Episode Notes Airports worldwide are investing large amounts in tech upgrades for a projected huge increase in passenger traffic. Travel Technology Reporter Justin Dawes profiles five U.S. airports making upgrades. JFK Airport shared plans earlier this year for its new terminal 6, which will include digital concierge services as well as a self check-in and bag drop. The airport said its new terminal 1 would feature a state-of-the-art baggage handling system. San Francisco International Airport has started working on a $2.6 billion project to modernize terminal 3, which will include automated bag drop stations and new security checkpoints.  And Pittsburgh International Airport is building a new terminal with more streamlined ticketing stations and baggage claim systems.  Next, Qantas unveiled details about its all-new aircraft on Thursday. Airlines Editor Gordon Smith takes a look at the Airbus A321XLR, which the Australian carrier will start receiving next April.   Qantas says the aircraft — which Airbus has coined the “XLR” or “Xtra Long Range” — will open up direct domestic and short-haul international routes. It’s a direct replacement for Qantas’ existing Boeing 737s, which are due to leave the carrier’s fleet over the next decade. The XLR can fly around 1,500 nautical miles further than the outgoing 737s.  Finally, Edinburgh’s city council recently approved a proposal to levy Scotland’s first tourist tax. Local officials are worried the tax could make the city less competitive, writes Global Tourism Reporter Dawit Habtemariam.  The “Transient Visitor Levy” will charge guests staying at paid accommodations in Edinburgh 5% per room night. Capped at seven consecutive days, the tax will go into effect in 2026. Edinburgh officials will use the funds for affordable housing, infrastructure and destination management, among other areas.  Habtemariam notes some tourism businesses are concerned the new tax will make the Scottish capital more expensive for tourists. Marc Crothall, chief executive of the Scottish Tourism Alliance, described Edinburgh’s new tax as a contentious matter, citing concerns about the possible impact on future bookings.   For more travel stories and deep dives into the latest trends, head to skift.com.  Connect with Skift LinkedIn: https://www.linkedin.com/company/skift/ X: https://twitter.com/skift Facebook: https://facebook.com/skiftnews Instagram: https://www.instagram.com/skiftnews/ WhatsApp: https://whatsapp.com/channel/0029VaAL375LikgIXmNPYQ0L/ Subscribe to @SkiftNews and never miss an update from the travel industry.

Episode Notes A growing number of short-term rental hosts are turning to amenities such as pools, hot tubs and mini golf to help stand out from the competition. Reporter James Farrell examines what one executive calls an “amenities arms race.” Farrell writes hosts and owners willing to invest in developing properties with high-end amenities are likely to see benefits. Analysis from AirDNA found that listings with pools and hot tubs posted higher revenues and occupancy rates than listings without them. Luxury listings with high-quality amenities saw more pronounced revenue benefits than budget or economy listings.  Farrell adds the push for more amenities might be driven partly by the desire of hosts to appeal to families as well as wellness or adventure travelers. David Krauss, CEO of advocacy group Rent Responsibly, said members of those groups tend to expect high-quality amenities.   Next, Saudi Arabia says it’s a destination for all types of travelers in its new tourism campaign, writes Middle East Reporter Josh Corder. A video titled “This Land is Calling” showcases several of the kingdom’s attractions, including skyscrapers and seaside resorts. Corder notes the campaign aims to highlight the nature in the country as well as its culture and entertainment options. The video’s narrator is a solo female traveler as Saudi Arabia attempts to send a message that it’s a welcoming environment for female travelers.  The campaign launched on Wednesday in the UK, the U.S., France, Italy and Germany.  Finally, the Air France-KLM Group has officially become a shareholder in SAS Scandinavian Airlines, having formally acquired a roughly 20% stake in the company. Airlines Editor Gordon Smith lists three things to pay attention to.  SAS will join the SkyTeam group of airlines on September 1 after having long been a member of rival Star Alliance. Smith notes one of the biggest implications of the shift pertains to loyalty programs, with members of SAS and Air France-KLM’s programs soon being able to enjoy reciprocal frequent flyer benefits.  Smith adds that flyers will find buying tickets and connecting between flights operated by the airlines easier. For example, Air France-KLM passengers will have easier access to 33 destinations in Northern Europe via SAS hubs. In addition, SAS confirmed it recently completed bankruptcy proceedings in the U.S., which CEO Anko van der Weff said represents a new era for the company.  For more travel stories and deep dives into the latest trends, head to skift.com.  Connect with Skift LinkedIn: https://www.linkedin.com/company/skift/ X: https://twitter.com/skift Facebook: https://facebook.com/skiftnews Instagram: https://www.instagram.com/skiftnews/ WhatsApp: https://whatsapp.com/channel/0029VaAL375LikgIXmNPYQ0L/ Subscribe to @SkiftNews and never miss an update from the travel industry.

Episode Notes Delta Air Lines is launching free onboard Wi-Fi across its global network in the next several months. So how will Delta handle the complexities of international expansion? Airlines Editor Gordon Smith examines the matter in addition to comparing rivals’ Wi-Fi services. Smith notes Delta already offers free Wi-Fi on around 90% of its 700 domestic mainline aircraft, however, international expansion is much more complex. It is currently undergoing what it calls a “Wi-Fi transition period.” That means the company is making significant upgrades in its global coverage, with additional satellites being placed to improve the reach of the service. Delta is launching free overseas Wi-Fi on a route-by-route basis as the carrier aims to duplicate its successful domestic rollout strategy of prioritizing certain city pairs.    Next, luxury hotels in Paris enjoyed a nice bump in occupancy during the Olympics, writes Global Tourism Reporter Dawit Habtemariam.  Close to 86% of high-end hotels in the Greater Paris metropolitan area were occupied between July 23 and August 6, according to the city’s tourism office. That’s a roughly 17 percentage point jump from last year. Growth overall was much more modest, especially if you consider the run-up to the Games.  Habtemariam writes the Olympics have been a drag on visitor numbers to Paris throughout the entire summer, with many travelers opting not to visit due to increased traffic and congestion in the city. Over the entire summer period, Paris is expected to have 9.5 million overnight visitors, which is similar to 2023 levels. Finally, luxury hospitality brand Inspirato has a new CEO and a deal for $10 million in equity financing. The company is also laying off 15% of its workforce, writes Executive Editor Dennis Schaal.  Inspirato’s third round of layoffs since early 2023 — as well as its move to terminate underperforming leases — are part of its efforts to save $25 million annually. As for the $10 million deal that new CEO Payam Zamani is bringing, $4.6 million was expected to close on Tuesday. The rest is slated to close in September.  Producer/Presenter: Jose Marmolejos Connect with Skift LinkedIn: https://www.linkedin.com/company/skift/ X: https://twitter.com/skift Facebook: https://facebook.com/skiftnews Instagram: https://www.instagram.com/skiftnews/ WhatsApp: https://whatsapp.com/channel/0029VaAL375LikgIXmNPYQ0L/ Subscribe to @SkiftNews and never miss an update from the travel industry.

Timeshare operator rivals Hilton Grand Vacations, Marriott Vacations Worldwide and Travel and Leisure Company have all reported financial results recently. Senior Hospitality Editor Sean O’Neill delves into those reports to search for broader trends in the segment.  HGV executives said they’ve seen more consumers hesitant to agree to deals in part because of inflation. However, O’Neill notes that HGV has actually had to deal with more demand than the group can efficiently handle. Meanwhile, both Travel and Leisure and Marriott Vacations have seen business boom, with each company generating at least $3.5 billion in net revenue last year. Next, Airlines Editor Gordon Smith lists three takeaways from Air France-KLM Group’s full-year results. Smith notes geopolitical issues in the Middle East and Africa have hurt the supergroup’s profitability. KLM has yet to resume service to Israel. Meanwhile, instability in several West African countries has impacted Air France’s bottom line. However, group CEO Ben Smith said Air France might see a slight bump in the amount it earns from each passenger flown during this year’s Paris Olympics.  Ben Smith added that the surge in premium leisure travel could make up for any weakness in business travel.  Finally, Visit California is launching its first tourism campaign in a decade as part of the state’s efforts to reintroduce itself to travelers, writes Global Tourism Reporter Dawit Habtemariam. The roughly $33 million campaign — titled “The Ultimate Playground” — is looking to remind travelers about the Golden State’s abundance of activities. Habtemariam notes Visit California hadn’t been able to market itself extensively during the pandemic, when the state’s image took a hit due to widespread coverage of issues such as urban crime and wildfires. 

Episode Notes Gilda Perez-Alvarado surprised some hotel industry insiders when she left JLL to become Accor’s chief strategy officer last October. Perez-Alvarado outlined her plans for Accor in her first interview since taking the new role.  Perez-Alvarado touched on Accor’s efforts to make inroads in the U.S., among other subjects, with Senior Hospitality Editor Sean O’Neill. She said Accor would target markets and segments in the country where the company believes it should be present. Perez-Alvarado added that Accor would be increasingly open to dealmaking with interest rates stabilizing. Next, the Federal Aviation Administration told Boeing it has 90 days to create a plan to tackle its quality control issues, writes Airlines Reporter Meghna Maharishi.  FAA chief Michael Whitaker revealed the timeline after the agency had an all-day discussion with the planemaker. Boeing’s 737 Max aircraft has been plagued with a litany of issues, including a blowout aboard an Alaska Airlines flight this January. Whitaker said he expects the plan to take into account the latest results from the FAA’s audit of Boeing’s production processes. Finally, Vacasa’s workforce is undergoing major changes again. The company announced it is laying off 320 employees while Chief Operating Officer John Banczak is leaving the vacation rental operator, reports Executive Editor Dennis Schaal. Schaal writes Vacasa’s latest round of layoffs, which represent 5% of the company’s overall workforce, will cost it between $4 million and $5 million. Meanwhile, Banczak will stay on in his current role through March 31. Vacasa said his departure as chief operating officer isn’t the result of any disagreements between him and the company. 

Episode Notes American Airlines and United Airlines are among the major carriers that have increased baggage fees in recent months. Airlines Reporter Meghna Maharishi explains why checking bags at airports has gotten more expensive.   Maharishi writes that nearly every carrier cited inflation, higher fuel and operating costs as reasons they hiked baggage fees. JetBlue Airways said it raised baggage fees as part of its plan to return to profitability.  Airlines may also be increasing bag fees to help boost sign ups for their loyalty programs and co-branded credit cards. An airline consulting firm executive said expensive bag fees increase the value of airline-branded credit cards. American said its loyalty program members and credit card holders can check their first bag for free.   Next, New York City hotels could see a $380 million boost in revenue this year from the city’s de facto ban on short-term rentals, writes Short-Term Rental Reporter Srividya Kalyanaraman.  A new report from real estate firm JLL revealed the New York City hotels could book an additional 2.2 million nights this year. A city law requiring hosts to be present for stays shorter than 30 days went into effect last September. In addition to the crackdown on short-term rentals, New York City’s hotel industry also stands to benefit from a projected surge in international tourists this year. Finally, Katerina Giannouka has left her role as CEO of Jumeirah Group, writes Middle East Reporter Josh Corder.  Giannouka became Jumeirah’s first female CEO in December 2022 after having previously served as the Asia-Pacific president for Radisson. During her brief time at Jumeirah, she said she was looking to double the group’s portfolio, including signing more hotels outside of the United Arab Emirates. Jumeirah’s current Chief Operating Officer Thomas B. Meier will serve as interim CEO, according to an internal document seen by Skift. 

Episode Notes Hotel guests in Las Vegas during Super Bowl weekend earlier this month paid the highest room rates in continental U.S. history, writes Global Tourism Reporter Dawit Habtemariam.  Industry data company STR said guests shelled out on average $800 for rooms in Las Vegas that weekend, the highest ever for any Saturday and Sunday in the continental U.S. Hotel guests on the Las Vegas Strip paid an even higher rate on Super Bowl Sunday — $962 on average. Meanwhile, short-term rentals in Las Vegas also saw average daily rates during Super Bowl weekend surge 19% from the previous weekend.  Next, a Federal Aviation Administration panel reported on Monday that Boeing’s efforts to improve its safety culture are inadequate, writes Airlines Reporter Meghna Maharishi.  The panel found a “disconnect” between Boeing executives and employees involved in the planemaker’s safety culture. Congress had mandated the report into Boeing’s safety culture after two fatal 737 Max 8 crashes. The FAA report revealed, among other findings, that most Boeing employees were unaware of the company’s safety culture efforts.  Finally, Ryanair CEO Michael O’Leary said a shortage of aircraft could cause airfares to jump 10% in Europe this summer, reports Airlines Editor Gordon Smith.  O’Leary said delays in delivering the Boeing 737 Max are a factor for the potential shortage. Fifty-seven Max planes are due to arrive at Ryanair by the end of March, the official start of the airline industry’s summer season. However, O’Leary acknowledged that only 40 to 45 jets may be ready for this summer.  Produced and Presented by Jose Marmolejos

Episode Notes Wyndham executives say the company’s efforts to fend off Choice Hotels’ hostile bid weighted on its results in the fourth quarter, reports Senior Hospitality Editor Sean O’Neill. Wyndham CEO Geoff Ballotti said its fourth quarter could have been better without the distractions from Choice Hotels’ merger proposal. The company’s revenue and income in 2023 both fell from the previous year, which may have been a result of Wyndham devoting resources to prevent the hostile merger.  Wyndham said it’s spent $75 million related to the deal so far, including answering antitrust queries from regulators.  Next, Expedia Group has pulled a Vrbo ad in Canada because its use of a traditional folk song from Newfoundland and Labrador sparked an uproar, writes Executive Editor Dennis Schaal.  The ad, which aired during both the Grammys and Super Bowl, used the folk song I’se the B’y as its theme. Schaal notes the ad was intended to take a dig at rival Airbnb. But the provincial government and local tourism executives demanded Expedia remove the ad because they believed using the folk song was disrespectful. Finally, Bali has implemented a tourist tax as part of its efforts to combat overtourism, writes Global Tourism Reporter Dawit Habtemariam. Visitors to the popular Indonesian destination have to pay about $10, which will go toward conservation efforts and improving the island’s infrastructure. Mark Howarth-Archer, an executive at tour operator G Adventures, said Bali’s infrastructure can’t handle the surge in tourists.

Episode Notes Marriott and Hilton have both released their annual financial reports for 2023. Senior Hospitality Editor Sean O’Neill lists 12 noteworthy takeaways after comparing the companies’ 10-K filings.  The two hotel giants have a rivalry in terms of loyalty program membership numbers. Marriott currently has roughly 16 million more loyalty program members than Hilton. But O’Neill notes Hilton could overtake Marriott in 2025 if the two companies maintain their most recent growth rates this year.  O’Neill adds that both companies were considerably more profitable in 2023 than they were six years prior.  Next, Airbnb CEO Brian Chesky believes the company can create a new artificial intelligence interface that will help transform it into a cross-vertical company, writes Executive Editor Dennis Schaal.   Chesky said the planned interface could be one of the most innovative ever created. He added that it would enable Airbnb to become a cross-vertical company: Think Amazon when it expanded beyond books and Apple when it launched the app store. Chesky also said Airbnb would make announcements later this year regarding new products and services.   Finally, American Express has opened the world’s largest Centurion Lounge at Atlanta’s Hartsfield-Jackson International Airport, writes Airlines Editor Gordon Smith. The 26,000-square foot lounge, which includes indoor and outdoor areas, is American Express’ latest effort to target high-spending travelers. It also includes a whiskey bar serving cocktails designed by Centurion’s mixologist. American Express Travel President Audrey Hendley said a new Atlanta lounge was a major priority for the company. 

Episode Notes Some analysts had wondered if Airbnb could increase its supply of hosts and listings to meet the growing demand from travelers worldwide. That question has been put to rest, writes Executive Editor Dennis Schaal.  Airbnb said during its fourth-quarter earnings call on Tuesday it has around 7.7 million active listings. That’s an increase of more than 1 million from the end of 2022. The company ended 2023 with a roster of more than 5 million hosts, also a jump of roughly 1 million from the previous year.  Airbnb also said its supply of listings increased 18% in the fourth quarter from the same period in 2022.  Next, Marriott had a banner 2023, especially in the luxury sector, reports Senior Hospitality Editor Sean O’Neill.  Marriott said during its fourth-quarter earnings call that it generated $3 billion worth of net income and a 48% profit margin last year. The company was boosted by its strength in luxury. Marriott had a company record of 58 luxury signings last year. It says its portfolio of luxury hotels is 50% larger than its nearest competitor.  Finally, billionaire investor Carl Icahn has again bought a stake in an airline — this time in JetBlue Airways, writes Airlines Reporter Meghna Maharishi.  Icahn reported a 9% stake in JetBlue, making him the airline’s third-largest investor. JetBlue shares rose by more than 16% after news of Icahn’s stake became public. That’s welcome news for a company that has experienced its share of struggles in recent years, including declining revenues.  Icahn acquired a more than 20% stake in Trans World Airlines in 1985. He helped TWA grow, but it was saddled with debt and filed for bankruptcy twice. 

Episode Notes The Bahamas saw a drop in short-term rental bookings and hotel reservations in January after a U.S. State Department safety alert to travelers, writes Global Tourism Reporter Dawit Habtemariam. Habtemariam notes short-term rental bookings fell 7% in January from the same month in 2023. Meanwhile, hotels in the Bahamas also registered weekly occupancy declines from last year throughout the month. While higher average daily rates may have deterred bookings, those drops followed a U.S. Embassy alert warning Americans about crime in Nassau.  A State Department spokesperson said the overall Travel Advisory for the Bahamas is at Level 2, which advises U.S. citizens to be cautious in the country due to crime.  Next, Expedia Group’s equity stake in American Express Global Business Travel has taken a beating — to the tune of $326 million, reports Executive Editor Dennis Schaal.  Expedia said on Monday the fair value of its equity stake in Amex GBT has dropped 40% since 2021. Expedia took a 19% stake in Amex GBT following its sale of corporate travel agency Egencia. However, Schaal notes Expedia may have benefited from the deal on several levels, including enabling it to offer hotel stays and vacation rentals to business travelers through Amex GBT.   Finally, flying taxis could take to the skies in Dubai by 2026 after local officials signed a deal with electric aircraft maker Joby Aviation, writes Airlines Editor Gordon Smith.  Joby’s contract with Dubai’s Road and Transport Authority gives the company exclusive rights to operate flying taxis in Dubai for six years. Smith notes Joby believes it could even operate air taxis next year, ahead of the planned 2026 launch. Joby has also signed a deal with infrastructure company Skysports, which will build and run take-off and landing areas for flying taxis in Dubai. Still, it’s no sure thing: As with all pioneering technologies, progress in the sector has been peppered with pitfalls. 

Episode Notes Expedia Group will have a new CEO soon. Ariane Gorin, currently president of Expedia for Business, will succeed Peter Kern starting on May 13, writes Executive Editor Dennis Schaal.   Schaal reports Gorin will also take a seat on Expedia Group’s expanded board of directors, effective February 12. Expedia Group Chair Barry Diller said the company was looking for an internal candidate to succeed Kern. As president of Expedia for Business, the company’s business-to-business arm, Gorin was responsible for a large portion of Expedia Group’s revenue and profits. Meanwhile, Kern will continue to serve as Expedia Group’s vice chairman and a member of its board.  Next, Spirit Airlines has experienced its share of struggles in recent years, including $1 billion worth of debt due next year. But CEO Ted Christie is refuting any talk the company could go bankrupt, writes Airlines Reporter Meghna Maharishi.  Christie expressed confidence Spirit will survive during the airline’s fourth-quarter earnings call, citing steps it’s taking to strengthen its finances. It recently netted $419 million in cash through selling and leasing back 25 aircraft. In addition, Spirit plans to make adjustments to its network, including reducing service to less lucrative destinations.  Finally, a spokesperson for Taylor Swift says she has bought double the carbon credits needed to offset emissions caused by her Eras Tour. However, it’s uncertain if carbon credits are effective in reducing emissions, writes Airlines Reporter Maharishi.  A study from the Institute of Policy Studies found a private jet emits at least 10 times more carbon emissions than a commercial jetliner. As for carbon offsets, Maharishi notes they can include replanting trees in the rainforest or introducing energy-efficient methods to struggling communities. Commercial airlines often provide customers the opportunity to buy carbon offsets when purchasing flight tickets.  But Maharishi cites research that revealed 78% of carbon reducing emissions projects could be considered “junk.” 

Episode Notes Taylor Swift’s massive influence on U.S. culture and the economy isn’t slowing down anytime soon. And as her ongoing Eras Tour continues to pack stadiums and boost tourism worldwide, Editor-in-Chief Sarah Kopit explains why Swift might be the most powerful person in travel. Swift’s impact on the travel sector is vast, with major influence over tourism dollars, hospitality spending and the short-term rental market. Kopit notes that each Swift concert has the economic impact of the Super Bowl – and it’s not just once a year. U.S. cities hosting a Eras Tour concert have seen their monthly hotel room revenue jump more than 7% on average. In addition, one short-rental executive said the Eras Tour has been responsible for double-digit increases in occupancy and average daily rates. Skift Research estimates the tour generated an incremental $1.2 billion for the U.S. travel industry in 2023 across flights, hotels, short-term rentals and other expenditures. Next, Hilton is considering making acquisitions, a shift from its longtime strategy of creating brands internally, writes Senior Hospitality Editor Sean O’Neill.  Hilton CEO Christopher Nassetta said the current economic environment might be more conducive for acquisitions. O’Neill notes rumors have surfaced that Hilton is in talks to acquire both Graduate Hotels and NoMad Hotels, a luxury lifestyle hotels brand. Nassetta said Hilton intends to enter the luxury lifestyle sector this year.  Finally, the upcoming Super Bowl between the San Francisco Chiefs and Kansas City Chiefs is driving a surge in short-term rental rates in Las Vegas, writes Short-Term Rental Reporter Srividya Kalyanaraman.  Short-term rental demand in Las Vegas from February 9 to 11 is 87% higher than the same period in 2023, according to AirDNA. Kalyanaraman adds that average daily rates have increased 51% from last year. Meanwhile, searches for Airbnb rentals in the Las Vegas area during Super Bowl week have jumped 65% compared to the same period last year.  

Episode Notes Disney has unveiled expansion plans for its parks, cruise line and digital platforms, writes Travel Experiences Reporter Jesse Chase-Lubitz.  Disney announced it will debut four new cruise ships between 2027 and 2031, an expansion that will increase its cruise line fleet to 13 ships. Meanwhile, the Disneyland Resort in California will feature a water-based Avatar attraction and Disney’s Animal Kingdom in Florida will be home to Indiana Jones and Encanto-themed attractions.   In addition, Disney is working with Epic Games to incorporate its characters into digital environments linked to the popular online game Fortnite.  Next, India’s outbound travel market is projected to reach $55.4 billion by 2034. And the country’s clout in the global travel industry is expected to continue growing, writes Asia Editor Peden Doma Bhutia. Several travel executives addressed India’s role in global tourism during recent earnings calls. Accor CEO Sebastien Bazin said the number of Indian outbound travelers could double in the near future, which would have a big impact on Southeast Asia and Middle East hotel markets. And Airbnb CEO Brian Chesky said Airbnb is a crucial market, with the company seeing a 30% increase in nights booked in 2023 from the previous year.  Finally, the three largest U.S.-based sellers of vacation ownership, or timeshares, have reported a pullback in consumer spending behavior, writes Senior Hospitality Editor Sean O’Neill.  Executives at Hilton Grand Vacations, Marriott Vacations Worldwide and Wyndham Destinations said they noticed an increased consumer hesitancy to buy timeshares, particularly for new buyers in the bottom-third of income. O’Neill notes the pullback follows a high level of demand. The sector saw sales volume hit $11 billion last year, marking a full recovery from pre-Covid levels.  Where will growth come from? “Global” was the most-used word by timeshare executives in recent earnings calls. Marriott Vacations Worldwide is planning a new resort in Thailand. Hilton Grand Vacations sees opportunities in boosting its sales of units to Japanese buyers. And Travel and Leisure Co. saw its international tour flow jump over 50% in the second quarter. Producer/Presenter: Jose Marmolejos Connect with Skift LinkedIn: https://www.linkedin.com/company/skift/ X: https://twitter.com/skift Facebook: https://facebook.com/skiftnews Instagram: https://www.instagram.com/skiftnews/ WhatsApp: https://whatsapp.com/channel/0029VaAL375LikgIXmNPYQ0L/ Subscribe to @SkiftNews and never miss an update from the travel industry.

Episode Notes A preliminary report from the National Transportation Safety Board has provided information about what possibly caused the January blowout aboard Alaska Airlines Flight 1282. Four bolts appeared to be missing on a door plug that blew off that Boeing 737 Max 9 jet, writes Airlines Reporter Meghna Maharishi.  Maharishi notes it’s not exactly clear how the four bolts meant to keep the door plug intact went missing. The board said it plans to interview Boeing and aircraft supplier Spirit Aerosystems. The report said the door plug Spirit delivered to Boeing last August had come with certain defects.   Next, U.S.’ low-cost carriers have generally struggled in recent years. But Frontier Airlines believes its new three-point plan can help boost profitability, writes Airlines Editor Gordon Smith.  Smith notes that Frontier is planning to thoroughly overhaul its network, with fewer flights to oversaturated markets such as Las Vegas and Orlando. Frontier is also looking to increase service to more lucrative destinations where it aims to charge higher fares. The second part of Frontier’s three-point plan is a new product called “BizFare,” which would enable businesses to save on corporate travel expenses. In addition, Frontier is unveiling a revamped website and app, which the company hopes will help boost sales on its platforms.  Finally, Chinese travelers are showing less interest in visiting Europe this year, writes Global Tourism Reporter Dawit Habtemariam. A survey by the European Travel Commission found roughly 57% of Chinese travelers plan to travel to Europe in 2024. That’s a 14 percentage point drop from last year. Habtemariam notes one reason for the drop is Chinese travelers’ growing desire to explore locations closer to home, with several Asian destinations easing their visa policies. 

Episode Notes Nearly 94% of 737 Boeing Max 9s are back in service after the aircraft was grounded for roughly three weeks in January, writes Airlines Reporter Meghan Maharishi.  The Federal Aviation Administration said that 135 Max 9s have been inspected and returned to service following a blowout aboard an Alaska Airlines flight in early January. The grounding of the Max 9 forced United Airlines and Alaska — the only two U.S. carriers operating the aircraft — to cancel thousands of flights last month. Next, Brand USA, the U.S.’ tourism marketing agency, will air a Super Bowl ad internationally for the first time, writes Global Tourism Reporter Dawit Habtemariam. Habtemariam reports the 15-second ad will air in both Germany and the United Kingdom, two major sources of tourism for the U.S. Brand USA established a partnership with the NFL in Germany and the UK last year. Staci Mellman, the agency’s chief marketing officer, said partnering with the NFL has enabled it to tap into the growing number of international travelers interested in American football.  We end today looking ahead to soccer’s World Cup in 2026. Officials in Dallas are disappointed they won’t get to host the final match but they still got one big win: hosting the most matches of any city, writes Global Tourism Reporter Habtemariam. Dallas will host nine matches during the tournament, including a semifinal. One local sports executive said the economic impact would be similar to that of nine Super Bowls. A study by the Boston Consulting Group found the 2026 World Cup should generate between $90 million and $480 million for the cities. 

Episode Notes Skift Research has published its Global Travel Outlook 2024, which sees Asia leading the travel industry’s growth while Europe’s travel boom will likely slow down. The forecast shows Asia Pacific growing 20% over 2023. Research Analyst Saniya Zanpure writes the region has gotten a big boost from China easing its strict Covid-era regulations in January 2023. Meanwhile, Europe’s travel revenue is projected to register only a 5% increase from last year, with Zanpure noting that Europe faces challenges such as inflation and climate-related concerns.  Next, Frontier Airlines announced on Thursday that it’s launching a business fare as part of its strategy to attract corporate travelers, writes Airlines Reporter Meghna Maharishi.  Frontier said that “BizFare” would enable businesses to save on corporate travel expenses. The ticket would be available through a company’s global distribution channel. Maharishi added the new fare could help Frontier cater to travelers that wouldn’t normally fly with an ultra-low-cost carrier for business trips.  Finally, Royal Caribbean believes the new Icon of the Seas, the world’s largest cruise ship, will help the company better compete against destinations like Las Vegas and Orlando for family vacations, writes Global Tourism Reporter Dawit Habtemariam. Royal Caribbean Group CEO Jason Liberty said during the company’s fourth-quarter earnings call that it can hold its own against longtime popular tourist destinations. The $2 billion, 20-floor ship contains eight different sections, each with a different experience for guests. Liberty added Royal Caribbean plans to innovate further to reduce the value gap between the company and land-based vacations. 

Episode Notes Boeing CEO Dave Calhoun issued an apology for the recent Alaska Airlines blowout amid the reeling planemaker’s struggles with its 737 Max 9 aircraft, writes Airlines Reporter Meghna Maharishi.  Calhoun said during Boeing’s fourth-quarter earnings call that the company has a lot of work to do to earn the public’s trust back. While Calhoun didn’t speculate on what possibly caused the blowout, he acknowledged Boeing was responsible. The 737 Max has been plagued with problems in recent years, and Max 9 was grounded by the Federal Aviation Administration for roughly three weeks in January. Boeing didn’t issue any financial targets for 2024, with Calhoun saying the company needs to “focus on every next airplane.” It is unclear how big of a financial hit Boeing will take. Next, GetYourGuide is rolling out its largest-ever advertising campaign as part of its strategy to challenge Viator in the U.S., reports Senior Hospitality Editor Sean O’Neill.  GetYourGuide recently aired a 30-second commercial during the NFL playoffs and it plans to run more national TV ads during major events such as the Academy Awards. O’Neill writes that GetYourGuide’s ads aim to reach 70% of Americans this year. Only 25% of the company’s customers are located in the U.S.  Finally, travelers can easily visit Machu Picchu again as protests blocking critical rail access to Peru’s most famous landmark are over, writes Global Tourism Reporter Dawit Habtemariam.  Protesters had blocked rail service to Machu Picchu for five days in anger over the government’s contract with private company Joinnus to distribute tickets to tourist attractions. Peruvian officials signed an agreement on Tuesday night that includes ending the contract. A representative from Inca Rail said travelers can now book rail service to Machu Picchu. 

Episode Notes JetBlue Airways is focusing on how it can be profitable following its failed merger with Spirit Airlines. So JetBlue is looking at ways to cut costs and offer more leisure routes, writes Airlines Reporter Meghna Maharishi. JetBlue is grappling with rising costs due to new labor contracts and also has engine issues that have currently grounded seven aircraft. JetBlue Chief Financial Officer Ursula Hurley said the company would offer crew members voluntary buyouts to help offset some of those costs. The New York-based carrier also plans to defer $2.5 billion in aircraft spending to the end of the decade.  And as JetBlue is increasingly targeting leisure travelers, the company is expanding service to popular destinations such as Florida, the Caribbean and Mexico.  Next, protesters have blocked crucial rail access to Machu Picchu in anger over the Peruvian government’s new online ticketing system for tourist attractions, writes Global Tourism Reporter Dawit Habtemariam.  Habtemariam reports tour operators have had to substantially alter their trips due to the lack of rail service since last Thursday. Sarah Migniac, an an executive at tour operator G Adventures, said reaching Machu Picchu could take nine hours without the train route. Migniac added that international travelers may cancel trips to Peru if traveling to Machu Picchu remains difficult.  One Peruvian official said the disruption is costing the Machu Picchu site roughly $260,000 in lost income per day.  Finally, Hilton has announced plans to enable guests to make requests by text at all of its hotels by the end of 2024, reports Senior Hospitality Editor Sean O’Neill.  Guests will be able to send messages via the Hilton Honors app, WhatsApp, and other platforms. Although texting customer service requests has become common in sectors such as retail and finance, some major hotel groups still require phone or face-to-face internations. Hilton is the first hotel group to require all its hotels to enable guests to make requests via text. 

Episode Notes Fans heading to Las Vegas for the Super Bowl on February 11 will likely pay the highest hotel room rates in the event’s history, writes Global Tourism Reporter Dawit Habtemariam.  The average daily rate for a Las Vegas hotel room between February 9 and 11 is projected to be $573, according to industry data company STR. That figure would break the record set in Miami four years ago. Habtemariam reports that visitors coming for the Super Bowl are expected to book about 350,000 room nights. Next, Ryanair CEO Michael O’Leary has come out in support of beleaguered planemaker Boeing, and called out United Airlines CEO Scott Kirby for saying his company would consider a future without the Max 737 10 in its fleet, reports Airlines Editor Gordon Smith. O’Leary called Kirby’s comments on the Max 10 “stupid” during Ryanair’s third-quarter earnings call on Monday. The Max 10 isn’t certified yet and United has more than 200 of them on order – it has already been waiting five years for the first deliveries of the plane. O’Leary said Ryanair would gladly accept Max 10 jets if United chose to cancel any deliveries. Ryanair has orders for the largest Max 10, which it isn’t due to receive until 2027. Finally, Vrbo took some not-so-subtle shots at Airbnb in two commercials that aired during the National Football League playoffs on Sunday, reports Executive Editor Dennis Schaal. Schaal writes the two ads — titled Relax/Rooster and Relax/Spaceship — are part of a Vrbo multimedia campaign. The narrator in both ads urges travelers to choose a vacation rental that will meet their expectations unlike others. While the Vrbo advertisements don’t mention Airbnb by name, Schaal notes they depict the “other vacation rentals” as those offered by Airbnb.

Episode Notes Alaska Airlines said it would take a $150 million financial hit from the Boeing 737 Max 9 grounding that prompted the airline to cancel roughly 3,000 flights, writes Airlines Reporter Meghna Maharishi.  Alaska CEO Ben Minicucci said during its fourth-quarter earnings call that the company would put pressure on Boeing to produce better planes. Minicucci told NBC News this week he was angry at Boeing for the blowout aboard an Alaska flight earlier this month. He did express optimism that consumer confidence in the Max 9 would eventually come back.   Alaska posted a $2 million net loss during the fourth quarter.  Next, Oracle Hospitality, one of the largest players in hotel tech, is selling what it considers a simplified system for hotel tech operations, writes Travel Technology Reporter Justin Dawes.  Dawes reports Stockholm-based Scandic Hotels Group is already piloting an expanded version of Oracle Hospitality’s cloud-based system. The system, known as Opera Cloud Central, includes a property management system, central reservation system and distribution services on a single platform. Dawes adds that using a single system removes the need to transfer information between systems.  An Oracle Hospitality executive said the company believes it will disrupt the traditional hospitality ecosystem.  Finally, Jolyon Bulley, IHG’s CEO of the Americas, aims to grow the group’s luxury and lifestyle portfolio at what he calls ‘China speed,” writes Senior Hospitality Editor Sean O’Neill. Bulley, IHG’s former CEO for Greater China, said in an interview with Skift he sees potential for growth in the Americas. IHG’s luxury and lifestyle brands represent 22% of its global hotel development pipeline, roughly double the figure from five years ago. Burley also expressed optimism he could use lessons from China, where IHG’s portfolio has doubled over the past five years, to guide the expansion in the Americas.  However, O’Neill notes that one obstacle to growth is IHG doesn’t have a great reputation among hotel owners for luxury in the Americas. 

Episode Notes Los Angeles is launching its largest-ever global advertising campaign to help remain competitive in the fight to attract tourists, writes Global Tourism Reporter Dawit Habtemariam. Habtemariam reports the city will unveil next week the latest iteration of its “Now Playing” campaign, which has showcased Los Angeles’ arts, food and lifestyle. The multi-million dollar campaign will target the UK, France and South Korea, among other markets. LA Tourism CEO Adam Burke said the city is increasing its international marketing efforts in response to the emergence of other competing destinations, including Saudi Arabia. Next, Qantas’ new 10-minute long safety video has been largely panned by viewers who found it tedious among other complaints, writes Airlines Editor Gordon Smith. The new video features Qantas crew and passengers sharing some of their favorite destinations. But with renewed focus on pre-flight briefings in recent weeks, some commenters on social media have argued Qantas’ film lacks critical information regarding safety. Smith notes the Qantas video doesn’t have any in-cabin visuals of the actual airplane.  However, Qantas executives said the video travelers see pre-flight will be shorter than the online version.  Finally, Visit Orlando, one of the U.S.’ largest tourism boards, is about to see its marketing budget reduced by $15 million, writes Global Tourism Reporter Habtemariam.  The Orange County Board of Commissioners approved a proposal to move that amount of tax funds from destination marketing to other projects. Visit Orlando CEO Casandra Matej said she was relieved the organization didn’t see a larger reduction in funding. Its leaders had warned the county commissioner board that cuts could result in fewer advertising projects. Visit Orlando will have an $85 million marketing budget for the 2025 fiscal year. 

Episode Notes United Airlines is taking another look at its fleet plan due to delivery delays with the Boeing 737 Max 10, writes Airlines Reporter Meghna Maharishi. The Max 10 hasn’t been certified by the Federal Aviation Administration yet. And given the Max 9 groundings, United executives said during the airline’s fourth-quarter earnings call on Tuesday that it’s unrealistic to expect deliveries will be on time. Maharishi notes United is focused on the Airbus A350.  Meanwhile, United posted net income of $600 million during the fourth quarter. However, the Chicago-based carrier said Monday it expects a first-quarter loss due to the grounding of the Max 9 following a blowout aboard an Alaska Airlines flight earlier this month.   Next, Expedia CEO Peter Kern is urging hotel owners to clamp down on rogue wholesale rates, reports Executive Editor Sean O’Neill.  Kern said at the Americas Lodging Investment Summit this week that hotels aren’t doing enough to keep their wholesale rates off of smaller retail travel sites. While hotels have long set aside certain rooms at discounted rates for contracted partners, Kern argued that some agencies are breaking the rules.  Hotels may not be quick to respond because they benefit when rooms are full and it takes time and money to clamp down. Finally, Marriott CEO Anthony Capuano faces major challenges at the helm of the world’s largest hotel group, but he remains optimistic about the company’s future, reports Senior Hospitality Editor Sean O’Neill.  Capuano said during an interview with Skift that he doesn’t see Marriott’s growth slowing down. Marriott has more than doubled its room count in the last 10 years, and Capuano said it’s targeting Europe, China and the Middle East as areas for growth.  While O’Neill writes technology has changed faster than Marriott’s software has, Capuano expressed optimism the company’s tech transformation will be complete in the near future. Marriott will revamp its website and app to make comparison-shopping for hotels easier, among other updates. 

Episode Notes Global hotel dealmaking is expected to make a major rebound in 2024 thanks to a more positive financing environment, reports Senior Hospitality Editor Sean O’Neill.  At least $58 billion in hotel deals are set to take place this year, according to investment advisory firm JLL Hotels & Hospitality. That would surpass 2023’s total by at least 15%. JLL believes one reason for the increased dealmaking is that struggling hotel owners are looking for buyers to take problem properties off their hands.  The company expects hotels in major cities like London, Paris and New York to see the most investor interest.  Next, Google is planning to change how it displays flight search results in European Union countries. But eDreams Odigeo, a major flights seller, argues Google’s plan isn’t going far enough to let rivals compete, reports Executive Editor Dennis Schaal.  Spain-based eDreams Odigeo said Google’s plan will allow it to favor Google Flights over competing flight-selling services. Google is under orders from the European Union to increase competition in the travel retail sector.  The tech giant said it plans to add new dedicated units that contain links from competitors, among other changes.  Finally, the Federal Aviation Administration is asking airlines to inspect the door plugs on more Boeing jets, another blow for the beleaguered planemaker, writes Airlines Reporter Meghna Maharishi.  The agency said in a safety alert the Boeing 737-900ER has an identical door plug design to one on the Boeing 737 Max 9. The 737 Max 9 has been grounded since a blowout aboard an Alaska Airlines flight earlier this month. Alaska, Delta Air Lines and United Airlines all operate the 737-900ER. However, the three airlines have said they don’t expect the inspections to impact their operations. 

Episode Notes Expedia Group — like several other major travel brands — has seen “softening” travel demand recently, but it registered growth in several key metrics during the second quarter, writes Executive Editor Dennis Schaal.  CEO Ariane Gorin said Expedia Group is facing a more challenging environment since July, leading the company to adjust its expectations for the rest of the year. But Expedia Group said room nights at flagship brand Expedia.com jumped 20% from last year. In addition, booked room nights grew 10% overall at Expedia Group, topping both Airbnb and Booking Holdings.  Next, Delta argues the software company CrowdStrike’s offer of onsite help came too late to resolve the carrier’s IT outage, writes Airlines Reporter Meghna Maharishi.  Delta lawyer David Boies said CrowdStrike didn’t provide an “automatic” solution to solve an IT outage that eventually became a meltdown for Delta. The airline canceled roughly 7,000 flights after a July 19 CrowdStrike outage. CrowdStrike said earlier this week that Delta declined its offer for onsite assistance.  However, Delta claims CrowdStrike’s offer was “unhelpful and untimely.” Boies notes the offer came four days after the IT outage and by that time, Delta had already restored most of its critical systems. In a statement, Crowdstrike said “Delta continues to push a misleading narrative” and that if offered support within hours of the incident.  Finally, Tripadvisor’s controlling shareholder is looking to do a deal with travel and tourism investment firm Certares, writes Executive Editor Dennis Schaal. Liberty Tripadvisor Holdings CEO Greg Maffei said the company is in “active discussions” with Certares about possible transactions. Schaal notes those “active discussions” would revolve around the $325 million preferred stock investment Liberty Tripadvisor must repay Certares by March 2025. Certares became a strategic investor in Liberty Tripadvisor in March 2020.  For more travel stories and deep dives into the latest trends, head to skift.com. 

Episode Notes The travel industry has gone from deep struggles during Covid to a major boom, with the high demand for “revenge travel.” So what’s in store for travel in 2024? Skift Research believes the industry will return to normal, writes Head of Research Seth Borko. Skift Research said in its newly published 2024 Global Travel Outlook that revenue growth for the travel industry will likely decelerate. However, Borko writes the slowdown isn’t a sign of weakness. He adds that economic conditions appear poised to support further spending and that consumers increasingly prioritize travel.  Next, Airbnb argues that New York City hasn’t delivered on the benefits it promised residents after it enacted a de facto ban on short-term rentals in the city, writes Executive Editor Dennis Schaal.  New York City enacted the law, which requires hosts be present for stays shorter than 30 days, as part of its efforts to increase housing availability and lower rents. Taylor Marr, Airbnb’s senior housing economist, said there’s been no discernable increase in available rental supply since the city’s rules went into effect last September. In addition, rents in New York City rose roughly 2% in December.  Finally, Spirit Airlines faces an uncertain future following a federal judge’s decision to block its proposed merger with JetBlue Airways, writes Airlines Reporter Meghna Maharishi.  Maharishi writes Spirit is on its own to deal with declining revenues and surging operating costs. The airline hasn’t turned a profit since 2019 and several analysts said it probably needs a buyer or another way to improve its financial situation. Spirit’s shares have dropped by nearly 70% since the judge’s ruling.  Maharishi adds Frontier Airlines, which originally sought to merge with Spirit in 2022, could be a potential buyer. But some industry analysts believe it may be difficult for Frontier to launch a bid since it’s also in a financially weaker state compared to two years ago. 

Episode Notes A federal judge blocked the proposed JetBlue-Spirit merger, putting an end to the two airlines’ attempt to create the fifth-largest carrier in the U.S. Why did JetBlue pursue a merger with Spirit Airlines? One key reason is Florida, writes Airlines Reporter Meghna Maharishi and Jay Shabat, senior analyst for Skift’s Airline Weekly.  While Florida is a major market for JetBlue, the New York-based airline doesn’t have much pricing power for those flights. Maharishi and Shabat note that absorbing Spirit in a merger would have eliminated a major competitor known for pushing down airfares. Travelers would have had one less option and probably would have seen higher fares. U.S. District Court Judge William Young wrote the merger would lead to less competition in the industry since Spirit is the largest ultra-low-cost carrier. JetBlue and Spirit directly compete on roughly 40 routes to Florida.  Next, Airbnb has announced it’s forming a housing council to help the company better engage with communities it operates in, reports Executive Editor Dennis Schaal. Jay Carney, Airbnb’s global head of policy and communications, said the short-term rental company would like to avoid regulations like those implemented in New York City last September. The city enacted a law requiring hosts be present for stays shorter than 30 days, which Carney described as onerous.  Former Baltimore Mayor Stephanie Rawlings-Blake, who once headed the U.S. Conference of Mayors, will chair the Airbnb council.  Finally, Chinese travelers aren’t super enthusiastic about visiting the U.S. in 2024 despite Beijing’s efforts to address the hurdles restricting outbound travel from the country, reports Asia Editor Peden Doma Bhuta.  Travel from China to the U.S. is expected to be 70% below pre-Covid levels this year, according to marketing technology company China Trading Desk. CEO Subramania Bhatt cited limited flight capacity and expensive airfare as factors deterring Chinese travelers from visiting the U.S. Bhatt added that a perception of high crime is also a concern for Chinese travelers. Bhatt said Chinese travelers are increasingly interested in destinations suited to last-minute bookings, which means distant locations are taking a backseat. 

Episode Notes A U.S. District Court judge blocked the proposed $3.8 billion merger between JetBlue Airways and Spirit Airlines, the first time in 20 years Washington has rejected an airline merger, writes Airlines Reporter Meghna Maharishi. Maharishi reports the ruling represents a victory for the Biden administration, which has supported more competition in the airline industry. Four airlines control 80% of the U.S. market following a series of mergers the U.S. government has approved in the last two decades. Maharishi adds the judge’s decision is a major setback for JetBlue, which had been seeking ways to become more competitive against the giants of the U.S. airline industry.  JetBlue would have fully absorbed Spirit’s operations if the merger had been approved.  Next, flight disruptions are continuing to mount after a severe winter storm battered the Northeastern United States, writes Airlines Reporter Maharishi.  There were close to 2,000 cancellations and 5,000 delays across the U.S. as of Tuesday afternoon, according to flight tracking site FlightAware. Southwest Airlines, United Airlines and American Airlines have been hit with the most disruptions thus far, although not all were caused by the weather. Maharishi adds airlines may not get a reprieve after the current storm passes, with another Arctic blast expected to hit the Southern and Plains regions of the U.S. later this week.  Finally, Turkey is now charging tourists an admission fee to enter mosque and UNESCO World Heritage Site Hagia Sophia, writes Global Tourism Reporter Dawit Habtemariam. Tourists have to pay about $27 to enter the site, one of Turkey’s most famous attractions, starting this week. Hagia Sophia had admitted tourists free of charge since 2020, when services resumed at the mosque. Muslim visitors to Turkey can still worship for free at Hagia Sophia at appropriate times, noting the government has separated how tourists and worshippers enter the building. 

Episode Notes Tripadvisor plans to release a metaverse experience later this year that would provide travelers the chance to virtually see popular attractions before booking, writes Travel Technology Justin Dawes.  Tripadvisor has signed a contract with Meet Kai, a company that creates metaverse and artificial intelligence products. Dawes reports it’s still too early for Tripadvisor to share specifics on exactly how the metaverse experience will look, but the company looks to partner with travel brands to create digital spaces — such as shops in Paris — that users can explore.  Adam Ochman, Tripadvisor’s global director of marketing solutions, said travel is one of the most expensive things that consumers can purchase without trying it beforehand.  Next, London Heathrow Airport is coming off an enormously busy 2023, which saw 24 of its routes break the million-passenger milestone. Airlines Editor Gordon Smith takes a look at the airport’s busiest routes last year. Routes from Heathrow serving the U.S. represented six of the 24 that carried more than 1 million passengers last year, a sign of the boom in transatlantic travel. The Heathrow-JFK route was the busiest for the London airport, serving more than 3 million passengers. Meanwhile, Dubai and Doha took the next two spots for Heathrow’s busiest route in 2023.  Finally, Thailand will be setting for the third season of the popular HBO show The White Lotus, which is expected to boost tourism to the kingdom, writes Global Tourism Reporter Dawit Habtemariam.  Tourism Authority of Thailand and HBO have partnered to film and promote the Emmy-winning series. Thai officials didn’t disclose which hotel would be featured – the last two seasons were set at Four Seasons properties. Habtemariam notes that travel demand for Sicily boomed after the island was selected as the filming location for season two of The White Lotus. 

Episode Notes The recent blowout aboard an Alaska Airlines flight is far the only problem that Boeing has experienced with its 737 Max aircraft. Associate Editor Rashaad Jorden takes a look at some of those issues using our artificial intelligence chatbot Ask Skift and additional reporting.  The 737 Max was grounded globally for 20 months following fatal crashes in 2018 and 2019 in Ethiopia and Indonesia. But even after being recertified by the Federal Aviation Administration in November 2020, the aircraft has had technical problems. More than 100 737 Max jets were grounded in April 2021 after the discovery of a potential electrical program, which the FAA said could impact certain systems.  In addition, Boeing asked airlines last month to inspect all of their 737 aircraft for a possible loose bolt in the rudder system, which is used to control planes during a flight.  Next, Travel Technology Reporter Justin Dawes takes a look at the Apple Vision Pro, a virtual reality headset going on the market in February that could help travelers explore new places. Apple Vision Pro has a setting that allows users to view landscapes, which Apple said could include several U.S. national parks. Those landscapes could be a backdrop while watching movies on a plane or at home. Dawes adds there’s also potential for third-party companies to build apps on the Vision Pro that could offer more virtual travel experiences.  Finally, Greece has introduced a new tourist tax to help provide financial support for future disaster relief efforts, writes Global Tourism Reporter Dawit Habtemariam.  Greece’s so-called “climate crisis resilience fee” replaces the previous hotel tax that the government had levied on travelers. Habtemariam notes the amount for the new tax varies by hotel category and time of year. Greek officials implemented the new tourist tax after the country suffered several natural disasters in 2023, including record rainfall that left at least 17 dead.   Habtemariam adds those disasters prompted some tour operators to cancel trips in Greece. 

Episode Notes Skift has revealed its Megatrends for 2024, the 12th edition of its annual forecast of big-picture trends poised to shape the year in travel. The 12 megatrends delve into a wide range of topics: The impact on travel of demographic shifts, how the industry will react to the rise in loneliness. What we see developing out of India and the Middle East. Where you’ll see investments in hotels, aviation and how AI will impact travel jobs.  Next, federal officials investigating the recent blowout on an Alaska Airlines plane are examining whether the bolts meant to keep a door plug in place were ever installed, writes Airlines Reporter Meghna Maharishi.  National Transportation Safety Board Chair Jennifer Homendy said that four bolts should have secured the left door plug to prevent it from separating from the Boeing 737 Max 9. Maharishi notes those four bolts were missing when the agency recovered the door plug. Homendy added it’s uncertain if the bolts were ever installed or if they came out during the decompression.   The accident drove the Federal Aviation Administration to temporarily shelve certain 737 Max 9 planes for further inspection.    Finally, Airbus has beaten Boeing to land the first major airplane deal of 2024, reports Airlines Editor Gordon Smith.  Taiwan-based carrier EVA Air has reached an agreement with Airbus for an order of 33 aircraft. EVA Air has long been a customer of both Boeing and Airbus, but Smith notes EVA Air’s deal with Airbus is a sign Boeing is losing ground to its European rival in the long-haul market. EVA Air Clay Sun said Airbus offered the most modern and fuel efficient plans for each market segment.

Episode Notes Choice Hotels has long relied on traditional broadcast and outdoor billboard advertising to drum up brand awareness. But the company is turning to streaming platforms including Spotify and using a touch of celebrity in its new year-long marketing campaign, reports Senior Hospitality Editor Sean O’Neill.  Choice Hotels is experimenting with digital-video ads and podcast placements, which are cheaper than traditional TV sports, to better target demographic groups. The company will also feature Emmy winner Keegan-Michael Key in a set of six spots. Chief Marketing Officer Noha Abdalla said a celebrity like Key could help Choice Hotels grab consumers’ attention quickly on TikTok in particular.  Next, we turn to the fallout from the recent accident aboard an Alaska Airlines aircraft that’s temporarily grounded certain Boeing 737 Max planes. Although Alaska and United Airlines both canceled hundreds of flights over the weekend, both airlines may not suffer a major financial hit from the grounding, reports Edward Russell, editor of Skift publication Airline Weekly. Raymond James analyst Savanthi Syth estimates that the financial hit from the grounding could be akin to that from a severe weather event. That’s based on the belief that the Federal Aviation Administration will explain what airlines need to inspect, which would allow them to begin returning to service.  Boeing provided airlines information on Monday on how to inspect the planes, according to Reuters.   Finally, Indian online travel agency EaseMyTrip has suspended all flights to the Maldives in what the company’s CEO called “solidarity with the nation,” reports Asia Editor Peden Doma Bhutia.   Calls for boycotts of the Maldives have grown after many in India have accused Maldivian politicians of disparaging Prime Minister Narendra Modi. Modi sparked a social media controversy after urging Indian travelers to visit India’s Lakshadweep Islands, where he recently traveled to. Bhutia notes angry tweets called Modi’s Lakshadweep visit a suggestion to visit domestic destinations instead of the Maldives. India was the Maldives’ largest tourism source market in 2023, with roughly 210,000 Indians visiting the archipelago.  Episode Presenter and Producer: Jose Marmolejos

Episode Notes A trip to Paris is getting more expensive this year. Visitors to the French capital have been hit with higher tourist taxes as the city prepares to host the 2024 Summer Olympics, writes Global Tourism Reporter Dawit Habtemariam. Habtemariam reports that tourist taxes on stays in Paris have more than doubled. In addition, some tour operators have seen their room rates surge due to the Olympics. An executive at Kensington Tours said it’s seen year-over-year increases of at least 20% in the weeks leading up to the Olympics.  Habtemariam adds that some of Paris’ major tourist attractions, such as the Louvre, have bumped up their prices.  Next, luxury travel is expected to continue its boom this year. Travel Experiences Reporter Selene Brophy outlines seven key trends to look out for in luxury travel, according to several figures in the sector.   Brophy reports that group travel bookings will once represent big business for tour operators. Trips aboard private yachts for small groups are also expected to be popular this year. And Brophy notes that luxury travelers will likely continue to visit largely unexplored locations, noting that tour operator Black Tomato is seeing growing interest in lesser-known areas in Peru.  Finally, Europe’s largest tour operator TUI has proposed delisting from the London Stock Exchange as a way to simplify its business structure, writes Travel Experiences Reporter Brophy.  Brophy reports TUI shareholders will make a decision on the matter at its annual meeting next month. If they approve the move, TUI would likely delist from the London Stock Exchange in June. However, the company would retain its full listing on the Frankfurt Stock Exchange as roughly three-quarters of its share transactions are already conducted directly in Germany.  Episode Presenter and Producer: Jane Alexander

Ryanair is in a conflict with several major online travel agencies. The Irish-based airline said that “pirates” throughout the sector stopped selling its flights last month, reports Executive Editor Dennis Schaal. Ryanair said that Booking.com, Kayak and Kiwi removed Ryanair flights from their websites in early December. Ryanair called those online travel agencies “pirates” for allegedly stealing what it considers its proprietary information and intellectual property. Although Ryanair expects a drop in bookings for December and January, the company doesn’t expect its full year traffic for 2024 to be significantly impacted.   Next, a leading hotel analyst sees good things on the horizon for several major companies in the industry, reports Senior Hospitality Editor Sean O’Neill.   David Katz, managing director of Jefferies Research, offered his predictions for the hotel industry in a report released this week. Katz believes average room rates will slightly increase this year while overall average occupancy rates will hit pre-Covid levels by 2025. Meanwhile, he projected Marriott, Hilton, Hyatt and Wyndham will experience growth this year.  Finally, Travel Experiences Reporter Selene Brophy lists seven trends to look out for in adventure travel, according to prominent figures in the sector.  Brophy reports that September and October — the Northern Hemisphere’s traditional shoulder season — should continue to see a surge in bookings. In addition, Northern Europe is expected to become more popular with travelers seeking cooler climates. And Brophy writes that the use of electric bicycles will likely increase, noting that tour operator Explore Worldwide has introduced an e-biking option on most of its trips.  Presenter and Producer: Jane Alexander

Episode Notes Officials in Venice have recently approved a measure to cap tour group sizes to help the city better manage tourist arrivals, writes Global Tourism Reporter Dawit Habtemariam.  Tour groups of more than 25 people will be banned from the city center and three of its islands starting June 1. A local tourism official said that limiting large group tours would help preserve Venice’s infrastructure and reduce overcrowding. Habtemariam notes the city is also banning portable loudspeakers used by tour guides.  Travel investor Greg O’Hara said at last year’s Skift Global Forum that Italians have been deterred from visiting Venice in part because of the huge crowds it attracts. Next, Tripnotes got a lot of buzz in 2023 as one of the first ChatGPT-powered AI trip planners. But by December, it sold itself and shut down the site, writes Travel Technology Reporter Justin Dawes.  Dawes notes that Tripnotes was one of the first travel companies to commit to building a generative AI-powered trip planner. Tripnotes co-founder Matthew Rosenberg said he was looking to use personalized recommendations and in-app travel booking to reinvent city guides. However, Dawes reports that while Tripnotes had buzz, it needed money – which wasn’t easy to raise in 2023, especially after Silicon Valley Bank collapsed in March. Restaurant reservation startup Dorsia ultimately bought the company.  Next, China and Thailand have reached a reciprocal agreement that will permanently waive visa requirements for citizens of the two countries starting in March, reports Asia Editor Peden Doma Bhutia.  Thai Prime Minister Srettha Thavisin said on Tuesday that the agreement would help strengthen the relationship between Thailand and China. Thailand currently allows Chinese visitors to stay in the country visa free for 30 days. However, Beijing hadn’t granted Thai travelers a similar treatment until now. China was Thailand’s second-largest tourism market in 2023, with 3.5 million Chinese travelers visiting the kingdom. 

Episode Notes Hilton has raised its forecast for a profit this year. However, the company believes the post-Covid travel surge is cooling off — especially in the U.S., reports Senior Hospitality Editor Sean O’Neill.  CEO Christopher Nassetta said during Hilton’s second-quarter earnings call that domestic travel demand is “definitely softening.” However, he emphasized demand is “not cratering in any way.” Hilton expects its full-year revenue per available room to grow between 2% and 3% as Nassetta said the company expects to see growth in all segments during the full year.  Next, Disney executives expect theme park attendance and revenue to soften in the next several months, writes Global Tourism Reporter Dawit Habtemariam.  The company said it believes its theme parks and experiences division’s operating income will decline by mid-single digits compared to last year. Disney CEO Bob Iger said the lower income consumer is “feeling a little bit of stress” and that higher-income consumers are looking to travel overseas more. Habtemariam notes several travel executives have expressed concerns about a slowdown in U.S. domestic spending on travel.  Finally, one year after one of the deadliest wildfires in Hawaii’s history, Maui faces a steep climb to make a full tourism recovery, writes Global Tourism Reporter Dawit Habtemariam. On August 8, 2023, a wildfire devastated the town of Lahaina, killed nearly 100 people and destroyed thousands of homes. The western portion of Maui, which was battered by the wildfire, didn’t fully reopen for tourism until November.  Maui welcomed 1.1 million visitors in the first half of 2024, a 24% drop from last year.  For more travel stories and deep dives into the latest trends, head to skift.com. 

Episode Notes The U.S. Department of Transportation has launched an investigation into whether airlines’ loyalty programs are deceiving customers, writes Airlines Reporter Meghna Maharishi.  The DOT is examining whether airlines have devalued the frequent flier miles in their loyalty programs and made it more difficult for customers to book tickets using their rewards. The department is also looking into how airlines alert customers of changes to their frequent flier programs, among other practices, according to Reuters Next, Skift will release its 11th annual Megatrends — trends poised to shape the year in travel — next month. So how did this year’s Megatrends play out? Executive Editor Dennis Schaal takes a look at five of them. Skift projected that India would become the new China in terms of emerging as Asia’ largest outbound tourism market. Indeed, several destinations have recently granted Indian nationals visa-free entry to help boost visitor numbers from the booming market. In addition, Skift’s projection that generative artificial intelligence would transform travel marketing is holding up. Schaal cites Trivago using AI to launch a new marketing campaign that features just one actor speaking several languages.  Finally, South Africa has seen an increase in international visitors this year, especially from the U.S. But concerns about crime could hurt its tourism recovery, writes Travel Experiences Selene Brophy. Roughly 370,000 Americans visited South Africa between January and November — a 42% jump compared to the same period last year. However, total visitor numbers were 17% below 2019 levels. As crime is a significant concern for tourists in South Africa, authorities are deploying 2,300 tourism monitors during the peak holiday season to improve security for visitors.  Brophy reports those tourism monitors will be deployed at locations such as ports of entry, national park and popular tourist attractions.

Episode Notes Universal Studios is looking at England for its next theme park. The company has bought land near London to possibly build its next big project, writes Travel Experiences Reporter Selene Brophy.   Universal said it’s examining how viable a new theme park resort in the United Kingdom would be. Brophy notes the attractions operator expects to make its final decision about the project after several months of stakeholder and community engagement. If Universal decides to build the theme park, Brophy writes it would be its most significant foray into Europe.  A Universal representative told Theme Park Insider that roughly half of the UK population lives within two hours of the proposed site.  Next, the retailer Tommy Bahama is famous for producing Hawaiian-themed attire. The company is now taking its beach vibes to the hotel industry — it recently opened its first hotel, reports Senior Hospitality Editor Sean O’Neill.  Tommy Bahama CEO Doug Wood said the retailer decided to enter the hotel business on the advice of focus groups it commissioned. Tommy Bahama then bought the Miramonte, a struggling resort in California’s Coachella Valley, with real-estate services firm Lowe. Tommy Bahama’s first hotel, which underwent a roughly $20 renovation and redesign, includes a restaurant serving common beach offerings.  While O’Neill writes the jury is still out on the hotel’s success, Wood said he’s looking to open more resorts.  Finally, in-flight connectivity has gotten a major boost thanks to Starlink Aviation, writes Reporter Ajay Awtaney.  Awtaney notes a growing number of airlines have turned to Starlink in recent years to improve in-flight internet service. Hawaiian Airlines, Latvia carrier airBaltic and Qatar Airways are among the carriers that have reached agreements with Starlink. In addition, Starlink signed Air New Zealand to trial internet onboard its domestic aircraft.

Episode Notes A volcano in Iceland that erupted on Monday, December 18th, is not currently posing any direct danger to either residents or tourism, according to officials.  The capital of Reykjavik and much of the rest of the country remain unaffected, and major tour operators are still running trips as planned, writes Dawit Habtemariam, Skift’s global tourism reporter. Flights are operating through Keflavik International Airport on schedule. Answering a list of frequently asked questions about the Icelandic volcano’s impact, Habtemariam said that the eruption has been shrinking. However, areas near the eruption, like the town of Grindavik, have been evacuated as a precaution. The nearby Blue Lagoon spa expects to stay closed through December 27th. Next, Uber has partnered with expense management companies Brex and Ramp to automatically match Uber rides and Uber Eats meal receipts to corporate expense reports. This new integration eliminates the need for business travelers to manually submit receipts, writes Skift Executive Editor Dennis Schaal.  Uber stated that this automated receipt matching is seeing “strong adoption” from corporate clients so far.  The deal is part of a larger wave of companies attempting to streamline the business travel expense process for workers and travel managers. Finally, Lufthansa Group has ordered aircraft from both Airbus and Boeing to modernize and expand its fleet. The group ordered 40 Airbus A220-300 jets. Lufthansa also ordered 40 Boeing 737-8 MAX aircraft, marking the return of the 737 to Lufthansa’s fleet for the first time since 1995. In a separate deal, EasyJet confirmed an order for 157 additional Airbus A320neo family aircraft to be delivered between 2029 and 2034. The orders support both Lufthansa’s and EasyJet’s plans to make their fleets more fuel-efficient overall by replacing older jets with newer ones.

Episode Notes The U.S. Department of Transportation has hit Southwest Airlines with a $140 million fine over consumer-protection violations during last year’s holiday travel meltdown, writes Airlines Reporter Meghna Maharishi.  Maharishi reports the fine is 30 times larger than any previous DOT penalty for consumer-protection violations. The DOT said most of that money will go toward compensating future Southwest passengers for any disruptions. The department had concluded that Southwest didn’t do enough to protect travelers during a massive winter storm that forced airlines to cancel thousands of flights.  Next, destinations worldwide are increasingly waving visitor visa requirements. Associate Editor Rashaad Jorden delves into the impact of visa-free travel on tourism, using our artificial intelligence chatbot Ask Skift and additional reporting. Jorden writes that destinations view lifting visa requirements as part of their strategy to increase visitor numbers. Visa processing delays have been a significant obstacle to the industry’s full recovery. Travel authorities in particular are looking to attract more visitors from India, with several nations having eliminated visa requirements for Indian travelers recently. Jorden cites China as one country that’s received a major boost from a visa-free travel policy. China’s foreign ministry recently said a policy that went into effect this month has helped increase tourism from the countries involved — including France, Germany and Italy.  Finally, more older married women are embarking on trips without their spouses, writes Travel Experiences Reporter Selene Brophy.  Brophy lists Boston-based tour operator Road Scholar — which specializes in educational group travel for older adults — as one company seeing a surge in married female guests traveling solo. Roughly 60% of Road Scholar’s solo traveler customers in 2022 were married women traveling without their spouses. Road Scholar has said the boom reflects the emergence of Baby Boomer female travelers.  Brophy notes that younger female travelers are also largely eager to travel solo. A StudentUniverse survey found that 58% of Gen Z female travelers are extremely interested in solo international travel.  

Episode Notes Major U.S. airlines have made improvements this year on cancellation rates. However, the industry has seen an enormous increase in passenger complaints, writes Airlines Reporter Meghna Maharishi.  Consumer complaints against airlines in the first five months of 2023 topped 2022 levels during the same timeframe, according to a report from the U.S. Public Interest Research Group, with data from the U.S. Department of Transportation. Maharishi notes the DOT received so many complaints it had to delay the release of the data. U.S. travelers made more than 38,000 complaints, according to the report Roughly 35% of consumer complaints pertained to flight issues, whether they be cancellations, delays or missed connections.  Next, Middle East Reporter Josh Corder takes a look at Dubai, host of the Skift Global Forum East conference. The city has completed its journey from a “dot in the desert” to a global hub, believes one local tourism executive. Issam Kazim, CEO of Dubai Tourism, said at the Forum on Thursday the city’s expat residents are truly global citizens. Kazim attributed Dubai’s growth to the city’s entrepreneurial spirit. He also expressed optimism that Dubai will see further tourism growth, noting it views 2023 as its tourism benchmark. The CEO acknowledged that staffing remains an issue after many hotels and airlines downsized during the pandemic.  Finally, destinations throughout Africa are ramping up their efforts to lure travelers from India, the world’s largest outbound travel market, writes Reporter Harriet Akinyi.  Akinyi reports Kenya in particular is heavily targeting Indian travelers. Kenya attracted the most Indian visitors among all African countries in the first eight months of 2013. The Kenya Tourism Board recently welcomed more than 150 Indian tour operators for a conference that one Kenyan official said would help drum up interest in the country.   Akinyi also cited South Africa, Rwanda and Uganda — among others — as African nations increasing their efforts to welcome Indian visitors. South Africa’s Tourism Minister has called for visa requirements for Indian — as well as Chinese — nationals to be eased or eliminated. 

Episode Notes Dubai is poised to become the next big name in luxury travel, and two of the city’s luxury hoteliers are looking to expand their properties globally, writes Middle East Reporter Josh Corder.  Emaar Hospitality head Mark Kirby and Atlantis’ Global President Timothy Kelly spoke about their strategy in Dubai at the Skift Global Forum East conference on Wednesday. Kirby said Dubai has been a strong contributor to Emaar’s growth, and that the company wants to bring Dubai’s success overseas. Kelly expressed his desire for Atlantis to be a global brand, adding the goal is to open properties on every continent. Corder notes that Atlantis is in discussion with national governments about expansion rather than investors due to the scale of its planned projects.  Next, China’s outbound travel recovery is currently at just over half of 2019 levels. A Trip.com executive believes cumbersome visa regulations are hurting outbound travel, reports Asia Editor Peden Doma Bhutia. Trip.com Managing Director Boon Sian Chiai said at the Skift Global Forum East on Wednesday that once visa issues are resolved, Chinese travelers will be eager to go overseas. Chai said that destinations with simplified entry procedures have a clear advantage in attracting Chinese visitors. He also urged hotels and destinations to provide services tailored to Chinese travelers, such as language support and digital payment options. Despite the struggles of Chinese outbound travel, Bhutia notes that domestic travel is 90% above 2019 levels.  Finally, international travel spending in the U.S. still hasn’t recovered to pre-Covid levels, writes Global Tourism Reporter Dawit Habtemariam.  International travelers spent $10.7 billion in October, roughly $1 billion less than the same month in 2019. Habtemariam notes one factor limiting travel to the U.S. has been affordability. Higher costs and the strong dollar have reduced the buying power of many international travelers who would come to the U.S.  Habtemariam adds Americans traveling abroad have been spending more than prior to the pandemic. U.S. travelers spent $12.1 billion on travel and tourism-related goods and services in October. That’s up from $9.8 billion from October 2019.

Episode Notes Choice Hotels believes it’s taken another key step toward its planned takeover of Wyndham Hotels & Resorts. Choice Hotels said on Tuesday it had bought enough Wyndham stock to nominate candidates to Wyndham’s board, reports Senior Hospitality Editor Sean O’Neill.  Choice Hotels said it purchased more than $110 million of Wyndham stock. In addition, it is putting forth an exchange offer to present to Wyndham shareholders for a vote next year. Wyndham said its board is reviewing the offer and would give a recommendation to its shareholders within 10 days.  But Wyndham stated Choice’s offer seems to be unchanged from one it previously rejected.  Next, Canada won’t surpass its pre-Covid visitor numbers until 2025. One reason why is China’s ongoing ban on group travel into Canada, writes Global Tourism Reporter Dawit Habtemariam.  Meaghan Ferrigno, Destination Canada’s chief data and analytics officer, said Canada’s tourism industry would get a major boost from Beijing ending the ban. Ferrigno added that Destination Canada wasn’t currently marketing group travel in China, instead focusing on individual Chinese travelers. Tourists from China spent the most in Canada of any other group in 2019.  Finally, flight attendants at Southwest Airlines recently overwhelmingly rejected a new contract. That’s a major sign of the widespread discontent many flight attendants are feeling, reports Edward Russell, editor of Skift publication Airline Weekly.  Nearly two-thirds of Southwest flight attendants who voted rejected a contract that would have included pay increases of 36% over five years. Russell writes one issue was a lack of pay during the boarding and deplaning processes, with almost all U.S. flight attendants only being paid when an aircraft door is closed.  American Airlines flight attendants have authorized a potential strike. Russell notes that if American flight attendants were to go through with one, it would have a significant impact on the U.S. airline industry. American flies nearly a fourth of all U.S. domestic flights. 

Episode Notes A large number of Americans are planning to travel this holiday season. How many? Roughly 115 million, according to the latest forecast from AAA, which predicts this holiday season will be one of its largest on record.  It projects 7.5 million travelers will fly this year, topping the record set in 2019, noted Airlines Reporter Meghna Maharishi, who added that U.S. airlines are under pressure to be ready for any extreme weather. Winter storms caused airlines to cancel thousands of flights last year.  Next, Hilton went public 10 years ago Monday in the hotel industry’s biggest IPO ever. Senior Hospitality Editor Sean O’Neill lists 10 takeaways from one of the industry’s most significant events. O’Neill notes one lesson for investors is that a well-priced public debut at the right company can be a great investment. In addition, Hilton used the proceeds from the IPO to pay down debt as well as help it expand. The company currently has twice as many rooms under development than it did at the time of the IPO.   Furthermore, Hilton now has 22 brands, up from 10 a decade ago, and it has chosen to develop them in-houseO’Neill writes that strategy contrasts with the acquisition-first approach of most hotel companies.  Finally, Chinese travelers won’t be returning to New York City at pre-pandemic levels next year. Travel executives believe affordability and limited flights to the U.S. are hurting the recovery, writes Global Tourism Reporter Dawit Habtemariam.  Peter van Berkel, chair of the International Inbound Travel Association, said it’s unaffordable for the average Chinese traveler to come to the U.S. Economy airfares from China to the U.S. can run more than $3,500, he stated during a panel discussion with New York City tourism leaders. Habtemariam also notes that flights between the U.S. and China haven’t recovered to 2019 numbers.  However, Vijay Dandapani, CEO of the Hotel Association of New York City, expressed optimism that the city would see a major rebound in Chinese tourism next year. 

Episode Notes The Middle East was the fastest-growing tourism region this year until the Israel-Hamas war began in October. No other region in the world saw its tourism fully recover this year — let alone surpass their pre-pandemic level, reports Dawit Habtemariam, Skift's Global Tourism Reporter. Through September, the Middle East saw its international tourist arrivals rise 20% above pre-pandemic levels, according to the UN World Tourism Organization. Two factors boosting Middle Eastern tourism were expanded air connectivity by airlines like Emirates and investments by tour operators like Intrepid Travel. Those ongoing strengths may help the broader region rebound if a truce in Gaza is brokered. Next, more travel companies are investing in the potential for artificial intelligence to help overhaul both customer sales and internal operations. Amazon Web Services had a conference last week, sharing AI-based updates to services used by travel companies such as Accor, Cathay Pacific, and Booking.com, reports Justin Dawes, Skift's tech reporter. Exhibit A was a new AI-based trip planning tool from Accor, the Paris-based hotel group. The chatbot helps recommend rooms at a hotel as well as local tours and activities based on answers to questions it asks travelers and past customer reviews of activities. Accor's new chatbot may help travelers find it easier to plan trips. It may also reduce call volumes at Accor's contact center. Finally, travel startup Klook has raised $210 million in financing. Klook has now raised more than $900 million in financing since its founding in 2014, reports Sean O'Neill, Skift's Senior Hospitality Editor. The Asia-based startup, with offices in Hong Kong and Singapore, competes with Berlin-based GetYourGuide as the most heavily funded startup in selling travel experiences, such as walking tours. Bessemer Venture Partners and other notable investors took part in the funding round. Klook said it was profitable and was aiming to go public someday.

Ask Skift Is the AI Chatbot for the Travel Industry: Ask Skift Your Questions Episode Notes Navan, a travel and expense management startup, has laid off 5% of employees at the company, accounting for about 145 people, writes travel tech reporter Justin Dawes. Kelly Soderlund, a spokesperson for Navan, said in an email that the layoff affected teams across departments. She said in a statement that Navan is “refocusing efforts to move faster toward profitability” as its enters the next phase of its company.  Navan has raised well over $1 billion in venture capital, most recently $154 million in October 2022.  Next, a summit about mental health highlighted the risk for pilots, writes airline reporter Edward Russell. The issue received new attention in October after an Alaska Airlines pilot Joseph Emerson nearly brought down a plane while suffering a mental health crisis. Emerson said that he had experienced depression-like symptoms since the death of a friend in 2018 — some five years before the incident. More than 55% of pilots have expressed reluctance to report mental health issues due to fear of career reprisals, according to researcher William Hoffman Jennifer Homendy, chair of the National Transportation Safety Board, is firm that something needs to be done. She stated at the summit in Washington, D.C.: “There’s a culture right now, which is not surprising to me, that you either lie or you seek help. We can’t have that. That’s not safety.” Finally, advertisements on Google by Air France, Lufthansa, and Etihad were banned for giving what the U.K.’s Advertising Standards Authority said was “a misleading impression” of their environmental impact, writes airline reporter Meghna Maharishi. The ad by Etihad, for example, implied that customers can travel with “total peace of mind” regarding its environmental advocacy. The ASA said it did not have adequate evidence that that was true. Etihad and Lufthansa took down the ads following the ruling. The ASA said Air France “did not provide a substantive response” to its ruling.

Episode Notes Airbnb’s second-quarter earnings revealed the company’s growth slowed down in several key areas, writes Executive Editor Dennis Schaal. The company forecasts that guests are making bookings with shorter lead times, and it is seeing “some signs of slowing demand from U.S. guests.” Airbnb said that in the third quarter, it expects a “sequential moderation” in year-over-year nights and experiences booked compared with the 9% growth in the second quarter. But Schaal notes Airbnb can point to many positives during the second quarter, including an increase in active listings from 7 million last year to 8 million. Next, InterContinental Hotels Group said it’s not seeing signs of weakening demand outside of China, reports Senior Hospitality Editor Sean O’Neill.  IHG CEO Elie Maalouf said the company hasn’t been impacted by a possible recession yet. IHG added the post-pandemic tourism surge has moderated and normalized to pre-Covid levels. The company reported a 3% rise in its revenue per available room — a key industry metric — during the first half of this year.  While IHG saw its revenue per available room fall by 2.6% in China, O’Neill notes that drop didn’t dramatically impact its overall performance.  Finally, travel stocks were the best performers on a bad day overall for the broader U.S. stock market this Monday. However, travel has been the worst performing group of stocks over the past year, making it one of the sectors most vulnerable to a recession, writes Head of Research Seth Borko.  Borko notes concerns about a recession are clear in the performance of the Skift Travel 200, our own index of travel stocks. Cruise lines have been the best performing travel sector in 2024, followed by accommodations. Even though these businesses outperformed their travel peers, there is still no major travel subsector in the green so far.  Producer/Presenter: Jose Marmolejos Connect with Skift LinkedIn: https://www.linkedin.com/company/skift/ X: https://twitter.com/skift Facebook: https://facebook.com/skiftnews Instagram: https://www.instagram.com/skiftnews/ WhatsApp: https://whatsapp.com/channel/0029VaAL375LikgIXmNPYQ0L/ Subscribe to @SkiftNews and never miss an update from the travel industry.

Ask Skift Is the AI Chatbot for the Travel Industry: Ask Skift Your Questions Episode Notes Airbnb is shaking up its business team. It announced that CFO Dave Stephenson will become chief business officer, and VP of finance Ellie Mertz will become CFO. Catherine Powell, who became global head of hosting in July 2020, will be leaving the company.  The change comes after analysts on Wall Street expressed concern about Airbnb’s forecast for slower growth in room nights, writes Skift Executive Editor Dennis Schaal. Stephenson will be in charge of expanding Airbnb’s core homes business, pushing international expansion, and expanding Airbnb’s host supply. Next, hotel brand Selina is trying to avoid bankruptcy with a new restructuring plan and a capital injection of up to $50 million. a, writes Hospitality Editor Sean O’Neal.  Financial crunches aren’t new for the brand geared toward younger travelers. Late last year, Selina went public in a SPAC deal that failed to bring in enough capital to fund its operations. Selina may have a savior, writes O’Neal. In June, the brand arranged a promise of strategic investment led by Global University Systems, which runs for-profit universities. Selina has received over about $20 million in capital since then. Finally, how profitable would a merger Alaska and Hawaiian play out? A merger between the two carriers could make them the fifth-or-sixth largest airline based on revenue, writes Skift airlines reporter Meghna Maharishi.  In terms of profitability, Alaska-Hawaiian together is less profitable than Alaska by itself but significantly more profitable than Hawaiian, which has struggled since the pandemic.  In 2017, Hawaiian reported the highest margins in the U.S. airline industry at 18.8%. But it has faced a number of issues in recent years, including the Maui wildfires and a sluggish recovery of the Japanese visitor market.  The operating margin if the two merged would be 5.1%, putting it in the middle of major U.S. airlines, writes Maharishi.

Episode Notes Alaska Air Group said it would buy Hawaiian Airlines in an all-cash transaction valued at $1.9 billion, including Hawaiian’s debt. The parent company of Alaska Airlines and regional Horizon Air said it would continue to operate Hawaiian as an independent brand, reports Edward Russell, editor of Skift publication Airline Weekly.  The proposed merger isn’t a sure thing, given that it faces antitrust review by the Biden Administration. Analysts noted that JetBlue recently attempted to merge with Spirit Airlines, but that deal has since been mired in legal review.  Given that the route networks of Alaska and Hawaiian wouldn’t lead to the same concentration as the networks of JetBlue and Spirit, the probability is higher that the Alaska-Hawaiian deal will go through, reports Russell. Next, the American Society of Travel Advisors (ASTA) and American Airlines are going head-to-head in a complaint before the U.S. Department of Transport (DOT).  The debate hinges on whether American Airlines has been wrong to withhold about 40% of fare inventory from travel agencies that fail to adopt its preferred booking technology, reports Selene Brophy, Skift’s experiences reporter. Last month, American Airlines defended itself to regulators about its assertive push of the so-called new distribution capability while accusing travel agents of standing in the way of innovation.  Skift asked ASTA for the group’s response, which it published on Monday exclusively. ASTA said, “What’s lacking from American Airlines’s response is how atrocious their workflow is for new reservations.”  “We fully support the adoption of modern retailing methods when the necessary technologies are ready and in place, and we’re thankful for other airline partners who recognize that and have taken a more responsible approach.” The complaint is under review by U.S. regulators, with a response expected next year. Finally, Travelport said Monday that it had raised $570 million in new equity from investors, writes Skift tech reporter Justin Dawes.  The world’s third-largest travel technology company will add new major backers, including Davidson Kempner Capital Management and Canyon Partners, to its existing equity stakeholders, Siris Capital and Elliott Investment Management. With this new investment, Travelport will have a stronger balance sheet with the least debt amongst its peers, it said. Travelport competes with larger peers Amadeus and Sabre in helping travel agencies book flights from airlines. Once again, as with the other two stories of the day, the travel industry waits for regulators to decide what to do.

Episode Notes American Airlines is planning to improve its in-flight Wi-Fi access on regional jets, allowing passengers to easily check emails, browse the internet, or stream videos. The carrier plans to install high-speed Wi-Fi on around 500 regional aircraft starting next year in partnership with satellite services provider Intelsat, writes Skift’s airline reporter, Meghna Maharishi. While American already has high-speed Wi-Fi available on 900 mainline aircraft, the carrier said it wants to the same Wi-Fi service and speeds on its regional aircraft, with the goal of increasing the total number of satellite-connected aircraft to more than 1,400.  Next, Hyatt plans to improve its hotel loyalty program in January, reports senior hospitality editor Sean O’Neill.  Hyatt’s most notable change will be to expand the ability of program members to give some benefits to friends and family in one-off gifts. Before this, only certain members were able to share perks, which the company said has been highly popular. Those members could only share their benefits by booking a trip on behalf of someone else, using points or certificates.  But come January, they’ll be able to extend those benefits to someone who booked and paid for a trip on their own. Benefits include free breakfast and the possibility of a free late checkout. Finally, Trip.com Group said Thursday that it has selected Amazon Web Services as its “strategic cloud provider” in a multiyear deal meant to drive innovations in travel bookings, personalized recommendations, and customer service, writes Skift tech reporter Justin Dawes. China-based Trip.com Group owns Trip.com, Skyscanner, and other travel sites.  AWS is hosting a conference this week in Las Vegas, where it announced the Trip.com partnership as well as a number of other new technologies for the travel industry.  Trip.com Group plans to improve the booking process, optimize flight pricing, and create personalized travel planning capabilities for consumers, among a group of other projects the partners have been working on.