United Ups Seat Fees + Marriott the Powerhouse + Travel Agents' New Frontier

The Travel Industry's Daily Agenda-Setting Newsletter

August 22, 2018

Editor's Note Most of us walk into an airplane cabin and see a confined space where we know we will be forced to sit for a few hours, hopefully without too much discomfort and frustration. Airline executives like Scott Kirby walk into an airplane cabin and see a schematic before them, envisioning ways each row of seats can be segmented to maximize revenue. Aviation Business Editor Brian Sumers interviewed the United president in Denver on Tuesday about plans to raise fees for seats that don't have better legroom but are considered more desirable, mostly on the aisle and by the windows. He likened the strategy to how concert seats are sold. That kind of talk gives hotel executives deep envy about managing revenue. Travel Tech Editor Sean O'Neill writes today about upstarts trying to help the hotel industry improve its revenue management, a story that turns out to be a nice companion piece to the United fee story. We don't begrudge executives for wanting to wring out every penny of revenue, but when the last inch of an airplane and corner of a hotel room become a fee-enhancing opportunity ruled by software tweaks, customers sooner or later will walk. — Tom Lowry, Managing Editor How Hotels Are Using Cloud-Based Tools to Attract Meetings: SkiftX Webinar Sponsored by Cvent Register for our next webinar on August 28, 1–2 p.m. EST, when we'll dive into the recent disruptions within the meetings and events industry that are forcing hoteliers to rethink how they attract meeting planners. Register Now Top Stories Power of the New Marriott: Latest Skift Research Report The monumental task of integrating Starwood continues almost two years later at Marriott, with all eyes on the Sheraton brand turnaround and the merging of the loyalty programs. Both could mean millions in incremental fee revenue, and efforts to reduce hotel-owner costs aren't going unnoticed. United's Revenue Architect Plans to Add New Fees for Slightly Better Seats This is a tough call. In some ways, what United is doing with preferred seats is unfair. It may make it harder for families to sit together. But at the same time, most of United's competitors have similar fees. Travel Agents Get a Dose of the Sharing Economy Through Sabre Deal With Booking This move signals Sabre's eagerness to remain a powerhouse for travel agents in a changing landscape where alternative lodging, driven by the popularity of Airbnb, takes off. Come 2019, Sabre aims to be more of a one-stop shop for agents. Some agents applaud the move, others couldn't care less. Why Hotels Envy Airlines When It Comes to Managing Revenue The revenue management industry picked an odd time to have an identity crisis, given the opportunity for additional profit that new rate-setting and distribution software could bring. Hostelworld Counts Cost of European Heat Wave There have been a number of big changes at Hostelworld in 2018 and we should expect further shifts in strategy under new CEO Gary Morrison. Oberoi's Focused Approach to Luxury The Oberoi Group is a good example of a hospitality company that has eschewed aggressive expansion in favor of thoughtful growth. Popular Now Delta Will Fly Newest Jets With Fewer Middle Seats on Key Business Routes Who says airlines don't prioritize passenger comfort? As long as carriers calculate passengers are willing to pay for a better experience, they will provide it. Marriott and Starwood Face Speed Bumps in Loyalty Merger The planned integration of Starwood Preferred Guest and Marriott Rewards did not go entirely smoothly this weekend. Some members were not shy about expressing their unhappiness. 'Crazy Rich Asians' Is Potential Bonanza For Singapore Tourism Many destinations or small towns aren't prepared for waves of tourism after a box office hit makes travelers want to visit, but not Singapore. The island nation has been expanding its airport, hotels, stopover program, and luxury offerings for years as it waited for its turn in the spotlight with U.S. travelers. For Gmail users: If you are using the tabbed inbox, Skift emails may be pushed to the 'Promotions' tab. To get updates from Skift direct to your primary inbox, drag and drop this email to that tab. You received this email because you are subscribed to Skift Daily Newsletter from Skift.

Follow us Our address: 145 W 30th Street 5th Floor New York,  NY  10001  USA  Copyright © 2018 Skift, All rights reserved.

If you'd like to unsubscribe from this email, click here If you'd like to receive fewer emails, click here If someone shared this email with you and you would like to subscribe, visit our newsletters page on Skift