SUBPRIME SENSATIONS

Our most recent travelhorizons™ survey has revealed growing concern on the part of American adults about several economic issues, including the potential impact of an unexpected increase in their monthly mortgage obligation.

According to the October (2007) edition of this national survey of 2,243 adults, Americans are increasingly anxious about everything from the price of gasoline at the pump to the recent volatility of the stock market:

Furthermore, one out of ten (12%) American adults now reports their leisure time and vacation behavior has been affected by the turmoil in the mortgage market, and fully 17% state that an unexpected increase in their monthly mortgage payment would have an adverse effect on their future leisure time and vacation behavior.

These results suggest that a significant number of Americans may be forced to alter their future vacation behavior if the turmoil in the financial markets doesn’t abate soon. But does this mean they are likely to cancel future travel plans? Fortunately, the data suggest this is an option that relatively few will exercise. Rather, the more likely outcome is that a growing percentage of American leisure travelers will alter the type of vacation they take, opting for more affordable and easily accessible destinations, less expensive transportation, lodging accommodations, attractions and entertainment.

travelhorizons is co-authored by Ypartnership and the Travel Industry Association. For more information on how to subscribe to travelhorizons™ visit www.tia.org.