Skift Daily Travel Briefing

Episode NotesOfficials in California recently launched a new tourism marketing campaign. Visit California CEO Caroline Beteta discussed it and more in an interview with Global Tourism Reporter Dawit Habtemariam.Beteta said California’s current marketing campaign — titled “Ultimate Playground — aims to showcase a sense of play often associated with the Golden State. She described the campaign as a pivot from Visit California’s long-running campaign “Dream Big,” which she added will still be a part of the organization’s messaging.Beteta also touched on Visit California’s work with celebrities, who frequently appear on the cover of its visitor guides. She cited Jennifer Hudson as one celebrity the organization has partnered with. Next, travel and tourism investment firm Certares was behind a consortium that acquired FTI Group, Europe’s third-largest tour operator, writes Travel Experiences Reporter Jesse Chase-Lubitz. The consortium will own all of the share capital while FTI will receive about $130 million to use for its digital transformation and growth. Certartes holds stakes in G Adventures, Tripadvisor and AmaWaterways, among other travel brands. Meanwhile, Munich-based FTI has 120 subsidiaries throughout Europe. Finally, Iceland is still a popular destination for Chinese travelers while Kazakhstan has become a new favorite, reports Asia Editor Peden Doma Bhutia.Iceland remains one of the top 10 most coveted outbound destinations among travelers surveyed by China-based marketing company Dragon Trail International. An executive at Dragon Trail credited reality TV and social media for familiarizing Chinese travelers with Iceland. As for Kazakhstan, the easing of visa restrictions — as well as its winter resorts — have made the country more appealing for many Chinese. However, Thailand has suffered in the eyes of many Chinese travelers due to concerns about safety. Roughly 38% of those surveyed by Dragon Trail considered Thailand “unsafe” to visit.

Episode NotesMarriott and IHG have each announced plans to add 100 hotels to their portfolio in Europe, reports Senior Hospitality Editor Sean O’Neill.Marriott said it would add those roughly 100 properties by the end of 2026 through hotel conversions — deals where the owner of an existing hotel assumes a new brand affiliation — or converting existing buildings into hotels. Marriott already has more than 800 properties in Europe. As for IHG, the company is planning to team up with Novum Hospitality, one of Germany’s largest family-run hotel groups, to add a little more than 100 hotels to its footprint in Germany.   Next, several major airlines are still taking a cautious approach to operating flights in the Middle East following Iran’s attack against Israel this weekend, writes Airlines Editor Gordon Smith. While the European Union Aviation Safety Agency said there’s currently no overflight risk for civil aviation, some airlines are extending route cancellations and diversions. Virgin Atlantic said on Monday it’s temporarily avoiding the airspace of Iraq, Iran and Israel, resulting in some flights from the UK to India being adjusted. Meanwhile, the Lufthansa Group said its flights to Lebanon and Iran will remain suspended until at least Thursday. Finally, Accor CEO Sébastien Bazin sees enormous room for growth in India. India Reporter Bulbul Dhawan delves into the reasons for Bazin’s optimism.Bazin described India, where the company operates 62 hotels, as an untapped market. He noted that the top five hotel operators in India collectively have less than 1,000 hotels compared to 25,000 in China. In addition, Dhawan cited India’s rapidly growing middle class — a 2024 Skift Megatrend — as another reason for Bazin’s belief that business in India will boom. Bazin also said he saw a lot of potential in India’s secondary and tertiary cities, which are home to roughly 1 billion people. Presenter/Producer: Jose Marmolejos

Ben Drew recently announced he’s stepping down as Viator president. Executive Editor Dennis Schaal explores what that means for Viator’s parent company Tripadvisor, which is considering a potential sale.  While Schaal writes the impact of Drew’s departure is unclear, one travel industry executive said it would make a potential buyer of Tripadvisor take a deeper look at Viator’s prospects as well as its leadership structure. Tripadvisor has yet to comment about who might succeed Drew.  Tripadvisor has also floated the idea of spinning off Viator in recent years. Next, the U.S. airline industry is asking the federal government to halt additional flights to China, citing what it believes are Beijing’s “anti-competitive policies,” writes Airlines Reporter Meghna Mahirisi. Four aviation industry groups signed a letter urging Washington to pause an increase in flights between the U.S. and China. U.S. airlines have argued they’re at a disadvantage because they can’t fly over Russian airspace while other Chinese competitors can. U.S. and Chinese carriers have been able to operate up to 50 weekly flights between the two countries since March 31, roughly 100 fewer than prior to the pandemic.   Finally, as several Western destinations are still waiting for Chinese group tours to return to pre-Covid levels, Canada has found ways to deal with the ongoing absence of Chinese groups. Destination Canada CEO Marsha Walden addressed that topic and more in an interview with Global Tourism Reporter Dawit Habtemariam. Walden said China’s ban on group tours has enabled Destination Canada to focus more on attracting fully independent travelers, who she said are likely to spend more. Walden added that Canada has had success coming out of the pandemic attracting visitors from the U.S., Mexico and Europe. Walden also discussed soccer’s 2026 World Cup, an event Canada will co-host with the U.S. and Mexico. She said she had confidence that the Canadian government could reduce visa wait times before the tournament.  

Episode NotesDelta Air Lines posted a first-quarter profit in what’s normally a sluggish period for airlines — in part due to a rebound in business travel, writes Airlines Reporter Meghna Maharishi. Delta President Glen Hauenstein said during the company’s earnings call that corporate travel sales were up 14% from last year. He added the technology, customer services and financial services industries led the increase. In addition, Delta saw record revenues for domestic travel during the first quarter. The company recorded a $37 million first-quarter profit — in contrast to a $363 million loss during the same period last year. Next, Brazil has postponed reinstating its visa requirement for visitors from Australia, Canada and the U.S. until 2025, writes Global Tourism Reporter Dawit Habtemariam. President Luiz Inácio Lula da Silva signed a decree this week that included the postponement. This is the second time Brazilian authorities have postponed the visa requirement, which was originally set to be implemented in January. Citizens of the three countries have been allowed to visit Brazil without a visa since 2019. Finally, the travel industry has seen a wave of corporate travel agency mergers and acquisitions recently. Contributor Justin Bachman notes two key factors contributing to the trend. Bachman reports that travel suppliers — especially airlines — are looking to improve their distribution channels and obtain more capital for investments in tech. Amex GBT CEO Paul Abbott said suppliers want their distribution channels to deliver a modern retailing experience. Meanwhile, Mike McCormick, former head of the Global Business Travel Association, said the largest corporate travel agencies firms have been forced to invest heavily in technology due to pressure from airlines. Airlines are moving more of their fares from the traditional global distribution system model to a direct New Distribution Capability platform. 

Episode NotesSeveral major hotel CEOs took home more money in 2023 than they did the previous year. Senior Hospitality Editor Sean O’Neill provides information about their pay packages. Hilton CEO Christopher Nassetta was the highest paid hotel executive in 2023, making $56.8 million. He was awarded about $8.3 million in total compensation the previous year. O’Neill cites stock-market gains as a reason why Nassetta’s pay package was substantially higher. Hilton’s stock price jumped 42% last year, and Nassetta received $16.3 million in stock awards. Hyatt CEO Mark Hoplamazian was the second-highest paid hotel CEO in 2023, making close to $56.4 million.Next, Viator President Ben Drew has announced he’s leaving the company, reports Senior Hospitality Editor O’Neill.  Drew said he would leave Viator — Tripadvisor’s travel experiences brand — on April 12 for “a new opportunity in a new industry.” Drew, who had previously worked at Expedia and Deloitte, has served as Viator president since 2020. Viator generated about $4 billion in gross bookings last year, a figure Drew said was only about 1% of the experiences sold online and off. Finally, a whistleblower at Boeing claims the planemaker took shortcuts to make both the 787 and 777, writes Airlines Reporter Meghna Maharishi. Boeing engineer Sam Salehpour said the company has dismissed repeated concerns about the quality control of the 787 Dreamliner and 777. Those models are among the most used widebodies in the aviation industry. Federal authorities are currently investigating Salehpour’s claims, which were made public on Tuesday. He had filed a complaint with the Federal Aviation Administration in late January. Boeing has disputed some of the claims and said it has worked to improve the production and quality control processes of the 787. 

Episode NotesMichelin is rolling out a new hotel rating system worldwide this year. The company has already awarded 24 French hotels its highest rating, “Three Keys,” writes Travel Experiences Reporter Jesse Chase-Lubitz. Michelin said it’s looking to evaluate hotels beyond basic amenities, with an emphasis on their restaurants, design and service. One key signifies a “special” hotel, two keys an “exceptional” hotel, while three keys represents “extraordinary” establishments. Michelin has bestowed the new honors on 189 French hotels, and it plans to reveal its picks for top U.S. luxury hotels later this month. Next, Spirit Airlines has announced two major changes to boost its balance sheet, writes Airlines Editor Gordon Smith.Spirit has reached a deal with Airbus to delay deliveries of some new jets by five years. The carrier said the decision is expected to improve its liquidity position by roughly $340 million over the next two years. Spirit is also planning to furlough about 260 pilots from September 1, which the company said is a result of the aircraft deferrals and grounding some jets due to engine issues.  Finally, Airbnb and its rivals saw short-term rental stays in Europe increase 14% in 2023 from the previous year, writes Short-Term Rental Reporter Srividya Kalyanaraman. Airbnb, Expedia, Tripadvisor and Booking sold about 678 million nights in short-term rentals on the continent last year. Those platforms also registered a roughly 23% year-over-year increase in short-term rental nights sold in last year’s fourth quarter. Every country in Europe except Liechtenstein registered growth. 

Episode NotesThe total eclipse that will pass diagonally across the U.S. next week is expected to boost tourism in dozens of cities. So how will it impact air travel? Reporters Meghna Maharishi and Elizabeth Casolo have answers. The Federal Aviation Administration has issued warnings about traffic possibly being higher at airports in the eclipse’s path. However, two airports run by the Niagara Frontier Transportation Authority in New York State aren’t projecting more traffic than usual. Meanwhile, one expert said it’s safe to fly in the middle of a solar eclipse, adding it’s practically no different from flying at night.  United Airlines and Southwest Airlines, among other carriers, have offered flights that provide travelers a chance to see the eclipse. Next, travel technology company Amadeus announced it has agreed to an expanded partnership with Expedia, writes Executive Editor Dennis Schaal. Schaal reports Expedia will further incorporate the New Distribution Capability into its operations. The NDC enables online travel agencies to allow travelers to choose their plane seats in advance for many airlines, along with a range of offerings. While Amadeus said the collaboration would enable Expedia to further personalize services, Expedia declined to state which services it might add. Finally, Alaska Airlines said it’s received $160 million from Boeing as initial compensation for lost profits after the blowout aboard Flight 1282, writes Airlines Reporter Maharishi. Maharishi notes the $160 million is the initial payment Alaska expects to receive for the blowout in January. However, the terms of future payouts from Boeing haven’t been revealed yet. Alaska Chief Financial Officer Shane Tackett said the company expects to be fully compensated for any losses in the first quarter. 

Episode NotesBrand USA will have a new president and CEO soon. NYC Tourism + Conventions CEO Fred Dixon will lead the U.S.’ destination marketing organization starting July 15, writes Global Tourism Reporter Dawit Habtemariam. Dixon, a veteran of the travel industry, will be tasked with helping the U.S. tourism industry make a full recovery from the pandemic. Long visitor visa wait times and the U.S.’ outdated air infrastructure have posed challenges for Brand USA. Dixon comes to Brand USA after having helped NYC secure $30 million in funds to market itself after the pandemic. Next, Hilton has acquired a majority controlling interest in Sydell Group, the owner of NoMad Hotels, reports Senior Hospitality Editor Sean O’Neill. Sydell will design, brand and manage the NoMad brand while Hilton will take the lead in working to get more NoMad hotels created. Hilton expects to build up to 100 NoMad hotels. NoMad, which currently has properties in Las Vegas and London in its portfolio, will join Hilton’s rewards program. Hilton’s acquisition of NoMad Hotels comes after it announced last month it would buy Graduate Hotels for $210 million.  Finally, Air India has completely transformed its loyalty program, writes Contributor Ajay Awtaney. Awtaney lists six major changes the company has made to its loyalty program. Air India will now award points to customers based on the fare paid instead of the distance traveled. In addition, Air India will keep any unredeemed points alive provided the loyalty program member flies with the company every two years. Under the previous system, unredeemed points expired three years after they were earned. Air India has also simplified the loyalty program’s status tiers. Awtaney notes Air India’s loyalty program is considered the toughest in India to achieve status. 

Steve Singh, co-founder of travel expense management company Concur, and four firms have acquired corporate travel agency Direct Travel, writes Travel Technology Reporter Justin Dawes. Singh said the group purchased Direct Travel, one of the world’s largest corporate travel agencies, from private venture capital firm Antares Capital and other debt providers. He said they’re planning to release a platform for Direct Travel customers that combines the four firms’ technologies and services. The platform is expected to include an artificial intelligence-powered trip planner and a way to provide assistance to travelers facing disruptions.  Next, Trivago has brought back members of its leadership team from the time of its IPO in December 2016, reports Executive Editor Dennis Schaal. Trivago recently named Robin Harries its chief financial officer, a move the company said completed its leadership changes. Schaal notes that four executives who left Trivago in 2020 have returned to the Germany-based hotel metasearch engine. The company launched an AI-driven ad campaign in December. Finally, Wyndham Hotels & Resorts has announced its 25th brand, WaterWalk Extended Stay by Wyndham, reports Senior Hospitality Editor Sean O’Neill.O’Neill reports WaterWalk stands out from other hotel brands in that it permits owners to sell a mix of rooms. About 60% of its rooms are marketed as extended-stay hotel rooms and 40% are marketed as short-term rentals. O’Neill adds WalterWalk is part of Wyndham’s strategy to expand in the extended-stay sector. 

Episode NotesTravel metasearch sites, which enable consumers to compare hotel or flight prices from multiple vendors simultaneously, had been thriving since the early days of online travel. But the sector is experiencing a rough patch now, reports Executive Editor Dennis Schaal. Schaal writes some of the major travel metasearch players have had financial issues in recent years, noting Google has eaten into Tripadvisor’s metasearch market share. Tripadvisor’s hotel metasearch revenue grew only 7% in 2023. Meanwhile, Trivago recorded a roughly $176 million loss last year. Wells Fargo Managing Director Brian Fitzgerald said factors other than increased competition from Google have contributed to the struggles of travel metasearch companies. Hotels in particular have been able to attract more direct traffic through their loyalty programs.Next, United Airlines is offering pilots unpaid time off in May due to delivery delays with Boeing jets, writes Airlines Reporter Meghna Maharishi. The carrier said its projected 2024 block hours — the industry’s standard measure for aircraft use — have been cut. So United pilots now have the option of taking unpaid time off to help reduce excess staffing. Boeing delivery delays have also impacted hiring at United, with the airline announcing it would halt pilot hiring in May and June. Finally, baseball star Shohei Ohtani could boost tourism to the U.S. this season after joining the Los Angeles Dodgers — that is, if he isn’t suspended for being involved in an ongoing gambling scandal, writes Associate Editor Rashaad Jorden. Japanese travel agency JTB is looking to take advantage of the huge interest in Japan in seeing Ohtani play for the Dodgers. JTB, which agreed to an international partnership with Major League Baseball earlier this year, is offering travel packages to Ohtani’s regular season games in the U.S. JTB Branding and PR Manager Kaori Mori said the company saw enormous demand in the travel packages it offered for the season-opening series in South Korea between the Dodgers and San Diego Padres.Ohtani has been mired in controversy recently, as his longtime interpreter has been accused of stealing millions of dollars from Ohtani to cover a gambling debt. But Mori said she believes more Japanese fans want to travel to the U.S. to watch Ohtani, who has denied betting on baseball. Producer/Presenter: Jose Marmolejos