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Travel trends 2007
What globe-trotters can expect over the next year
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After a tumultuous year in travel that brought confusing new airport security rules, airport closings, mergers and talk of more mergers, what's ahead for travelers in 2007? Glad you asked. We're already seeing a number of key trends that are sure to impact travelers in the coming year, including the opening up of many Asian countries, especially China; the flood of financially and physically fit baby boomers into the ranks of the recently retired; changing security requirements, especially for passports; and the continued growth of niche travel.
Asia
Travel to Japan, Hong Kong and India was up 20-40 percent last year, but it's mainland China that will be the story in 2007. Tourism in China has been on the rise for some time, and the trend will only accelerate in anticipation of the 2008 Olympics. In a recent industry survey, Beijing tied with Venice on the list of top vacation destinations — a result that would've been unthinkable five years ago. Further, Americans are starting to consider travel to other previously "taboo" destinations such as Vietnam, where the dollar is strong and Americans find they are extremely welcome.
Additionally, the explosion of immigrants from southern and southeastern Asia, including Pakistan, Thailand and particularly India, will cause considerably more back-and-forth travel among immigrant families and groups, and non-immigrant U.S. travelers will be sure to follow as this part of the world warms up to global tourism.
Meanwhile, the U.S. dollar is doing very well in these parts of Asia to boot; open borders, growing tourism infrastructure, increased flight availability, exotic flavor and a strong dollar will make these destinations extremely attractive to seasoned travelers in particular.
Baby boomers
Boomers, many of whom have been working slavishly for a few decades, are starting to take it easy, and to take it easy while traveling. This demographic is unlikely to bail out on working altogether — many will stay active in the labor force well beyond "retirement age" — but even those who keep working will be logging fewer hours and taking longer vacations. While I expect an increase in travel across the board, I see several quadrants of the travel industry benefiting from the slowing down of the massive and market-dominating baby boomer population:
Spas and All-Inclusive Resorts: Over the past few years, the spa vacation — formerly a bastion of the rich and famous — has found a new audience among boomer travelers no longer willing to rough it on the Lonely Planet circuit. Even chain hotels are adding spa-like amenities, staffing up on masseuses, offering "detoxification wraps" and "aromatic salt glows," whatever they are. Sounds relaxing, in any case, which works out well for boomers who have been at work for 30 years.
Cruises: The cruise industry continues to adapt to accommodate niche markets, and active and inquisitive boomers will be their best customers. Cruising combines several important elements for boomer travel — safety, variety, affordability and a bit of pampering — and will be a consistent winner so long as the cruise lines work hard to keep these folks happy. Caribbean cruises in particular seem likely to remain extremely popular; they're easy to get to, easy to get home from and easy to digest — take a direct flight down, island-hop for a few days, take a direct flight home, and you're back in your own bed.
European cruises should also do well, as boomers who love Europe look for a more comfortable seat with a view than Eurail can provide. One note: a European cruise priced in U.S. dollars is a great way to beat the dramatically reduced purchasing power of the dollar against the euro. You are almost certain to save money when making all your transactions in U.S. dollars; if nothing else, at least you know what you're spending each step of the way.
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