ORLANDO, Fla. – AAA Travel projects 36.1 million Americans will journey 50 miles or more from home during the Memorial Day holiday weekend, a 1.5% increase from the 35.5 million people who traveled last year. Kicking off the summer driving season, more than eight in 10 travelers will be driving to their destinations. The Memorial Day holiday travel period is defined as Thursday, May 22 to Monday, May 26.
Highlights from the AAA 2014 Memorial Day Travel Forecast include:
- Memorial Day holiday travel volume is expected to reach a new post-recession high with 36.1 million Americans taking a trip.
- The 2014 forecast is 2.6% higher than the 10-year historical average and the second-highest travel volume since 2000.
- Eighty-eight percent of travelers (31.8 million) plan to travel by automobile, an increase from 31.4 million last year.
- Holiday air travel is expected to increase 2.4% to 2.6 million leisure travelers.
- Travel by other modes of transportation including cruise, trains and buses will see the largest increase, up 6.5% (total 1.7 million travelers).
- Travelers will encounter slightly higher prices, with airfares 6% higher, mid-range hotels up 2% and car rentals costing 1% more.
In addition to seasonal rising temperatures, improvements in several key economic factors are driving the expectation for more holiday travelers this year. “As the economy continues to improve at a slow and steady pace consumer spending, disposable income, consumer confidence and the employment outlook are trending up which is welcomed news for the travel industry,” said Marshall L. Doney, AAA chief operating officer.
The unforgiving winter was a hindrance to economic growth at the beginning of the year but economic factors influenced by weather, such as car and home sales, appear to be resolving themselves now.
AAA expects that most drivers will pay lower gas prices by Memorial Day weekend due to rising supplies, with prices likely to be relatively similar or even slightly less than last year’s national Memorial Day average of $3.63 per gallon. With many plans already made and budgets set, it is unlikely that gas prices will have a significant effect on travel plans compared to a year ago.
According to a consumer survey released by NACS last week, Americans plan to put the severe winter weather in their rearview mirrors and travel more frequently this summer.
Convenience store owners are optimistic about summer spending, with most saying that they expect sales to increase at both the pump and inside the store.
“We expect to see sales up at least 8% to 10% over last summer’s numbers, and we will be back to pre-recession sales numbers before the end of 2014,” said Theron Soderlund, president of TMS Enterprises, which operates the Country Corner convenience store on Orcas Island, Washington.
Convenience stores sell 80% of the gas purchased in the country and will see plenty of traffic at the gas pumps this summer, especially when the weather is nice. Store owners surveyed by NACS said that weather conditions are the best determinant of sales, with two of three calling it important. The economy was the second-most important factor affecting sales, cited by nearly half of all retailers.