Skift Daily Travel Briefing

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.

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

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

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

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

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

The podcast explores the decline in Middle East tourism due to the Israel-Hamas War and how the region's growth was previously boosted by expanded air connectivity and investments by tour operators. Additionally, the episode discusses the potential for artificial intelligence to revolutionize customer sales and internal operations in the travel industry, including a new AI-based trip planning tool from Accor. The podcast also mentions travel startup Klook raising $210 million in funding.