Economic pressures force good deals for budget-minded travelers

Not to sound Pollyannaish, but ever notice how the universe sometimes offers up an unexpected yang for a nasty yin it dumps on us?

Take this recession.

The nasty yin: Many hard-working Americans are thinking of canceling summer vacation plans because of their evaporated savings and the fear they might lose their jobs.

The upside yang: If they can scrounge up a few bucks, they could score some nifty vacation deals this summer.

Cruises at half the price of last year. Upscale hotels that not only lust after our business, but throw in an extra night or two to boot. Even, in fact, vacation packages to destinations that, until now, were out of our financial reach.

Why? Largely, the realization among travel providers -- cruise lines, hoteliers and the like -- that, if we're going to divert a bit of our possibly iffy income to the luxury of a summer trip, they're going to have to make it worth our while.

"As the overall economic climate has produced a sort of softening in demand across the board for travelers, the silver lining, if you will, is it will produce incredible values for travelers," notes Ian Jeffries, a spokesman for Expedia.com.

Maria Lilibeth Ruiz, director of marketing for Prestige Travel American Express, already has noticed that many Southern Nevadans who usually plan their summer vacations in December and January are only now getting around to it.

In addition, some valley residents who have decided to spring for a summer vacation are downscaling, Ruiz says. "Where before you may have traditionally gone to Europe, some of those folks are, maybe, looking at the Caribbean or a cruise."

Jennifer Gaines, contributing editor for Travelocity.com, agrees that, an uncertain economy notwithstanding, "the good news for travelers is that there are some fantastic deals out there, and now is a great time to travel.

"Airlines, hotels and cruises are dropping their prices to get travelers on board, and they're offering more incentives. There certainly are a lot of gun-shy consumers out there, and the travel industry is having to lower their prices to get people to travel."

According to Jeffries, New York City hotel room rates during the first quarter of 2009 were down 22 percent from the same period a year ago, while Las Vegas room rates were down 34 percent. Four- and five-star hotels in general saw a 25 percent decrease in room rates during that same period, Jeffries adds.

"That means that if you always travel on the same budget, you could spend the same amount and stay in a lot nicer hotel this year," he says. "It's luxury for less."

That could make this year the summer value-conscious consumers enjoy trips they previously couldn't afford.

The effect of the economy can be seen particularly among cruise lines, which "are being very aggressive with their pricing," with fares as much as 50 percent to 70 percent lower than a year ago, Ruiz says.

For example, a seven-day trip from Vancouver, British Columbia, to Anchorage, Alaska, with an ocean-view cabin that last year cost just less than $2,000 per person can be purchased this year for about $549 per person, Ruiz says. Similarly, a late-May cruise to Alaska with a balcony cabin that cost about $3,200 last year could have been purchased last week for about $1,600 per person.

Incentives to consumers are about "not only pricing, but adding so much value and amenities," Ruiz adds. "That could mean upgrades or what you call shipboard credits, your spending money onboard a ship or that you can use toward drinks or shore excursions or spa treatments or even shopping in the gift shop."

It's the same with European cruises. According to Ruiz, a balcony-cabin for a 12-night, late-May European cruise that includes stops in Venice and Rome, Italy; Athens, Greece; and Dubrovnik, Croatia, that would have cost $4,300 last year was going for $2,099 last week.

While air fares haven't seen such dramatic across-the-board reductions, they, too, are offering unexpected vacation values.

"One thing we are seeing for the summer is that people are really jumping on international air fares," Gaines says.

Air fares to Europe are down "anywhere between 25 (percent) to 30 percent over last year," Gaines says. For example, on average, a ticket from Las Vegas to London could have been purchased three weeks ago for about $990, down 29 percent from a year ago.

Similarly, Gaines says, a one-week trip from Las Vegas to Dublin, Ireland, two weeks ago would have cost just less than $900, and "that includes your flight and your hotel."

Gaines notes, too, that "a lot of carriers are planning international capacity cuts for the fall, so naturally that will drive prices up. So this summer is certainly the summer to go internationally."

Gaines says booking flights and hotels together -- always a money-saving strategy -- is especially useful this year.

"We're seeing a lot of people booking vacation packages to save money," she says. "In fact, Travelocity did a study and found that, on average, people can save $315 per couple when they book the flight and the hotel together, and we're really seeing that right now."

Even always-in-demand destinations aren't averse to cutting travelers a financial break this year. For example, Ruiz says, Disneyland is offering two free nights in its resorts with the purchase of three throughout the summer.

Of course, the big question is: If deals are this good now, will waiting a bit longer make them even better?

"I wouldn't wait too long," Ruiz says. "If they're looking to travel in, say, June or July, then definitely look now."

"The travel industry is certainly fluid with its pricing," Jeffries agrees. "But what we're telling travelers is to look at the deals that are out there and if that value is there and it matches your budget, go and book now. Sure, there's a chance it could drop slightly, but it could go up, too."

Contact reporter John Przybys at jprzybys@reviewjournal.com or 702-383-0280.