2001 Domestic Travel: A Year in Review

Despite the challenges of last year, leisure travel increased 3% in 2001 and is forecasted to increase by 1.3% this year. In its annual Domestic Travel Market Report, 2002 Edition, the Travel Industry Association (TIA) sees a silver lining in the cloudy skies of last year's domestic traveler research. Analyzing demographics, attitudes and activities of domestic travelers, TIA's report takes an in-depth look at last year's business and leisure travel. 

General U.S. Travel Trends 

Despite the terrorist attacks and economic downturn of last year, overall domestic travel increased by 2%. Here are more travel findings from 2001: 

  • By April 2002, 70% of US resident households were planning domestic trips in the next six months as compared to 58% who reported that intention shortly after September 11. 

  • Immediately after the terrorist attacks, 84% of Americans said it was important to travel as they had done prior to the attacks; 82% said travel and tourism are important to the health of the economy. 

  • Lodging properties experienced challenges in 2001. National occupancy rates (excluding campgrounds) were down three points, average daily room rates fell 1.4% and total industry room revenue fell 4.7%. 

  • In Wisconsin, occupancy was also down three points. Average daily room rates increased from $75.35 to $76.26, however, total industry room revenue decreased from $1.277 billion in 2000 to $1.252 billion in 2001. (Davidson-Peterson Associates, The Economic Impact of Expenditures by Travelers on Wisconsin 2001

  • Overall, shorter and leisure-oriented trips taken by married travelers 45 and older with children at home dominated the travel market in 2001. 

  • More than three-fourths of all U.S. domestic travel was leisure-oriented, which included visits to friends and relatives, outdoors recreation, entertainment and travel for personal reasons. Only 23% of U.S. domestic travel included children. 

  • Short trips (1-2 nights) were more popular than longer trips. Fifty-four percent of all overnight household trips included lodging at a hotel, motel or B&B. Households who were on a leisure overnight trip were more inclined to stay with family and friends.

Leisure Travel 

Leisure travelers lead domestic travel growth. Although trip duration and spending levels were both down from 2000, leisure travelers still represent an important market for the domestic tourism industry. According to TIA, this group often stays close to home, with 47 percent visiting their own state.

  • More than half of the leisure travelers indicated the primary purpose of their trip was to visit family and friends, followed by entertainment, outdoor recreation and personal reasons. 

  • Leisure trip activities consisted of shopping, outdoor activities, historical places/museums, beaches or national/state parks. 

  • Leisure travelers preferred traveling in summer, followed by spring, fall and winter. 

  • Forty-two percent of leisure travelers required overnight lodging at hotels, motels or B&Bs, staying an average of 3 nights. Forty-nine percent of leisure travelers stayed with family and friends for an average of 4 nights. 

  • Thirty-three percent of the parties were comprised of one household member; 37% had two household members and 29% had children in their parties. 

  • The demographic characteristics of the leisure traveler household is married (62%) with an average age of 49; likely to be college educated; almost 40% are in a managerial/professional occupation; 65% do not have children in the household; and the average annual household income is $63,800. 

Business Travel 

Like leisure travelers, business travelers tended to be married - but the similarities ended there. While business travelers account for a relatively small portion of the domestic travel market, their upscale demographics and counter-seasonality continue to make them an enticing target for marketers of lodging properties, restaurants and attractions.

  • Although business travel declined in 2001 for the third consecutive year, business travelers stayed longer (an average of three nights) and spent more ($526 average per trip) than leisure travelers. 

  • Nationally, business travel (meetings, presentations, consulting, sales, convention or seminar) accounted for 13% of all trips. Combination trips (business and leisure) accounted for 8%. 

  • Eighty-three percent of business travelers required overnight accommodations, 17% of business travelers were on a day trip, and 6% stayed with family or friends. Of the 83% of business travelers that required overnight accommodations, more than 90% stayed in hotels, motels or B&Bs. 

  • Twenty-nine percent of business travelers were more likely to travel in spring (March, April and May), followed by fall (27%), summer (24%), and winter (22%). 

  • More than one-third of business travel included air transportation, while 44% percent of business travelers drove their own car or truck. 

  • Eighty-five percent of the business traveler had one household member on the trip, 11% had two household members and 3% percent included a child on their trip. 

  • Trip activities included shopping, historical places/museums, and nightlife/dancing.  

  • Business travelers are likely married (71%), average age is 46, 59% are in a managerial/professional occupation; 34% are in a two-person household; 59% have no children in the household; and the average annual household income is $75,800.

For additional research from TIA report Domestic Travel Market Report, 2002 Edition, contact Sue Hamilton at 608/266-6792.

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