Weekly Roundup #47: Travel, Tech and Social Media
Happy BLACK Friday, everyone! It’s great to have you back on our blog for another Weekly Roundup! You probably know by now that this is our way of keeping an eye on everything that goes on in hospitality and travel and delivering it to you at the end of every week. Take a look at the latest news and stories to see what’s new and don’t forget to follow us on social media, for even more interesting updates: Facebook, Twitter, LinkedIn, and Instagram!
Have a wonderful weekend!
AccorHotels has been on a digital journey since 2014 when it announced its five-year digital transformation strategy. The hotel company has made a string of investments technology, vacation rental, and concierge services. During her keynote at the Phocuswright Conference, Maud Bailly, chief digital officer, provided her view on the event’s theme - the Power Paradox - saying that it is not necessarily the strong or the most intelligent that will survive. She also talked about how the company is customizing trips for guests and the importance of digital localization. You can watch in this article the video from the Phocuswright presentation, where our CEO, Ben, was also invited to discuss along Maud Bailly.
A new report featuring in-depth analysis predicts that the global business travel industry will be worth nearly US$1.7 trillion (about £1.3 trillion) by 2023, registering a growth of 4.1%. The report, titled Business Travel Market by Service (Transportation, Food & Lodging, and Business Activity), Industry (Government and Corporate), and Traveler (Group and Solo): Global Opportunity Analysis and Industry Forecast, 2017-2023 by Allied Market Research, monitors the key industry trends, drivers and opportunities within the business travel industry. According to the report, the global business travel market was worth more than $1.3 trillion (£1.01 trillion) in 2017. With the estimated increase in worth expected through 2023, the industry will register a growth rate of 4.1% during 2017-2023.
The race is on to become the indispensable travel companion. Glenn Fogel, Booking Holdings chief executive, told the Phocuswright conference in Los Angeles, that it is focused on ensuring its customers are using it for all of their travel needs. The group is in the process of integrating ground transport division rentalcars.com and is working more closely with its aviation brands like metasearch site KAYAK. It is also pushing forward with non-hotel accommodation and in-destination attractions following the acquisition of Fareharbor and restaurants with OpenTable which has been consolidated into the KAYAK division.
Trends and Insights
The traditional family holiday may have evolved over the years, but new research indicates multigenerational travel is still as popular as ever. In a recent survey conducted by GroupAccommodation.com, 83% of respondents agreed these holidays were an enjoyable experience - with over 75% suggesting they plan to do it again in the future. The survey defined multigenerational travel as a leisure trip involving at least three generations of the same family. Conducted in August 2018, 670 respondents were asked for their experiences and preferences relating to multigenerational travel.
Travel marketers are in for a rethink in order to address the demands of the Generation Z cohort, which is now entering the work (and leisure) space. Research from Expedia Group Media Solutions reveals they take about three trips a year for longer-than-average durations. The study - How Younger Generations are Shaping the Future of Travel - highlights that this will be the largest population in the United States by 2020. There’s good news for marketers in that two-thirds of them are largely undecided about where they want to go, which means there are lots of opportunities to inspire them. However, travel companies need to be mindful of elements such as budget and when they’re interested in buying certain elements of the trip. According to the research, Gen Z travelers like family trips and relaxing and they rank activities and once-in-a-lifetime experiences ahead of deals.
Nearly 70% of travel buyers say that enforcing policy is one of the most challenging aspects of their job, but new research also identified a large gap in traveler knowledge of policy when it comes to booking hotels. The Global Business Travel Association (GBTA) surveyed 265 travel buyers across the US and Europe in partnership with Roomit by CWT. A separate poll of 750 business travelers found a disconnect between the two groups. Jessica Collison, GBTA director of research, said: “Travel programme goals can be difficult to reach when travel buyers and business travelers are not on the same page. The research identifies where disconnects exist between hotel policy and traveler behavior and provide buyers with areas they can focus on to drive increased cost savings without necessarily compromising on traveler satisfaction. Ongoing communication to keep travelers informed on policy can go a long way toward achieving programme goals.”
The hospitality industry is no stranger to mergers & acquisitions. In fact, it seems that every few months we hear about a new big purchase. At TrustYou, we are familiar with our customers’ buys and buy-outs. And a topic that inevitably rises to the surface is: what hotel technology will we keep using, and what do we need to change? During this transition process, it will be critical for hotel groups to understand how they can optimize and consolidate hotel technology. But with so many programs in today’s hotel tech stack and so many vendors to consider, it can be quite an overwhelming task to get all properties onto the same systems. While we can’t help make the decision for you, we can help shed some light on what to consider when given the overwhelming task of identifying and implementing new hotel technology among your new or updated portfolio group.
U.S. travelers rely on their smartphones for every part of their journey, from using social media posts from friends and family to research leisure trips to sharing post-trip feedback. In Travelport’s "2018 Digital Traveler Survey" of 16,000 travelers from 25 countries, trends among respondents from the U.S. indicate that mobile devices are as vital for leisure travel as for other aspects of everyday life. Results from the survey also indicate an increasing desire among U.S. travelers for new technologies, such as voice search, e-payment, and digital room keys, to simplify and enhance their leisure trips. Mobile remains crucial, but travelers want a consolidated experience on leisure trips, according to the survey. Check out the extended article for more insights and findings from the study.