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Monday, December 11, 2017

Expedia Strategy Adds Up + Bag Fees Go Transatlantic + Wyndham's Brand Vision

December 11, 2017 View in browser

Note From the Editor

Two of our stories today highlight the uber-competitive nature of the travel industry. Life was basically good in online travel until the third quarter, when lackluster results caused investors to pull back from companies such as Expedia and Priceline. In one story, Expedia CEO Mark Okerstrom acknowledges competitors' improvements, but explains why he's confident some investors are failing to see the big picture.

Meanwhile, Delta, and Air France-KLM are feeling some heat from Norwegian and Wow Air, and have decided to charge bag fees on the cheapest transatlantic routes. One lesson in online travel and for airlines is that large companies have to be nimble because rivals will always try to step on their big, clunky feet.
How Jason Schott of Schott NYC Is Driving the Brand's Made-in-America Heritage [SPONSORED]
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Jason Schott, chief operating officer and fourth-generation family member of Schott NYC, talks about how the 104-year old company values its rich history and the craftsmanship behind their jackets and defies conventional manufacturing rules.
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Top Stories
Discounted Startup Tickets to Skift Forum Europe Now On Sale
Attention travel startups: We want you to attend Skift Forum Europe next April at our exclusive discounted price! Find out if you qualify and apply now.

Expedia CEO: Math and Strategy Are 'In Our Favor'
Expedia's HomeAway unit isn't as profitable as the parent company initially envisioned, and Booking.com rained on Trivago's parade. Still, Expedia itself — and financial analysts — are optimistic about Expedia's long-term prospects. Regardless of the promise, these are very challenging days in online travel.

Delta and Partners Will Charge for Checked Bags on Cheapest Transatlantic Fares
A $60 fee to check a bag in one direction sounds extreme. But how many passengers will buy Basic Economy fares on transatlantic flights? It's one thing to give up perks on a two-hour domestic flight. It's another to give up the right to choose a seat on an eight- or 10-hour segment.

Video: Why Being Uncool Works for Wyndham
Wyndham Hotel Group wants to revamp its brand design and experience as it gears up to go public. A good brand is a terrible thing to waste.

Interview: VisitBritain Chairman Steers Tourism Boom Through Brexit Uncertainties
Tourism, along with business travel, is on the rise again in the UK due to a weak British pound and cheap flights. VisitBritain is trying to make the most of it despite the lingering ramifications of the political mess that is Brexit.

Interview: Skift CEO Rafat Ali on Travel Industry's Sensory Deprivation Bubble
Ya, digital isn't enough — although it helps — in the Age of Permanxiety. Still, when the Four Seasons housekeeper or the cruise ship waiter strikes up a conversation, and you can feel it is heartfelt, then that makes all the difference.

Pilot Shortage Issue Splits European Airline Execs
Are there enough airline pilots to go around? There's no agreement on whether there's a crisis, but some airlines are at a greater disadvantage than others.

Airport Retailer Hudson Group Is Seeking an IPO in 2018
At least somebody benefits from flight delays. While many retailers struggle in the Amazon era, Hudson Booksellers is seeing sales growth thanks to more passengers crowding airports.
Popular Now
Ian Schrager Calls Out Hotel Industry's Airbnb Strategy as Misguided
If hotels could out-innovate Airbnb, then Schrager is right that would certainly be part of the answer to the threat posed by the homesharing company. However, Airbnb is more nimble than many big chains. And they are unlikely to give up their legislative efforts anytime soon.

Hilton Unveils Plans for Its Smart Hotel Room Rollout in 2018
Airbnb has gained in popularity on the claim that chain hotels offer a cookie-cutter experience. Hilton can fight back with technology that enables guests to personalize their experience.

Bidding Platform Koddi Buys a Hotel Ad Tech Division From Criteo
This relatively small deal tells a larger story about the structural reasons why hotels have been behind the curve in digital marketing relative to retail and other sectors.
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