Barcelona, Berlin and Paris have seen the steepest rises in
average hotel rates in Europe so far this year, while flights between London
and Berlin have seen the sharpest climb in average fares.
Analysis by travel management company TravelPerk of its top
15 destination cities and 15 most-booked flight and rail routes reveals the extent
of travel price inflation between Q1 and Q2 this year, with costs rising fastest
on the US East Coast.
In Europe, average hotel rates leapt 48 per cent in
Barcelona, to €153, and by 38 per cent in both Berlin and Paris, to €130 and
€198 respectively.
Average daily rates in TravelPerk’s most-booked destinations
globally, London and Amsterdam, increased 22 per cent to €200 and 36 per cent
to €184 respectively.
But the steepest increase in hotel rates were recorded in Chicago,
up 77 per cent (to €277) in Q2 compared to Q1, followed by Boston, up 63 per cent (to €346), and
New York, up 49 per cent (to €309).
Of its top 15 cities, a single-digit increase was posted
only by Singapore, where rates were up four per cent (to €175).
The steepest increase in average air fares, meanwhile, was seen among outbound
bookings from New York to San Francisco (up 96 per cent to €685), from New York
to Paris (up 62 per cent to €1,753), and from Berlin to London (up 43 per cent
to €280).
Fares on TravelPerk’s top three routes increased by 35 per
cent from London to New York (to €2,126), by eight per cent in the opposite
direction (to €1,602), and by 23 per cent from Singapore to London (to €2,393).
The cost of rail travel also increased significantly with
fares on its top five routes all rising by 25 per cent or more between Q1 and
Q2. Fares from Bordeaux to Paris were up 35 per cent, Berlin to Munich fares
were up 31 per cent, Paris to Bordeaux by 30 per cent, and fares for both
London to Paris and Hamburg to Paris were up by 25 per cent.
Overall, however, rail prices have seen lower inflation than
flights, and TravelPerk notes that rail bookings grew by 15 per cent more than
flight bookings from Q1 to Q2.
“Our data clearly shows that, although Europe has seen major rises
across the board, the most dramatic increases in the cost of travel in the
first half of 2022 have been in the US,” said JC Taunay-Bucalo, TravelPerk chief
revenue officer.
“These rises are due to a number of external factors that all parts of the
travel industry are grappling with, including increased fuel costs, a shortage
of labour and disruptions to the global economy. However, it is also true that
providers are seeing a surge in demand and are looking to make up for the
revenue lost during the pandemic.”
He added: “We do expect the cost increases we are seeing to continue for
the remainder of this year.”