Holiday travel declines; deals still possible

ByABC News
December 16, 2008, 1:48 AM

— -- The nation's economic downturn is strongly affecting holiday travel, prompting last-minute airfare sales and a decrease in overall transit, according to industry and government experts.

After more than a year of increases in fares, airlines are offering discounts on routes to less popular destinations and on flights scheduled on slow days, experts who track the airline industry say.

"I haven't seen a holiday season like this since 9/11," says Tom Parsons of Bestfares.com, referring to the drop in travel after the 2001 terrorist attacks.

Parsons predicts fares will drop substantially in the new year and suggests that travelers cancel high-cost existing reservations and take advantage of better deals starting in January. Even with the $150 that some carriers charge to change tickets, travelers may still save money, he says.

"If you are procrastinating, you can still get a deal," says Rick Seaney, CEO of FareCompare.com. The best fares will be available for those willing to travel on the slowest days, such as Christmas or New Year's Day, Seaney says.

Airlines have cut hundreds of flights from their schedules in reaction to the increased fuel prices that peaked earlier in the year. Fuel has since fallen, but the economic recession is now cutting demand for flights. The Air Transport Association (ATA) trade group predicts that 43 million people will take flights during the holidays, a decrease of 9% compared with last year.

Travel on the highways has also fallen. Americans drove more than 100 billion miles less in the 12 months ending in October compared with the same period a year earlier, the Department of Transportation reported on Friday.

Even so, hassles can still be expected. Planes will be packed on busy travel days, the ATA predicts.

People trying to get home after Thanksgiving learned that lesson. Storms hit several of the biggest hubs on Sunday, Nov. 30.The Federal Aviation Administration reported 4,039 delays in the air-traffic system, the third-highest ever.