US travel agency flight sales are at record levels as demand for international travel shows no signs of weakening despite a sharp increase in fares.
Sales hit a record in March for the second month in succession, up 15% on February, according to the Airlines Reporting Corporation (ARC), which settles transactions between the airlines and US travel agencies and travel management companies.
Agency air ticket sales revenue in the month was up 22% year on year at $9.6 billion, the largest monthly total recorded by the ARC, boosted by a “robust increase” in demand for international travel.
Passenger trips in March were up 15% month on month and international trips up 14%.
ARC chief commercial officer Steve Solomon said: “ARC’s air travel ticket data supports what we’re hearing from airlines regarding strong spring and summer demand for corporate and leisure travel.”
He noted: “A larger portion of summer demand is for top European destinations like London, Paris and Rome, which are showing significant year-over-year increases in air ticket purchases.”
The total number of passenger transactions settled by ARC in March increased 4% year on year to 25.8 million, but international trip numbers rose 17%.
Tickets for US travel to Europe are significantly up year on year despite fares being 10%-15% higher year on year.
The average US round-trip air ticket price was $559 in March, 4% up year on year.
ARC also reported the value of airline ancillary sales through agents was up 127% year on year at almost $26.7 million off the back of a 60% increase in ancillary transactions in the month to 373,000.
US sales of flights to London were up 63% year on year in March, sales to Paris up 66% and to Rome up 82%, with London the second-most popular European destination behind Rome, Paris third, Athens fourth and Barcelona fifth.
The figures do not include bookings direct with airlines.
Solomon said: “European destinations are significantly up year over year.
“This international demand is confirmed by the recent announcement by the US State Department regarding passport wait times given what they expect to be the busiest summer travel season on record.”
He added: “We expect to see steady growth in air travel throughout the rest of the year in both corporate and leisure travel.”