Advito, the consulting unit of corporate travel management company BCD Travel, has forecast that hotel rates and airfares will rise in the first half of 2013 as demand for business travel, whilst slowing, continues to outstrip supply.
Advito looks at industry and economic data from August 2012, as well as data on hotel and air ticket transactions from June, to forecast demand and pricing developments in air and rail travel, car rental, hotel stays and meetings.
Its 2013 Industry Forecast (available in full here) predicts that economic problems in the eurozone will continue to dampen demand for business travel in other regions, even robust markets such as China.
Despite slowing, however, Advito predicts that demand will remain greater than supply and that both hotels and airlines will increase prices.
It predicts that Asian and North American airfares will both go up by 4 to 5 per cent year on year. Latin American airfares will increase between 6 and 7 per cent, while those in the Southwest Pacific will rise by 2 to 4 per cent.
For hotels, it forecasts that Asian room rates will increase between 5 to 8 percent year on year. North American room rates will go up between 6 and 7 per cent, while those in Latin America will rise 8 to 14 per cent. European room rates are forecast to increase 2 to 4 per cent, and those in the Middle East will increase 5 to 10 percent.
For more information, visit www.advito.com