As borders begin to open up and the nation begins reopening from coronavirus closures, stir-crazy travelers are flocking to the airports.
You may think with airplane passengers plummeting, airlines would be desperate to offer lower fares.
Well, think again!
Despite the $58 billion dollar government bailout handed to the airline industry last month, airfare remains shockingly high.
Like in any industry, prices are defined by supply and demand.
As you can imagine, the demand for getting out of the house is high right now.
Thus, injured companies are pushing the envelope hoping to dig themselves out of financial ruin by the end of the peak season.
But global airfare trends are based on many variable touts Jay Shabat, senior analyst at Skift Airlie Weekly.
He cites “capacity cuts, blocked middle seats, historically low fuel prices, travel restrictions, government subsidies, the extent of a business travel rebound, and the timing of a coronavirus vaccine” as the deciding factors in airfare fluctuation, according to Yahoo News.
Certain flights and destinations are going to hold more weight than others with states like Maine and Vermont still requiring mandatory 14-day quarantines for all tourists.
The United State may have a noticeable increase in airfare, but it’s still more affordable than the price gouges by the airline industry in Europe and Asia.
Investment bank UBS “found that while forward airfares in the next few weeks and months are weak in the United States, they were getting higher in Asia, and flat to heading upwards in Europe,” reports Yahoo News.
While now is the time to carry on with your summer vacation, don’t think you’ll be saving enough in airfare to upgrade to a 5-star hotel.
“These rates are not coming down,” Caren Kabot, founder and CEO of Solo Escapes, said, referring to luxury properties. “People think there will be discounts. There really aren’t any.”
The high class Wequassett Resort and Golf Club in Harwich, Massachusetts on Cape Cod has kept their prices to reflect their elite clientele with garden view rooms still going for $725 a night in July.
“I think rates will stay very competitive in the U.S.,” Kabot says.
Still, finding that diamond in the rough is possible.
Jet fuel prices have dropped 54.2% per barrel compared to last year, reports Yahoo News, allowing domestic flights to offer occasional discounted fare.
Avoid airlines like Delta, which has vowed to eliminate middle seats, in order to find cheaper fare – just so long you don’t mind braving human contact.
It is nice to see tourism beginning take flight again, but the airfare is going to dip a bit more into your vacation fund than you hoped.
But don’t let that stop you! Consider hitting the open road and seeing domestic gems like Charleston, South Carolina.
Or go ahead and catch that plane to some place remote and great for social distancing like Macedonia.
The world is once again becoming your oyster.