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Wednesday, November 8, 2017

Avocado Toast Lux Strategy + SeaWorld Seeks Ad Fix + BA's Premium Battle

November 8, 2017 View in browser

Note From the Editor

The only constant in life — and in business — is change. That hard truth is painfully obvious in some of today's stories. SeaWorld was a pearl in Blackstone's investment portfolio when the theme park went public in April 2013, but the Blackfish documentary on killer whales a few months later damaged the brand, and it is still hemorrhaging customers. Walk though any popular tourism destination these days, and restaurants and hotels display signage about their TripAdvisor ratings, yet things have never looked more grim for the hotel review and booking site.

Meanwhile, when the CEO of British Airways refers to his airline as a "premium" brand, there are cries of disbelief in some quarters because the Gulf airlines and others make British Airways appear ragged. Moral of the story? Companies shouldn't get complacent or overconfident because a hungry competitor or a twist of fate may upend the status quo in a heartbeat. Business, after all, isn't for the feint of heart.
Just Announced: Skift Tech Forum in Silicon Valley in June 2018
Earlier this week, we announced a new Forum event, happening in Silicon Valley in June of 2018. Skift Tech Forum will explore the tech disruptions happening in retailing, merchandising, and distribution of travel. Save the date!
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New Research Available: Analyst Session + Data Sheet on Ctrip and China Online Travel
Smartly, Priceline has shown no shame in capitalizing on the China opportunity through minority-stake investments. It works both ways, too. Numerous local players want a piece of China's exploding outbound travel business. That means investments in western assets. Subscribe to our Skift Research to know more.

SeaWorld Has a New Ad Campaign to Make People Like It Again
SeaWorld has not been able to turn its attendance slide around, and back-to-back hurricanes didn't help. But executives hope to address deeper perception issues — the buzz phrase that's been around for years now — with a new ad campaign.

TripAdvisor CEO Was Coy About Pullback in Meta Advertising Business
TripAdvisor CEO Stephen Kaufer was extremely political today in his response to questions about decreased advertising spend from metasearch partners. How the company will rejuvenate its hotel booking product remains an unanswered question as well.

Pass the Avocado Toast — Updating the Luxury Spa Experience for a New Generation
Luxury spas need to understand that because many millennials are already incorporating wellness into their everyday routine, they need something from high-end destinations. It might seem trite to highlight avocados but today's under-35s value food above almost everything else.

Video: Skift CEO Argues the Travel Industry Can't Disengage From the Turbulence Around It
We are not going to go as far as the part-of-the-problem or part-of-the-solution juxtaposition. But travel companies can decide whether to play it safe or get involved when it comes to atrocities and misguided policies breaking out all around. That's the debate and the dilemma.

British Airways CEO Plots Return to a 'Golden Era'
Alex Cruz is walking a fine line. On the one hand he wants British Airways to become a more cost-effective operation, but on the other he still wants to retain its reputation as a premium carrier.

Soft Brand Launches and the Threat to Luxury Hotel Collections
While soft brands aren't a new phenomenon, the big hotel companies seem keener on them than ever. They may not represent a direct threat to luxury hotel collections but they increase the competition when it comes to wooing owners.

Czech Website Creates Itineraries From Low-Cost and Legacy Carriers
The conventional wisdom is that major online travel agencies make it impossible for their smaller counterparts to break through. Kiwi.com is challenging that thesis, though it is very much early days.

U.S. Travel Abroad Set New Record in 2016 Because of Stronger Dollar
Many travel brands were sweetening their deals for U.S. travelers last year to encourage them to take advantage of their dollars going further. The deals have remained pretty sweet this year, too, as countries like Canada and the UK are already reporting record U.S. visits.

Luxury Hotel Leaders Share Lessons Learned in Hurricane Aftermath
It's not if you get knocked down, but how you get up that matters. Not only do hospitality teams have the opportunity to provide guests with shelter and stability, but they can expand their impact throughout their local communities highlighting the strength and potential for our sector to be force of good.
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Singapore Airlines Unveils a Massive First-Class Suite to Compete with Gulf Rivals
We expect Singapore's new first-class suites will be considered among the world's best products. But the airline still faces intense competition from Gulf and Asian airlines. It's not clear how much this cabin update will help on that front.

Business Class Must-Haves That Airlines Neglect at Their Peril
As airlines double down on investment in business class, there are some experiential table stakes for customers paying the money to sit up front.

British Airways Hints at Disrupting Its Loyalty Program in 2018
British Airways may be moving award bookings through its Executive Club to dynamic pricing, shifting the way that loyalty program members redeem free tickets. The move may render an already-troubled loyalty program to something even less competitive for elite flyers.
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