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Optimism in Chinese hotel gross bookings forecastAugust 2022
Hotel groups are accelerating an already in-motion shift into emerging regions. Chinese and international hotel chains are signing more hotels, and investing in marketing for existing properties, in lower-tier cities to tap burgeoning affluence and travel confidence. With gross bookings to reach $47.6 billion by 2025, there’s optimism from the hotel and lodging sector in China.
Help Wanted: How travel survives the people shortageAugust 2022
The employment problem must be solved soon. No one likes the alternatives - a smaller industry, higher prices and less service. Ultimately, suppliers need to discern when the human touch can be replaced with technological alternatives, and how to better anticipate surges in demand. Simultaneously, it is imperative that they maintain a flexible workforce (with both staff and contractors). With talent...
4 questions around the fintech and payment revolution in travelJuly 2022
Renewed drive for increased efficiency and a simplified, secure user experience as demands for the travel industry warrants a focus on fintech. Broadly defined as software applications that involve financial services such as payments, loans, settlement and insurance, employment of big data fintech solutions can solve problems in ways previously impossible. The potential for growth within the...
Key developments in China’s online travel marketJuly 2022
Travel distribution will mirror the high-octane digital transition of China's consumer economy. By 2025, online penetration is forecast to reach 73%. Once a travel recovery gathers momentum, suppliers and OTAs will generate the majority of their revenue from online channels, primarily from mobile customers. Travel agencies and group tour operators were the bastions of offline transactions, but the...
5 key developments in the U.S. hotel marketJune 2022
U.S hotel gross bookings gained 65% year over year in 2021, as the segment mounted a recovery while still contending with a persistent virus and related challenges. Room occupancy vacillated between 60% and 80%, corresponding with seasonal travel peaks and virus-induced troughs. By 2023, hotel revenue is expected to recover to pre-pandemic levels, being one of the first travel segments in the U.S....
Time for a rethink in digital advertisingJune 2022
In 2019, the travel industry spent $6 billion on digital advertising. Though the last two years saw the pandemic reduce this spend nearly in half, digital travel advertising is projected to reach $4.54 billion in 2022, still a sizeable expenditure. The digital advertising space is amid a radical restructuring, with some changes happening now, significant disruption coming soon, and the promise of a...
3 key challenges for airlinesMay 2022
Amidst the uncertainties of the past two years, some airlines have taken the opportunity to rethink their strategies. The pandemic has not only posed severe revenue challenges for airlines, but also thrown many of their former predictive models out the window. Innovation is the name of the game. A new system, leveraging greater reliance on NDC, allows for more personalized sales.This adjoins with...
Hotels: on the path to attribute-based prosperity or calamity?May 2022
Hotels have long struggled to capitalize on room rates. The old selling model, which relies on simplistic sorting factors, leaves lots of potential revenue on the table by not customizing options for each unique guest. Enter: the attribute-based selling model (ABS). A new take on inventory and product bundling, ABS has the potential to improve search and data organization and optimize premium...
Short-term rentals: the difference between U.S. and EuropeMay 2022
Travelers in the U.S. and Europe have embraced rentals as a lodging option that affords safety as well as privacy, with many opting for smaller cities and non-urban destinations. Demand is through the roof and a niche no more. But what are the distinguishing features between these sets of consumers? Here’s what travel companies need to know about U.S. and European consumers when it comes to the...
Lodging Tax Compliance: Reducing Risk and Streamlining EfficiencyMay 2022
Every room rental, meal or ancillary retail transaction will typically involve some formof tax, or at least, an accounting of the exemption from such tax. For something soperpetual and pervasive, it is surprising that hotel operators across the spectrum –from the quaintest inns to the most opulent ultra-luxury properties – continually findthe processes associated with managing sales and use taxes...
Quiz: How well do you know the European short-term renter?May 2022
Short-term rentals have carved out their position as a mainstream option for travelers booking accommodation during their trips. How well do you think you know the European short-term renter? Take this quiz to find out, plus learn some new insights about consumer booking behavior and preferences.
Target beware: Not all SPACs are created equalApril 2022
While SPACs with deep travel market expertise and a commitment to long-term growth offer a compelling value proposition, there are wide variations in SPAC quality, and overall, the category has underperformed. In some cases, sponsors and hedge funds, sometimes called the SPAC mafia (you can't make this stuff up), have reaped big rewards while leaving retail investors holding the bag. As the risks of...
Looking ahead to a sustainable, peer-to-peer car rental segmentApril 2022
There has been increased conversation on the future of sustainable tourism across the travel industry, and within car rental, the future of sustainable fleets. Some key steps have been taken toward incorporating greener options. Avis and Enterprise have both expressed intention to grow within their EV strategies, though they remain in more preliminary phases of their plans. Enterprise has rolled out...
1 thing to know about each major European market in 1 minuteApril 2022
Slowly but surely, the European travel market began to mount its recovery in 2021. After dipping to just 64% of its 2019 size in 2020, gross bookings climbed a projected 31% in 2021. Each major European market is undergoing developments that point to a cautious but optimistic recovery in 2022, with projected double-digit gains for the next several years. Here’s one thing to know about each major...
The difference between touchless and frictionless travelApril 2022
While touchless interactions have eliminated the need for travelers to physically put their hands on a publicly used surface, touchless solutions still often require the traveler to drive the process through their smartphone. Depending on the complexity of that effort, the experience may be touchless but certainly not frictionless. True frictionless travel eliminates the use of all credentials, and...
What’s next for the U.S. airline market?March 2022
Airlines have ambitious goals for 2022 and beyond. They need to invest heavily in technology, reach sustainability goals and invest in partnership to offer more connected routes. Representing 37% of U.S. travel market gross bookings, here’s what’s next for U.S. airlines in the coming years.
Hotel and lodging represents 51% of all U.S. travel gross bookingsMarch 2022
In 2022 and beyond, the industry should benefit from an increase in business and international travel, as well as groups and meetings demand. Phocuswright projects 2022 gross bookings to rise another 18%.
By 2023, hotel supplier-direct will again surpass OTAsMarch 2022
After experiencing a rebirth in 2021, OTAs gained more than half of hotel online sales in 2021. However, the supplier-direct channel was able to capitalize on certain marketing and loyalty campaigns to gain back share.
The 7 biggest tech trends influencing travel in 2022March 2022
Each year, Phocuswright's expert analysts identify the technology and innovation trends that will influence travel significantly in the years to come. These seven trends reveal a dramatic acceleration in digital change that has taken hold in the travel industry.
The most used booking platforms for short-term rentals and what makes them attractiveFebruary 2022
Travelers associate more familiar short-term rental (STR) brands with a better product offering and performance - either due to inherent strengths or due to the brand halo. However, streamlined search capabilities and a good user interface are still very important to accommodation shoppers. Nearly two thirds of STR users give priority to instantly bookable properties when searching. Here are the...
Myth-busting the new digital nomadFebruary 2022
The demographics of the New Nomad population illustrate that many of the previously held assumptions about digital nomads are outdated. The population's age distribution, education level, employment status and income paint a very different picture of the nomadic travel trend.
10 things you might not know about the travel startup landscape in 1 minuteFebruary 2022
Recently, investors have backed more transactional startups than other business models. Funding to payments, SaaS/PaaS and fintech horizontals is on the rise. Here's 10 things you might not know.
Top drivers of conversion for short-term rentersFebruary 2022
When travelers decide to book a short-term rental (STR), they are often choosing among multiple properties. What makes a property stand out? The character of STRs is a key draw, and many STR users actively seek out properties with an interesting look and feel. Here are the top considerations and drivers of conversion for short-term renters.
These regions lead in innovation and startupsFebruary 2022
Here’s where travel startups are being founded and a breakdown of where innovation is thriving by region - in less than 3 minutes.
5 things to know about European attitudes on sustainabilityFebruary 2022
Many Europeans have strong opinions on which travel behaviors they are willing to adapt or reduce. If sustainable options are well priced, Europeans would consider implementing those alternatives. Here are 5 things to know about their attitudes toward sustainability.
Business travel decimated, yet funding to startups explodesJanuary 2022
Covid-19 decimated business travel, but the longer-term impact of the pandemic on the future of work has the potential to permanently rewrite the rules for corporate travel – and for the way startups in this space raise capital and operate. A vertical that has raised over $2.6B in funding since 2010, corporate travel startups are poised to see growth in 2022 and beyond.
1 in 3 travel startups are lodging-centricJanuary 2022
Led by an acceleration of short-term rental startups, highlighting the consumer opportunities and related B2B technology and distribution needs of the segment, Lodging startups have collectively raised $12.4B since 2010.
The Critical Role of Independent Distribution in the U.S. Travel IndustryJanuary 2022
The U.S. travel sector has been badly affected by the COVID-19 crisis, although there are encouraging signs of a rapid recovery. Gross revenue is rallying and full recovery to 2019 levels is expected within the next several years.
Latin America travel market poised to hit $62.1B revenue by 2024January 2022
In the LatAm travel market, uncertainty is still present and travel companies must keep an observant position to see what happens in the coming months. However, with the new year upon us, the worst is behind the Latin America travel market. Here’s a complete overview of the LatAm market, with projections for 2022 in gross bookings, booking and channel data, a breakdown of country-specific data,...
Travel Tech: Creating Value and Driving RecoveryJanuary 2022
Return to 2019 revenue levels and growth is expected by 2025, as the recovery of the sector will be steady but slow. Given their key role in connecting buyers with sellers, travel intermediaries will play a significant role in this process.
7 gaps between AI proof vs. promiseJanuary 2022
The vision of completely automated, personalized processes using AI remains perfectly valid, but the reality of today's AI technology reflects a field that is still very much in the emerging stage. All AI initiatives should focus on enhancing human services, not just replacing them, and account for current limitations while planning for the future capabilities of AI technology.
10 things you might not know about the New Nomad in 1 minuteFebruary 2022
The demographics and behaviors of the New Nomad population illustrate that many of the previously held assumptions about digital nomads are outdated.
The Professionalization of U.S. Short-Term RentalsMay 2022
Short-term rentals (STRs) were already on the path to becoming an integral part of the lodging landscape over the last decade. But pandemic-induced demand thrust them into the limelight and accelerated their growth. STRs are projected to account for 27% of the U.S. lodging market in 2021, a 10-point increase in just two years.