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Travelling To Cuba Is Now Cheaper

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Last Updated: Mar 31, 2017

Cuba is a great travel destination with overflowing opportunities for growth. Photographers find the place serene for their work. According to Warren, a photographer who once visited Cuba, the place is more visually dynamic than anywhere he had ever gone. The place has amazing cultural vibrancy with a creative young generation according to Maryoga. Chad Olin, a graduate from Harvard school of business confesses that most things ignored by American youths are pronounced in Cuba. The real life experience with the things around you in absence of social media is the magic behind the place.

Agreement Impact

The agreement between US and Cuba that began in December 2014 resulted in an increase in travel costs by 100% to 400%. The price increase was mainly due to increase in American travelers to Cuba, the forbidden island. However, for the summer, spring and the year 2017, things have been different. For the first time in a long time, Cuban government hoteliers and agencies decreased their travel prices. According to Tom popper, the president of US to Cuba travel, it is the first time in three years that the travel prices have come down. According to Hopper, airfare prediction app, travel prices were projected to drop from $717 to $364.

Cheap Fares

This means travelling to Cuba is cheaper than it has ever been before. Booking your trip to Havana is definitely the best move especially with the political conditions in the U.S. The release of Obama’s agreement with Cuba in 2014 increased travelling demand and hence an increase in fares. The direct flights from U.S. provided by bigwig airlines made it easy for American travelers to understand the logistics. It merged factors of the agreement, 12 travel categories, and commercial flights that permitted popularity and price increase in 2016.
Cheap Fares

Travel Bookings

Despite the decrease in prices, Americans may not see their savings since most legal travel must be booked via third party operators. The third party operators take advantage of the price drops to make huge profits. Popper says that a person can save approximately $250 on a summer or spring trip. He also believes that cost decrease does not guarantee lower prices in 2017 and 2018 winter season. He therefore, encourages travelers to book their flights now in order to take advantage of the lower prices. In fact, they should book winter trips now however far they may be. Basically, this is the best time to travel. Additionally, Cuba is the safest travel destination that is currently easy to get to. There are eight tours to the Island provided by Insight Cuba in which each of them cost approximately 20% lower than the normal rates.

Direct Flights

Mayorga and Warren are among the beneficiaries of the lowered travel prices. They exploited this great opportunity by having direct flights from Charlotte to Havana. They paid almost half the price they could have used on the charter flights. Their flight was among the first commercial flights to Havana. The lower travel cost led to dramatic increase in travels to Havana from America.

Business Opportunity

This traveler increase created job opportunities for the people living in Havana. Some of the citizens like Torres decided to buy a cab to start a taxi business. This is the most appropriate business considering the increasing number of visitors who require transport. Torres had moved to Florida but decided to return to Havana where a business opportunity had presented itself. Therefore, the lowered travel cost was not only an advantage to the American travelers, but also the Cuba Citizens.

Most hotels in Cuba are fully packed. Getting a vacant room is like finding water in a desert. For this reason, the hotel prices are rapidly increasing due to the high demand. Hotel prices rose from $44 to $300 a night which is an extremely huge margin. The Cuban government is strongly investing in building more hotels. The place is a great tourist attraction. It almost feels like a tourist trap. Interacting with locals is the real Cuban experience. Olin started a business that deals with getting the tourists out of the beaten path.
hotels in Cuba

Major Changes

The Obama’s administration resolution to allow direct flights to Havana influenced a lot of changes. The US embassy was opened in Havana and direct mail services were restored. This decision to lower the travel prices and direct flight brought significant changes to both Cuba and the U.S. However, the travel prices to this destination are still relatively higher compared to travel prices to other Caribbean destinations.

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Obama’s visit to Cuba in 2014 brought about great changes in travels to Cuba. He initiated the direct flights to Cuba from the US. This led to increase in the number of travelers going to this Caribbean destination. This led to increase in flight prices which eventually decreased in the fall of 2017. Cuba grew in terms of business due to the great opportunity for tourist inflow to the state. More hotels were built, taxi business and tourism sector flourished. Despite the decrease in Airfare prices, American travelers paid a lot more for hotel accommodation. Generally, price changes affected both Americans and Cubans.

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