Skift

Episode Notes Airbnb said on Monday it’s approaching 1.5 million verified listings, a key part of its strategy to build trust among users, reports Executive Editor Dennis Schaal. The company added that badges will be pinned to listings that have completed the verification process. Airbnb has long struggled to deal with fake listings and scammers, Airbnb’s verification push is designed to combat those issues. The short-term rental giant said it removed 59,000 fake listings last year.  Airbnb first pledged to verify all of its listings in November 2019. The company recently said it had 7.7 million active listings at the end of last year.  Next, JetBlue Airways announced that it has reached an agreement with Spirit Airlines to end their proposed merger, writes Airlines Reporter Meghna Maharishi.  A federal judge had blocked the merger in January on the grounds that the combined airline would raise fares and hurt consumers. Both airlines said they believed it was unlikely that all the conditions for the merger wo

Timeshare operator rivals Hilton Grand Vacations, Marriott Vacations Worldwide and Travel and Leisure Company have all reported financial results recently. Senior Hospitality Editor Sean O’Neill delves into those reports to search for broader trends in the segment.  HGV executives said they’ve seen more consumers hesitant to agree to deals in part because of inflation. However, O’Neill notes that HGV has actually had to deal with more demand than the group can efficiently handle. Meanwhile, both Travel and Leisure and Marriott Vacations have seen business boom, with each company generating at least $3.5 billion in net revenue last year. Next, Airlines Editor Gordon Smith lists three takeaways from Air France-KLM Group’s full-year results. Smith notes geopolitical issues in the Middle East and Africa have hurt the supergroup’s profitability. KLM has yet to resume service to Israel. Meanwhile, instability in several West African countries has impacted Air France’s bottom line. However, group CEO Ben Smith said

Episode Notes Gilda Perez-Alvarado surprised some hotel industry insiders when she left JLL to become Accor’s chief strategy officer last October. Perez-Alvarado outlined her plans for Accor in her first interview since taking the new role.  Perez-Alvarado touched on Accor’s efforts to make inroads in the U.S., among other subjects, with Senior Hospitality Editor Sean O’Neill. She said Accor would target markets and segments in the country where the company believes it should be present. Perez-Alvarado added that Accor would be increasingly open to dealmaking with interest rates stabilizing. Next, the Federal Aviation Administration told Boeing it has 90 days to create a plan to tackle its quality control issues, writes Airlines Reporter Meghna Maharishi.  FAA chief Michael Whitaker revealed the timeline after the agency had an all-day discussion with the planemaker. Boeing’s 737 Max aircraft has been plagued with a litany of issues, including a blowout aboard an Alaska Airlines flight this January. Whitaker

Episode Notes American Airlines and United Airlines are among the major carriers that have increased baggage fees in recent months. Airlines Reporter Meghna Maharishi explains why checking bags at airports has gotten more expensive.   Maharishi writes that nearly every carrier cited inflation, higher fuel and operating costs as reasons they hiked baggage fees. JetBlue Airways said it raised baggage fees as part of its plan to return to profitability.  Airlines may also be increasing bag fees to help boost sign ups for their loyalty programs and co-branded credit cards. An airline consulting firm executive said expensive bag fees increase the value of airline-branded credit cards. American said its loyalty program members and credit card holders can check their first bag for free.   Next, New York City hotels could see a $380 million boost in revenue this year from the city’s de facto ban on short-term rentals, writes Short-Term Rental Reporter Srividya Kalyanaraman.  A new report from real estate firm JLL rev

Episode Notes Hotel guests in Las Vegas during Super Bowl weekend earlier this month paid the highest room rates in continental U.S. history, writes Global Tourism Reporter Dawit Habtemariam.  Industry data company STR said guests shelled out on average $800 for rooms in Las Vegas that weekend, the highest ever for any Saturday and Sunday in the continental U.S. Hotel guests on the Las Vegas Strip paid an even higher rate on Super Bowl Sunday — $962 on average. Meanwhile, short-term rentals in Las Vegas also saw average daily rates during Super Bowl weekend surge 19% from the previous weekend.  Next, a Federal Aviation Administration panel reported on Monday that Boeing’s efforts to improve its safety culture are inadequate, writes Airlines Reporter Meghna Maharishi.  The panel found a “disconnect” between Boeing executives and employees involved in the planemaker’s safety culture. Congress had mandated the report into Boeing’s safety culture after two fatal 737 Max 8 crashes. The FAA report revealed, among o

Episode Notes Wyndham executives say the company’s efforts to fend off Choice Hotels’ hostile bid weighted on its results in the fourth quarter, reports Senior Hospitality Editor Sean O’Neill. Wyndham CEO Geoff Ballotti said its fourth quarter could have been better without the distractions from Choice Hotels’ merger proposal. The company’s revenue and income in 2023 both fell from the previous year, which may have been a result of Wyndham devoting resources to prevent the hostile merger.  Wyndham said it’s spent $75 million related to the deal so far, including answering antitrust queries from regulators.  Next, Expedia Group has pulled a Vrbo ad in Canada because its use of a traditional folk song from Newfoundland and Labrador sparked an uproar, writes Executive Editor Dennis Schaal.  The ad, which aired during both the Grammys and Super Bowl, used the folk song I’se the B’y as its theme. Schaal notes the ad was intended to take a dig at rival Airbnb. But the provincial government and local tourism executi

Episode Notes Marriott and Hilton have both released their annual financial reports for 2023. Senior Hospitality Editor Sean O’Neill lists 12 noteworthy takeaways after comparing the companies’ 10-K filings.  The two hotel giants have a rivalry in terms of loyalty program membership numbers. Marriott currently has roughly 16 million more loyalty program members than Hilton. But O’Neill notes Hilton could overtake Marriott in 2025 if the two companies maintain their most recent growth rates this year.  O’Neill adds that both companies were considerably more profitable in 2023 than they were six years prior.  Next, Airbnb CEO Brian Chesky believes the company can create a new artificial intelligence interface that will help transform it into a cross-vertical company, writes Executive Editor Dennis Schaal.   Chesky said the planned interface could be one of the most innovative ever created. He added that it would enable Airbnb to become a cross-vertical company: Think Amazon when it expanded beyond books and App

Episode Notes Some analysts had wondered if Airbnb could increase its supply of hosts and listings to meet the growing demand from travelers worldwide. That question has been put to rest, writes Executive Editor Dennis Schaal.  Airbnb said during its fourth-quarter earnings call on Tuesday it has around 7.7 million active listings. That’s an increase of more than 1 million from the end of 2022. The company ended 2023 with a roster of more than 5 million hosts, also a jump of roughly 1 million from the previous year.  Airbnb also said its supply of listings increased 18% in the fourth quarter from the same period in 2022.  Next, Marriott had a banner 2023, especially in the luxury sector, reports Senior Hospitality Editor Sean O’Neill.  Marriott said during its fourth-quarter earnings call that it generated $3 billion worth of net income and a 48% profit margin last year. The company was boosted by its strength in luxury. Marriott had a company record of 58 luxury signings last year. It says its portfolio of l

Episode Notes The Bahamas saw a drop in short-term rental bookings and hotel reservations in January after a U.S. State Department safety alert to travelers, writes Global Tourism Reporter Dawit Habtemariam. Habtemariam notes short-term rental bookings fell 7% in January from the same month in 2023. Meanwhile, hotels in the Bahamas also registered weekly occupancy declines from last year throughout the month. While higher average daily rates may have deterred bookings, those drops followed a U.S. Embassy alert warning Americans about crime in Nassau.  A State Department spokesperson said the overall Travel Advisory for the Bahamas is at Level 2, which advises U.S. citizens to be cautious in the country due to crime.  Next, Expedia Group’s equity stake in American Express Global Business Travel has taken a beating — to the tune of $326 million, reports Executive Editor Dennis Schaal.  Expedia said on Monday the fair value of its equity stake in Amex GBT has dropped 40% since 2021. Expedia took a 19% stake in A

Episode Notes Expedia Group will have a new CEO soon. Ariane Gorin, currently president of Expedia for Business, will succeed Peter Kern starting on May 13, writes Executive Editor Dennis Schaal.   Schaal reports Gorin will also take a seat on Expedia Group’s expanded board of directors, effective February 12. Expedia Group Chair Barry Diller said the company was looking for an internal candidate to succeed Kern. As president of Expedia for Business, the company’s business-to-business arm, Gorin was responsible for a large portion of Expedia Group’s revenue and profits. Meanwhile, Kern will continue to serve as Expedia Group’s vice chairman and a member of its board.  Next, Spirit Airlines has experienced its share of struggles in recent years, including $1 billion worth of debt due next year. But CEO Ted Christie is refuting any talk the company could go bankrupt, writes Airlines Reporter Meghna Maharishi.  Christie expressed confidence Spirit will survive during the airline’s fourth-quarter earnings call, c

Episode Notes Taylor Swift’s massive influence on U.S. culture and the economy isn’t slowing down anytime soon. And as her ongoing Eras Tour continues to pack stadiums and boost tourism worldwide, Editor-in-Chief Sarah Kopit explains why Swift might be the most powerful person in travel. Swift’s impact on the travel sector is vast, with major influence over tourism dollars, hospitality spending and the short-term rental market. Kopit notes that each Swift concert has the economic impact of the Super Bowl – and it’s not just once a year. U.S. cities hosting a Eras Tour concert have seen their monthly hotel room revenue jump more than 7% on average. In addition, one short-rental executive said the Eras Tour has been responsible for double-digit increases in occupancy and average daily rates. Skift Research estimates the tour generated an incremental $1.2 billion for the U.S. travel industry in 2023 across flights, hotels, short-term rentals and other expenditures. Next, Hilton is considering making acquisitions

Episode Notes A preliminary report from the National Transportation Safety Board has provided information about what possibly caused the January blowout aboard Alaska Airlines Flight 1282. Four bolts appeared to be missing on a door plug that blew off that Boeing 737 Max 9 jet, writes Airlines Reporter Meghna Maharishi.  Maharishi notes it’s not exactly clear how the four bolts meant to keep the door plug intact went missing. The board said it plans to interview Boeing and aircraft supplier Spirit Aerosystems. The report said the door plug Spirit delivered to Boeing last August had come with certain defects.   Next, U.S.’ low-cost carriers have generally struggled in recent years. But Frontier Airlines believes its new three-point plan can help boost profitability, writes Airlines Editor Gordon Smith.  Smith notes that Frontier is planning to thoroughly overhaul its network, with fewer flights to oversaturated markets such as Las Vegas and Orlando. Frontier is also looking to increase service to more lucrativ

Episode Notes Nearly 94% of 737 Boeing Max 9s are back in service after the aircraft was grounded for roughly three weeks in January, writes Airlines Reporter Meghan Maharishi.  The Federal Aviation Administration said that 135 Max 9s have been inspected and returned to service following a blowout aboard an Alaska Airlines flight in early January. The grounding of the Max 9 forced United Airlines and Alaska — the only two U.S. carriers operating the aircraft — to cancel thousands of flights last month. Next, Brand USA, the U.S.’ tourism marketing agency, will air a Super Bowl ad internationally for the first time, writes Global Tourism Reporter Dawit Habtemariam. Habtemariam reports the 15-second ad will air in both Germany and the United Kingdom, two major sources of tourism for the U.S. Brand USA established a partnership with the NFL in Germany and the UK last year. Staci Mellman, the agency’s chief marketing officer, said partnering with the NFL has enabled it to tap into the growing number of internation

Episode Notes Skift Research has published its Global Travel Outlook 2024, which sees Asia leading the travel industry’s growth while Europe’s travel boom will likely slow down. The forecast shows Asia Pacific growing 20% over 2023. Research Analyst Saniya Zanpure writes the region has gotten a big boost from China easing its strict Covid-era regulations in January 2023. Meanwhile, Europe’s travel revenue is projected to register only a 5% increase from last year, with Zanpure noting that Europe faces challenges such as inflation and climate-related concerns.  Next, Frontier Airlines announced on Thursday that it’s launching a business fare as part of its strategy to attract corporate travelers, writes Airlines Reporter Meghna Maharishi.  Frontier said that “BizFare” would enable businesses to save on corporate travel expenses. The ticket would be available through a company’s global distribution channel. Maharishi added the new fare could help Frontier cater to travelers that wouldn’t normally fly with an ul

Episode Notes Boeing CEO Dave Calhoun issued an apology for the recent Alaska Airlines blowout amid the reeling planemaker’s struggles with its 737 Max 9 aircraft, writes Airlines Reporter Meghna Maharishi.  Calhoun said during Boeing’s fourth-quarter earnings call that the company has a lot of work to do to earn the public’s trust back. While Calhoun didn’t speculate on what possibly caused the blowout, he acknowledged Boeing was responsible. The 737 Max has been plagued with problems in recent years, and Max 9 was grounded by the Federal Aviation Administration for roughly three weeks in January. Boeing didn’t issue any financial targets for 2024, with Calhoun saying the company needs to “focus on every next airplane.” It is unclear how big of a financial hit Boeing will take. Next, GetYourGuide is rolling out its largest-ever advertising campaign as part of its strategy to challenge Viator in the U.S., reports Senior Hospitality Editor Sean O’Neill.  GetYourGuide recently aired a 30-second commercial durin

Episode Notes JetBlue Airways is focusing on how it can be profitable following its failed merger with Spirit Airlines. So JetBlue is looking at ways to cut costs and offer more leisure routes, writes Airlines Reporter Meghna Maharishi. JetBlue is grappling with rising costs due to new labor contracts and also has engine issues that have currently grounded seven aircraft. JetBlue Chief Financial Officer Ursula Hurley said the company would offer crew members voluntary buyouts to help offset some of those costs. The New York-based carrier also plans to defer $2.5 billion in aircraft spending to the end of the decade.  And as JetBlue is increasingly targeting leisure travelers, the company is expanding service to popular destinations such as Florida, the Caribbean and Mexico.  Next, protesters have blocked crucial rail access to Machu Picchu in anger over the Peruvian government’s new online ticketing system for tourist attractions, writes Global Tourism Reporter Dawit Habtemariam.  Habtemariam reports tour ope

Episode Notes Fans heading to Las Vegas for the Super Bowl on February 11 will likely pay the highest hotel room rates in the event’s history, writes Global Tourism Reporter Dawit Habtemariam.  The average daily rate for a Las Vegas hotel room between February 9 and 11 is projected to be $573, according to industry data company STR. That figure would break the record set in Miami four years ago. Habtemariam reports that visitors coming for the Super Bowl are expected to book about 350,000 room nights. Next, Ryanair CEO Michael O’Leary has come out in support of beleaguered planemaker Boeing, and called out United Airlines CEO Scott Kirby for saying his company would consider a future without the Max 737 10 in its fleet, reports Airlines Editor Gordon Smith. O’Leary called Kirby’s comments on the Max 10 “stupid” during Ryanair’s third-quarter earnings call on Monday. The Max 10 isn’t certified yet and United has more than 200 of them on order – it has already been waiting five years for the first deliveries of

Episode Notes Alaska Airlines said it would take a $150 million financial hit from the Boeing 737 Max 9 grounding that prompted the airline to cancel roughly 3,000 flights, writes Airlines Reporter Meghna Maharishi.  Alaska CEO Ben Minicucci said during its fourth-quarter earnings call that the company would put pressure on Boeing to produce better planes. Minicucci told NBC News this week he was angry at Boeing for the blowout aboard an Alaska flight earlier this month. He did express optimism that consumer confidence in the Max 9 would eventually come back.   Alaska posted a $2 million net loss during the fourth quarter.  Next, Oracle Hospitality, one of the largest players in hotel tech, is selling what it considers a simplified system for hotel tech operations, writes Travel Technology Reporter Justin Dawes.  Dawes reports Stockholm-based Scandic Hotels Group is already piloting an expanded version of Oracle Hospitality’s cloud-based system. The system, known as Opera Cloud Central, includes a property ma

Episode Notes Los Angeles is launching its largest-ever global advertising campaign to help remain competitive in the fight to attract tourists, writes Global Tourism Reporter Dawit Habtemariam. Habtemariam reports the city will unveil next week the latest iteration of its “Now Playing” campaign, which has showcased Los Angeles’ arts, food and lifestyle. The multi-million dollar campaign will target the UK, France and South Korea, among other markets. LA Tourism CEO Adam Burke said the city is increasing its international marketing efforts in response to the emergence of other competing destinations, including Saudi Arabia. Next, Qantas’ new 10-minute long safety video has been largely panned by viewers who found it tedious among other complaints, writes Airlines Editor Gordon Smith. The new video features Qantas crew and passengers sharing some of their favorite destinations. But with renewed focus on pre-flight briefings in recent weeks, some commenters on social media have argued Qantas’ film lacks critica

Episode Notes United Airlines is taking another look at its fleet plan due to delivery delays with the Boeing 737 Max 10, writes Airlines Reporter Meghna Maharishi. The Max 10 hasn’t been certified by the Federal Aviation Administration yet. And given the Max 9 groundings, United executives said during the airline’s fourth-quarter earnings call on Tuesday that it’s unrealistic to expect deliveries will be on time. Maharishi notes United is focused on the Airbus A350.  Meanwhile, United posted net income of $600 million during the fourth quarter. However, the Chicago-based carrier said Monday it expects a first-quarter loss due to the grounding of the Max 9 following a blowout aboard an Alaska Airlines flight earlier this month.   Next, Expedia CEO Peter Kern is urging hotel owners to clamp down on rogue wholesale rates, reports Executive Editor Sean O’Neill.  Kern said at the Americas Lodging Investment Summit this week that hotels aren’t doing enough to keep their wholesale rates off of smaller retail travel