USA Travel Space - US Travel business News & Commentary

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2011-12-07T11:59:00.001-05:00

Blog

How-to-target-diverse-hotel-market-segments

2011-12-07T11:56:00.001-05:00

Blog

IHG’s Solomons hits nail on head about OTAs

2011-12-07T11:48:00.000-05:00

IHG’s Solomons hits nail on head about OTAs

Google and Travel "Good Together"?

2011-12-07T09:02:00.001-05:00

This past October I had the pleasureof attending Google's Think Travel symposium in Madrid where the future oftravel was discussed, and challenged by over 400 attendees.

Google's think travel symposium Travel Think Madrid was well attended and Google’s travel tools were the highlight of thepresentation. Let’s face it, Google is not designing a tool to sell travel, itis designing a tool to sell advertising, so if they accomplish what many in the industryhave not been able to do. Which is eliminate the need for a middleman whilereplacing that channel with another, then there will be a fundamental change in ourindustry, and we need to take notice.

The travel industry as we know it is probablyone of the most fragmented businesses in the world, and probably the mostmisunderstood. We sell an expectation of someone’s dream; itis as complicated, as the individual experiencing it. That experience is not so simple to convey toa large audience, and thus we need to design our services to satisfy segments. Suppliers and distributors alike will need to concentrate on our strengths as travel providers, and work together to increase, and deliver our services as seamlessly as possible. Leaner and more efficient will be the order of the day for companies of the future. This may entail cooperative marketing, joint operations, or simply choosing the right partner to work with in order to get your product through the maze, that is the world wide web. This may be self serving, but there is still no better way to do this, than to work with tour operators.

Tools for travel are wonderful for research and planning, but there is nothing like destination knowledge to design an experience, that will fit the needs of todays travelers. This is what tour operator do very well, and one would be hard pressed to match this on their own with an OTA.

New Facebook app for travelers

2011-12-07T08:38:00.001-05:00

New Facebook tool for travelers

It's Still the Economy, Stupid - Newsweek

2011-07-19T11:50:00.000-04:00

It's Still the Economy, Stupid - Newsweek

Skål International Promotional DVD 2010 - English Version

2011-06-13T14:23:00.000-04:00

Travel Market Report :: Technology Article :: AA vs. Orbitz: First Move Toward End of the GDS Era?

2010-11-08T13:58:00.000-05:00

Travel Market Report :: Technology Article :: AA vs. Orbitz: First Move Toward End of the GDS Era?

U.S. COMMERCE DEPARTMENT FORECASTS STRONG REBOUND IN

2010-10-26T14:05:00.000-04:00

TI News: An information service from Office of Travel & Tourism Industries (OTTI)
October 26, 2010
U.S. COMMERCE DEPARTMENT FORECASTS STRONG REBOUND IN
INTERNATIONAL TRAVEL TO THE UNITED STATES IN 2010-2015
The U.S. Department of Commerce (DOC) projects international travel to the United States will return to a growth mode in 2010. Visitor volume is expected to increase nine percent in 2010 followed by six-to-nine percent annual increases through 2015.
The rebound would completely offset the five percent decline in arrivals registered in 2009, the first decline in visitors since 2003. Visitor volume grew 41 percent between 2003, the low visitor volume level over the past ten years, and 2008, the record year for arrivals.
The forecast for 2010-2015 predicts that the record for total arrivals will be broken for each of the five years of the forecast. International arrivals will reach almost 83 million, an increase of 51 percent from 2009 through 2015.
In 2010 all but three of the top 25 origin countries will post increases in visitor volume. The largest increases in 2010 will be from China (40%), Brazil (35%), Korea (35%), Hong Kong (27%), New Zealand (24%), and Australia (19%).
The October forecast represents a significant upward revision from the April 2010 forecast and reflects stronger growth forecasted through 2015 from the dominant arrivals market, North America (+48% total growth), and from the emerging regions of Asia (+101%) and South America (+92%). Individual country performances over the next five years will be led by China (346%), Brazil (198%), South Korea (171%), and India (123%). The forecast also considers the affect beginning in 2014 that could result from the national marketing efforts by the new Corporation for Tourism Promotion (CTP), established by the Travel Promotion Act of 2009 (TPA). The CTP’s goal is to promote the United States as a premier travel destination to international travelers.
The U.S. travel forecast was prepared by staff in the Department of Commerce/Office of Travel & Tourism Industries using economic/demographic/social factors, Commerce historical visitation trends, input from the DOC Commercial Service staff abroad, and other numerous and varied sources. The Department does not forecast traveler spending, but spending per visitor typically moves in the same direction as changes in visitor volume. Thus, when visitor volume increases – as is forecast for each of the years 2010-2015 – visitor spending typically increases by an even greater level. The same often occurs for declines; in 2009, visitation declined five percent, but visitor spending declined 15 percent.
Forecast Highlights by Region
North America: The top two markets generating visitors to the United States – Canada and Mexico – are forecast to increase in 2010 by ten percent and nine percent, respectively, and to grow by 47 and 49 percent, respectively, from 2009 to 2015. Canada and Mexico would both set new records annually beginning in 2010.
Europe: Visitors from Europe are expected to increase by one percent in 2010, followed by additional slow growth for the next three years. By 2015 arrivals from Europe will be 25 percent higher than the 2009 total, largely due to anticipated strong TPA marketing impact beginning in 2014. The United Kingdom, Germany, France and the Netherlands are projected to have rates of change between minus four and plus three percent in 2010 compared to 2009 visitor levels. Higher growth is forecast for Sweden (+11%), Italy (+7%), Spain (+7%), and Switzerland (+6%). Following a 23 percent decline in 2009, Ireland is forecasted to post additional declines in 2010 (-13%) and in 2011 (-1%). Total growth through 2015 from Europe is the smallest of any region (+25%).
Asia-Pacific: Asia is projected to generate a visitor increase of 19 percent in 2010, and then post smaller but steady annual increases over the next several years for a total 97 percent increase from 2009 to 2015. The largest Asian market and second-largest overseas market, Japan, is forecast to increase by 13 percent in 2010 and post much slower growth through 2015. Very high growth rates are expected for China (40%), South Korea (35%), and India (15%). Similarly, these three countries are expected to have among the largest total growth rates of any country over the 2009 -2015 period. China is expected to increase a total of 346 percent through 2015, even higher than South Korea (+171%) and India (+123). As a region, Asia is expected to increase 101 percent and Oceania is expected to post a 71 percent growth in visitors through 2015. Australia dominates the Oceania region and is projected to grow 19 percent in 2010 and 78 percent between 2009 and 2015.
South America: South America is projected to increase by 16 percent in 2010, one of the highest growth rates of any region and should remain a leader in arrivals growth rates for the next several years. By 2015 South America will generate more than 5.3 million visitors, a 92 percent increase compared to 2009. Brazil, the largest source market in the region, is expected to increase 35 percent in 2010 and produce a record 1.2 million visitors. By 2015 the United States could host a record 2.7 million Brazilian visitors, a 198% increase over 2009. Argentina is forecast to post an increase of 17 percent in 2010 and increase a total of 69 percent by 2015. Colombia should have solid growth in 2010 (12%), but Venezuela (-10%) is expected to join Ireland and United Kingdom as the only top-twenty five origin countries with declines this year.
Travel and tourism is the largest services export industry for the United States and has produced a trade surplus since 1989. For official information on international travel to the United States, including additional information on the forecast for travel to the United States for 2010-2015 for all world regions and 40 countries, please visit: http://www.tinet.ita.doc.gov/
The Office of Travel and Tourism Industries has visitation data for more than 200 countries that generate visitors to the United States, as well as visitation data for each world region. To learn more about international visitation and visitor spending in the United States, access the 2010 data tables, and to read additional analyses of these data, please visit: http://www.tinet.ita.doc.gov/outreachpages/inbound.general_information.inbound_overview.html
You can update or cancel your subscription at any time by clicking here. All you will need are your e-mail address and your password (if you have selected one).
This service is provided free of charge by: Office of Travel and Tourism Industries.
P.S. If you have any questions or problems please contact Tinet_Info@ita.doc.gov for assistance.
GovDelivery, Inc. sending on behalf of the International Trade Administration • 1401 Constitution Avenue NW • Washington, DC 20230 • (202) 482-3809

Cab Jam - Montage

2010-10-15T13:34:00.002-04:00

GO JET BLUE!

Cab Jam - Montage

2010-10-15T13:34:00.000-04:00

Glass Half Full - Montage

2010-10-15T13:33:00.000-04:00

The Local

2010-10-15T13:31:00.000-04:00

Taken For a Ride - Montage

2010-10-15T13:29:00.000-04:00

JetBlue drops TV for hilarious hidden-camera Web videos poking fun at competition

2010-10-15T13:25:00.001-04:00

PR Daily: Top stories from around the web

TI News: An information service from Office of Travel & Tourism Industries (OTTI

2010-10-07T10:28:00.001-04:00

)
October 06, 2010
INTERNATIONAL VISITATION UP 11 PERCENT FOR FIRST SIX MONTHS OF 2010
SPENDING AT $65.2 BILLION FOR THE FIRST SIX MONTHS
The U.S. Department of Commerce today announced that for the first six months of 2010, 27.5 million international visitors traveled to the United States, an 11 percent increase over the same period in 2009. In June 2010, 4.7 million international visitors traveled to the United States, an increase of 16 percent over June 2009. June 2010 registered the ninth straight month of increases in U.S. arrivals.
International visitors spent $65.2 billion during the first six months of 2010, eight percent more than the same period in 2009. In June 2010, international visitors spent $11.2 billion, 16 percent more than in June 2009. June 2010 marks the sixth consecutive month of growth in monthly U.S. travel and tourism-related exports.
Highlights
Top 20 Countries
In June 2010, 17 of the top 20 countries posted increases in visitation to the United States. Visitation from 14 of the top 20 countries registered double-digit increases: Canada, Mexico, Japan, France, South Korea, Australia, Brazil, the People's Republic of China and Hong Kong, India, Italy, Colombia, Sweden and Norway.
International Arrivals to United States for June 2010 and Year to Date (YTD) 2010
• Canada visitation (1.3 million) was up 12 percent in June. Visits (9.2 million) increased 12 percent YTD.
o In June 2010, air arrivals (441,000) were up 24 percent and land arrivals (889,000) were up nine percent.
o YTD, air arrivals (3.7 million) were up 15 percent and land arrivals (5.5 million) were up 10 percent.
• Mexico visitation (1.1 million) was up 18 percent for the month. Visits (6.5 million) increased 11 percent YTD.
o Air arrivals (122,000) were up 10 percent for the month and land arrivals (960,000) were up 20 percent.
o YTD, air arrivals (718,000) were up 17 percent and land arrivals (5.8 million) were up 10 percent.
o Note: For the first time, the Office of Travel and Tourism Industries is reporting Mexico resident travel, obtained from Banco de Mexico, which gives a more comprehensive picture of the inbound market than what has been previously reported. The Department of Homeland Security I-94 continues to be the source of air-only inbound travel.
• Overseas visitation
o In June 2010, overseas visitation (2.3 million) was up 17 percent over June 2009.
o June YTD 2010, overseas visits (11.8 million) were up 11 percent compared to the same period 2009.
o Compared to 2008, June 2010 overseas visits were up 4 percent.
o June YTD 2010, overseas visits were down less than one percent (0.6%) compared to the first six months of 2008.
• Visitation from Western Europe increased four percent for the month and was flat YTD.
o Visitation from 15 Western European markets was up for the month. Fourteen markets were up YTD.
o Seven of the top 10 markets registered increases in June (France +20%, Italy +18%, Spain +4%, Netherlands +0.4%, Sweden +18%, Switzerland +3%, and Norway +23%).
o Visits from the United Kingdom dropped two percent in June and dropped four percent YTD.
• Eastern Europe visits increased five percent for the month, but were flat YTD.
• Visitation from Asia increased 52 percent in June and was up 27 percent YTD.
o All of the top Asian markets registered increases in June (Japan +64%, South Korea +59%, China & Hong Kong +87%, India +21%, and Taiwan +16%).
• Visits from South America increased 17 percent for the month and grew 21 percent YTD.
o In June 2010, visits from Brazil, Colombia and Argentina were up 30 percent, 15 percent and 39 percent, respectively. U.S. visitation from Venezuela decreased 14 percent for the month.
o YTD, visits from Brazil increased 40 percent, visits from Colombia grew 19 percent, and visits from Argentina were up 24 percent. YTD, visits from Venezuela dropped seven percent.
• Visits from Central America were flat for the month but increased one percent YTD.
• Visitation from the Caribbean increased two percent in June and grew eight percent for the year.
o Visits from the Dominican Republic, the region's top market, accounting for 22 percent of all visits, increased 12 percent in June 2010.
o YTD visits from the Dominican Republic increased 12 percent.
• Oceania visitation was up 39 percent in June and increased 27 percent YTD.
o Australia accounted for 80 percent of all visits from the region in June 2010. Visits from Australia increased 39 percent for the month and grew 28 percent YTD.
• Visitation from the Middle East increased 18 percent in June and was up 12 percent YTD.
o Israel's visitation increased three percent in June but was flat YTD.
• Africa visitation grew 14 percent in June 2010 and increased 10 percent YTD.
Top Ports
In June 2010, visitation through the top 15 ports of entry accounted for 84 percent of all overseas visits-nearly two percentage points lower than last year. The top three ports (New York JFK, Miami and Los Angeles) accounted for 38 percent of all overseas arrivals, one percentage point below June 2009. Thirteen of the top 15 ports posted increases in arrivals in June 2010. Six of these ports posted double-digit increases. This upturn in the total of overseas arrivals reverses the majority of the declines registered in June 2009.
Access to OTTI Data
Manufacturing and Services' Office of Travel and Tourism Industries (OTTI) collects, analyzes and disseminates international travel and tourism statistics from the U.S. Travel and Tourism Statistical System. OTTI produces visitation data tables, including a more detailed region, country and port analyses. To access this data, you are encouraged to visit the OTTI monthly arrivals page at .
National Export Initiative
To improve conditions that directly affect the private sector's ability to export, on March 11, 2010 President Obama created the National Export Initiative (NEI). The automation of the arrival/departure form [CBP Form I-94W] for Visa Waiver Program travelers supports this initiative as the automated form will greatly improve the measurement and timely release of international arrival data to the United States. The Office of Travel and Tourism Industries (OTTI) is a member of the I-94W Elimination Project Inter-agency Working Group and will work to ensure that I-94 international arrival data for visitors from visa-waiver countries will continue to be processed in a seamless fashion after the paper form is discontinued. To learn more about the NEI, you are encouraged to visit .

New York Illegal Sublet Law Affects Vacation Rentals

2010-10-04T14:20:00.000-04:00

New York Illegal Sublet Law Affects Vacation Rentals

Déjà Vu: The Billion Dollar 'Leakage' Continues to Drain the Hospitality Industry - By Max Starkov

2010-08-30T16:32:00.003-04:00

Back in December 2003, Smith Travel Research published a much discussed article titled, 'The Billion Dollar Leak - The Impact of The Merchant Model on US Hotel Profits.' In this article the authors attempted to quantify the financial impact of third party sites on U.S. hotel industry room revenues and profits. To describe this loss, they coined the term 'leakage': i.e. revenue 'leaked' from the hotel industry to third party sites in the form of abnormally high merchant commissions of 25% and higher.

Smith Travel Research estimated that the leakage would hit $1 billion back in 2003, and grow to reach $1.3 billion in 2004.

Estimated Total Merchant Model Leakage:

Year (in Millions of U.S. Dollars)

2001

2002

2003E

2004E

Gross Merchant Model Sales

$917

$2,315

$3,375

$4,875

Total Leakage from the Merchant Model

$296

$676

$1,013

$1,314

Source: Smith Travel Research

As we will prove below, this billion dollar leak turned into a multi-billion dollar drain reaching a staggering $5.4 billion in 2010!

Why did the hospitality industry, in these turbulent post 9/11 times, allow the third party sites (today known as Online Travel Agencies-OTAs) to earn billions of dollars in the form of merchant commissions? There are many reasons for that; here are just a few of them:

At the time (2001-2003) hoteliers still treated OTAs as wholesalers and typically gave OTAs wholesale/group rates, similar to the rates given to traditional tour operators. These discounted rates instantly became public across the Web, thus undermining the hotel’s other distribution channels and leading to serious price and brand erosion.
Case in point: back in early 2003 we conducted a Top 10 Market Comp Analysis Study for a major hotel brand. The results? In all markets, this hotel brand properties’ rates were consistently $150-$200 per night lower (no kidding!) on OTA sites like hotels.com than on the brand own website.

As pure-bred Internet players, the OTAs were much smarter eMarketers, compared to most hoteliers at the time.
The Best Rate Guarantee was not adopted by the major hotel brands until May of 2002 (IHG), followed by the rest of the brands in 2003. In contrast, OTAs have had best rate guarantees since 1995 (e.g. HotelDiscounts.com, today known as Hotels.com).
Rate Parity across all distribution channels was a very novel term back in 2002 and 2003.
The OTAs had a “field day” dealing directly with the franchised hotels without the scrutiny of the major brands.
The Independent hotels were literally at the mercy of the OTAs.
2004 – 2007: The “Golden Years”, or When the Industry Came Back to Its Senses

With the establishment of the Internet as a serious online marketing and distribution channel, hoteliers began to understand that overdependence on the indirect online channel (OTAs) hurts the bottom line and leads to brand erosion and loss of customer loyalty. All major hotel brands and many smart independent hotel companies undertook a series of measures to limit the impact of the OTAs and steer customers to book via the direct online channel i.e. via the hotel’s own website.

Some of the best practices implemented during this period led to a complete reversal of the distribution landscape at the expense of the OTAs:

Best Rate Guarantees became common practice in the industry.
Rate Parity across all distribution channels became the industry norm.
All major hotel brands, boutique, and luxury hotel and resort brands negotiated corporate agreements with the OTAs, thus exploiting “collective bargaining” to negotiate better terms with the OTAs and disallow the OTAs from dealing directly with their franchisees or branded hotels.
Case in point: InterContinental Hotel Group exemplified the industry’s determination to take back control from the OTAs by severing its relationship with Expedia and Hotels.com in August of 2004 and pulling all of its hotels from these OTA websites. The main reasons cited were merchant commission levels, circumventing the brand and working directly with IHG franchisees, lack of clear marketing practices, not honoring IHG trademarks, etc. It took more than three years – until November 2007 – for IHG and Expedia to sign a distribution agreement.

Most hotel companies established internal E-Commerce Departments to deal with their websites, the direct online channel and various Internet marketing campaigns and initiatives.
Many hotel companies developed Internet marketing proficiencies and expertise at par with the OTAs.
Many hotel companies shifted the bulk of their advertising budgets from the offline to the online space.
Many best practices were created and perfected during these “Golden Years” and the direct online channel in hospitality was firmly established and embraced by the industry.
As a result of the above strategic steps, the hospitality industry dramatically increased direct channel bookings (i.e. via hotel branded websites), and decreased the reliance on merchant and opaque OTA sites such as Expedia.com and Priceline.com.

Case Study: Internet Hotel Bookings by Channel for the Top 30 Hotel Brands

In 2006 and 2007, the top 30 hotel brands and the industry as a whole increased the hotel brand website booking contribution to as high as 76.1% and decreased reliance on merchant and opaque OTA sites to as low as 18.4% from all online bookings.

Here is a summary of Internet bookings by channel for 2006 and 2007:

Top 30 Hotel Brands: CRS Hotel Bookings

2007

2006

‘07 vs. ’06

Internet Bookings: percent from total CRS bookings

42.02%

37.6%

+4.4%

* via Brand Website

75.9%

76.1%

* viaThird-Party/OTAs

24.1%

23.9%

Incl. Merchant Sites (e.g. Expedia)

10.4%

10.6%

Opaque Sites (e.g. Priceline)

8.0%

8.0%

Agency/Retail Sites e.g. HRS, Booking.com, etc

5.7%

5.4%

Source: eTRAK Report

2008-2010: The Years of Industry-Wide Amnesia

When the recession hit the industry back in 2008, I truly believed the hospitality industry would not allow a repetition of the shameful post- 9/11 years. Why did the industry allow the OTAs (again) to have a field day at the expense of the industry, and another “billion dollar leakage” to go to the OTAs in the form of abnormally high markups and commissions?

I was convinced that during the “Golden Years,” hoteliers had become seasoned eMarketers, had fully embraced the direct online channel and instituted measures and processes in place to disallow OTAs from taking advantage of the industry in an economic downturn.

Was I dead wrong or what?

The hospitality industry suffered from some kind of industry-wide amnesia and had completely forgotten the tremendous damage done to the industry by the OTAs in the months and years after 9/11.

Many hotel companies (including a number of major hotel brands) exhibited a typical “knee-jerk” reaction to the deteriorating economic environment, forgot everything they learned in the post- 9/11 period, and “succumbed to the devil” by embracing the indirect online channel (OTAs) to compensate for decreasing business. These hotel companies have been accommodating the OTAs with bigger discounts, unique promotions, etc., thus jeopardizing their direct online channel and destroying years-worth of achievements such as rate parity, best rate guarantees and more.

In other words, some hotel companies literally betrayed the industry by surrendering to the temptations of the indirect channel and demands of Expedia.com, and some of them did this in a particularly unintelligent way.

The following clearly illustrates how within a very short period of time, hoteliers became susceptible to discounting and working with the OTAs, resulting in a significant shift from the direct online channel to the indirect online channel:

Top 30 Hotel Brands: CRS Hotel Bookings

2007

2008

2009

Q1 2010

Internet Bookings:

Percent of total CRS Internet bookings

* via Brand Website

75.9%

75.2%

70.9%

71.7%

* viaThird-Party/OTAs

24.1%

24.8%

29.1%

28.3%

Incl. Merchant Sites (e.g. Expedia)

10.4%

10.7%

14.2%

14.6%

Opaque Sites (e.g. Priceline)

8.0%

8.7%

11.1%

10.2%

Agency/Retail Sites e.g. HRS, Booking.com, etc

5.7%

5.4%

3.7%

3.5%

Source: eTRAK Report

In a few short years the industry leaders – the top 30 hotel brands – lost 5% market share to the OTAs, which represents millions of dollars in bottom line revenue. The rest of the industry: smaller hotel brands, independents, resorts, etc. did not fare much better. Though concrete data is simply not available, it is logical to expect these smaller industry players lost a much bigger market share to the OTAs compared to the major brands.

There is no doubt that Expedia.com and the other OTAs have gained new market clout in this economic downturn. How did the OTAs achieve that?

Major hotel brands and the industry as a whole have been slow to develop a counter-strategy of their own and as a result have lost “momentum” and market share.
Emboldened by the industry’s desperation and slow travel demand, Expedia demanded new terms and conditions that were against everything the hospitality industry stood for: last room availability, guarantees that the best rates are only found on Expedia/Hotels.com sites, penalties to properties that do not use these OTAs 100% of the time, etc. Some major brands succumbed to Expedia’s demand for access to last room availability and made other major concessions contrary to business logic and accepted best practices.
Back in October 2009 Choice Hotels was the only major brand who stood firm against the damaging, unreasonable demands by Expedia, and told Expedia they wouldn’t sign an agreement that would allow Expedia to become the de facto “Rate Police” of the whole industry and dictate its inventory distribution and revenue management decisions to the industry.
Expedia’s 24 and 48-hour sales, as well as city-wide sales offered by hotels on Expedia and other OTAs (in breach of established rate parity principles and best rate guarantees on the hotel’s own site), have convinced the traveling public that Expedia offers the best hotel deals today.
Expedia has taken on the role of the industry’s “rate police”, punishing hotels that dare not to offer this OTA all of the hotel’s available rates, special promotions and even packages.
Expedia has been playing hotels against each other by extracting concessions which would be unthinkable in any other situation. We have seen this happen over the past two years all over the industry:
On the Independent hotel level, where one hotel is being played against another. Typically competing hotels in the same destination are invited to participate in a “24-hour sale” or “48-hour sale” on Expedia sites and “suggested” what the discount should be. Hotels that ignore these “sales opportunities” risk losing their “preferred status” with Expedia.
Expedia’s approach is similar to smaller and midsize hotel chains and boutique and luxury hotel brands.
Especially interesting is the approach towards whole destinations, where the “threat of exclusion” motivates hotels to participate in destination-wide or city-wide promotions that demand 25%-30% discounts on top of the existing margin discounts of 25%-30%.
Back in October of 2009, in my article “The Prisoner’s Dilemma, the Stockholm Syndrome, or a Case of Both?” I argued that Expedia had become the “market bully” and was taking advantage of the hospitality industry, which was struggling to survive as a result of the worst recession in modern times.

I argued further that since the removal of airline booking fees in 2008, which was the only substantial revenue source outside of hospitality, Expedia and the OTAs could survive only at the expense of the hospitality industry. Exploiting the desperation among hoteliers, Expedia and some of the OTAs adopted increasingly aggressive market behavior toward the hospitality sector. The results were more than damaging for the hospitality industry and resulted in years of multi-billion dollar “leakages”.

The Billion Dollar Leak: Experiencing an Unbearable Industry Drain All Over Again

The OTAs heavily rely on the hotel industry for the bulk of their revenues. For example, hotel bookings contribute to a little over 30% of the OTA global gross booking volume. At the same time, hotel bookings contribute to more than 60% of OTAs commissions/booking fees!

In its SEC filings, Expedia acknowledges that over 60% of its revenue comes from transactions involving the booking of hotel reservations, with less than 15% of its worldwide revenue derived from the sale of airline tickets. To clarify, over 54% of the OTAs’ U.S. domestic reservation volume (44% of the OTA global gross booking volume) comes from selling airline tickets, and yet airline ticket sales produce a paltry 15% of Expedia’s revenues.

In other words, hotel reservations are financing the OTAs’ operations and allowing the OTAs to “make a killing” by reaping billions of dollars of abnormally high merchant (wholesale) commissions, and to survive after they stopped charging airline ticket booking fees.

In its 2007-2010 SEC filings, Expedia provides a crystal-clear confirmation that the billion dollar “leakage”, first discussed by STR back in 2003, continues in full force and at much higher levels.

Over the last several years, revenue "leaked" from the hotel industry to Expedia in the form of abnormally high merchant commissions has been increasing every single year. This “leakage” exceeded $2 billion in 2007 and reached $2.3 billion dollars in 2009!

Expedia Merchant Gross Bookings

2007

2008

2009

First 6 months 2010

Estimated 2010

Gross merchant Bookings

(in millions of dollars)

$8,355

$9,098

$9,254

$5,375

$10,842

25% merchant commission

(in millions of dollars)

$2,089

$2,275

$2,314

$1,343

$2,710

Source: SEC, HeBS

This leakage is estimated to reach $2.7 billion in 2010, based on the results from Expedia’s first six months of this year and the rate of increase of 14.65% over the same period of last year.

To summarize, the $2.7 billion dollar “leakage” in 2010 is only the damage caused by Expedia. Expedia has an approximate 50% market share of the OTA market. If we calculate for the rest of the OTAs (Travelocity, Orbitz, Priceline), the total leakage in 2010 will reach a staggering $5.4 billion dollars!

What Can Hoteliers Do to Overcome this Massive “Leakage”?

Hoteliers must realize that a) the OTAs will not surrender their dominant position voluntarily, without putting up a fight (we repeatedly witnessed this after the end of past economic downturn), and b) increased travel demand, the beginning of which we are starting to notice, does not automatically translate into higher occupancy, ADRs and RevPARs: hoteliers must be more proactive and creative than the OTAs and the competition to get a “bigger piece of the pie” (increase market share and benefit more from the growing demand).

There are a few other important industry developments to be taken under consideration:

GDS Channel Is in Steady Decline: GDS hotel bookings via the CRS of the top 30 hotel brands declined by 3.7% in 2009 vs. 2008, and constituted only 23.6% of the total brand CRS bookings last year (eTRAK). In Q1 2010 GDS share from total CRS booking dropped to the all-time low of 22.7%.
The Voice Channel Contribution Is Decreasing: Voice channel hotel bookings via the CRS of the top 30 hotel brands declined by 2.9% in 2009 compared to 2008, and amounted to 22.2% of total brand CRS bookings last year (eTRAK).
In other words, hoteliers do not have many options when considering other non-OTA distribution channels. In our view, the only viable option to drastically reduce reliance on the OTA channel is for the industry to embrace the Direct Online Channel.

Many hoteliers claim they cannot afford to market themselves via the Internet and that is why they resort to the OTAs since their services are “free.” The following case study shows why the OTA channel not only is not “free”, but is far more expensive than the Direct Online Channel and why focusing on the Direct Online Channel provides meaningful savings that go straight to the bottom line:

Case Study: How to Add Half a Million Dollars to the Bottom Line

A hypothetical New York City Hotel with 200 rooms, 77.2% average occupancy rate, an ADR of $215.14 in 2009 (STR), and 45% of bookings being made via the Internet will incur the following distribution costs (using the industry average 60:40 direct vs. indirect online ratio):

Cost of Direct Online Channel Distribution: 7,608 bookings x $12.92 = $98,295
(Cost per booking via the hotel’s own website, including website hosting and maintenance fees, advertising spend, campaign management fees, and Omniture analytics. Based on 530,000+ bookings in 2009 via hotel websites from HeBS’ full-service hotel client portfolio)

Cost of Indirect Online Channel Distribution: 5,072 bookings x $107.57 = $545,595
(Calculation based on a hypothetical NYC hotel of 200 rooms @ 77.2% average occupancy rate = 56,356 roomnights/2 nts average stay = 28,178 bookings total, of which 12,680 are Internet bookings (45% of total bookings). Direct online bookings = 7,608 (60%) and Indirect Online Bookings = 5,072 (40%))

If the hypothetical 5,072 OTA bookings are instead made via the direct online channel at $12.92 each, the bulk of the OTA distribution cost, namely $480,065, would go directly to the hotel’s bottom line ($545,595 – $65,530, i.e. 5072 bookings x$12.92=$480,065). This is nearly half a million dollars added to the bottom line. Name one hotelier who would not have liked that in 2009!

Across the industry, in 2010, Direct Online Channel sales will exceed 60% of total online hotel bookings. In Q1 2010, 71.7% of online bookings for the top 30 hotel brands were direct via the brand websites, while 28.3 % were via the indirect online channel i.e. the Online Travel Agencies (OTAs).

The ultimate goal for the industry should be as follows:

Major hotel brands: OTA contribution (including agency, merchant and opaque model) should be kept below 15%.
Average for the hospitality industry: OTA contribution (including agency, merchant and opaque model) should be kept below 25% (the level the indirect channel has traditionally had for many years, even before the Internet).
There is no doubt the Direct Online Channel provides hoteliers with immediate results in the current economic environment as well as long-term competitive advantages. The Direct Online Channel must always be at the centerpiece of any hotelier’s Internet marketing and distribution strategy. Travel consumers booking via the hotel website (direct customers), are more loyal, bring in more revenue and tend to travel more often.

What should hoteliers do to improve their direct vs. indirect online channel exposure?

Business Objectives:

Maintain strict rate parity across all marketing channels and maintain a best rate guarantee.
Create unique product offerings and provide unique value proposition via the hotel website.
Engage your customers directly via social media and mobile initiatives, and Web 2.0 features and functionalities on the hotel website.
Marketing Objectives:

Focus on direct online channel marketing initiatives with proven ROI to increase market share and generate incremental revenue via the hotel website:
Website re-design and web 2.0 optimizations
Search engine marketing (SEM)
Search engine optimization (SEO)
Email marketing to the hotel opt-in list
Multi-channel marketing initiatives, promotions and contests
Social marketing: Facebook, Twitter, Flickr, YouTube
Mobile marketing via mobile website, mobile SEO and mobile marketing initiatives
Strategic linking and online sponsorships
Launch online marketing initiatives, addressing your top business segments and feeder markets.
Conclusion:

Revenue "leaked" from the hotel industry to the OTAs in the form of abnormally high merchant commissions of 25% and higher will reach $5.4 billion in 2010. This leakage must be stopped and reversed as it drains the hospitality industry’s bottom line and threatens the mere survival of the industry.

With GDS and voice channels in perpetual decline, hoteliers do not have many options when considering non-OTA distribution channels. The only viable option to drastically reduce reliance on the OTA channel is for the industry to embrace the Direct Online Channel.

Hoteliers need a robust Direct Online Channel Strategy, accompanied by adequate marketing funds, to be able to take advantage of the steady growth in the Internet channel and shift from offline to online bookings in hospitality due to declining GDS and voice channels. Hoteliers must carefully employ ROI-centric initiatives, including website redesign, website optimization and SEO, paid search, email marketing, online display advertising, and proven social media and mobile marketing initiatives.

About the Author and HeBS:

Max Starkov is Chief eBusiness Strategist at Hospitality eBusiness Strategies (HeBS). HeBS is an award-winning, full-service hotel Internet marketing and Direct Online Channel Strategy firm, strictly dedicated to the hospitality and travel verticals. Having pioneered many of the "best practices" in hotel Internet marketing and direct online distribution, HeBS specializes in helping hoteliers profit from the direct online channel and transform their websites into the hotel’s chief and most-effective distribution channel, establish interactive relationships with their customers, and significantly increase direct online bookings and ROIs. Visit us online at www.hospitalityebusiness.com

A diverse client portfolio of over 500 top tier major hotel brands, luxury and boutique hotel brands, resorts and casinos, hotel management companies, franchisees, independents, and CVBs has sought and successfully taken advantage of HeBS’ hospitality Internet marketing expertise. Contact HeBS consultants at (212)752-8186 or info@hospitalityebusiness.com.

Are Vacation Rentals an Endangered Species? - SmarterTravel.com

2010-08-30T14:31:00.000-04:00

What else locust?

Are Vacation Rentals an Endangered Species? - SmarterTravel.com

FASCINATING AIDA - Cheap Flights

2010-08-26T10:39:00.000-04:00

The reality of cheap travel.....

Díaaz Ferrán vuelve a la aventura empresarial

2010-08-20T09:50:00.000-04:00

2010-08-03T12:32:00.000-04:00

USA Travel Space - US Travel business News & Commentary: Business is back!

2010-08-03T09:44:00.001-04:00

A repost that sounds all too familiar!

USA Travel Space - US Travel business News & Commentary: Business is back!: "Everywhere you go today you hear the familiar refrain 'Business is back', and this is usually followed by an RTO's complaint 'There goes our..."

No oil on the beach. No tourists, either

2010-08-03T09:41:00.000-04:00

No oil on the beach. No tourists, either

Opaque Channels of Distribution

2010-07-29T10:51:00.002-04:00

The Buzzword "Opaque", it makes you think about what marketers should really be doing instead of, coining terms. In the travel industry these past 15 years, or so, we have been trying to deal with the Internet.

Traditional channels of distribution have been under attack, and management at odds with how "their" product is being sold. If we look at the traditional model; B2C, Corporate, Military, Government, Associations, Travel Industry etc., there was some control on how products or services were being delivered. Segmentation was easy and the worst case scenario was oversell and the subsequent walk in the case of hotels, or bump to the next flight for airlines.

In came the Internet channel, and things began to get squiggly, as my skipper would say, and things like segmentation and brand commoditization began to take a whole new meaning. All of the business books were touting the Internet, and how we could all benefit from using this innovative distribution tool. Instantly our dreams of cutting out the middleman became a reachable reality. Fast forward 15 years and most company's are still trying to establish how this tool can best be taken advantage of, without cheapening our brand.

Unfortunately, this cannot come about until most companies realize, that they are hospitality and travel companies, not technology companies. The long term has disappeared from what used to be a buzzword.

Opaqueness comes from control, and you cannot control a distribution system that is out of control. There are literally millions of sites offering travel at the cheapest prices. How can that be? We had technology people believing they were travel people, and all of them, had the next best idea, but someone forgot that we all need to make money at one point. Remember the the Internet bubble?

The traveler has been fooled to believe that travel is a cheap, rather than a necessary component of a balanced lifestyle.

You will not find one coach ticket carrying traveler anywhere, that is 80% happy with his/her experience at that moment. Suppliers from airlines to transportation companies have had to resort to "gotcha Capitalism" in order to make any money, whatsoever.

Travelers are forced to pay fees for everything that used to make the experience a pleasure. Not everyone can fly business and stay 5 star, but even they are running into sleazy fees. Today's managers commoditized their products, and cheapened the overall experience. They insist on eliminating the "Travel Distribution" Channel and relegating it, to the Internet.

I will try to make a case for the Travel Distribution Channel, it can be opaque, it does assist in elevating the traveler experience, it does not have a cost to your brand, on the contrary, it elevates your brand. The Travel Agent, Tour Operator, and Receptive company's provide a value, which is far more from the segment rate structure it requires. You will not see celebrities touting hard negotiating techniques, hotels for 69.00 in New York City, or television commercials featuring gnomes or space ships guaranteeing the cheapest prices!

You will see luxurious brochures, targeted sales promotions and cobranding opportunities that heighten the desire for your products and services in your "DESTINATION", not a randomly selected city because, it's cheap. And you will find that when the traveler has a problem they have someone at that "Travel Company" attending them, which lightens the load for your customer service representatives,to service your direct consumers.

In otherwords it is time to go back to the business of travel,and making it's value worth paying for!

RIP: era ending for cheap airline fares

2010-07-29T10:42:00.001-04:00

RIP: ERA ENDING FOR CHEAP AIRLINE FARES
29 July, 2010

The good news for the airlines is that they’re profitable again but the bad news for consumers is that ticket prices are likely to rise, and cheap air fare is going to be much harder to find, say experts.

“The six biggest U.S. airlines earned about $1.3 billion in the second quarter, and more profits are expected for the rest of the year. Even so, airlines are still woozy from the one-two punch of record-high fuel prices followed by a recession,” says the AP.

Those six big carriers lost $22.7 billion in 2008 and 2009. And that's just a portion of the $63.35 billion that U.S. passenger airlines lost from 2001 to 2009, according to the Transportation Department. Airlines are pulling back on deeply discounted fares now that they're making money again.

Already, fares have jumped 18 percent this summer as compared to the same period a year ago, according to the International Air Transport Association. So what can airline travelers expect in the near future? Some observations:

---The airlines are hooked on fees after two years of using them to overcome, first, high fuel prices and then slumping travel demand. A new study shows that worldwide, carriers took in $13.5 billion from fees in 2009, a 43 percent jump in just one year. "Fees are going to stick and they're going to become more pervasive," said Jay Sorensen, a former airline executive who is now president of consulting firm IdeaWorks, which did the study on fees.

---Airlines have been able to boost ticket prices too. Summer fares are up.

---Travel demand will taper off as fall approaches — Continental Airlines is already seeing that. Still, airlines will try to avoid slashing prices. Rick Seaney, CEO of FareCompare.com, says the airlines are getting better at waving sale prices in front of customers but selling most seats at higher fares.

---Planes are stuffed like never before. Including regional flights, Delta filled 88 percent of its seats in June, Continental sold 87 percent, and American 86 percent — that's about 2 percentage points higher than last summer. Full flights are expected to remain on the horizon this summer.

---"Leisure demand has been strong, and we expect it will remain so throughout the remainder of the summer," Continental CEO Jeff Smisek told analysts.

---Normally when airlines start making money after a slump, they're tempted to add new flights to snag returning travelers. This time might be different. Sluggish bookings and concern about the weak economic recovery will put pressure on airlines not to add flights that might operate half-empty.

---Several large U.S. airlines are in the middle of labor negotiations that could lead to higher costs and even disruptions for travelers.

---The most acute problems are at American, where flight attendants and some ground workers are talking openly about possible strikes this fall. American's parent, AMR Corp., spends 30 percent of its revenue on labor compared with 18 to 22 percent at the other big airlines, according to the AP.

---AP writes that when airlines have made money in past years, they've been "tempted to add new flights to snag returning travelers. [But] this time might be different. Sluggish [fall] bookings and concern about the weak economic recovery will put pressure on airlines not to add flights that might operate half-empty."

All in all, tough times are likely to be ahead for airline passengers accustomed to cheap flights.

By David Wilkening

Travel Industry Leans On Email During Recovery

2010-07-28T10:05:00.000-04:00

Travel Industry Leans On Email During Recovery
David Goetzl, Jan 21, 2010 09:34 PM
Email marketing firm Silverpop said that as the travel and tourism industry looks toward a recovery -- albeit gradual -- its clients are increasingly turning to interactive marketing, including email, to stand out.

One Silverpop client is fellow agency eBrains, which has a core competency in tourism marketing. EBrains says about 60% of its clients in the industry expect to boost email marketing budgets in 2010 (a similar number to 2009, so increases may be on top of those). EBrains, which lists clients that include the groups behind the "I Heart New York" and "Virginia is For Lovers" campaigns, has employed e-newsletters and targeted special offers to generate interest via inboxes.

EBrains executive Matthew Gordon stated that email marketing is "a versatile channel that can be used strategically for brand building and tactically" for promotions.

Silverpop said it is also working with the Georgia Aquarium and two United Kingdom entities (a rail company and trade association for London theater operators) to use email to boost traffic during the downturn. The Atlanta-based aquarium employs email to drive online ticket sales, Silverpop said, and the attraction has an email list of some 620,000 addresses.

For East Coast, the British rail company, there was an emphasis on share-to-social links in emails, Silverpop said. The firm has offices in the U.K. as well as Germany and Australia.

Sara Borland, brand and communications controller at East Coast, stated: "In a recent 'one-way fares' campaign, hundreds of customers shared the offer on their social networking pages on Digg, Facebook and MySpace. Seventeen percent of posted links garnered at least one open, and 33 percent who opened a post, then clicked. These are people we may never have reached otherwise."

Google Buys ITA Travel Software Co. For $700 Million Cash, Dings Bing

2010-07-28T10:04:00.001-04:00

Google Buys ITA Travel Software Co. For $700 Million Cash, Dings Bing
Laurie Sullivan, Jul 01, 2010 08:44 PM
Google stepped into the travel search business Thursday, announcing intentions to acquire flight information software company ITA Software for $700 million in cash. The Mountain View, Calif. search engine will create new flight-search tools to help users find better information more easily on the Web.

The tools will allow people to search for flights, verify options and price, and get the consumer quickly to a site that allows them to buy the ticket. The idea is to drive more traffic from the search engine to airline Web sites.

Google wants to improve the way that flight information gets organized, which "creates a big engineering challenge," Google Chief Executive Officer Eric Schmidt told analysts and reporters during a conference call.

Schmidt described ITA as a flight-information software company founded by Massachusetts Institute of Technology (MIT) scientists. They have a technology that organizes flight data, including availability, time and prices. Many online travel Web sites, agencies and airlines use the platform called QPX. He says "more than half of all the airline tickets are sold online."

Experian Hitwise estimates that 597,139 search terms for all search engines tracked sent traffic to travel Web sites for the four weeks prior to June 26, 2010. The data firm says 4.37% of all traffic to travel sites came from search engines during the same four weeks. The majority of those searches -- 25.06% -- were two-word searches, and one- to four-word searches accounted for 80.55% of travel searches.

The most recent available data from Google search shows that 54% of travel searches have between three and four words in the query, but that has likely changed in the last year as people become more comfortable searching on a string of words.

Travel is one of the more difficult search problems to solve, according to Marissa Mayer, Google vice president of search product and user experience. Google needed a dedicated set of data to explore the travel space and build out tools that enable consumers to find and compare plane ticket prices and destinations. The search engine doesn't expect to build a platform similar to Kayak or allow people to purchase tickets through the search engine, but it will design algorithms built into tools that allow consumers to search on difficult queries such as "Where can I get within seven hours for $100?"

The future of search utilities is not in links but in actions, according to Aaron Goldman, principal at Connectual. In the book "Everything I Know about Marketing I Learned From Google," scheduled for release this fall from McGraw-Hill, he explains how the future for search remains in search-and-act engines or "app-ssistants" like Siri, acquired by Apple, that allow consumers to give instructions rather than submit queries and deliver actions not just links.

"If you're planning a trip you can just tell your app-ssistant 'Chicago to New York for pleasure' -- it will fetch you an itinerary with airlines, hotel, car rental, dinner reservations, theater tickets, etc., all based on your saved preferences," Goldman says. "In this example, a product like ITA is critical to gathering and organizing much of the data needed to complete the action."

The deal should also help Google gain share from Microsoft Bing, which has been gaining kudos from advertisers related to the travel industry.

For advertisers, the advantages are a little less obvious, Goldman says. "Long-term, search-and-act engines will provide tremendous opportunities to brands that have digitized and distributed their assets so app-ssistants can find them and include them in the actions they deliver," he says. "Short-term, ITA likely means more traffic to Google, and importantly, more commercial queries that advertisers love because they represent someone who is ready to make a purchase. For Google, more commercial queries mean more ad revenue."

Hotels.com Trademark Appeal Sent Packing

2010-07-28T09:52:00.000-04:00

Hotels.com Trademark Appeal Sent Packing
Wendy Davis, Jul 24, 2009 01:39 PM
A federal appeals court has ruled that the term "Hotels.com" can't be trademarked because "hotels" is too generic.

The hotel information and booking site Hotels.com had argued that even if the word "hotels" is generic, adding a dot-com to it resulted in a term that should be given trademark protection.

But the U.S. Court of Appeals for the federal circuit disagreed. "The generic term 'hotels' did not lose its generic character by placement in the domain name Hotels.Com," the court wrote in a decision issued Thursday. The ruling upheld an earlier determination by the Trademark Trial and Appeal Board of the U.S. Patent and Trademark Office.

Last year, that board said it was not persuaded by Hotels.com's evidence that consumers viewed the domain name as associated with the company. Hotels.com had presented a survey showing that 76% of 277 respondents viewed Hotels.com as a brand name.

But the board found fault with that study, concluding that "the survey design did not adequately reflect the difference between a brand name and a domain name," according to the appellate opinion.

Among other potential effects of the appellate ruling, it means that Hotels.com would likely have a difficult time suing when other companies use the term "hotels.com" to trigger ads on Google or other search engines.

On Friday, a Google search for "hotels.com" yielded pay-per-click ads for the site itself as well as Travelocity, Priceline and others.

Avis Readies Dollar Thrifty Bid - News - Auto Rental News

2010-07-19T11:23:00.000-04:00

Avis Readies Dollar Thrifty Bid - News - Auto Rental News

On Again, Off Again: Why Online Travelers Book Offline

2010-07-16T09:22:00.000-04:00

On Again, Off Again: Why Online Travelers Book Offline

TripAdvisor - what did they buy and when

2010-07-16T09:15:00.000-04:00

TripAdvisor - what did they buy and when

New York City was 2009’s most popular U.S. tourist destination

2010-07-09T16:46:00.000-04:00

New York City,visitors,destinations - {Travel Daily News}

Tourism’s value recognized with the newly created Argentinean Ministry of Tourism UNWTO,Argentina - {Travel Daily News}

2010-07-09T16:45:00.000-04:00

It seems that Argentina has the right idea!

UNWTO,Argentina - {Travel Daily News}

Testing Times for International Tourism UNWTO, barometer - {Travel Daily News}

2010-07-09T16:32:00.000-04:00

UNWTO, barometer - {Travel Daily News}

Decrease in turnover since the start of the global financial crisis has finally bottomed-out

2010-07-09T16:30:00.000-04:00

UFI,barometer - {Travel Daily News}

SBA lending slips as stimulus cash dries up

2010-07-05T12:35:00.000-04:00

SBA lending slips as stimulus cash dries up

Google to buy travel data giant ITA for $700 million

2010-07-05T12:31:00.000-04:00

Google to buy travel data giant ITA for $700 million

Continental Adjusts Thinking With New Exit Row Fees

2010-07-01T14:59:00.000-04:00

Continental Adjusts Thinking With New Exit Row Fees

A Slice of Brooklyn Pizza Tour

2010-07-01T14:41:00.000-04:00

Senators fight airlines over carry-on baggage fees

2010-07-01T11:02:00.000-04:00

Senators fight airlines over carry-on baggage fees

Travel industry poised for comeback - Dianna Heitz - POLITICO.com

2010-06-30T14:17:00.000-04:00

Travel industry poised for comeback - Dianna Heitz - POLITICO.com

Travel Market Report :: Retail Strategies Article :: Why Storefronts Remain Backbone of the Industry

2010-05-20T14:30:00.000-04:00

Travel Market Report :: Retail Strategies Article :: Why Storefronts Remain Backbone of the Industry

Travel Market Report :: Retail Strategies Article :: Booking Windows: Not Like the "Good Ole Days"

2010-05-20T14:27:00.000-04:00

Travel Market Report :: Retail Strategies Article :: Booking Windows: Not Like the "Good Ole Days"

Travel Market Report :: Technology Article :: Airline Merchandising: Coming Soon to GDSs

2010-05-13T15:39:00.000-04:00

Travel Market Report :: Technology Article :: Airline Merchandising: Coming Soon to GDSs

Marsans Spain on the border of closing!

2010-04-30T13:24:00.001-04:00

Los dueños aseguran que están a punto de vender

Marsans está casi sin actividad y al borde del cierre

Los clientes no entran y las empresas han buscado otras agencias que les gestionen los viajes corporativos. En las oficinas de Marsans no se vende prácticamente nada, no sólo porque no entra nadie, sino porque los proveedores les han retirado el producto. Ante esto, muchos directores de oficina están derivando clientes a agencias de la competencia para evitarles inconvenientes.

“Está todo parado, la actividad es cero”, asegura a este diario el director de una de las oficinas de Viajes Marsans. Y esto hace que en la central no entre dinero para afrontar pagos. Por otro lado, a la larga lista de proveedores que tienen en prepago a la agencia se ha sumadoRenfe, que sólo admite ventas mediante tarjeta de crédito y pago directo a su cuenta.

También son frecuentes los casos de clientes que reservaron y ahora vuelven a cancelar y recuperar el dinero. En algunos casos se han llegado a producir situaciones muy tensas al borde de la agresión. Las oficinas han recibido órdenes de cerrar si se llega a ese extremo.

Y a nivel de viajes de empresa, la desbanda es ya prácticamente total, yademás de Viajes El Corte Inglés yCarlson Wagonlit Travel, también está recibiendo clientes American Express Barceló Viajes e, incluso, Halcón y medianas agencias especializadas en el business travel.

La empresa mantiene la versión oficial

Por su parte, los propietarios del grupo Marsans, Gerardo Díaz y Gonzalo Pascual, están estudiando dos ofertas "serias" para la venta y confían en tomar una decisión este mismo fin de semana, según informa Europa Press, que cita a fuentes próximas a la negociación. "Hay dos ofertas serias para la venta del grupo y este fin de semana podría haber alguna resolución", afirmaron las mismas fuentes.

UGT convoca movilizaciones

Por otro lado, y de cara al 1 de Mayo, UGT “en solidaridad con los compañeros y compañeras de Marsans” han convocado para ese día una manifestación, a las 11,00 en la plaza de la Lealtad de Madrid.

Esta convocatoria se produce “dentro del marco de las movilizaciones que realizaremos a partir de la próxima semana principalmente los días 6 y 7 de mayo a las ocho de la tarde, en las que hacemos un llamamiento a todos, para dar dar la máxima cobertura a los compañeros de dicho grupo”, aseguran en el sindicato.

José Manuel de la Rosa (josemanuel.delarosa@hosteltur.com)
http://twitter.com/JMaDelarosa

The case for Equality in Hotel Contracting.

2010-04-29T09:29:00.003-04:00

The Clayton Antitrust Act of 1914 can easily support the argument for equality in rates; the first sentence of the act sets the tone for the very basis of the American dreams foundation. In which every viable business can and in effect capitalize on their intellectual capacity and desire to work harder and longer than their competitor. It seems that the hotel industry has not yet realized that their rooms have become a commodity. The Internet distributors and major tour operators, many of which are wholly owned subsidiaries of foreign companies, have been benefitted by outdated and sometimes discriminatory practices used by hotel managers and owners. This being said, it also understood that there are certain companies who purchase their inventory out right, and this practice is certainly not being judged nor does this author frown upon it, on the contrary this practice is their competitive edge, and an investment in their business, they assume all of the liabilities that are incumbent with the decision to pre-purchase.

The Clayton Antitrust Act (1914)

The Clayton Antitrust Act is comprised of §§ 12, 13, 14-19, 20, 21, 22-27 of Title 15.

(a) Price; selection of customers

It shall be unlawful for any person engaged in commerce, in the course of such commerce, either directly or indirectly, to discriminate in price between different purchasers of commodities of like grade and quality, where either or any of the purchases involved in such discrimination are in commerce, where such commodities are sold for use, consumption, or resale within the United States or any Territory thereof or the District of Columbia or any insular possession or other place under the jurisdiction of the United States, and where the effect of such discrimination may be substantially to lessen competition or tend to create a monopoly in any line of commerce, or to injure, destroy, or prevent competition with any person who either grants or knowingly receives the benefit of such discrimination, or with customers of either of them: Provided, That nothing herein contained shall prevent differentials which make only due allowance for differences in the cost of manufacture, sale, or delivery resulting from the differing methods or quantities in which such commodities are to such purchasers sold or delivered: Provided, however, That the Federal Trade Commission may, after due investigation and hearing to all interested parties, fix and establish quantity limits, and revise the same as it finds necessary, as to particular commodities or classes of commodities, where it finds that available purchasers in greater quantities are so few as to render differentials on account thereof unjustly discriminatory or promotive of monopoly in any line of commerce; and the foregoing shall then not be construed to permit differentials based on differences in quantities greater than those so fixed and established: And provided further, That nothing herein contained shall prevent persons engaged in selling goods, wares, or merchandise in commerce from selecting their own customers in bona fide transactions and not in restraint of trade: And provided further, That nothing herein contained shall prevent price changes from time to time where in response to changing conditions affecting the market for or the marketability of the goods concerned, such as but not limited to actual or imminent deterioration of perishable goods, obsolescence of seasonal goods, distress sales under court process, or sales in good faith in discontinuance of business in the goods concerned.

Sec. 13a. Discrimination in rebates, discounts, or advertising service charges; underselling in particular localities; penalties

It shall be unlawful for any person engaged in commerce, in the course of such commerce, to be a party to, or assist in, any transaction of sale, or contract to sell, which discriminates to his knowledge against competitors of the purchaser, in that, any discount, rebate, allowance, or advertising service charge is granted to the purchaser over and above any discount, rebate, allowance, or advertising service charge available at the time of such transaction to said competitors in respect of a sale of goods of like grade, quality, and quantity; to sell, or contract to sell, goods in any part of the United States at prices lower than those exacted by said person elsewhere in the United States for the purpose of destroying competition, or eliminating a competitor in such part of the United States; or, to sell, or contract to sell, goods at unreasonably low prices for the purpose of destroying competition or eliminating a competitor.

Any person violating any of the provisions of this section shall, upon conviction thereof, be fined not more than $5,000 or imprisoned not more than one year, or both.

The act of discriminatory pricing either through threats by existing customers and or protectionism is the basis of this writing. While I am not surprised I am rather taken aback as to the existence of this practice still to this day. I can remember twenty years ago when I was purchasing for my former company I consistently heard the “I am sorry I cannot give you a better rate than……” and my response was not that I wanted a better rate, just the same one, that was given to my competitor.

The reasoning being was that I had opportunities to provide clients with better service than my competitor, and this is the key to any business.

The key being that I was willing to work harder and provide more support than my competitor was doing for the market. This was my investment in the business and hoteliers and the travel industry should embrace this behavior, because it is the foundation for continued growth and continuous improvement in customer satisfaction.

The US has recently enacted a travel promotion act that will in effect increase the countries exposure to international markets, and these markets are widely different in cultural and experiential expectations. No one company can service these clients, and hoteliers should not place themselves in a situation in which a single client can demand or impose limitations on their marketing, or sales to any potential customer, it is not only illegal, it is immoral and counter-productive.

The reason it is counter productive, is that companies establish their returns with the suppliers that best serve their bottom line.

Case in point (RTO A) has wide standing contracts all over the USA with various hotels and chains, but they promote (Hotel Chain A) ten times more so than Hotel Chain B or C, the reason is that they have better conditions than with the competing hotel chains, and they can establish their control by limiting (RTO B,C,D’s) access to contracts through intimidation.

The result is hotels begin demanding more from RTO – A rather than to establish working relations with RTO B, C, D all because they are loath to lose what they don’t really have with RTO – A.

In effect you can use the Coke vs. Pepsi argument. They exist in a wide variety of outlets, and rarely the two are found in the same location. You will find that there is little difference in the pricing from one location to the next, but the differences exist mostly to the consumer, which should be the case for the hotel room. We are outlets for your product and while we may establish relationships with larger tour operators abroad we work hard for their business offering additional services that many larger companies can no longer afford to do.

Hotels should not be the gate keepers for RTO’s they should not stifle competition through protectionism, on the contrary they should embrace it, and help it along. The more your product is promoted by a larger group of customers such as RTO’s the easier it is to establish your brand in markets around the world, and the less exposure you will have to downturns in the market and hopefully less exposure to financial setbacks.

Finally had I not been so convincing in my argument twenty years ago, an established family business today would not have the opportunity to exact the very same protection, I had argued against twenty years ago.

Not so good of a year in travel

2010-04-27T11:30:00.001-04:00

TI News: An information service from Office of Travel & Tourism Industries (OTTI)

April 27, 2010

2009: The Year in Review

The U.S. Department of Commerce, Office of Travel and Tourism Industries recently published its annual Year in Review report for 2009. Simply put, the global economic slowdown created the most difficult environment for the tourism industry since the tragic attacks of September 11, 2001.

The United States welcomed 54.9 million international visitors in 2009, a decrease of 5 percent when compared to 2008.
Total international visitor spending in the United States ($121 billion) dropped precipitously in 2009, resulting in a record-setting yearly decline of nearly $21 billion (-15%).
Much of this decline was centralized in one market: the U.K. Visitor spending declines from this one market alone ($4.6 billion) surpassed the combined declines from Africa and the entire Asia and Pacific region.
The impact was not limited to international travel. In fact, the total spending (domestic and international) by the U.S. travel and tourism industries were $100 billion less than in 2008, by far the single largest contraction the industry has experienced.
The industry also lost nearly 400,000 industry-related jobs in 2009, essentially eliminating all employment gains since 2004.

In summary: 3.1 million fewer visitors; $21 billion decline in total travel and tourism-related exports; $100 billion decline in industry output, and 400,000 fewer jobs.

2009 INTERNATIONAL VISITATION FIVE PERCENT BELOW 2008

2010-03-25T10:39:00.001-04:00

TI News: An information service from Office of Travel & Tourism Industries (OTTI)

March 24, 2010

2009 INTERNATIONAL VISITATION FIVE PERCENT BELOW 2008

December 2009 International Arrivals Up Five Percent

The U.S. Department of Commerce announced that 54.9 million international visitors traveled to the United States in 2009, a decrease of five percent from 2008. In 2009, the top inbound markets continued to be Canada and Mexico, both of which were down in arrivals along with six of the nine overseas regional markets. South America, Asia and Oceania experienced the strongest growth in the fourth quarter, due in part to increases from the emerging markets of China and Brazil.

In the month of December 2009, total visitation reached 4.1 million*, an increase of five percent over December 2008. That marked the third straight month of increased travel to the United States.

During the fourth quarter total arrivals increased two percent. That marked the first quarter to experience growth in 2009. Positive growth occurred in 15 of the top 20 arrival markets. Arrivals from Canada, Mexico and overseas were up four percent, three percent and one percent, respectively.

Annual overseas arrivals (excluding Canada and Mexico) totaled 23.8 million during 2009, down six percent from 2008. Travel from overseas markets accounted for 43 percent of total arrivals to the United States. While overseas travel was still down 9 percent from its peak in 2000, visitation from overseas markets is up 32 percent from its low in 2003. Five of the top 50 overseas markets set new visitation records: Australia, China/PRC, Colombia, Ecuador and Panama.

In 2009, seven of the top 20 arrival markets posted increases, with Brazil and Argentina registering double-digit increases. The United Kingdom and Japan were among thirteen markets which experienced declines for the year. The top 20 inbound visitor markets accounted for 89 percent of all international arrivals to the United States during 2009 and as a group it was down six percent compared to 2008.

International visitors spent $121.1 billion in 2009, down nearly 15 percent from 2008 the largest single year decline in spending for visitors to the United States. Visitors spent $10.3 billion in December 2009, eight percent less than in December 2008. December 2009 marks the 14th consecutive month in which U.S. travel and tourism-related exports were lower when compared to the same period of the previous year.

International Arrivals to United States for Yearend 2009 and December 2009:

Canadian visitation totaled 18.0 million, was down five percent for the year, but up nine percent in December.
- In 2009, air arrivals totaled 6.1 million down four percent and land arrivals totaled 11.7 million down six percent.
Mexican arrivals totaled 13.2 million and were down four percent for the year.
- Arrivals to the interior (only) were up five percent for the month.
Overseas arrivals were down six percent from 2008, and totaled 2.2 million for the month, which was down three percent from December 2008.
Visitation from Western Europe decreased 10 percent for the year and four percent in December.
- Visitation from 18 top Western European markets was down for the year, but half of the top markets were up for the month.
- Switzerland was the only top Western European market to post an increase in 2009, but five of the top 10 markets registered increases in December (Germany +1%, Italy +12%, Spain+3%, Switzerland +17% and Belgium +4%).
Eastern European arrivals decreased two percent for the year and the month.
Visitation from Asia decreased eight percent for the year, but increased 14 percent in December.
- China and Indonesia were the two top markets from Asia to post an increase in 2009, but all of the top 10 markets registered increases in December.
Arrivals from South America increased seven percent for the year and 12 percent for the month.
- In 2009, visits from Brazil, Colombia and Argentina were 16 percent, one percent and 12 percent, respectively. U.S. visitation from Venezuela was flat in 2009.
Oceania visitation was up two percent for the year and eight percent in December.
- Australia accounted for 83 percent of all visits from the region in 2009. Visits from Australia increased five percent in 2009 and grew ten percent in December.

Top Ports:
For 2009, arrivals through the top 15 ports of entry accounted for 85 percent of all overseas visits, up more than one percentage point than in 2008. The top three ports (New York JFK, Miami, and Los Angeles) accounted for 39 percent of all overseas arrivals, up one percentage point from 2008. Five of the top 15 ports posted an increase in arrivals for the year: Miami, Orlando (MCO), Houston, Philadelphia and Fort Lauderdale.

*Mexican visitation for December and fourth quarter reflect a count of travel to the ‘U.S. Interior’ only. The annual aggregate estimate of all Mexican travelers to the United States, received from Banco de Mexico, includes all travelers.

International Business Travelers and Tourists to Fund U.S. Marketing Campaign - {Travel Daily News}

2010-03-08T14:14:00.000-05:00

International Business Travelers and Tourists to Fund U.S. Marketing Campaign - {Travel Daily News}

Food For thought

2010-03-01T12:59:00.001-05:00

Oilfield Math

A 15 mpg clunker that travels 12,000 miles a year uses 800 gallons
of gas a year.

A 25 mpg vehicle that travels 12,000 miles a year uses 480 gallons
a year.

So, the average Cash for Clunkers transaction will reduce US
gasoline consumption by 320 gallons per year.

They claim 700,000 clunkers were turned-in, so that's 224 million
gallons saved per year..

That equates to a bit over 5 million barrels of oil.

5 million barrels is about 5 hours worth of US consumption.

More importantly, 5 million barrels of oil at $70 per barrel costs
about $350 million dollars

So, the government paid $3 billion of our tax dollars to save $350
million.

We spent $8.57 for every dollar we saved.

And we had to fight for the US Promotion ACT ?

boosting US Tourism while reducing security risk.

2010-02-17T12:59:00.002-05:00

This is a good video from Fox News and a great Communication from USTA

FITUR 2010 Video

2010-02-05T11:21:00.000-05:00

The ambassador to Spain for the USA

United raises baggage fees

2010-01-13T16:37:00.001-05:00

The grid below summarizes the checked baggage fees of the major North American airlines as of October 12, 2009. Individual policies are subject to change without notice and agents are advised to verify the policy directly with the airline at the time of booking for the most complete, up-to-date information. Unless stated, the fees listed are for coach class tickets. Most airlines provide exemptions for frequent flyer status and full fare passengers. Links to individual baggage policies are provided below. Online check-in refers to the customers pre-paying for their bags prior to getting to the airport. Airport check-in refers to the customers who do not pre-pay for their bags and check a bag at the airport. ASTA recommends that you include the following sample notice with passenger invoices if space permits:
CHECKED BAGGAGE POLICIES VARY BY AIRLINE, DESTINATION, FREQUENT FLYER STATUS, BOOKING CLASS, BAG SIZE AND WEIGHT. FEES MAY APPLY IF (1) YOU PLAN TO CHECK A BAG OR (2) YOU PLAN TO CARRY SPORTS EQUIPEMENT OR AN ODD-SHAPED ITEM OR (3) YOUR BAG EXCEEDS AIRLINE WEIGHT LIMITS.
Airline
1st Bag Fee
2nd Bag Fee (Each Way)
Applicable Area
(Each Way)
Air Canada
Domestic Canada
Air Canada
International
Free
Free
Free
Free
$30 CAD
$50 CAD
Travel within Canada and travel between Canada/the US and international (excluding Europe and Israel)
Travel between Canada and the US
Travel between Canada/the US and Europe or Israel
Air France
International
Free
$40- online check-in $50- airport check-in
US travel to/from Europe including Algeria, Morocco, and Tunisia
Air Tran
$15
$25
Systemwide
Alaska / Horizon
$15
$25
Domestic US
American
Domestic
American
International
$20
$15
Free
$30
$25
$50
US, Puerto Rico, and the US Virgin Islands
Flights within Canada or to/from Canada and the United States, the US Virgin Islands and Puerto Rico
US travel to/from: Europe and India
© ASTA 2009 IA-10122009
British Airways
International
Free
$48- online check-in $60- airport check-in
UK to all routes except UK Domestic and Europe
Continental
Domestic
Continental
International
$23- online check-in $25- airport check-in
Free
Free
$32- online check-in $35- airport check-in
$27- online check-in $30- airport check-in
$45- online check-in $50- airport check-in
First bag fee applies to 50 US, Puerto Rico, the US Virgin Islands and Canada
Travel between the 50 US, Puerto Rico, US Virgin Island, and Canada to Mexico, Central America, Caribbean, and South America (excluding Brazil)
Travel between Europe and 50 US states, Puerto Rico, US Virgin Islands, and Canada
Delta - Northwest Domestic
Delta - Northwest International
$23- online check-in $25- airport check-in
Free
Free
$32- online check-in $35- airport check-in
$25
$50
Within the US or to/from Puerto Rico, USVI, and Canada
Travel between US/Canada, Puerto Rico, US Virgin Islands to/from Bermuda and Latin America (Mexico, Caribbean, Central and South America, except Brazil)
Travel between the US and Europe
Frontier
$20
$30
Domestic
JetBlue
Free
$30
Systemwide
Spirit
$19- online check-in $25- airport check-in
$25 online or airport check-in
Systemwide
Southwest
Free
Free
Systemwide
United
Domestic
$20*- online check-in
$25*- airport check-in
*Ticketed on/after 1/14, Travel on/after 1/21
$30*- online check-in
$35*- airport check-in
*Ticketed on/after 1/14, Travel on/after 1/21
50 U.S., Canada, Puerto Rico and the U.S. Virgin Islands
© ASTA 2009
IA-10122009
United
International
Free $45- online check-in $50- airport check-in
Free $27- online check-in $30- airport check-in
Travel between US and Europe or India
Travel between US and Mexico or the Caribbean
US Airways
Domestic
US Airways
International
$20- online check-in $25- airport check-in
Free
$30- online check-in $35- airport check-in
$50- online check-in $55- airport check-in
U.S. to/from Canada, Latin America, the Caribbean
Transatlantic flights
Virgin America
$20
$20
Systemwide
Please contact us at askasta@asta.org if you have information requiring a change. The information in the chart is for general guidance only and ASTA is not liable for deviations that individual airlines may apply.
All rights reserved. No parts of this report may be reproduced or utilized in any form or by any means, electronic or mechanical, including photocopying, recording, or by any information storage and retrieval system, without permission in writing from the American Society of Travel Agents. This copyright protected document is provided for the exclusive use of ASTA travel agency members and their employees. Any transmission, re-transmission or copying of this document for use by others, including franchisees and their employees, independent contractors, and other non-agency business units is unlawful and prohibited.
© ASTA 2009 IA-10122009

'Green' hotels juggle conservation with customer service - washingtonpost.com

2010-01-13T15:47:00.000-05:00

'Green' hotels juggle conservation with customer service - washingtonpost.com

For some, hassles dim the appeal of air travel - USATODAY.com

2010-01-13T15:46:00.000-05:00

For some, hassles dim the appeal of air travel - USATODAY.com

Globalization and the Receptive RTO

2009-12-31T16:10:00.005-05:00

I wrote this article in August of 2000 and while it may need some updating it still holds true for the hotelier I constantly skim through the hotel marketers blogs and industry specific websites and they still cannot find a way to get around the "middleman" directly to the consumer. There is a way :)

Globalization and the Receptive Tour Operator

We have all heard the new buzzwords; Internet speed, Globalization, Corporate Internet strategies and more. But what do these words mean when strategies are applied without proper thought to their actual effects on existing business.

Yes, the Internet is reinventing the way many of us distribute our products, but it does not reinvent the way we market those products. That remains the domain of the sales and marketing folks who understand intimately the needs of their buyers.

The Internet is enabling the modern Receptive Tour Operator to distribute his services in a more cost-effective manner to an ever increasing number of potential clients. Potential new markets are being reached and serviced. We are all catching on! But, the Internet has also created a slew of new competition and, in many cases, unfair competition.

What does Globalization mean for Hotel Suppliers and Receptive Tour Operators alike? It means more research, more homework, more awareness, better planning and more intelligent contracting. Look before you leap!

In today’s Internet world, the Hotel Supplier who does not contract carefully will quickly lose control of his rate integrity. Why? Because the low net rate he wished to sell only to one international market will certainly surface in other international markets with the hotelier sacrificing potentially higher yields. This inevitably results in a lower ADR for the Hotel Supplier, the elimination for that Hotel Supplier of other viable Receptive Tour Operator partners, and eventually the proverbial all eggs in one basket and the risks associated with this position.

Today, when hotel Sales Departments decide which market should get what rate, yesterday’s reasoning no longer holds true. The Internet has changed all of this! The attractive rate meant for one market finds it’s way to another. The Hotel is full to the rafters, but revenues are inexplicably down. The Hotel Supplier did not create new business; it merely shifted higher rated business to the lower more attractive rate.

The hasty Hotel Supplier not only dilutes his potential revenue from other international markets, but also creates an imbalance in the marketplace. Viable and effective partners are eliminated. A friendly giant becomes a monolithic albatross dictating terms and pricing policy to the Hotel Supplier rather than the other way around. In the end, everyone is forced to follow suit or abandon that Hotel Supplier in order to compete. Before you give out that “UK only” rate, please remember it can quickly come back to haunt you through Latin America, Canada, Europe, the Orient, the Middle East, etc.

America was built on ingenuity and determination, but it also demands accountability. No bank would loan a startup unlimited access to cash without collateral, but Hotel suppliers to often seem to do this with no regard to capitalization or ability to pay.

I was once told that this is a great business, “You start with a 10 percent commission before you begin to sell anything”. This has changed, and dramatically. Commissions and margins have been greatly reduced by aggressive competition from new distribution channels. Our industry has grown and matured and will continue requiring brain trust and ingenuity, but most of all today, it requires the full attention of managers and strategist to develop a framework that will not break with the fall of 1 or 2 major operators. Sir Richard Branson's new book is compelling evidence of diversification and minimalism in business. Far better to have 100 clients that owe you a total of million, than 1 that owes you a million. So, I will leave you with a anecdote.

A client I had many years ago told me; "Listen I owe you the money, so the terms of payment will be dictated by me"

Industry Beware Marsans Spain and Air Comet are in the news

2009-12-30T10:36:00.000-05:00

Cierre de Air Comet
Manos Limpias denuncia a Díaz Ferrán por presunta estafa y delito societario

El colectivo Manos Limpias ha denunciado ante los tribunales al copropietario de Air Comet y consejero de Caja Madrid, Gerardo Díaz Ferrán, por la concesión supuestamente fraudulenta por parte de esta entidad financiera de un préstamo de 26,6 millones de euros a la aerolínea. También ha denunciado a su presidente Miguel Blesa.
La puedes encontrar completa en: http://noticias.terra.es/economia/2009/1229/actualidad/manos-limpias-denuncia-a-diaz-ferran-por-presunta-estafa-y-delito-societario.aspx

--------------------------------------------------------

Empresas mallorquinas pondrán en situación de prepago a viajes marsans
Empresas de Mallorca, tanto hoteleras como operadoras, se han visto afectadas, de forma indirecta, por el cierre de Air Comet, por lo que en estos momentos se están planteando poner en situación de prepago a Viajes Marsans, también del mismo grupo, ya que las deudas contraídas en la Isla ascienden a varias decenas de millones de euros.

Las empresas mallorquinas afectadas cuentan con pagarés del Grupo Marsans, que a la vista de lo que está sucediendo pueden tener graves problemas para hacerlos efectivos, motivo por el que optarían por poner en situación de prepago a Viajes Marsans, o lo que es lo mismo, dejar de trabajar con ellos.

La situación afecta tanto a hoteles radicados en Mallorca, como en el resto de España y el Caribe, sobre todo en este último destino. Viajes Marsans ha demorado los pagos a las empresas mallorquinas por falta de liquidez, tras la ayuda prestada por la minorista a la compañía aérea a lo largo de los últimos años.

Según informa mallorcadiario.com

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http://www.preferente.com/index.php/agencias-mainmenu-28/15-agencias/27258-viajes-marsans-vende-su-participacion-en-mundosenior-a-sus-socios.html

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..."la deuda de la aerolínea española que está en torno a 100 millones de euros (147 millones de dólares), incluyendo lo que debe a sus trabajadores y los más de 15 millones de euros (22 millones de dólares) que debe a la Seguridad Social"....

------------------------------------------------------------------------------------------------
22 de diciembre de 2009, 20h46
La aerolínea del grupo Marsans, suspendida por Fomento

La aerolínea española Air Comet, fundada en 1996 por el grupo Marsans, se ha quedado hoy sin licencia de vuelo después de que anunciara un concurso de acreedores y un expediente de regulación de empleo (ERE) de toda su plantilla.El Ministerio de Fomento ha suspendido hoy la licencia de vuelo de la aerolínea, mes y medio después de que abriera un expediente por insolvencia a la empresa propiedad de Gerardo Díaz Ferrán, presidente la CEOE y de su socio Gonzalo Pascual.Air Comet fue fundada en 1996 por el Grupo Marsans, primer grupo empresarial del sector turístico en España propiedad de Díaz Ferrán y Pascual.La Compañía Air Plus Comet creó con capital privado, para intentar dar servicio a los principales touroperadores del grupo, Club de Vacaciones y Pullmantur.
La aerolínea española Air Comet, fundada en 1996 por el grupo Marsans, se ha quedado hoy sin licencia de vuelo después de que anunciara un concurso de acreedores y un expediente de regulación de empleo (ERE) de toda su plantilla.

El Ministerio de Fomento ha suspendido hoy la licencia de vuelo de la aerolínea, mes y medio después de que abriera un expediente por insolvencia a la empresa propiedad de Gerardo Díaz Ferrán, presidente la CEOE y de su socio Gonzalo Pascual.

Air Comet fue fundada en 1996 por el Grupo Marsans, primer grupo empresarial del sector turístico en España propiedad de Díaz Ferrán y Pascual.

La Compañía Air Plus Comet creó con capital privado, para intentar dar servicio a los principales touroperadores del grupo, Club de Vacaciones y Pullmantur. Después amplió su espectro con otros touroperadores nacionales e internacionales.

Desde que comenzó sus operaciones de vuelo, en marzo de 1997, Air Comet ha realizado vuelos chárter a diversos destinos.

En marzo de 2004, Air Plus Comet puso en marcha sus vuelos regulares a Lima, Bogotá, Santo Domingo, Nueva York, Londres, París y Roma.

Meses después amplió su red de rutas regulares de código compartido con Aerolíneas Argentinas, desde España hacia el resto de Europa, y con AeroRepública en vuelos nacionales dentro de Colombia. En 2004, también se creó en Chile, Aerolíneas del Sur, compañía de cabotaje interno.

Posteriormente cobraron importancia los vuelos regulares, que en los años siguientes, aumentaron sus operaciones. Después de que se llevaran a cabo varios cambios en la compañía, se implantó en 2007 una nueva imagen y marca corporativa y la empresa pasó a denominarse Air Comet.

Air Comet continuó su expansión y amplió su presencia especialmente en Latinoamérica, incorporando nuevos destinos y frecuencias tanto en vuelos regulares como en vuelos chárter.

Hasta hoy, Air Comet contaba con vuelos regulares a Buenos Aires, Lima, Guayaquil, Quito, Bogotá, La Habana, Cancún, México DF.

La empresa anunció este lunes que presentará el 22 de diciembre un ERE que afectará a los 640 trabajadores de su plantilla.

Además, presentará un concurso voluntario de acreedores para afrontar su deuda derivada del embargo de su flota de 13 aviones, dictada por un juez británico ante el impago de un crédito de 25 millones de dólares (17,2 millones de euros) reclamado por el banco alemán Nord Bank.

Se estima que las deudas de Air Comet ascienden a cien millones de euros, sumando los sueldos que la plantilla tiene pendientes de cobrar (unos 2,5 millones de euros), lo que debe a la Seguridad Social (unos 16 millones de euros) y otros préstamos contraídos, según fuentes sindicales.

El juez británico prohibió a Air Comet la venta de billetes desde el pasado viernes y ordenó paralizar sus aviones, lo que se llevó a efecto el 21 de diciembre.

Sin embargo, en su página web se mantiene todavía una promoción para volar en enero, febrero y marzo a Buenos Aires, Quito, La Habana, Bogotá o Lima, aunque a la hora de reservar se informa de que no hay vuelos disponibles.

Debido a la cancelación de estos vuelos, unos 1.500 pasajeros diarios se verán afectados durante las próximas semanas

Confidence in Tourism Sector Gradually picking Up

2009-12-30T09:53:00.001-05:00

Confidence in Tourism Sector Gradually picking Up
Madrid, Spain, 6 November 2009

The decline in international tourism may have started to bottom out, according to the latest edition of the UNWTO World Tourism Barometer. Worldwide, international tourist arrivals declined by 7% between January and August 2009, but the rate of decline has eased in the past few months. These results, as well as the most recent economic data, confirm UNWTO's initial forecast of a 5% decline in international tourist arrivals for the full year 2009. For 2010, UNWTO expects a moderate growth.

Decline in international tourism easing in recent months

International tourist arrivals worldwide are estimated to have declined by 7% between January and August 2009. Destinations worldwide recorded a total of 600 million arrivals, down from 643 million in the same period of 2008.

Nevertheless, the downward trend that started in September last year may have begun to bottom out. Arrivals in the two high-season months of July and August declined by 3% compared with a decrease of 8% in the first half of the year, and data available for September points to a continuation of this upward trend.

The UNWTO Confidence Index is also improving after two periods at a historic low. The more than 330 experts surveyed worldwide by UNWTO confirm that confidence is picking up. In the latest survey, the percentage of experts with a negative outlook for the next four months has decreased from 62% to 42% while, for 30% of experts, prospects are 'equal', and for 28% they are 'better' or 'much better'.

“Throughout this year, the world’s tourism industry was faced with a large number of challenges, led by the global economic crisis, the credit crunch and rising unemployment, not to mention the influenza pandemic. Seldom in recorded tourism history has the industry had to contend with so many different issues at the same time,” said UNWTO Secretary-General a.i. Taleb Rifai. “However, the negative trend that emerged during the second half of 2008 and intensified in 2009 is starting to show signs of receding," he added.

Tourism earnings suffer somewhat more than arrivals

Within the aim of offering closer market monitoring during these challenging times, this is the first time UNWTO presents an estimate on international tourism receipts for the current year.

As experienced in previous crises, tourism earnings have suffered somewhat more than arrivals as consumers tend to trade down, stay closer to home and travel for shorter periods of time. Receipts from international tourism are estimated to have contracted in real terms by 9% to 10% in the first six months of 2009, i.e. 1 to 2 percentage points below the decline in international arrivals during that period (-8%).

Regional panorama

Results for the first eight months of 2009 show that international tourist arrivals declined in all world regions, except in Africa, which bucked the global trend. Europe, the Middle East and the Americas were the hardest hit:
In Europe (-8%), destinations in Central and Eastern Europe were the most affected, but results for all other subregions were close to the average.
Asia and the Pacific (-5%) shows the clearest signs of improvement with growth already positive in August driven by the encouraging results of North-East Asia.
In the Americas (-7%) there are still no clear signs of a reversal in the current decline trend. Growth continued to be fairly negative during the second quarter as well as in the months of July and August. South America has shown the best performance so far (-1%).
The Middle East (-8%), though still well down on the growth levels of previous years, already saw a shift to positive growth between June and September (data for the region is fairly volatile due to the influence of major religious events in tourism flows).
Africa's growth (+4%) was very positive given the current difficult environment.

Moderate recovery forecast for 2010

The softening in the rate of decline seen in the last months is expected to continue during the remainder of the year. As this is in line with the UNWTO’s initial projection, for the full year the forecast for international tourist arrivals is maintained at between -6% to -4%.

Given the high level of correlation between arrivals’ and receipts’ growth, for the whole of 2009 receipts are expected to decrease by 6 to 8%.

UNWTO’s initial forecast for 2010 indicates that international tourist arrivals are likely to witness a moderate recovery next year, with growth at +1% to +3%. This outlook reflects the gradual improvement of international tourism figures in recent months, as well as the better-than-expected economic indicators in some major source markets.

Asia will show the strongest rebound, while Europe and the Americas will probably take longer to recover. Africa is forecast to continue in positive territory as in 2009, with an extra boost from the 2010 FIFA World Cup in South Africa. Growth is also expected to return to the Middle East.

The end of the recession in a number of key markets is welcome news. But 2010 will still be a difficult year. The risks associated with the A(H1N1) influenza virus remain on the horizon and the pace of economic recovery is expected to be modest. The IMF projects economic growth worldwide at +3.1%, but this will still be fairly sluggish for advanced economies (+1.3%) and stronger for emerging ones (+5.1%). Unemployment, as a lagging indicator, is still expected to increase in many countries this year and throughout 2010. Stimulus measures are likely to be phased out and, in a number of advanced economies, potential increases in taxation may put extra pressure on household budgets. On the positive side, consumer confidence is giving signs of picking up, and interest rates and inflation are expected to remain at low levels.

Note: These results, as well as the outcome of the UNWTO Minister’s Summit on 'The Roadmap for Recovery: Sustainable
Tourism in Challenging Times', will be presented in detail during the UNWTO Press Conference to be held at the World Travel Market on November 10 2009 at 16.00 (Press Room 6 / Level 2 at ExCeL).

For more information:
Excerpt of the UNWTO World Tourism Barometer available for free download at http://unwto.org/facts/eng/barometer.htm
Information on the Minister’s Summit www.unwto.org/wtm.php?lang=E

PR09050

La confianza en el sector turístico se recupera gradualmente
Madrid (España), 10 de noviembre de 2009 - El declive del turismo internacional podría haber empezado a tocar fondo, según la última edición del Barómetro OMT del Turismo Mundial. En todo el mundo, las llegadas de turistas internacionales se redujeron en un 7% entre enero y agosto de 2009, aunque el ritmo del descenso se moderó en los últimos meses. Estos resultados, al igual que los datos económicos más recientes, confirman la previsión inicial de la OMT de un descenso del 5% en las llegadas de turistas internacionales para el año 2009 en su conjunto. Para 2010, la OMT espera un crecimiento moderado.

EL DECLIVE DEL TURISMO INTERNACIONAL SE MODERA EN LOS ÚLTIMOS MESES

Se estima que las llegadas de turistas internacionales en el mundo se redujeron un 7% entre enero y agosto de 2009. Los destinos mundiales registraron un total de 600 millones de llegadas, frente a los 643 millones registrados en el mismo periodo de 2008.

No obstante, la tendencia a la baja iniciada en septiembre del pasado año parece haber empezado a tocar fondo. Las llegadas en los dos meses de temporada alta, julio y agosto, se redujeron en un 3% frente al descenso del 8% de la primera mitad del año, y los datos disponibles para septiembre señalan la continuación de esta tendencia al alza.

El índice de confianza de la OMT también muestra mejorías después de dos periodos de mínimos históricos. Los más de 330 expertos de todo el mundo encuestados por la OMT confirman que la confianza se está recuperando. En la última encuesta, el porcentaje de expertos con perspectivas negativas para los cuatro meses siguientes ha descendido del 62% al 42%, mientras que para el 30% de los expertos las perspectivas son iguales y para el 28% son mejores o mucho mejores.

«Durante todo este año, el sector turístico mundial ha hecho frente a un gran número de retos, encabezados por la crisis económica mundial, la contracción del crédito y el aumento del desempleo, por no mencionar la pandemia de gripe. Pocas veces en la historia conocida del turismo ha tenido que luchar el sector en tantos frentes a un tiempo», afirmó el Secretario General de la OMT en funciones, Taleb Rifai. «Sin embargo, la tendencia negativa surgida durante la segunda mitad de 2008 e intensificada en 2009 empieza a dar señales de retirada», agregó.

LOS INGRESOS DEL TURISMO SUFREN ALGO MÁS QUE LAS LLEGADAS

Con el fin de ofrecer un seguimiento más cercano del mercado en estos tiempos difíciles, la OMT presenta por vez primera una estimación de los ingresos por turismo internacional para el año en curso.

Al igual que en crisis precedentes, los ingresos del turismo han sufrido en cierto modo más que las llegadas, ya que los consumidores tienden a buscar los precios más bajos, a quedarse más cerca de sus casas y viajar por periodos de tiempo más breves. Se estima que los ingresos por turismo internacional se han reducido en términos reales entre un 9% y un 10% en los seis primeros meses de 2009, es decir, 1 o 2 puntos porcentuales más que el descenso de las llegadas internacionales durante ese periodo (-8%).

PANORAMA REGIONAL

Los resultados para los ocho primeros meses de 2009 muestra que las llegadas de turistas internacionales se redujeron en todas las regiones del mundo, excepto en África, que resistió a la tendencia mundial. Europa, Oriente Medio y las Américas se llevaron la peor parte.

- En Europa (-8%), los destinos de Europa Central y Oriental fueron los más afectados, pero los resultados para todas las demás subregiones estuvieron cerca de la media.
- Asia y el Pacífico (-5%) muestra los signos más claros de mejora con un crecimiento positivo ya en agosto, impulsado por los alentadores resultados del Noreste Asiático.
- En las Américas (-7%) no hay todavía señales claras de que se esté invirtiendo la actual tendencia a la baja. El crecimiento siguió siendo negativo durante el segundo trimestre, así como en los meses de julio y agosto. América del Sur arroja los mejores resultados por el momento (-1%).
- Oriente Medio (-8%), aunque aún muy por debajo de los niveles de crecimiento de los últimos años, ha visto ya un cambio al crecimiento positivo entre junio y septiembre (aunque los datos de la región son muy variables por la influencia de los grandes eventos religiosos en los movimientos turísticos).
- El crecimiento de África (+4%) fue muy positivo teniendo en cuenta el difícil entorno actual.

PREVISIÓN DE RECUPERACIÓN MODERADA PARA 2010

La previsión es que la moderación de la tasa de declive observada en los pasados meses continúe en lo que queda del año. Dado que coincide con el pronóstico inicial de la OMT, la previsión para el año en su conjunto es que las llegadas de turistas internacionales mantengan un descenso de entre el -6% y el -4%.

Teniendo en cuenta el alto grado de correlación entre el aumento de las llegadas y el de los ingresos, cabe prever que en 2009 los ingresos disminuyan entre un 6% y un 8%.

La previsión inicial de la OMT para 2010 indica que las llegadas de turistas internacionales podrían registrar una recuperación moderada en el próximo año, con un crecimiento de entre el +1% y el +3%. Este pronóstico se basa en la mejora gradual de las cifras del turismo internacional en los últimos meses, así como en la presencia de unos indicadores económicos mejores de lo esperado en algunos grandes mercados emisores.

Asia experimentará la recuperación más notable, mientras que Europa y las Américas tardarán más seguramente en recuperarse. En cuanto a África, se prevé que continúe en cifras positivas en 2009, con el impulso adicional de la Copa Mundial de la FIFA 2010 en Sudáfrica. También se espera que se reanude el crecimiento en Oriente Medio.

El fin de la recesión en algunos mercados clave es una buena noticia. Sin embargo, 2010 será aún un año difícil. Los riesgos asociados a la gripe A(H1N1) siguen en el horizonte y el ritmo de la recuperación económica será probablemente modesto. El FMI prevé un crecimiento económico mundial del +3,1%, que será bastante endeble para las economías avanzadas (+1,3%) y más fuerte en las emergentes (+5,1%). Las estimaciones apuntan también a que el desempleo, un indicador retardado, aumentará aún en muchos países este año y durante 2010. Es probable que las medidas de estímulo vayan retirándose paulatinamente y, en algunas economías avanzadas, los posibles aumentos de los impuestos pueden representar una presión adicional para los presupuestos familiares. En el lado positivo, la confianza de los consumidores está dando señales de recuperarse y los tipos de interés y la inflación se mantendrán, según las previsiones, a niveles bajos.

Nota: Estos resultados, así como los dimanados de la Cumbre de Ministros de la OMT sobre «La hoja de ruta para la recuperación: turismo sostenible en tiempos difíciles», se presentarán en detalle durante la conferencia de prensa que celebrará la OMT en el World Travel Market de Londres el 10 de noviembre de 2009 a las 16.00 horas (Press Room 6 / Level 2 at ExCeL).

Para más información:

- Extracto en ingles Barómetro OMT del Turismo Mundial: descarga gratuita en http://unwto.org/facts/eng/barometer.htm
- Información sobre la Cumbre de Ministros: www.unwto.org/wtm.php?lang=E

Información de contacto:

Subsecretario General & Portavoz: Geoffrey Lipman
Responsable de Medios de Comunicación: Marcelo Risi

International Visitors spend less in 09

2009-09-28T10:21:00.001-04:00

TI News: An information service from Office of Travel & Tourism Industries (OTTI)

September 28, 2009

International Visitor Spending in the United States Down Sharply in July
U.S. travel and tourism-related exports decline for ninth consecutive month

The U.S. Department of Commerce recently announced that international visitors spent an estimated $9.6 billion on travel to, and tourism-related activities within, the United States during the month of July—nearly 24% less than visitors spent during July 2008.

Travel Receipts: Purchases of travel and tourism-related goods and services by international visitors traveling in the United States totaled $7.5 billion for the month, a decrease of more than 23% when compared to last year. These goods and services include food, lodging, recreation, gifts, entertainment, local transportation in the United States, and other items incidental to foreign travel.
Passenger Fare Receipts: Fares received by U.S. carriers (and U.S. vessel operators) from international visitors decreased more than 26% to $2.1 billion for the month, the lowest level in more than two years.

July 2009 marks the ninth straight month in which U.S. travel and tourism-related exports were lower when compared to the same period of the previous year, having declined in November 2008 (-4%), December 2008 (-2%), January 2009 (-6%), February 2009 (-10%), March 2009 (-18%), April 2009 (-14%), May 2009 (-23%), June 2009 (-22%), and July (-24%).

Monthly Travel and Tourism Highlights

Year-to-date (January–July) U.S. travel and tourism-related exports totaled $69.2 billion, down nearly 17% ($13.9 billion) when compared to 2008.
International visitors are not the only ones who have curtailed their spending; in fact, year-to-date U.S. travel and tourism-related imports—spending by Americans abroad— totaled $57.5 billion, down nearly 13% ($8.3 billion) when compared to last year.
The U.S. travel and tourism industry has generated an $11.7 billion trade surplus (i.e., exports minus imports) year to date, nearly $5.7 billion less favorable than the same period last year.
The recent downturn in U.S. travel and tourism exports, beginning in the closing months of 2008, interrupted more than sixty consecutive months of positive growth.

Total U.S. Travel and Tourism Exports = Travel Receipts + Passenger Fares Receipts
Source: U.S. Department of Commerce, Bureau of Economic Analysis, September 2009.

The U.S. Office of Travel and Tourism Industries (OTTI) is responsible for collecting, analyzing, and disseminating international travel and tourism statistics for the U.S. Travel and Tourism Statistical System. For more information relating to OTTI programs, please visit: <http://tinet.ita.doc.gov/research/index.html>.

For more monthly travel and tourism-related trade data dating back to 1992, please visit:

<http://tinet.ita.doc.gov/outreachpages/download_data_table/Monthly_Exports_Imports_Balance.xls>.

You can update or cancel your subscription at any time by clicking here. All you will need are your e-mail address and your password (if you have selected one).

This service is provided free of charge by: Office of Travel and Tourism Industries.

P.S. If you have any questions or problems please contact Tinet_Info@ita.doc.gov for assistance.

GovDelivery, Inc. sending on behalf of the International Trade Administration · 1401 Constitution Avenue NW · Washington, DC 20230 · (202) 482-3809

2009 is a Year of Change for Travel Search Marketing

2009-08-04T11:45:00.001-04:00

By Elisabeth Osmeloski, Search Engine Watch, Jan 30, 2009

Related Reading
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search marketing consulting business - search engine strategies san jose - mcenery convention center - changing algorithms
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The economy is forcing travel search marketers to change the way they approach online marketing. The travel vertical is already one of the most advanced groups of search marketers, but the industry has been under more pressure in recent months to make their campaigns count. With business travel tanking, leisure travelers looking for deals, shrinking marketing budgets, and tougher competition than ever, the stakes are even higher.
At this year's SES New York, there are changes, too. A special vertical track has been added, with a session designed purely for travel search marketers facing the challenges of today's tough economy.
Last time, I gave "5 Tips for Travel Search Marketing in a Down Economy." The SES NY session will be somewhat of an extension of that article, focusing on four key areas: organic SEO, smart SEM, social media, and local/mobile optimization.
Leading up to SES New York, we'll explore each area individually here, and talk about what must change for travel marketers in 2009. Today, we'll start by looking at renewing and revitalizing your organic presence.
Revisit the Basics
You might think you have a handle on your target keywords, but in this economic environment, what your target travelers are looking for may have changed. Relax, it doesn't necessarily mean that you have to change your keyword focus to "cheap hotels," "discount airfare/cruises," or "travel deals," but you may discover new areas of opportunity or searchers looking for value. Package deals, inclusive prices, and special offers may be something you haven't optimized your content around before.
It's also difficult to take a risk changing any of your title tags, page names, headings, and so forth if you're already ranking reasonably well. But you could be leaving some traffic on the table if you aren't including location data appropriately, or capitalizing on related searches (e.g., "lodging near any National Park/attraction" or "things to do in anytown, USA"). It's an opportunity to create new pages and internal links targeted at these specific searches.
If successful, you may start experimenting by folding these concepts into your main pages, or just go for it and add to them now. You can always change it back if it doesn't work.
Make sure you're using all the tools you have available to work efficiently and effectively. Google Webmaster Tools, Yahoo Site Explorer, and Microsoft Webmaster Center make it easy for smaller travel businesses to succeed in organic search, and put you on a level playing field with the big guns.
No Links Left Behind
Revisiting older mentions of your travel-related business to request URLs be live-linked, or enhanced with more specific keyword text is a must-do. The only thing it costs is time.
As more traditional travel media outlets update their online content, they're also starting to learn about the importance of SEO, so they're more willing to listen to suggestions. You might also leverage your advertising power here, negotiate for changes on older listings, or increase your visibility on already well-performing pages.
Building relationships with up-and-coming travel bloggers/Twitterers, local area news outlets, and specialty organizations are a source of high quality links and word-of-mouth traffic, all of which leads to more mentions, and more links.
Track, Test, and Tune
Sounds like an auto race, doesn't it? You can't lead a field of cars without taking a few practice laps and dialing in all aspects of your vehicle. You'll need the right suspension setup (positioning your product in the travel marketplace), gear ratio (converting traffic to customers) and four well-performing tires (measuring all campaigns/platforms to ensure they're working together).
Sure, you might crash and burn in a couple of races when you take risks, but you'll learn from those mistakes, and drive forward. After all, winning championships is all about consistent performance.
Next time, I'll write a little more about the challenges and opportunities that await travel search marketers in paid advertising campaigns. I'd also love a little feedback from readers about the biggest travel marketing challenges you have in this economy, so we can address those issues in future columns and at upcoming conferences.

TI News: An information service from Office of Travel & Tourism Industries (OTTI) - "Welcome to the United States" Webinar: Updates for Industry on Travel from Latin America

2009-07-30T14:24:00.001-04:00

TI News: An information service from Office of Travel & Tourism Industries (OTTI)

July 30, 2009

“Welcome to the United States” Webinar: Updates for Industry on Travel from Latin America

Take advantage of this valuable opportunity to prepare your customers and update your colleagues! Join representatives from across the U.S. government for a free Webinar on the latest U.S. border security requirements for travelers from South America, Central America and the Caribbean.

From visa issuance and inbound market statistics to the deployment of 10-fingerprint collection and the status of biometric exit procedures, this briefing will provide the information you need to ensure your travelers are prepared for their trip to the United States. Here’s your chance to ask questions... Access educational resources…Learn the latest updates on U.S. border security requirements.

WHEN:
Tuesday, August 4, 2009

United States:
1:00 p.m. (EDT)
12:00 noon (CDT)
11:00 a.m. (MDT)
10:00 a.m. (PDT)

Latin America and the Caribbean:
11:00 a.m.
Belize
Costa Rica
El Salvador
Guatemala

11:00 a.m.
Honduras
Nicaragua

12:00 noon
Colombia
Ecuador
Haiti
Jamaica
Panama
Peru

12:30 p.m.
Venezuela

1:00 p.m.
Antigua and Barbuda
Aruba
Bahamas
Barbados
Bolivia
Brazil (Manaus)
Chile
Dominica
Dominican Republic
Grenada
Guyana
Paraguay
Saint Kitts and Nevis

1:00 p.m.
Saint Lucia
Saint Vincent and the Grenadines
Trinidad and Tobago

2:00 p.m.
Argentina
Brazil (Sao Paulo)
French Guiana
Suriname
Uruguay

RSVP:
To receive an e-mail with a link to the Webinar sign-up and dial-in instructions, please send your name, title, organization, address, telephone and fax numbers to rsvp.webinar@dhsbiometrics.com by 6:00 p.m. EDT on August 3, 2009 in the United States.

Please note that submission of contact information is not required for Webinar participation. Your contact information will be used to provide you with future updates on travel to the United States.

Note: Webinar technology allows you to participate from any location. All that is required is a phone line and computer with Internet access. All participants will receive a link to a recorded version of the program following the presentation.

Questions? Please contact Annalisa Meyer at annalisa.meyer@fleishman.com

You can update or cancel your subscription at any time by clicking here. All you will need are your e-mail address and your password (if you have selected one).

This service is provided free of charge by: Office of Travel and Tourism Industries.

P.S. If you have any questions or problems please contact Tinet_Info@ita.doc.gov for assistance.

GovDelivery, Inc. sending on behalf of the International Trade Administration · 1401 Constitution Avenue NW · Washington, DC 20230 · (202) 482-3809

From Las Vegas Sun: Bill introduced to end government tourism blacklist

2009-07-29T13:08:00.003-04:00

Bill introduced to end government tourism blacklist:

U.S. Sen. Bill Nelson of Florida has filed two bills that would make it unlawful for federal agencies to blacklist certain cities as sites for conferences just because they're popular resort destinations. Read More........

TI News: An information service from Office of Travel & Tourism Industries (OTTI) - International Visitation Down 12 Percent in May 2009 Spending: $9.5 Billion in May, $50.1 Billion in First Five Months - Year-to-Date Arrivals 10 Percent Below Last Ye

2009-07-29T11:10:00.001-04:00

TI News: An information service from Office of Travel & Tourism Industries (OTTI)

July 29, 2009

INTERNATIONAL VISITATION DOWN 12 PERCENT IN MAY 2009
SPENDING: $9.5 BILLION IN MAY, $50.1 BILLION IN FIRST FIVE MONTHS

Year-to-Date Arrivals 10 Percent Below Last Year

The U.S. Department of Commerce announces that 3.8 million international visitors traveled to the United States in May 2009, a decrease of 12 percent compared to May 2008.& Total visitation in the first five months of 2009 was down 10 percent compared to the same period 2008. International visitors spent $9.5 billion during the month, 22 percent less than visitors spent in May 2008. May 2009 marks the seventh consecutive month of decreases in international visitors spending. In the first five months 2009, visitors spent $50.1 billion, down more than 14 percent from the same period in 2008.

For more monthly visitor spending data, please visit:
<http://tinet.ita.doc.gov/outreachpages/download_data_table/Monthly_Exports_Imports_Balance.xls>.

Highlights^{(1) (2)}

Canada and Mexico

In May 2009, Canadian visitation declined six percent compared to May 2008. Measured by mode, land arrivals (1 million) decreased four percent and air arrivals (478,000) decreased 12 percent. In the first five months 2009, visitation from Canada decreased eight percent, with land arrivals (4.1 million) down eight percent and air arrivals (2.9 million) down nine percent.
Visitation from Mexico (traveling to interior U.S. points) totaled 401,000, down 22 percent in May 2009. For the month, land arrivals (309,000) decreased 17 percent and air arrivals (90,000) decreased 37 percent. Overall, traffic for the first five months 2009 was down 16 percent with land arrivals (1.6 million) down 12 percent and air arrivals (503,000) down 24 percent.

Overseas (excluding Canada and Mexico)

Overseas visitation decreased 14 percent in May 2009 and dropped 10 percent year-to-date.

Top 20 Countries

In May 2009, of the top 20 countries 19 posted decreases in visitation to the United States, with visitation from 12 countries declining at double-digit growth rates.
In the first five months of 2009, 16 of the top 20 countries posted decreases in visitation to the United States, with visitation from eight countries declining at double-digit growth rates.

To access the 2009 monthly arrivals data for Canada and Mexico; Overseas; and the Top 20 Countries, please visit
http://tinet.ita.doc.gov/view/m-2009-I-001/index.html

OVERSEAS VISITATION

U.S. visitation from the 27 European Union countries declined nine percent in May 2009 and dropped 12 percent from the first five months of 2008.
U.S. visits from Western Europe, 935,000 visitors, accounting for 49 percent of all overseas arrivals, were down 10 percent in May 2009. Year-to-date, arrivals decreased 12 percent and accounted for 46 percent of all overseas visitors.

U.S. visits from the United Kingdom, 340,000 visitors, were down 11 percent in May 2009. Year-to-date, visitation from the United Kingdom dropped 19 percent. For the month and year-to-date, visitors from the United Kingdom accounted for 36 percent of all Western European arrivals.
German visits were down eight percent for the month and also down eight percent year-to-date. At the same time, French arrivals decreased one percent in May 2009 and grew one percent for the year.
Italian visitation was down one percent in May 2009, and down two percent year-to-date. Visitors from the Netherlands were down 14 percent for the month and down 12 percent for the year. Spanish visits decreased 12 percent in May 2009, and decreased eight percent in the first five months.
Visitation from Ireland decreased 31 percent for the month, and was down 18 percent for the year. Visitors from Sweden and Switzerland were down 22 percent and up five percent, respectively, for the month. In the first five months, visits from Sweden decreased 18 percent while visits from Switzerland were flat.
Eastern European visits were up five percent for the month, and up one percent for the year. Russian visitation increased 14 percent for the month, and was up one percent for the year.
Visitation from Asia decreased 27 percent in May 2009 and 15 percent in the first five months of 2009.

Japanese visits were 32 percent below the May 2008 visitor levels, and down 14 percent in the first five months of 2009. Japan accounted for 42 percent of all Asian visitors for the month and 53 percent of Asian visitors in the first five months 2009.
In May 2009, visitation from South Korea and India declined 19 percent and 13 percent, respectively. Year-to-date, arrivals from South Korea and India declined 18 percent and 14 percent, respectively. In May 2009, arrivals from the People’s Republic of China were down 27 percent and were down one percent for the year.
Taiwanese visitation dropped 29 percent for the month and was down 22 percent year-to-date.

U.S. visitation from South America decreased nine percent in May 2009 and increased one percent in the first five months of 2009.

Brazilian visitation was down eight percent for the month and up seven percent in the first five months. Brazil is the top visitation market from South America; and in the first five months of 2009 accounted for 33 percent of visits from the region. U.S. visits from Argentina decreased three percent in May 2009 and grew nine percent for the year.
U.S. visitation from Venezuela decreased 14 percent in May 2009 and declined six percent for the year. Colombian visits decreased 10 percent for the month and dropped six percent year-to-date.

Central American visits decreased 14 percent in May 2009 bringing it to a seven percent decline for the year.
U.S. visitation from the Caribbean decreased 12 percent in May 2009 and dropped six percent for the year.

Visitation from the Dominican Republic, the top visitation market from the Caribbean region, decreased 14 percent in May 2009 and declined 12 percent for the year.
In May 2009, there was a 9 percent decrease in visits from the Bahamas. However, year-to-date, visits were still up 19 percent.

Travel from Oceania decreased two percent in May 2009 and decreased eight percent year-to-date.

Australia was flat for the month and registered a seven percent decrease year-to-date. Australia accounted for 83 percent of all visits from Oceania in the first five months of 2009.

U.S. visitation from the Middle East decreased 11 percent in May 2009 and was down five percent year-to-date.

Israeli visitation to the United States decreased 20 percent in May 2009 and dropped 11 percent year-to-date.

U.S. visitation from Africa decreased nine percent in May 2009 and for the first five months of 2008.

To access the 2009 monthly arrivals data for world regions and top markets, visit
http://tinet.ita.doc.gov/view/m-2009-I-001/index.html

TOP PORTS: Year-to-Date May 2009

In the first five months of 2009, overseas visits (excluding Canada and Mexico) dropped 10 percent. Visitation through the top 15 ports of entry accounted for 86 percent of all overseas visits, almost one percentage-point higher than last year.

The top three ports of entry (New York JFK, Miami and Los Angeles) accounted for 40 percent of all overseas arrivals, up over one percentage-point from the first five months of 2008.

Twelve of the top fifteen ports posted decreases in arrivals in the first five months of 2009. Arrivals decreased by double digits through six of the ports. Miami, Orlando (MCO) and Philadelphia are the only ports in the top 15 ports that posted an increase.

In the first five months of 2009, visitation through San Francisco decreased 18 percent, moving it into sixth position behind Honolulu. Travel through Agana, Guam decreased nine percent, dropping it behind Chicago into eighth position. With arrivals through Detroit decreasing 32 percent, this port moved into fifteenth position behind Boston and Philadelphia.

To access top port activity, go to the OTTI monthly arrivals page above and scroll down the page until you see the yellow title bar entitled: 2009 Monthly Top Airports for Overseas Non-Resident Arrivals. Click on the Excel file to view the monthly port figures.

Arrivals to the United States by port-of-entry are tracked on a monthly basis. The U.S. Department of Commerce has arrival data on more than 40 U.S. ports-of-entry from all world regions and 30 countries, with a brief analysis presented on the top 15 ports for overseas arrivals in 2009.

SOURCE:

The monthly Summary of International Travel to the U.S. report has approximately 30 tables that provide data on monthly and year-to-date arrivals to the United States. The report provides data on approximately 90 countries each month and more than 40 ports of entry. Numerous breakouts are provided by world region and country for the port tables as well.

To find out more about this program, please go to:
http://www.tinet.ita.doc.gov/research/programs/i94/index.html

If you would like to subscribe to the monthly international arrivals reports, please go to:
http://www.tinet.ita.doc.gov/research/reports/i94/index.html

U.S. Department of Commerce, International Trade Administration
Office of Travel and Tourism Industries (OTTI)
1401 Constitution Avenue N.W., Room 1003
Washington, D.C. 20230
Phone: (202) 482-0140, Fax: (202) 482-2887
http://www.tinet.ita.doc.gov/
Email: tinet_info@ita.doc.gov

¹Throughout this report, percent changes posted for May 2009 were calculated by comparing data in May 2009 to data in May 2008. Also, percent changes posted for year-to-date 2009 were calculated by comparing data January - May 2009 to data January - May 2008.

²The U.S. Department of Commerce complies with the UN World Tourism Organization (WTO) standard definition and class of international travelers when reporting monthly and annual arrivals data. This standard excludes all day-trippers from any of the counts/estimates, including those from Canada and Mexico. Also, OTTI has included non-immigrant visa types ‘E’ treaty trader or investor and “I” representatives of foreign information media into the counts to more accurately reflects business visitation.

You can update or cancel your subscription at any time by clicking here. All you will need are your e-mail address and your password (if you have selected one).

This service is provided free of charge by: Office of Travel and Tourism Industries.

P.S. If you have any questions or problems please contact Tinet_Info@ita.doc.gov for assistance.

GovDelivery, Inc. sending on behalf of the International Trade Administration · 1401 Constitution Avenue NW · Washington, DC 20230 · (202) 482-3809

MediaPost.com Article: Hotels.com Trademark Appeal Sent Packing

2009-07-28T17:28:00.001-04:00

source mediapost.com

Hotels.com Trademark Appeal Sent Packing
Wendy Davis

A federal appeals court has ruled that the term "Hotels.com" can't be trademarked because "hotels" is too generic.

The hotel information and booking site Hotels.com had argued that even if the word "hotels" is generic, adding a dot-com to it resulted in a term that should be given trademark protection.

But the U.S. Court of Appeals for the federal circuit disagreed. "The generic term 'hotels' did not lose its generic character by placement in the domain name Hotels.Com," the court wrote in a decision issued Thursday. The ruling upheld an earlier determination by the Trademark Trial and Appeal Board of the U.S. Patent and Trademark Office.

Last year, that board said it was not persuaded by Hotels.com's evidence that consumers viewed the domain name as associated with the company. Hotels.com had presented a survey showing that 76% of 277 respondents viewed Hotels.com as a brand name.

But the board found fault with that study, concluding that "the survey design did not adequately reflect the difference between a brand name and a domain name," according to the appellate opinion.

Among other potential effects of the appellate ruling, it means that Hotels.com would likely have a difficult time suing when other companies use the term "hotels.com" to trigger ads on Google or other search engines.

On Friday, a Google search for "hotels.com" yielded pay-per-click ads for the site itself as well as Travelocity, Priceline and others.

2009-07-28T12:20:00.001-04:00

My earlier post seems to be right on ASTA has now taken up against the NYC 2009 Budget which includes the taxing of hotel remarketers!

CALL TO ACTION

The city of New York's newly enacted budget may have an effect on you by taxing the commissions earned on hotel rooms in New York. While this will probably not affect New Jersey & Hudson Valley agencies to a large extent, it sets a dangerous precedence. New York also intends to tax travel agent service charges that apply to services rendered in New York (ie: ticketing fees, etc). Taxing your commissions would result in double taxation of the same income by New York City and New Jersey or New York State.

ASTA is opposing this action. Please e-mail Colin Tooze ctooze@asta.org immediately if you support ASTA's efforts to reverse the September 1, 2009 implementation of this tax. Include your name and agency name in the e-mail. Your name will be added to the letter that will be sent to Mayor Michael Bloomberg.

Click here to unsubscribe

1101 King Street, Suite 200, Alexandria, VA 22314

RTO's Maybe the hotels best option

2009-07-28T09:35:00.003-04:00

The following story from the Vancouver Sun illustrates a recurring theme when things go south in the Travel Industry. Basically, how do you wean the traveling public off of cheap rates once the market turns around? The answer is simple avoid distribution channels that have high visibility such as OTA's and just plain dumping.

The following solution is self serving but, since I am an "RTO" which for many who are unfamiliar with the term is a Receptive Tour Operator what we do is sell internationally through major tour operators and when given the proper rate structure and availability offer a an immediate solution to many of the hoteliers problems. This solution offers the hotels an opportunity to fill rooms while not degrading their domestic distribution which will cost them dearly in marketing dollars to convince US consumers that you can't stay for less than $59.00 dollars a night! Read on....

Hotel industry's new motto - "Better cheap than empty"

July 28, 2009

As U.S. hotels try to lure a shrinking number of business and leisure travellers, the industry appears to have adopted a new motto -- "Better cheap than empty."

But as hotels slash rates and offer sweet deals to fill empty rooms during the recession, they may regret their largesse if customers get permanently spoiled by cheap lodging.

"There will be a resetting of rates and rate expectations for the foreseeable future," said Bjorn Hanson, lodging industry expert at New York University. "Even less expensive hotels will have to compete on rate more than they have already."

Average daily rates have dropped eight per cent year over year for the U.S. hotel industry, according to PKF Consulting, and major hotel operators have made it easier for their rewards program members to rack up points and free nights.

Through August, Marriott International is offering one free night with three paid stays at certain hotels. Starwood Hotels and Resorts is offering a free weekend night for every two paid nights through September, with no blackout dates.

Offers like these can recalibrate what leisure travellers expect to pay for travel and hotels, some experts say.

Compounding the problem, many companies are -- or soon will be -- negotiating corporate hotel rates for up to three years. As market prices falter, those companies will lock in lower rates by reserving facilities for future conventions and meetings.

The challenges to leisure and business travellers' room rates do not bode well for hotels' revenue per available room.

By some estimates, revenue per available room -- the industry's key measure of profitability -- won't reach last year's levels until 2013, well after the point where analysts expect the resumption of economic growth.

Hotels can close off rooms and floors, but they don't have the level of flexibility to cut capacity that airlines and cruise lines enjoy.

One lever they employ to deal with fluctuating demand is raising and cutting room rates on a daily basis. This works well in boom times, but can hurt results during recessions and economic slumps. After the 2001 recession, it took hotels three years to return rates to their pre-recession levels, closely followed by a rebound in revenue per available room.

But hotels did not see the same plunge in corporate spending then as they are seeing now.

The cutback in corporate travel is particularly painful for hotels; business travellers provide the bulk of hotels' revenue and book about two-thirds of overall room nights.

"The post-9/11 cycle was very isolated and business travel returned much faster because the financial services sector was healthy, or certainly healthier than it is today," said Scott Berman, analyst with PricewaterhouseCoopers.

Now, political criticism of business spending has made corporate executives wary of meeting in "places that are fun," Berman said.

The hotel industry has seen revenue per available room fall for nine straight months through April, according to Smith Travel Research. And when May figures are soon finalized, they will likely show a 10th month of declines.

Analysts watching weekly revenue per available room data have recently noted some stabilization in transient rooms -- rooms occupied by corporate, government or foreign guests. But demand among group travellers, a segment that typically reserves rooms up to three years in advance, remains weak.

"There's no question that the group segment has leverage more so than the leisure rates," Berman said.

And then there is the outlook for hotels' profits. Some argue erosion in rates will not only have a more lasting impact on hotels' revenue per available room, but could also mean a drop in profit.

"Lower occupancy you can somewhat offset with lower costs, but lower rates go straight to the bottom line," said Chris Woronka, analyst with Deutsche Bank.

Source: vancouversun.com

NYC Occupancy Hotel Tax returns yet again, and this time it will stick.

2009-07-27T15:17:00.003-04:00

The last time our industry faced an attack by the NY Tax authorities they were looking to tax the margins or better said receive the taxes on permanent room allotments. Many may remember that the method of buying rooms in blocks allowed for a tax refund after 6 months on the Occupany and after 12 the whole tax.

The whole process was actually an ICC law that allowed for "Airline Crew Rooms" to be tax exempt, since they provided public transportation, and the rooms were required in order to do so. The key was that you had to use the same room day in and day out to qualify.

Obviously that did not happen with Tour & Travel rooms and the practice morphed into just prepaid rooms albeit at reduced rates. The headaches the "perm" rooms caused the wholesalers was long lasting and very expensive.

New York City has enacted legislation (read it here) that will force remarketers to charge tax on their margins and this will further erode the "wholesaling" of hotel inventory in the years to come.

While the OTA's are the target everyone is shooting at for additional tax revenues this legislation seems to cover everything. As I see it, anyone that is doing internet distribution, packaged travel, online referals, white labeling, Affiliate Marketing, Online Marketing, and Search Engine Marketing will be liable for this tax. It seems to me that someone did not really think this one through considering the monumental task of enforcement that will be involved.

I guess just like the "Drive 55" law, this one and many more to come will make unknowing criminals of literally thousands of small businesses and anyone selling travel.

The hotels would be smart to fight this one because enforcement will require some sort of complicity and enormous resources to track referals and affiliates for the governments that choose to follow this route.

The other option is to go commission only contracts and manage the payouts across a wide spectrum of sales channels. Hmmm sounds like travel agents can find a niche here.

Food for thought

2009-07-22T09:50:00.002-04:00

U.S. Takeover of Immigration Destroys Tourism for Saipan

BY MONETH DEPOSA, SAIPAN TRIBUNE | JUL 19, 2009

With still four months to go before the federal takeover of the local immigration system, the Russian market is already beginning to show a notable decline in arrivals since June, based on the latest Marianas Visitors Authority data.

At the same time, MVA reported yesterday that overall arrivals in June nosedived by 30 percent compared to the same period in 2008.

After showing consecutive monthly increases since last year, Russian arrivals fell 43 percent last month, with only 478 tourists arriving from the destination.

In a statement issued yesterday, MVA attributed the drastic decline to a "wrong impression" that a federalized immigration is now being enforced in the Commonwealth.

Federalization was supposed to start on June 1, as mandated by law, but the U.S. Department of Homeland Security, at the urging of local leaders, agreed to delay this by 180 days, or until Nov. 28 this year.

Under the impending federal takeover, a Russian tourist needs to procure a U.S. visa to visit the Commonwealth. This follows the Homeland Security decision to exclude Russia and China from the Guam-CNMI Visa Waiver program.

"After such extraordinary performance in the Russian market since its inception, June's arrival numbers were a reality check," said MVA managing director Perry Tenorio, adding that this is a strong indication of what will happen to the market if the CNMI does not keep visa waivers for Russia when the new federalization implementation deadline arrives on Nov. 28.

"We can see that without visa waivers, the Russian market will dry out very quickly for us," he added.

MVA said the average Russian visitor spends considerably more and stays longer than visitors from other major markets of the CNMI.

Besides federalization concerns, MVA said that Russian travel agents are also finding it difficult to sell the CNMI due to stiff competition from other destinations such as the Maldives, which offers 50 percent discount on travel packages.

Double-digit declines

Saipan Tribune learned that arrivals from all major markets registered double digit declines in June. Visitor arrivals to the islands of Saipan, Tinian and Rota registered 21,803 last month, compared to 30,936 in June 2008. Overall, the fiscal year total to date is -7.57 percent fewer visitors than the same period in 2008.

Arrivals from the primary market of Japan dropped by 30 percent last month to 11,152, compared to the 15,904 visitors posted in June 2008. The drop was attributed to school and family trip cancellations and the suspension or postponement of business travel because of the H1N1 flu virus, combined with the lagging global economy.

However, MVA is optimistic that the demand for Japanese summer travel is shifting from August to September, with the five-day string of national holidays from Sept. 19 to 23, dubbed "Silver Week."

For September alone, MVA said travel partners in Japan indicate that bookings to the CNMI are up substantially over 2008 arrivals.

Arrivals from Korea also fell by 30 percent last month, with only 6,735 visitors. According to the Korea Tourism Organization, the number of total outbound travelers from Korea in May was 737,396, a decrease of 33 percent compared to the same month of last year.

Meanwhile, the Bank of Korea says the Korean economy "seems to have escaped from a big shock, but is still sluggish."

The International Monetary Fund projects that the Korean economy will turn positive in 2010, with a 2.5 percent growth and a faster-than-expected recovery of the global economy.

Saipan Tribune also learned that arrivals from China plummeted 72 percent to 322 visitors. Losses were also seen in visitor arrivals from Guam, Taiwan, and the Philippines.

Meantime, arrivals from the United States gained 14 percent to 858, and other areas nudged up 1 percent to 519.

Source: Saipan Tribune

Travel and tourism

2009-07-17T09:51:00.001-04:00

South Florida Sun-Sentinel.com
Travel and tourism
Americans, Floridians losing battle for international tourists
Congress considers bill to push global advertising campaign to lure tourist dollars
By William E. Gibson
Sun Sentinel Washington Correspondent
July 7, 2009
WASHINGTON
Americans are losing the worldwide competition for international tourists and their money.  While world travelers shun the United States to trek elsewhere, Florida officials fret that the state's tourism economy is losing millions of dollars and thousands of jobs. International travelers, including Canadians, comprise only about a tenth of Florida visitors, but they stay longer and spend more money than domestic tourists.  Eager to get a bigger share of this business, tourism leaders are lobbying for passage of the Travel Promotion Act, a bill in Congress designed to launch U.S. advertising campaigns around the world, ease the process of getting into this country and show a more welcoming face to foreigners.  "In the post- 9/11 world, we have to walk that fine line between security and making things so complicated and cumbersome that people don't want to come here," said Sen. Mel Martinez, R-Fla.  The legislation stands an excellent chance of passage.  Forty-eight senators are co-sponsors, meaning they support the bill strongly enough to attach their names to it. Approval has been delayed because of unrelated and controversial amendments. If these barriers are cleared, the Senate is expected to pass the bill, with the House quick to follow.  The bill is designed to pay for itself by charging each foreign visitor $10, generating up to $100 million a year. The money would be matched by private donations from the travel industry, including free services such as ads and brochures.  It would mean charging people to come here, but backers say overseas travelers who spend thousands of dollars would hardly notice the $10 fee.  The money would go for such things as promotional videos to be shown at trade shows, U.S. embassies and on airlines. Disney Corp. produced a sample video that depicts a diverse montage of Americans with smiling faces in scenic places all around the country.  Amid the worldwide recession, overseas travel to Florida dropped by 13 percent in the first three months of this year compared to the same period last year, according to Visit Florida, the state's tourism marketing arm.  Fewer visitors means a loss of income and tax receipts.  Overseas travelers spent an average of $1,886 per person while in Florida in 2007, according to Visit Florida. Domestic travelers spent an average of $864. "These are very tough times for this industry," said Nicki Grossman, president and CEO of the Greater Fort Lauderdale Convention & Visitors Bureau. "But the business is still there. People still want to travel."  The Travel Promotion Act, she said, would send a message of welcome.  "That's been sorely missing in the international marketplace," Grossman said. "There is a sense that the United States doesn't care if they come or not." The perception began after the 2001 terrorist attacks when U.S. officials imposed new visa requirements, creating delays and a tangle of paperwork to get permission to come here.  Overseas visits to Florida, not counting Canadians and Mexicans, dropped from 6 million in 2000 to 4.4 million in 2002, before gradually rising to 4.7 million in 2007 and 2008. Canadian travel has remained healthy, with 2.8 million visits to Florida last year, up from 2 million in 2000.  Overseas visits nationwide followed a similar pattern, leaving this country with a decreasing share of international tourism.  The U.S. Travel Association says travelers worldwide made 48 million more "long-haul" trips in 2008 compared to 2000. But this country received 633,000 fewer such visits.  While the United States as a whole makes little attempt to lure foreign travelers, other nations bombard them with advertisements.  Greece spends about $151 million a year to promote itself. China spends $60 million. Thailand spends $32 million.  Some local communities provide a model for how to compete abroad. Greater Fort Lauderdale promoters spend about $1.5 million a year, much of it overseas through offices in Argentina, Colombia, Britain and Germany. The marketing agents attend trade shows and contact travel agencies and tour operators.  During colder months in Great Britain, agents rolled out a "Beachmobile," a glass-encased vehicle depicting a beach scene complete with sand, mannequins and a lifeguard stand. The Beachmobile rolled around the streets of major cities, inviting Britons to come to sunny Fort Lauderdale.  South Florida sells itself, especially in summer months, as a relatively cheap vacation spot, especially when the dollar is weak, giving foreigners more buying power. Grossman said foreign tourists come mainly for beaches and shopping malls, especially Sawgrass Mills Mall.  Palm Beach County struggles to attract foreign visitors who fly into other parts of Florida, a task made more difficult by the recession.  "In our case, Palm Beach County has the image of an upscale resort destination. That has been our big challenge," said Jorge Pesquera, president and CEO of the Palm Beach County Convention and Visitors Bureau.  U.S. promotions and easier entry would help, he said.  "We are one of the few developed countries in the world that does not have a national policy for tourism promotion," Pesquera said. "Other countries are extremely aggressive in marketing themselves. That's why we need to get more competitive."  William E. Gibson can be reached at Wgibson@SunSentinel.com or 202-824-8256.
Copyright © 2009, South Florida Sun-Sentinel

United move could cost consumers $2 billion - from travelmole.com

2009-07-17T09:50:00.000-04:00

United move could cost consumers $2 billion



All facets of the industry should be worried because if we allow the major suppliers to dictate terms they affect the whole. In thi case an airline with a history of bouncing near the edge decides that this is their quick fix. I say pull a GM and dump all of the heavy weight and learn to fly again... I have found an interesting news on travelmole.com. I am sending you details about news below.
United move could cost consumers $2 billion
http://www.travelmole.com/stories/1137408.php?mpnlog=1

Travelmole Administrator

The problem with selling travel

2009-07-07T11:02:00.001-04:00

The soon to be voted on Travel Promotion Act that the Senate will be reviewing is a milestone for the USA, but is it the right solution for the US travel destination?

This has been an issue with our image as an international destination for as long as I can remember. Why is it that even third world nations can drum up a marketing plan to sell their destinations to the world and the USA is fraught with inaction? The problem lies with our very nature we are the "United States" and each state has their own set of laws and vision they have their own companies, representatives and "constituents".

Which brings to question how do we as a nation market ourselves to our international neighbors while being true to each states portion of the federal budget?

With the absence of a "Secretary of Tourism" in the administrations cabinet the decision or should I say weight of pushing through a federally supported marketing effort is left to our industry leaders and associations. Kudos to the US Travel Association for spearheading this initiative and getting the bill sponsored, but that is where we need to review if the solution is really a Trojan horse that will reap havoc on our already deteriorating operating margins and distribution channels.

The airlines have proven that by killing off their distribution channel aka "Travel Agents" they still could not make money. You can blame it on anything you will but it comes down to customer service and the lack of it being provided by the airlines because of cost cutting measures. I guess that fact that all they had to do was keep the agents at a straight commission and let them do all of the footwork was too much for their egos. So the airlines took up their own staff and all the cost required of salaried employees only to find that deregulation allowed for cheaper competition anyway. Then they took up consortiums to distribute their seats and again they dabbled in the packaging and operation of the "Travel Experience" only to find that it was a lot of work and the hotels did not like to be told or distributed without their control.

The tour operator has always been a distribution channel that could work objectively and actively promotes destinations. The key to assuring your portion of this market is an investment in price, availability and value. Regardless of today's economy this worked well and can continue working well if included in the marketing plan. It assures our overseas operators that their efforts are valued and appreciated by all of the cities and suppliers along the distribution chain.

Should the bill pass as is, the existing channels will be disrupted and it may take years to reach the vision that some people have. The repercussions will be that online resellers of travel will then have an open door and financing to destroy the very fabric of what is the "Travel Experience" it is not a product like any other and it cannot sustain economic prosperity by destroying existing distribution channels.

The reality of travel is in itself the realization of a "dream" an expectation of the user to verify their existence by exploring themselves in nature, history and human experience whether it is in New York – San Francisco – Las Vegas or any other experience the USA has to offer. The job we have as travel marketers is to make sure that the dream includes the United States of America and that within that dream Americans benefit from the exchange of values and culture.

I'll close with the following experience" I booked a hotel through an online booking engine in a city I knew well, the website indicated a zone I recognized and liked, so I made the reservation. I arrived in the city and sure enough the hotel was misrepresented (not where indicated). I called the Online Company a large US based company and was surprised to find my call redirected to Indonesia where the clueless Customer Service Representative advised me that my best course of action was to leave the hotel immediately and rebook a new one on their site! I was of course to be charged a 1 night no show charge which I could not legally deny because of the US Credit Card laws. This my friends will be the future, if we sign on the dotted line without reading the facts and understand the consequences of an improperly executed marketing plan.

The business of travel should not be left to only a few well financed consortiums because it will drive down the cost and increase customer dissatisfaction. All you have to do is take a flight to see that.

AP Mobile News story - New materials taking the 'lug' out of luggage

2009-07-02T15:37:00.000-04:00

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AP Mobile News story - Woodstock anniversary exhibit at rock museum

2009-07-01T19:26:00.000-04:00

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AP Mobile News story - New film has Tucson revisiting Dillinger's arrest

2009-07-01T19:25:00.000-04:00

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AP Mobile News story - Cheers, Florida, for many great places to drink!

2009-07-01T19:21:00.000-04:00

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AP Mobile News story - United passing credit card fees to some agents

2009-07-01T19:20:00.001-04:00

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AP Mobile News story - What happens when an airline cancels your flight?

2009-07-01T19:20:00.000-04:00

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AP Mobile News story - Sears Tower to open 103rd floor glass balcony

2009-07-01T19:19:00.000-04:00

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FIT Update -- NYC & VEGAS

2009-06-29T13:29:00.000-04:00

June 29, 2009

Dear FIT Clients,

Please see below updates for the cities we serve with corresponding spreadsheets.

NYC UPDATE

ALTAR BOYZ

SCHEDULE CHANGE: Beginning July 12, 2009, ALL Sunday evenings are now at 7:30PM (previously 7PM).

HAIR

SCHEDULE CHANGE: Mon 10/5 8:00PM - ADD

Sun 10/11 3:00PM – CANCELLED

IN THE HEIGHTS is now selling through NOVEMBER 29, 2009.

THANKSGIVING SCHEDULE:

Mon 11/23 DARK

Tues 11/24 7:00PM – BLACKOUT DATE

Wed 11/25 2:00PM & 8:00PM – BLACKOUT DATE

Thurs 11/26 DARK

Fri 11/27 2:00PM & 8:00PM – BLACKOUT DATE

Sat 11/28 2:00PM & 8:00PM – BLACKOUT DATE

Sun 11/29 2:00PM – BLACKOUT DATE

JERSEY BOYS is now selling through FEBRUARY 28, 2010.

MARY POPPINS is now selling through DECEMBER 27, 2009.

CHRISTMAS SCHEDULE:

Mon 12/21 DARK

Tues 12/22 7:00PM

Wed 12/23 2:00PM & 8:00PM

Thurs 12/24 2:00PM

Fri 12/25 DARK

Sat 12/26 2:00PM & 8:00PM – BLACKOUT DATE

Sun 12/27 1:00PM & 6:30PM – BLACKOUT DATE

THE LION KING is now selling through DECEMBER 27, 2009.

CHRISTMAS SCHEDULE:

Mon 12/21 DARK

Tues 12/22 7:00PM

Wed 12/23 2:00PM & 8:00PM – BLACKOUT DATE

Thurs 12/24 2:00PM – BLACKOUT DATE

Fri 12/25 DARK

Sat 12/26 2:00PM & 8:00PM – BLACKOUT DATE

Sun 12/27 1:00PM & 6:30PM – BLACKOUT DATE

THE LITTLE MERMAID is now selling through DECEMBER 27, 2009.

CHRISTMAS SCHEDULE:

Mon 12/21 DARK

Tues 12/22 7:00PM

Wed 12/23 2:00PM & 8:00PM

Thurs 12/24 2:00PM

Fri 12/25 DARK

Sat 12/26 2:00PM & 8:00PM – BLACKOUT DATE

Sun 12/27 1:00PM & 6:30PM – BLACKOUT DATE

THE TOXIC AVENGER

SCHEDULE CHANGE: Sat 7/4 8:00PM – CANCELLED

LAS VEGAS UPDATE

Reminder: Cirque du Soleil is offering a Summer Special for some of their Las Vegas shows. This offer is good now thru October 31, 2009 and is valid for the following shows: CRISS ANGEL BELIEVE, KA, LOVE, MYSTERE & ZUMANITY.

BETTER MIDLER’S THE SHOWGIRL MUST GO ON is now selling through NOVEMBER 15, 2009.

BLUE MAN VEGAS is now selling through OCTOBER 18, 2009.

CHER LIVE AT THE COLOSSEUM is now selling through DECEMBER 20, 2009.

CRISS ANGEL BELIEVE is now selling through OCTOBER 11, 2009.

FAB FOUR LIVE is now selling through SEPTEMBER 16, 2009.

JERSEY BOYS LV is now selling through SEPTEMBER 7, 2009.

JUBILEE is now selling through SEPTEMBER 20, 2009.

KA is now selling through OCTOBER 17, 2009.

LE REVE is now selling through SEPTEMBER 20, 2009.

LOVE is now selling through OCTOBER 18, 2009.

MYSTERE is now selling through OCTOBER 18, 2009.

O is now selling through OCTOBER 18, 2009.

PHANTOM LV is now selling through OCTOBER 17, 2009.

ZUMANITY is now selling through OCTOBER 18, 2009.

As always, be sure to keep tabs on availability by checking www.broadwayinbound.com/blackouts

Thanks!

Sarah

Sarah Puls

Product Specialist

Broadway Inbound

330 W. 42nd Street, 22nd Floor; New York, NY 10036

p: 212.302.0995/f: 212.302.0997

P
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AP Mobile News story - It's now or never for the last-minute traveler

2009-06-26T22:13:00.000-04:00

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AP Mobile News story - Unclear what happens to personal info with Clear

2009-06-26T22:09:00.000-04:00

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AP Mobile News story - American Airlines gets terms of $433mln loan eased

2009-06-25T23:13:00.000-04:00

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AP Mobile News story - Scary NY welcome for French tourists: police chase

2009-06-24T23:20:00.000-04:00

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AP Mobile News story - Travel briefs

2009-06-23T23:58:00.001-04:00

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AP Mobile News story - Nextstop.com: Create your own travel guide

2009-06-23T23:58:00.000-04:00

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AP Mobile News story - Must-see fireworks: Vegas to Rushmore to Cape Cod

2009-06-23T23:57:00.000-04:00

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AP Mobile News story - DC visitors pioneer Spy Museum's gaming strategy

2009-06-23T23:56:00.000-04:00

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AP Mobile News story - Museum celebrates remarkable life of Walt Disney

2009-06-23T23:55:00.000-04:00

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AP Mobile News story - 'Clear' airport security member program shuts down

2009-06-23T23:52:00.000-04:00

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AP Mobile News story - IATA: Premium travel dropped 22 percent in April

2009-06-16T18:29:00.000-04:00

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AP Mobile News story - 10 secluded beaches from Coastal Living mag

2009-06-16T16:05:00.000-04:00

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AP Mobile News story - Travel briefs

2009-06-16T11:15:00.000-04:00

Headlines:
http://m.apnews.com/ap/db_8600/contentdetail.htm?contentguid=xYUvrRm8

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AP Mobile News story - Smokies breaking ground for new visitor center

2009-06-15T10:45:00.000-04:00

Headlines:
http://m.apnews.com/ap/db_8600/contentdetail.htm?contentguid=9yVdUUqN

Get news on the go with the Mobile News Network. Visit http://www.apnews.com to learn how to get it for your phone.
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AP Mobile News story - Meltdown 101: Will airlines go bankrupt?

2009-06-12T17:02:00.000-04:00

Most Recent:
http://m.apnews.com/ap/db_8560/contentdetail.htm?contentguid=yEocncqj

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AP Mobile News story - Airline passengers could get a 1-2-3 punch

2009-06-12T09:00:00.000-04:00

Headlines:
http://m.apnews.com/ap/db_8600/contentdetail.htm?contentguid=L1RlY0aW

Get news on the go with the Mobile News Network. Visit http://www.apnews.com to learn how to get it for your phone.
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AP Mobile News story - Delta cutting more capacity

2009-06-11T16:32:00.000-04:00

Highly Rated:
http://m.apnews.com/ap/db_8561/contentdetail.htm?contentguid=w4Xz094K

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AP Mobile News story - Sept. 11 memorial to feature audio-visual display

2009-06-11T08:35:00.000-04:00

Headlines:
http://m.apnews.com/ap/db_8600/contentdetail.htm?contentguid=OxrHoU71

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AP Mobile News story - NY historic site marks anniversary of 1759 battle

2009-06-11T08:33:00.000-04:00

Headlines:
http://m.apnews.com/ap/db_8600/contentdetail.htm?contentguid=jgyXkxys

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AP Mobile News story - US Airlines say more flights on time in April

2009-06-11T08:32:00.000-04:00

Headlines:
http://m.apnews.com/ap/db_8600/contentdetail.htm?contentguid=Y5Pkx9Tv

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USA Travel Space - US Travel business News & Commentary

standout-innovations-from-PhoCusWright

How-to-target-diverse-hotel-market-segments

IHG’s Solomons hits nail on head about OTAs

Google and Travel "Good Together"?

New Facebook app for travelers

It's Still the Economy, Stupid - Newsweek

Skål International Promotional DVD 2010 - English Version

Travel Market Report :: Technology Article :: AA vs. Orbitz: First Move Toward End of the GDS Era?

U.S. COMMERCE DEPARTMENT FORECASTS STRONG REBOUND IN

Cab Jam - Montage

Cab Jam - Montage

Glass Half Full - Montage

The Local

Taken For a Ride - Montage

JetBlue drops TV for hilarious hidden-camera Web videos poking fun at competition

TI News: An information service from Office of Travel & Tourism Industries (OTTI

New York Illegal Sublet Law Affects Vacation Rentals

Déjà Vu: The Billion Dollar 'Leakage' Continues to Drain the Hospitality Industry - By Max Starkov

Are Vacation Rentals an Endangered Species? - SmarterTravel.com

FASCINATING AIDA - Cheap Flights

Díaaz Ferrán vuelve a la aventura empresarial

USA Travel Space - US Travel business News & Commentary: Business is back!

No oil on the beach. No tourists, either

Opaque Channels of Distribution

RIP: era ending for cheap airline fares

Travel Industry Leans On Email During Recovery

Google Buys ITA Travel Software Co. For $700 Million Cash, Dings Bing

Hotels.com Trademark Appeal Sent Packing

Avis Readies Dollar Thrifty Bid - News - Auto Rental News

On Again, Off Again: Why Online Travelers Book Offline

TripAdvisor - what did they buy and when

New York City was 2009’s most popular U.S. tourist destination

Tourism’s value recognized with the newly created Argentinean Ministry of Tourism UNWTO,Argentina - {Travel Daily News}

Testing Times for International Tourism UNWTO, barometer - {Travel Daily News}

Decrease in turnover since the start of the global financial crisis has finally bottomed-out

SBA lending slips as stimulus cash dries up

Google to buy travel data giant ITA for $700 million

Continental Adjusts Thinking With New Exit Row Fees

A Slice of Brooklyn Pizza Tour

Senators fight airlines over carry-on baggage fees

Travel industry poised for comeback - Dianna Heitz - POLITICO.com

Travel Market Report :: Retail Strategies Article :: Why Storefronts Remain Backbone of the Industry

Travel Market Report :: Retail Strategies Article :: Booking Windows: Not Like the "Good Ole Days"

Travel Market Report :: Technology Article :: Airline Merchandising: Coming Soon to GDSs

Marsans Spain on the border of closing!

Los dueños aseguran que están a punto de vender

Marsans está casi sin actividad y al borde del cierre

The case for Equality in Hotel Contracting.

Not so good of a year in travel

2009: The Year in Review

2009 INTERNATIONAL VISITATION FIVE PERCENT BELOW 2008

2009 INTERNATIONAL VISITATION FIVE PERCENT BELOW 2008

International Business Travelers and Tourists to Fund U.S. Marketing Campaign - {Travel Daily News}

Food For thought

boosting US Tourism while reducing security risk.

FITUR 2010 Video

United raises baggage fees

'Green' hotels juggle conservation with customer service - washingtonpost.com

For some, hassles dim the appeal of air travel - USATODAY.com

Globalization and the Receptive RTO

Industry Beware Marsans Spain and Air Comet are in the news

Confidence in Tourism Sector Gradually picking Up

International Visitors spend less in 09

International Visitor Spending in the United States Down Sharply in July U.S. travel and tourism-related exports decline for ninth consecutive month

2009 is a Year of Change for Travel Search Marketing

TI News: An information service from Office of Travel & Tourism Industries (OTTI) - "Welcome to the United States" Webinar: Updates for Industry on Travel from Latin America

“Welcome to the United States” Webinar: Updates for Industry on Travel from Latin America

From Las Vegas Sun: Bill introduced to end government tourism blacklist

TI News: An information service from Office of Travel & Tourism Industries (OTTI) - International Visitation Down 12 Percent in May 2009 Spending: $9.5 Billion in May, $50.1 Billion in First Five Months - Year-to-Date Arrivals 10 Percent Below Last Ye

INTERNATIONAL VISITATION DOWN 12 PERCENT IN MAY 2009 SPENDING: $9.5 BILLION IN MAY, $50.1 BILLION IN FIRST FIVE MONTHS Year-to-Date Arrivals 10 Percent Below Last Year

MediaPost.com Article: Hotels.com Trademark Appeal Sent Packing

RTO's Maybe the hotels best option

Hotel industry's new motto - "Better cheap than empty"

NYC Occupancy Hotel Tax returns yet again, and this time it will stick.

Food for thought

Travel and tourism

United move could cost consumers $2 billion - from travelmole.com

The problem with selling travel

AP Mobile News story - New materials taking the 'lug' out of luggage

International Visitor Spending in the United States Down Sharply in July
U.S. travel and tourism-related exports decline for ninth consecutive month

INTERNATIONAL VISITATION DOWN 12 PERCENT IN MAY 2009
SPENDING: $9.5 BILLION IN MAY, $50.1 BILLION IN FIRST FIVE MONTHS

Year-to-Date Arrivals 10 Percent Below Last Year