for Internet connectivity on the road are not dead yet, but they are dying. The rise of wireless technology has hotels scrambling to provide "hot spots" in rooms and common areas. Business travelers demand it, and vacationers prefer it. Some hotels charge for wi-fi, but many now see it as a necessary "free" service. Naturally, the costs of installation are going to be passed on to travelers, but at least the days of $10.95 hook-up fees are fading in many places.

3. The Rise of Budget Airlines in Europe

In 2005, it was often cheaper to fly between European capitals than to book train passage. That contrasts with what had been a steadfast rule for the budget-conscious: Air travel within Europe is outrageously expensive. Carriers such as easyJet have made it possible to save money and that equally precious commodity of time. One can argue that flying above Europe detracts from sightseeing, but a well-placed flight or two can save money and time for a diverse and more affordable itinerary.

4. An Increase in Fuel Efficiency Awareness

For the first time, many Americans paid $2 USD for a gallon of gas in 2005. But what's really surprising is that many also paid $3 for a gallon, too. Fuel costs were the biggest bad news of the year. They affected airfares, consumer goods and family vacations. But with every cloud, there is a silver lining. In this case, consumers have had to re-examine their driving habits. They refused to tolerate price gougers. Will it take another year of high prices to sustain or increase these gains?

5. Do It Yourself Planning on the Internet Reaches New High

Nearly seven-in-ten business travelers in the United States now plan travel on the Internet. In Britain, the figure is above five-in-ten for the first time. Travelers are taking the initiative to search for their own vacations or travel arrangements. This kind of research and access to shopping can only be a good thing for the consumer. One new tool from Kayak.com called Buzz makes it possible to see the lowest actual prices for flights on a given route during the past 72 hours.
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