*

Domestic air arrivals to Alaska up 10% year over year,

driven by

Texas travelers

*

Southern European destinations still attractive, but

shoulder

seasons gain popularity

*

Residents seeing more tourists throughout the year

By Doyinsola Oladipo, Joanna Plucinska and Karolina Tagaris

NEW YORK/LONDON/ATHENS, Aug 15 (Reuters) - Florida

resident Kathy Pafunda is reading books and perusing maps to

plan a Norway getaway next summer, following visits over the

last two years to cool-weather destinations Alaska, Utah,

Minnesota and Iceland.

"We like to escape during the summer months, especially when

going outside feels like taking an unpleasant bath," said the

retired 69-year-old audiologist, who lives in Tampa. "Florida is

hideous right now."

Wildfires and heat waves this summer have pushed more

travelers to take "coolcations," as the industry has started

calling them, to northern Europe and Alaska to beat the heat.

July 22 was the world's hottest day on record and some

scientists say 2024 could surpass 2023 as the hottest year.

Travel companies have noticed. Cruise operators, hotel

companies and airlines are adding trips and accommodations to

meet rising demand for temperate destinations.

Norwegian Air said in July it has established 10

new routes between northern Norway and European cities.

"We are enthusiastic about the growing interest in northern

destinations from Europe," said Geir Karlsen, Norwegian Air CEO

on a quarterly call.

Norwegian Cruise Line Holdings ( NCLH ) announced in July 13

new itineraries aboard six ships across Alaska, Canada and New

England for summer 2026. Royal Caribbean Group said on a

quarterly call that it increased its Alaska capacity this

summer.

"The impact of climate on the travel industry is very

gradual as opposed to causing a company to make a major shift,"

said Truist equity analyst Patrick Scholes. "But companies are

gradually adapting, some faster than others."

Domestic air arrivals to Alaska this summer increased 10%

year-over-year, driven by a 30% increase in arrivals from

Dallas, Texas, according to flight-ticketing data firm

ForwardKeys. Texas residents have sweltered in hot conditions

since May.

The numbers of plane tickets issued as of June for

international arrivals in Norway, Ireland and Sweden this summer

are up by 19%, 13% and 11% respectively year-over-year,

ForwardKeys said.

Accommodations are also seeing the shift.

Vacation-rental company Airbnb ( ABNB ) recorded a 15%

year-over-year increase in searches for summer stays in Norway,

Sweden and Alaska during the first half of 2024.

Luxury-travel agency Virtuoso said its bookings this summer

for Canada jumped 20% year over year.

Hyatt plans to double the number of its hotels in Canada

by the end of 2026, as Toronto and Montreal see heightened

summer travel.

SHOULDER SEASON

Rising demand for cooler destinations, however, has not

dented warm-weather travel.

"Southern European destinations remain very attractive,"

said Olivier Ponti, director of analytics at ForwardKeys.

International arrivals in June in southern Europe increased

8% year over year, he said.

UK travelers are still looking to warm Mediterranean

destinations, but the shoulder seasons of spring and autumn are

becoming more appealing, said Sean Tipton, spokesperson for UK

travel agent group ABTA.

"People are traveling earlier and later in the year, in part

because August is too hot for them," Tipton said.

Italy's hotel occupancy in March and May roughly doubled

compared with the same months in 2019, said travel analytics

firm Key Data.

DOWNSIDES

While the extended travel season is thinning crowds in hot

spots during summer, it may mean residents must deal with

tourists year-round, said Melanie Brown, Key Data's director of

data insight.

"There's traffic year-round in destinations where there used

to be traffic for nine weeks," she said, citing Colorado as an

example.

With a longer season, travel companies may struggle to find

enough workers in a tight labor market, Brown said.

Virtuoso said its summer Greece bookings are down 17% year

over year.

"Business is still strong there, just not as robust as last

summer," said Virtuoso vice president Misty Belles.

Yannis Hatzis, president of Greece's hoteliers' federation,

said high-end accommodations have taken a hit.

From January to May, foreign arrivals to Greece were up nearly

21% but arrivals from the United States fell 19% year over year

in May, according to the Bank of Greece.

Greece recorded its hottest June and July, according to the

research institute National Observatory of Athens, as wildfires

forced thousands of people to flee their homes.