Skift Daily Travel Briefing

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

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

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

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

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

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

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

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

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

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