Summer vacation is going to be expensive
What's happening: Executives in the travel and hospitality industry have noticed that American consumers are planning to hit the road this summer, especially as pandemic restrictions have lifted.
- A survey from Bankrate.com found that 69% of Americans said they would take a vacation this summer.
- Expedia said in an earnings report that gross bookings jumped 58% in the first quarter of 2022 compared to last year.
Yes, but: Traveling won't be easy on your wallet. Higher costs for lodging, airline tickets and expenses may spoil summer plans, The Wall Street Journal reports.
Gas prices: The national average price for regular gasoline jumped to $4.37 a gallon Tuesday, which is a new record high price, Axios' Jacob Knutson writes.
- Diesel prices hit a new record at $5.50 per gallon, too.
- Prices have been high since Russia's invasion of Ukraine caused a disruption of the energy market, which drove up the costs.
Airline fares rose 12.7% in February 2022 compared to last year, even though they're still down 14 percent compared to 2019, according to new data from the Bureau of Labor Statistics.
- Data from the Airlines Reporting Corp. found the average ticket price for a roundtrip ticket jumped to $464 in February 2022 -- up from $409 in January.
- Hopper's Summer 2022 Travel Guide said prices are higher due to increased demand, fewer flights and jet fuel prices.
Hotel prices are up 40 percent since March 2021, per The Washington Post.
- New data from travel research company STR found the average daily hotel price was $147.15 from March 1 to 26, The Washington Post reported.
- This is a jump from 2021 when prices were roughly $105 a night on average.
- And it's higher than pre-pandemic prices. Average prices for a nightly stay were $132.56 in 2019.
- Labor shortages and higher wages for workers have led to price increased, Carter Wilson, STR’s senior vice president of consulting, told The Washington Post.
Rental car prices will be on the rise, too, as there will be a shortage of vehicles to rent out, per The Wall Street Journal.
- A global chip shortage and supply-chain issues will lead to higher demand and increased costs for what rental cars are available.
Summer camp prices will also be on the rise for 2022.
- Tom Rosenberg, president and CEO of the American Camp Association, told CNN that camp fees could jump 10% to 15% for summer 2021 compared to last year.
- Rosenberg said the rise in prices is slightly due to demand since the COVID-19 pandemic forced some camps to close.