American Express Business Travel on Wednesday released its
2011 Global Business Travel Forecast, saying travel buyers should expect higher
airfares and hotel rates but roughly flat to lower car rental rates.
Globally, American Express said domestic and short-haul
economy fares would be up between 2 percent and 8 percent, and international
and long-haul fares would be up between 3 percent and 10 percent. Within the
United States, American Express said domestic fares would increase between 2
percent and 6 percent and international fares between 3 percent and 7 percent.
Hotel rates, meanwhile, will increase by up to 10 percent
both in the midprice and upscale tiers globally. In the United States, rates
could increase by as much as 12.5 percent at New York upscale hotels and by as
much as 6.5 percent at upscale hotels in Chicago, Dallas, Atlanta and
Washington, D.C.
Pricing will remain soft for ground transportation, however.
The forecast said car rental rates would range between 2 percent below and 1
percent above 2010 levels.
In Europe and the Middle East, American Express projects
airfares to increase between 4 percent and 9 percent on domestic and short-haul
flights and between 5 percent and 9 percent on long-haul business fares. The
forecast indicates hotel rates will increase the most in France, up as much as
8 percent in the upper tiers, followed by the United Kingdom.
Airfares in the Asia/Pacific region will increase between 3
percent and 8 percent on domestic and short-haul flights and between 5 percent
and 10 percent on long-haul business fares, according to the forecast. Both
midprice and upscale hotels across the region will increase rates between 5
percent and 10 percent.
In Latin America, the forecast projects increases of 3
percent to 7 percent for domestic and short-haul fares and between 3 percent
and 8 percent for most international business fares. Upscale hotels in the
region will increase between 2 percent and 6 percent overall and may be as high
as 10 percent in Argentina and Brazil, according to the forecast.