Travelling on a budget

As budgets around the globe tighten, low-cost options are in high demand. ATN looks at the latest budget travel offerings, from the practical to the quirky

12 MONTHS OF SAVINGS

According to CheapTickets.com’s 2009 Value Travel Forecast, travel is number two among leisure activities consumers are still striving to afford in the economic downturn.

“For many in the coming year, choosing a destination that fits a tighter budget will be a key factor in deciding where and when to vacation,” says CheapTickets.com’s Marita Hudson Thomas.
 
Exotic destinations such as Hong Kong, Brazil and Greece topped the list of best budget travel destinations for 2009. Where possible, advising clients to book outside of peak season is recommended, as savings of between 35% and 58% can be made in travelling to destinations such as France, Greece, Mexico and Hawaii.

The Vale Travel Forecast includes the following month-by-month favourites for agents to recommend:

January: New York in January offers 37% savings compared to peak hotel rates and post-holiday sales are plentiful.

February: Italy hosts the famous Carnevale festival and savings of up to 42% can be made on hotels.

March: Portland hotels are up to 53% cheaper in March, compared to peak rates.

April: Brazil is quieter in April after the summer crowds depart, but the tropical spring weather remains.

May: Lake Tahoe is popular for water sports and beach activities and offers 38% savings on guided cruises and dining compared to peak winter rates.

June: Egypt in June offers 38% savings compared to peak rates.

July: Florida offers summer fun to travellers, with dance clubs and concert halls.

August: Tuscon temperatures rise in August, fueling savings of 52%.

September: Orlando’s theme parks record their lowest figures in September, hotels offer 32% savings.

October: Mexico is 25% cheaper in October than in winter months.

November: Ireland is typically a more expensive European destination, but savings of 43% can be made on hotel rates in November.
 
December: Napa Valley is home to famous vineyards and travellers visiting in December will not only miss the crowds, but can also save 56% on hotel rates.

BUSINESS BARGAINS

Arabian Park Hotel, a three-star Dubai property, has introduced a new value-added offer aimed at executives travelling on a budget.

For AED 95 (US $26) on top of the regular room rate, guests booking an executive king or executive balcony room will receive complimentary breakfast, wireless internet access, dry cleaning, early check-in and late check-out.

General manager Mark Lee says the offer is designed for business travellers who are looking to cut costs in the current economic climate.

“People still need to travel for business but increasingly they’re being asked to save money while doing so,” says Lee.

“Our executive package offers everything a businessperson needs to make their trip as comfortable and as successful as possible, while still providing the great value for money that people have come to expect of Dubai’s premier three-star hotel.

“At the moment people want genuine value for money coupled with high standards and that’s exactly what we’re offering.”

Low-cost carrier Air Arabia is not only offering very reasonably priced flights and holiday packages to 44 destinations in 22 countries — visit www.airarabia.com — but is also building a 300-room budget hotel at its hub at Sharjah Airport, which is due for completion in January 2010.

Air Arabia and Rotana Hotels signed an agreement in 2007 to manage the property under the Centro by Rotana brand.

The hotel will include standard rooms and suites.

Air Arabia Centro Hotel will further complement the unmatched services that our passengers continuously expect from Air Arabia,” says Air Arabia chief executive Adel Ali.  “We are confident that this hotel, once completed, will provide passengers with a complete travel experience offering the best value for their money.”

The hotel will include a full casual dining area, in-room wireless internet and a range of entertainment and personal amenities.

On-site facilities will include business centres, meeting rooms, gymnasiums and swimming pools.

JUMBO HOSTEL

The Jumbo Hostel is one of the latest projects capitalising on consumer demand for quirky budget accommodation. The ‘property’, which opened last month, is the world’s first hostel built onboard a Boeing 747-200 jumbo jet. The jet was grounded at Stockholm Arlanda Airport in 2002 and has begun a new life as a budget hostel.

In total it has 25 rooms and 85 beds. All rooms have separate shared shower and toilet facilities. Jumbo Hostel also features a luxury suite in the cockpit with a panoramic view of the airport. The quirky hostel is expected to become a tourist attraction in itself, fuelling increased visitor numbers.

“Stockholm Arlanda Airport will now boast a new alternative option for overnight accommodation, but also a fierce attraction,” says Jumbo Hostel chief executive Oscar Diös.

Agents sending their clients to Stockholm can book them on Scandinavian Airlines (SAS) or Lufthansa via Copenhagen and Frankfurt respectively.

EXPEDIA

Expedia director of marketing management for Middle East Walter Lo Faro says the company’s online bookings to the Middle East have actually increased by 70% compared to 2008.

“This goes against the current economy trends and I believe it shows that more and more travellers are now checking and booking online to get a ‘real time’ snapshot of the latest products and prices available in each destination,” he says.

Lo Faro explains that there is a willingness to wait and “a clear appetite for deals”, triggering a trend towards shorter booking windows.

“During the first week of December almost 30% of the room nights we sold on one of our sites to a Middle East destination were linked to a hotel promotional rate, compared to 15% last year,” he says.

Expedia has launched a range of campaigns to promote Middle East destinations and take advantage of the desire for last minute deals.

The company is currently working on a GCC version of Hotels.com, expected to be launched in late 2009.

OFFER TRAVEL INSURANCE

Agents should always advise clients to buy travel insurance, emphasising how expensive a trip can become if something goes wrong. Lost luggage, missed or cancelled flights and medical expenses are all expensive misfortunes, but if the client has a travel insurance package, they will be covered for such eventualities. In addition, agents can earn good commission rates — up to 20% — when they sell travel insurance.

Visit www.axa-gulf.com or www.lifecareinternational.com

Many clients will be tempted to travel with low-cost airlines when travelling around Europe and Asia, many of which can now be booked by agents on the GDS. However, when flying with carriers such as Ireland’s Ryanair, which has hubs all over Europe, warn clients that while the fare is cheap, things like food on board are extra.

There are also charges for checking in at the counter, checking in luggage for the hold (instead of taking it on board) and for luggage over a certain weight limit.

Budget hotels are culprits of adding hidden costs too. UK publication Business Traveller found that a room at an Easyhotel in London advertised at a rate of £39 per night was misleading. The magazine found the rate only applied to the smallest rooms without a window. Customers are asked to pay £6 extra for a room with a window; £14 extra for a larger room; and a further fee of £5 if they want to hire a TV remote control. If you pay by credit or debit card, there’s a further fee of £1.50.

PREMIER INN

Premier Inn is one of the cheapest, if not the cheapest Dubai hotel to stay in. The UK-based company operates one such limited-service hotel in Dubai Investments Park with a second, in Dubai Silicon Oasis, set to open in May 2009. Rates are just AED 495 (US $135) per night including taxes and service charges and Wi-Fi services. In every Premier Inn in Dubai customers will find:

•  A comfy king-sized bed
•  Good quality duvet and pillows
•  En-suite bathroom with bath and shower and bidet
•  Shower gel
•  Air-conditioning
•  Flat screen 32-inch, remote control TV
•  Refrigerator
•  Laptop and valuables safe
•  Tea and coffee making facilities
•  Hairdryer
•  Spacious desk area should you need to work
•  In-room broadband internet access
•  Family rooms
•  Cots (on request)
•  Smoking and non-smoking rooms
•  Restaurant and licensed bar
•  Hot breakfast
•  24-hour reception

Premier Inn is the biggest hotel chain in the UK (more than 500 properties).

For more information visit www.global.premierinn.com/hotels/

EXPLORE ASIA

Flight prices from the Middle East to Asia are currently quite reasonable due to a number of factors — reduced fuel surcharges, extra capacity and a softening in demand (mainly from Europe). However, agents are probably unaware that once their clients arrive in Asia they can avoid costly domestic and regional fares by flying with one of the many low-cost carriers operating in the region.

They include Air Asia X (www.airasia.com), JetStar Asia (www.jetstarasia.com) and Tiger Airways (www.tigerairways.com).

Kuala Lumpur- based Air Asia X has made no secret of the fact that it plans to fly to the Middle East soon.