Thanksgiving and Holiday Travel: Cheaper Flights, Pricier Hotels, and Record Numbers

Holiday travelers can expect cheaper domestic flights this season, with airfares averaging $268 during Thanksgiving and $400 around Christmas, according to Hopper. However, international airfares are expected to remain higher than pre-pandemic levels, particularly for popular destinations in Mexico and the Caribbean. Airlines and airports are better prepared to handle the holiday rush, with improved records for flight cancellations and mishandled baggage. Hotel room rates are likely to increase due to higher demand, so travelers are advised to book early or take their chances with last-minute reservations. Baby boomers and Gen X travelers are expected to make up a larger share of holiday travelers this year, while millennials and Gen Zers are expected to decrease. Many holiday travelers plan to use credit cards and loyalty points to cover expenses, with a growing number of consumers redeeming rewards for bookings at hotels, travel companies, and airlines.