2008 Travel Forecast
Higher fuel costs will continue to play a major role in slightly higher travel costs across the board for the year 2008.  Corporations will see an average increase of 4.5% in their travel expenses for the year.   Runzheimer International, a management consulting firm specializing in travel management recently published their 2008 Business Forecast breaking down the cost per travel segment, air, car, hotel, and meals. 

Why Can’t I Book My Own Travel
Strategic management magazine FastCompany.com recently published an article entitled “Why Can’t I Book My Own Travel?”  To review the article and the eight good reasons why it’s important to utilize a travel management company please click here. 

Are Saturday Night Stays Returning
Some major U.S. airlines in the latter half of 2007 began re-introducing Saturday-night stay requirements and other ticketing restrictions in markets where they had previously torn down such “fences” designed to keep the lowest fares from business travelers.  Executives speaking during the current round of airline earnings conference calls pointed to these renewed efforts to segment travelers as part of enhanced revenue-generating strategies.  Here’s what three of the major airlines had to say about the Saturday Night stays. 

Glen Hauenstein, chief of network and revenue management for Delta said that “moving forward from the SimpliFares experiment, Delta continues to adjust our position on that by establishing ticketing rules that are consumer-friendly yet revenue maximizing.  Indeed, in certain markets, Saturday-night stays seem to be the most effective defense.  We’ve put Saturday-night stays on some fares but we have kept the alternative of staying multiple nights at the same time.”

At Continental Airlines, President Jeff Smisek said the airline has been “taking actions to more appropriately segment business and leisure travelers, such as re-instituting the Saturday-night stay requirements in certain markets, all with the result of maximizing our revenue.”

United Airlines chief revenue officer John Tague detailed how his airline has been “refining our segmentation tactics,” including Saturday-night stay and minimum stay requirements, “differential pricing between airports” and other strategies.  “But it goes beyond that,” he said.  “We are segmenting markets, flights and customer types to a much greater extent in our revenue management than we ever have before.  We see significant opportunities in the future to do that.”

FAA Allowing 100 Extra Flights at JFK Despite Threat of Delays
The US authorities have issued a proposed schedule of flights for New York’s JFK from this summer which includes an additional 100 flights each day over last summer, when the airport experienced severe delays throughout most days.

However, despite the extra flights, which is set to include British Airways new direct OpenSkies services from Europe, the Federal Aviation Administration says the delays are not expected to be as severe as in 2007 thanks to more evenly distributed demand. 

The FAA invited the airlines who use JFK to alter the proposed schedules they submitted in October voluntarily as it predicted that delays would increase by 150% over last year if they were implemented.  It suggested a cap of 81 operations an hour at the time.  The revised schedule includes some hours with 82 or 83 operations.  The JFK schedule will run from March 20 until October 24, 2008.

Carrier Consolidation What Does it Mean to the Traveler
As the likelihood of major domestic airline consolidation loomed larger this month, corporate travel buyers voiced concern that mergers would drive capacity down and fares up, and further degrade service.

The consensus on Wall Street is that at least one major domestic merger will take shape this year, and analysts agreed that consolidation almost certainly would lead carriers to shed more domestic capacity to address overlap, creating further pricing power for airlines.

UBS analyst Kevin Crissey this month polled 46 airline investors, and 93 percent expected major airlines to announce a merger in the early part of 2008.  Crissey agreed that a major merger announcement is more likely than not, as several large carriers, most notably Delta, Northwest and United, have adopted an open stance. 

Nearly 80 percent of travel buyer respondents to a Business Travel Coalition survey said industry consolidation would yield higher business airfares.  The survey of 219 travel executive is part of a broad, yet to be released, study on the impact of potential consolidation on airlines, consumers, businesses and other stakeholders that the U.S. General Accountability Office commissioned late last year. 

While buyers would be impacted differently depending on the markets in which they are most active and which carriers would merge, consolidation points to domestic fare growth.

Travel buyers were mixed on which communities would bare the brunt of service reductions, though several said smaller cities would be hit hardest by consolidation.  Others said some hub markets would be among the first targeted for cuts, depending on which carriers pair.

Frequent Flyer Programs
In the past year consumers have been frustrated by the lack of award availability through their frequent flyer programs (FFP).  At a time of dwindling ticket revenues, the FFPs have become a profitable source of income for airlines.  In fact, airline executives have come to realize that these programs are now generating big bucks for their coffers.  As a result, the longstanding rift between the airlines’ cost-centric finance departments and their consumer-sided marketing departments is easing, and program directors are gaining the ability to better serve the customer.  What this means is that your loyalty programs are here to stay and that the airlines we do more to keep your business.  But there’s a catch:  Your business has to make the airlines a profit. 
How the numbers add up:
Consumers fall into two basic categories; those who earn points in the sky and those who earn points on the ground.  Both groups help the airlines pay their bills.  The sky group is profitable because its members fly often and purchase high-premium tickets; in fact, they can account for 85 percent of profitable ticketing revenue.  The ground community is profitable, too, even though its members are infrequent fliers who earn most of their “miles” through co-branded credit cards with generous accrual bonuses.  This group drives ancillary revenues because the airlines can sell their miles to those secondary markets. 

Though both groups are profitable to the airlines, they are not equally happy.  This is because they are looking for different kinds of rewards.  High-flying program participants typically want upgrades and these are generally available.  The ground group typically wants free travel, but award tickets are scarce.  The lack of award availability has been a major source of frustration to award seekers.   

It pays to know whether you are a sky-earner or a ground-earner and to think about whether your frequent flyer program really suits your needs.  Some airlines, like American Airlines and United Airlines, tend to be more generous with award tickets than upgrades.  Others, like Continental Airlines, Delta Ai Lines and Northwest Airlines have liberal upgrade policies for frequent fliers but keep a tighter hold on award seats. 

So, how can program members take advantage of new trends in FFPs?  First, select your program wisely.  If you’re a ground-earner, affiliate yourself with an airline that offers you the best benefits.  Secondly, select your awards judiciously.  Instead of trying to get an award ticket to the most popular destinations, such as Hawaii and Florida, purchase these inexpensive tickets and opt for more generous and easier to obtain international awards.  Lastly, holding 20 frequent flyer cards does you and the airlines no good.  Select one or two programs and stick with them. 

A Guide to Airline Ticket Taxes and Fees
The nation’s air transit system is financed primarily through federal excise taxes and other special charges that have collectively generated $117 billion since 1997, mostly from the pockets of airline passengers.  A smaller portion comes from airlines and freight carriers in the form of fuel and cargo taxes, and these costs also are frequently passed along to customers.  The taxes and fees currently attached to each ticket purchase, as compiled by The Associated Press:
Ticket taxes:
A 7.5% federal levy is attached to every plane ticket.  These are collected by the airlines and passed along to the Internal Revenue Service, which deposits them in the Airport and Airway Trust Fund.  A separate Rural Airport Tax of 7.5% is assessed on flights that begin or end at rural airports, but those passengers then are exempt from the other ticket tax and the segment tax.  Passengers traveling between the continental United States and Alaska or Hawaii pay an additional $7.50 in taxes.  Over the past decade, $49.6 billion has been collected in ticket taxes. 
Segment tax:
The Passenger Flight Segment Tax, currently $3.40 is charged each time a passenger takes off and lands.  Passengers on a non-stop, roundtrip from Los Angeles to New York would pay $6.80, for example, while passengers flying roundtrip from Los Angeles to New York via Phoenix and Kansas City would pay $20.40.  The IRS says there’s no limit to the number of segments taxed, although it’s not collected in cases in which flights are diverted.  Since 1997, passengers have paid $14.4 billion in segment taxes, with more than half that collected since 2003.  The increased collections are largely attributed to the growth of low-cost carriers that make intermediate stops en route to a passenger’s ultimate destination.
International arrival and departure tax:
The current tax is $15.10 per passenger o all flights departing for or arriving from foreign destinations.  The fee is tied to the consumer price index and has risen 12.7% over the past five-six years.  Since 1997, the tax has raised $12.7 billion.
Security fees:
Created by Congress after the 2001 terrorist attacks, these fees cost customers $2.50 per boarding, with a $5 maximum per one-way trip, even with multiple segments.  The money, $7.6 billion since collections began in 2002, is paid directly to the Transportation Security Administration. How the TSA spends the money is something of a mystery.  In 2005, the TSA was forced to restate its finances due to an error in accounting for passenger and air carrier aviation security fees.
Passenger facility charge:
This is a local tax collected by airlines and paid directly to the airport where it’s levied.  Since 1997, this has generated $18.4 billion, largely used for airport construction and other improvements.  Another $35 billion still is due on projects already approved by the FAA.  The FAA tells each airport how much it can charge, from $3 to $4.50 for each leg of a trip, to a maximum of $18 on a single ticket sale.  Nationwide, 365 airports currently charge PFCs, including most of the nation’s commercial hubs.  This fee could be raised to $6 or more under a new funding proposal.  The National Association of State Aviation Officials would like to see it raised to $7.50 to produce additional money for airport improvements and free up money for smaller airports; airlines oppose an increase and say more should be spent on air operations rather than terminal improvements. 

Are you the ugly American?
Certain actions, whether stemming from ignorance or arrogance, will brand you a jerk.  Experts offer advice to avoid the 10 most common faux pas among travelers.
Find the local rhythm:
Americans have a hard time adjusting to a pace of life that isn’t as fast as their own, says Jacqueline Whitmore, author of “Business Class: Etiquette Essentials for Success at Work.”  As a result, they’re sometimes labeled as rude and pushy.  “In Germany, dinner can take three hours or more,” says Whitmore.  “It’s an experience.  You can offend the waitstaff by trying to speed up the process.”
Make a good first impression:
“In some cultures you hug, in others you share hands and in others you kiss,” says Cindy Post Senning, a director at the Emily Post Institute.  “It’s easy to disrespect locals if you aren’t familiar with how to greet them, both formally and casually.”
Avoid careless judgments:
Travelers love to talk about how places are different from home.  Unfortunately, says Senning, innocent observations can come across as superior and judgmental, as in: ”Your cars are so small here!” or “I can’t believe this restaurant doesn’t have ice cubes.”
Mind your table manners:
Educating yourself about local customs is the only way to know that Chileans expect wine to be poured with the right hand, and that the Japanese frown upon sloshing soy sauce on rice.  As for those times when you’re served food you can’t bear to look at, let alone eat, but you don’t want to disrespect your host?  Smile and eat as much as you can, says Colleen Rickenbacher, author of “Be on Your Best Business Behavior.”
Speak the language:
You don’t have to be fluent, or even close; you just have to make an effort.  “It sends an offensive message when you don’t even acknowledge ‘good day’ in the language,” says David Solomons of CultureSmartConsulting, which publishes country-by-country etiquette guides.  “it’s total and utter anathema to the French when an American starts a conversation without beginning it with bonjour.”
Don’t overtip:
Monica Francois Marcel, of consulting frim Language & Culture Worldwide, says nobody tips as much as Americans (and that isn’t always commendable).  “It gets at the economics of a country,” she says.  “A taxi driver could easily interpret your tip as flaunting your wealth.”  Marcel recommends asking a concierge to explain local expectations, and then tipping the concierge the proper amount.  Of course, undertipping is never a great idea either.
Watch your gestures:
The wrong move with your head, hand or foot can be a surefire way to get on a local’s nerves, or even pick a fight.  “We also fail to do our homework about space relationships,” says Roger E. Axtell, author of eight international etiquette guides, including “Do’s and Taboos Around the World.”  Latin America and the Middle East have smaller personal ‘bubbles,’ so you must refrain from stepping away when they move close.”
Dress respectfully:
Classy everyday attire might have faded in the U.S., but it’s always a good idea for tourists to look smart, says Whitmore.  Conservative “global colors” grays, blues, blacks are generally safe bets.  If you’re going to a warm climate, avoid the temptation to pack only shorts and sandals.  Include slacks and dress shoes, especially if you plan on dining at nice restaurants or visiting houses of worship.
Use clear English:
Many people speak English as a second language, and it’s hard for them to understand when tourists use slang and neglect to speak slowly.  “We clutter our speech with jargon and sports and military terminology,” says Axtell.  “Try to stay away from idioms and slang, and watch for reactions to make sure communication is going well.  Americans also forget to avoid phrases like, “Hi, how are you?” in which we aren’t really looking for an honest response.”
Be a thoughtful guest:
As in the U.S., if you’re staying at someone’s house or going over for dinner, bring flowers.  Souvenirs from home – t-shirts, refrigerator magnets, are appreciated, too.  Small gifts can smooth out everyday interactions.  Gifts don’t have to be expensive; as always, it’s the thought that counts. 

How to Escape Down an Airplane Slide
Emergency airplane evacuations happen more often than most people think: about once every 11 days in the U.S., according to a 2000 report by the National Transportation Safety Board.  And one of  the biggest challenges of an evacuation can be the airplane slide. 

Recently when 136 passengers had to get off a British Airways Boeing 777 at Heathrow Airport that had crashed short of the runway, they did it by escaping down the eight slides unfurled at the plane’s exits.  The deplaning was very successful, with no fatalities and only a handful of injuries.  The investigation won’t be done for months, but it is likely that some of those injuries happened during the evacuation, not the initial crash. 

Even in controlled drills, accidents are common.  When the new, super-sized Airbus A380 underwent mandatory evacuation tests in 2006, 33 of the 873 evacuating volunteers got hurt.  One suffered a broken leg, and the remaining 32 received slide burns. 

So, in the unlikely event that you have to escape from a plane on an inflatable slide, here are some tips, compiled with assistance from Dan Johnson, an aviation safety expert who has worked for the airlines in various capacities for more than three decades.
Have a plan:
Aviation safety experts, even the most jaded ones, count the rows to their nearest exits whenever they sit down on a plane.  They know that their brain will not work well under extreme duress, and their eyes will not see well in thick smoke, so they need to have a sense of their best escape routes before anything goes wrong.
Have another plan:
Passengers and flight attendants often have trouble opening the exit hatches.  The slides malfunction more than you expect and smoke can also make your first choice exit suddenly unusable so it is wise to come up with tow escape plans.
Get out fast:
If all hell does break loose, remember that one of the deadliest mistakes passengers make is to lunge for their overhead luggage.  This wastes precious time and clogs the aisle with obstacles.  And yet, even if the cabin is full of smoke, passengers will almost invariably reach up to get their briefcases and garment bags.
Jump:
Another big problem, especially among women and older passenger, happens at the top of the slide.  People hesitate or try to sit down before sliding.  If everyone would jump instead, as flight attendants advise, the evacuation could go 50% faster.  Since a fire can burn through the fuselage on an airplane in 90 seconds, evacuating quickly is much better.  When everything works right, slides are built to handle 70 passengers per minute. 
Keep it together:
To avoid burns and unintentional cartwheels on your way down the slide, keep your heels up and your arms crossed over your chest.  A lot of injuries happen when people hit the ground and sprain an ankle or break a leg because they came down the slide out of control.  Also, women should avoid wearing spiked heels and pantyhose when they fly.  Pantyhose can melt onto the skin in the heat of a plane fire and spiked heels make escape more difficult.
Get out of the way:
The area below the slide is not a good place to hang out.  If you are the first passenger out, then you should help other people get off.  Otherwise, you should get out of the way.  Pile-ups at the bottom of the slide can be brutal and can also make the slide much steeper for everyone else coming down.