March 15, 2007
 
Report: Mainstream Outlets Continue To Lose Audience; Ethnic Media Grows
The pace of change has accelerated. In the last year, the trends reshaping journalism didn’t just quicken, they seemed to be nearing a pivot point.
On Madison Avenue, says a report from the Project for Excellence in Journalism, talk has turned to whether the business model that has financed the news for more than a century -- product advertising  -- still fits the way people consume media.
With audiences splintering across ever more platforms, nearly every metric for measuring audience is now under challenge as either flawed or obsolete -- from circulation in print, to ratings in TV, to page views and unique visitors online.
Every media sector except for two is now losing popularity. Even the number of people who go online for news -- or anything else -- has stopped growing. Only the ethnic press is up.
The definitions of enemy and ally in the news business are changing. Newspapers have begun to partner, for instance, with classified-job-listing Web sites they once denounced, brought together by mutual fear of free sites such as Craigslist.
 
World Travel, Tourism Climb To US$7 Trillion
World Travel & Tourism is expected to generate in excess of US$7 trillion in 2007, rising to over US$13 trillion over the coming decade according to the World Travel & Tourism Council’s (WTTC) Tourism Satellite Account (TSA) research, sponsored by Accenture and prepared by Oxford Economics.
According to ehotelier, the new TSA results show strong performance for Travel & Tourism Demand in 2007, growing at a rate of 3.9%. This forecast points to a mature but steady phase of growth for World Travel & Tourism in the short and medium term, averaging 4.3% per annum, between 2008 and 2017.
WTTC’s latest findings reveal that the world’s largest Travel & Tourism Economies are holding strong in the top 10 list for 2007. The United States continues in its pole position with Travel & Tourism Demand accounting for more than US$1,689.3 billion this year.
Over the next ten years considerable ground will be gained by China which currently stands in third position behind Japan and is forecast to move up to second position by 2017. This progression is buoyed by a percentage growth in real terms of 9.6%, per annum, over the next 10 years.
Notably, by 2017 the Russian Federation will enter the top 10 list of countries expected to total the largest amount (in absolute terms) on Travel & Tourism Demand, where it has not figured previously.
 
UN Urges Internet Use To Boost Asia-Pacific Tourism
Governments and private operators should make greater use of the Internet to promote Asia-Pacific tourism, the United Nations said Tuesday as the industry gathered for its first regional e-tourism conference. The Internet could be used to target tourists directly, rather than depending on tour operators, Arlette Verploegh, of the United Nations Conference on Trade and Development (UNCTAD), told Agence France-Presse.
"Implementing information and communication technologies (ICT) in the tourism sector can greatly promote tourism and contribute to growth and empowerment in the region's tourism sector," Verploegh said from Kota Kinabalu, in Malaysia's Sabah state, where UNCTAD and Malaysian tourism authorities were hosting the two-day conference, which ends Wednesday.
She said use of the Internet in tourism was currently limited to hotel websites and government tourism boards, which advertised attractions and services. "It can be actually made to be more efficient, where (government and private operators) can better manage their operations by e-branding and e-marketing," Verploegh said.
"In this was they will not always be depending on a middleman. They can directly target their customers and decide on where, how, and what they should promote," she said.
Verploegh said countries which had practiced e-tourism had seen a boost in revenues from the sector.
 
Developer Wants To Create Five-Star Hotel Within A Four-Star Hotel
Developer Brian Anderson is spending $60 million to renovate the Ilikai hotel, and plans to turn the top four floors into a luxury five-star hotel with its own brand says Pacific Business News.
Anderson, who bought the 43-year-old hotel for $218 million last summer, wants to restore the Ilikai to its original 1960s splendor, when it was an icon of the television show "Hawaii Five-O." He has hired Hollywood design firm Powerstrip Studio to give it a hip, modern style.
Anderson said he doesn't want to modernize the entire Ilikai to "chase a certain market."
But the aging rooms and suites must be modernized to keep up with the Waikiki market, which, with billions of dollars in investment over the next several years, is going decidedly upscale. The hotel also is adding a spa, which is becoming a necessity for most luxury properties.
And, in what may be a first for Hawaii, he's talking about bringing in one hotel brand, a four-star flag, for the first 26 floors, and brand the 162 rooms and suites on the top four floors under a five-star flag, a sort of "hotel within a hotel," he said.
 
Air Canada Debuts Passes In The U.S. For Unlimited Travel
Air Canada has introduced subscription-based flight passes in the U.S. for unlimited travel between the U.S. and Canada says Travel Weekly.
The product is booked in a single transaction, but the airline draws the money in fixed monthly payments that include the pass prices, airport fees, charges and taxes. The airline introduced a similar product in Canada in October. Meanwhile in July, Air Canada began offering a multi-user pass for corporations that provides flight credits.
The new Flight Pass to Canada is being offered for introductory rate through May 7 starting at $1,657 per month for unlimited travel for three- or six-month periods. The flight pass comes with elite frequent flyer miles for purchasers who opt for the pass at the Latitude fare level, starting at $2,630 monthly.
 
EU Lawmakers Urge Bloc To Adopt "Open Skies" Deal
Reuters reports that the European Parliament has urged European Union countries to adopt an "open skies" pact liberalizing transatlantic air travel, piling pressure on Britain not to veto the agreement.
The EU assembly adopted a non-binding resolution that said the agreement was "an important step towards an integrated transatlantic aviation market that will be to the benefit of consumers". It called on EU transport ministers to adopt the pact when they meet on March 22. Parliament has no say on the process.
Britain has voiced doubts about the agreement because European airlines would still be barred from buying control of U.S. carriers or flying on domestic U.S. routes. Two UK airlines that reap big profits on transatlantic routes from London's Heathrow Airport, British Airways and Virgin Atlantic, have attacked the deal, putting pressure on the British government to block it in Brussels.
Lawmakers criticized the pact for failing to allow EU carriers to fly between American cities, known as cabotage, or to allow the bloc's airlines to control a U.S. peer.
They also wanted more emphasis on environmental action in aviation, but rejected attempts by the Green Party to have the pact seek the development of a more sustainable aviation policy to reduce the sector's impact on climate change.
 
New Publication Designed To Attract European Travelers To The USA
For the first time in more than a decade, Europeans can plan travels to the United States using a comprehensive travel guide featuring every state and territory says the Travel Industry Association.
A million issues of the Discover America - USA Travel Guide, published in English, French, German and Italian editions, have been produced by Bellevue, Washington-based Small World Publications. The magazine includes dazzling color photographs and a wide-open format to showcase the USA by regions and activities unique to each area of the country.
“Europeans stay up to seven times longer in the USA and spend up to four times more than domestic travelers, making them a sought-after audience, “ said John DeLeva, publisher of the new Discover America-USA Travel Guide. “The U.S. has seen its world market share of international travelers fall 36% since 1992. Our guide is one way to help regain market share and Europe is the right place to start.”
The guide presently is being distributed throughout Western Europe, primarily at travel shows and travel agencies, with help from tour operators and Visit USA Committees. The European market accounts for 29% of the USA’s international visitor count (14.2 million), with the United Kingdom, Germany, France and Italy ranking in the top ten.
 
WTO Chief: War, Terrorism Can't Stop Tourism
Global tourism earnings are rising strongly, with holidaymakers ignoring war and disaster, to continue travelling, according to Francesco Frangialli, president of the UN World Tourism Organization speaking at ITB Berlin this past week. He predicted average 4-per-cent growth in global tourist spending in the years to come reports the Bangkok Post.
Frangialli said some of the poorest nations in the world would especially gain. In 2006, tourist spending rose 4.5%. "Every part of the world profits from this growth, but the least developed countries have the highest rates of growth," he said.
Travel created jobs. Africa had led the world last year with a gain of 8.1% in tourism receipts. But he said more needed to be done to protect the global climate. The issue has been a key topic at the ITB fair.
Frangialli said the travel trade was sometimes a victim of climate change, as in Alpine areas hit by a lack of snow or Pacific islands harmed by rising sea levels, but tourism also caused climate change. He called for air travel to be included in a global emissions trading scheme so that industry had an incentive to develop low- emission aircraft and the trade had a strong reason to use them.
 
An L.A. Airport Attempts To Take Off – With Huge Subsidies For Carriers
In the late 1960s, Los Angeles bought up 17,000 acres of land about 50 miles northeast of the city to build a huge new international airport. Come June, after rabbits get chased out of an old terminal, a couple of daily flights will actually take off.
UAL Corp.'s United Airlines will begin flying 50-seat regional jets between San Francisco and LA/Palmdale Regional Airport (the "LA" was recently added to the airport's name). Los Angeles is spending heavily to open up Palmdale and entice United by covering losses, handling advertising and marketing and shining up the dusty outpost. The city's airport agency, Los Angeles World Airports, likely will spend an astounding $300 or more for every passenger who uses the airport in the next year. The airport may pay more than the passenger.
Getting airlines to serve satellite airports far from downtown can be a tough sell says The Wall Street Journal. LAWA offered to cover $2 million of airline losses, partly funded by a $900,000 federal grant, plus provide $1.2 million of free rent, marketing and other goodies. Only United and Delta Air Lines Inc. bid, and LAWA selected United largely because it has more frequent fliers in the area.
The Palmdale land, mostly desert dotted with Joshua trees, is five times as large as LAX. It was bought with the idea of building a vast new airport as Denver, Dallas and Kansas City, Mo., did.
 
Airline Flies Empty To Keep Heathrow Slot
An airline is flying an empty plane from England to Wales six days a week to preserve a landing slot at London's Heathrow airport. British Mediterranean Airways has been operating the ghost flight since October because of a rule that an airline must use 80% of its Heathrow landing slots or face reallocation, United Press International reports.
British Mediterranean resorted to flying an empty 124-seat Airbus after civil unrest in Uzbekistan forced the airline to scrap its flights to Tashkent. British Mediterranean Chief Executive Officer David Richardson said the airlines looked at alternatives before deciding to fly the Cardiff route empty.
"Our route network makes it difficult to put on additional flights to many destinations, due to bilateral agreements with the countries," Richardson told The Times. "In other cases there isn't a big enough market, we would end up carrying the same number of people on more flights."
Slots at Heathrow have been sold for as much as $20 million.
 
Healthy Growth Predicted For US Hotel Market
The supply of U.S. hotel rooms is expected to grow by 2.5% this year or faster than last year, according to Lodging Econometrics says TravelMole, but the market should remain healthy throughout 2007, say various forecasts.
"The nation's lodging markets, most of which are past their post-9/11 recovery phase, are absorbing the additional supply. Nonetheless, the economic conditions in 2007 may lead to more moderate lodging demand," said Mike Straneva, head of Ernst & Young's real estate transactions group.
Revenue per available room, a key measure of hotel financial performance known as revPAR, rose 7.4% last year despite only marginal growth in room occupancy, according to Smith Travel Research.
"2006 lived up to expectations ... so far for 2007, the crystal ball shows revPAR continuing to substantially outpace inflation, although below the gains of 2006," Mr Straneva said.
The exact trend will depend on U.S. economic growth, he said. RevPAR growth is being driven by room rates rather than occupancy, which has started to slip, but Mr Straneva said much of that is due to sophisticated yield management on the part of hotels.
 
Royal Caribbean Trends Include Shorter Cruises, More Dining Options
Royal Caribbean International's Majesty of the Seas returned home to South Florida after undergoing an extensive bow-to-stern renovation that includes several new dining and entertainment options says an article by TravelMole.
The transformed ship is offering year-round three- and four-night cruises from Miami to the Bahamas, which apparently represents a trend in cruise lines offering shorter outings. Another trend reflected in the ship: more flexible dining options.
 
Hilton To Sell Scandic Hotels For $1.1 Billion
Hilton Hotels Corp. said it will sell its Scandic Hotel chain to private equity group EQT for about $1.1 billion. According to MarketWatch, Hilton said it expects to clear $1.04 billion after taxes from the transaction, and will use the money to pay down debt.
Scandic is the largest hotel operator in the Nordic region, with 132 full-service hotels in the midmarket segment. But Hilton will still have a presence in the region, with three Hilton-branded hotels in Finland, two in Sweden and one in Denmark.
"This proposed sale represents the latest execution of our strategy to generate a higher proportion of income from management and franchise fees, while also reducing debt," said Robert La Forgia, Hilton's chief financial officer, in a news release.
 
I'm Too Sexy For My Uniform
Do clothes make the man and the customer experience? Some companies in the hospitality industry are revamping the look of uniforms worn by everyone on staff, from the concierge to the bellhop says salesandmarketing.com.
"Hoteliers spend millions of dollars developing an ambiance on a property, and employees are a big part of that experience," says Brian Garry, director of segment marketing for Cintas, a leading provider of custom corporate apparel. "It's silly to spend millions on your décor and forget about your people." Cintas has worked with a number of high-profile designers to create unique looks for hotels -- including Cynthia Rowley, who provided designs for the Hotel Monaco in Denver (a Kimpton property), and Michael Kors, who has partnered with W Hotels.
In March, Embassy Suites Hotels will begin unveiling its new Workstyle line of uniforms (pictured above) at the chain's 186 properties -- a move that will eventually see more than 30,000 employees sporting new togs. "If you lined up employees from different hotels in Manhattan and took their name tags off, you wouldn't be able to tell them apart," says John Lee, Embassy Suites' vice president of marketing and communication. "We wanted to have something different."
The uniforms were conceived as part of a competition on season five of The Apprentice --  the victorious design team, New York–based Lafayette 148, created a look that was distinctive, but also functional. Embassy solicited employee feedback throughout the process, hosting "fit and fashion" parties at various locations and incorporating workers' input into designs.
What do brands gain by building a better uniform? According to Cintas' research, almost 70% of consumers say that an employee's appearance directly affects their impression of a business's quality and services.
 
Bangkok Hotels Face Struggle To Achieve Tourism Growth
It’s been a difficult few months with most hotels in Bangkok reporting down turns in business, with some reporting 14% drop in revenues from the previous year. There are many factors at play, however price does not appear to be a major influencer says ehotelier.
Top of the list is security concerns particularly in the capital. The New Year bombings; the continued unrest in the South; the recent grenade attack close to the Rama Gardens hotel and a spate of travel advisories with government warning are all hurting tourism.
Forecast for March ‘07 in the capital is more of the same with occupancies normally hovering above 80%, however forecasters predict little more than 70%.
Big losers are the corporate and MICE market sectors. Some companies have issued bans on all but essential travel to Thailand with the uncertainty over the interim government’s failure to curb ongoing security concerns.
A number of high profile events have recently cancelled; one 5 star hotel recently reported loosing a North American corporate incentive group worth Bt 11m (US$ 309k), due to current travel advisories.
 
Switzerland Tops Tourism Chart For 'Best Environment'
European neighbors Switzerland, Austria and Germany top a list of countries offering the best environments for developing travel and tourism, followed by Iceland and the United States, an international study said on Thursday.
According to Reuters, Hong Kong and Singapore rank highest in Asia, and sixth and eighth respectively overall, according to the World Economic Forum's competitiveness report which evaluated 124 countries.
France -- the world's most popular tourist destination -- ranked only 12th, dragged down partly due to the general attitude of the French towards visitors, the Forum said in its "Travel & Tourism Competitiveness Report 2007." Italy, host to the highest number of World Heritage sites in the world, ranked a "mediocre" 33, mainly due to weaknesses that included policy rules and regulations, it said.
Countries were evaluated for natural and cultural resources, safety and security, environmental laws, health and hygiene, air transport infrastructure, labor practices and the priority which the government gives the sector. Data as well as results from the WEF's executive opinion survey were used.
Travel and tourism, which employs some 234 million people, is an important driver of growth, accounting for 10.3% of world gross domestic product last year, according to the report.
Switzerland, home to some of the world's most prestigious hotel management schools, offers excellent transport and tourism infrastructure as well as rich natural resources, it said. Britain ranked 10th, while Australia and New Zealand ranked 13th and 14th, respectively. Spain, which is the world's second-largest tourist destination, was 15th.
In the Middle East, the United Arab Emirates ranked highest at 18, thanks to a positive attitude toward foreign travelers and price competitiveness, it said.
Barbados, at 29th, was the highest ranked country in the Latin American and Caribbean region, while Brazil came 59th, as safety and security "continue to be of serious concern".
The most competitive country for tourism in sub-Saharan Africa is Mauritius (39th), followed by South Africa (62nd), which also was brought down by safety concerns, it said.
 
Intercontinental Hotels Hurt By Piracy In China
InterContinental Hotels will almost double the hotels it manages in Greater China over the next two years and hopes the business environment will be even better as the mainland's legal landscape improves.
The InterContinental Hotels Group, which operates 66 InterContinental, Crowne Plaza and Holiday Inn hotels in Greater China, reckons lax intellectual property rules and outdated franchise laws are slowing growth.
"It's a big headache," Edmond Ip, IHP's greater China chief operating officer, told Reuters on Wednesday. "There are hundreds of Holiday Inns out there. I can't count there are too many. They are everywhere."
Ip said the piracy of his company's brands would be flattering if the issue were not so serious.
"Without our brand, we are zero," he said.
 
Fiji Tourism Marketing Budget Short $5 Million
The tourism industry needs another FJ$9 million [US$5 million] for marketing to help it bounce back to normal, says the Fiji Visitors Bureau. According to the Fiji Times the Fiji Visitors Bureau and Tourism Action Group were given FJ$10 million [US$6 million] for marketing in the revised Budget but the industry had hoped for FJ$15 million [US$9 million] for the bureau and FJ$3.8 million [US$2.2 million] for Tourism Action Group. As a result, tourism-marketing campaigns had to be revised.
Bureau Chief Executive Viliame Gavoka said the industry was facing grim times with hotels reporting weak occupancy rates for April and May. Fiji Islands Hotels and Tourism Association president Dixon Seeto confirmed this, saying hotels would normally have a 50 to 60% occupancy rate at this time of year. Mr. Seeto said most hotels were now reporting an average 25 to 30% occupancy.
Mr. Gavoka said television and print media campaigns -- launched as part of an industry recovery plan -- had failed to some extent to lure tourists. He said these were only effective as long as they were running. Once the campaigns end, "so does the interest in Fiji."
 
Updated Marketing Tactics Attract Timeshare Buyers
When one method to get new customers doesn't work, good marketers try another. Timeshare companies have become experts at this philosophy, sparking creative sales-and-marketing tactics when others are not available.
The industry has had to shift its methods significantly over the past few years, first moving away from direct mail to more telephone and online marketing, then moving away from telephone sales with the advent of Do Not Call regulations. E-mail has become a challenge as well because marketers are required to get the recipients' permission before e-mailing says Hotel & Motel Management.
"Everything is permission-based these days," said Hollie Gilbert, vice president marketing operations for timeshare company Bluegreen Corp. in Boca Raton, Fla. "You have to go out and meet them in their marketplace."
Last year, Bluegreen expanded and changed its marketing programs at theme parks, trade shows and other events. While Bluegreen representatives simply asked for prospects' contact information in the past, Bluegreen's face-to-face kiosks now are used as selling centers. These "Bluegreen Getaway Stations" are themed to look like gas stations, where consumers can rest on the way to their destinations and learn about ways to have fun.
As timeshare companies become more reliant on the Internet for generating leads and sales, they also are launching creative and interactive Web sites. Orlando-based Wyndham Vacation Ownership recently started advertising www.timeshare.com/, a Web site it launched last year to provide information and answer consumers' questions on buying a timeshare unit.
"It is a stand-alone site. ... where they would go to get information on our various timeshare products," said Bryant Raper, executive vice president and chief marketing officer, WVO.
Advertised via traditional methods, including television and billboards, consumers who visit the site and like what they see can sign up to receive further e-mails about owning a timeshare. Methods like this are needed because response rates for direct mail, telemarketing and e-mail continue to worsen, Raper said.
 
Extended Stay Market Set To Expand In UK, Europe
The extended stay market in the UK and continental Europe is set to expand, driven by soaring hotel costs.A new briefing paper by PricewaterhouseCoopers (PWC), Hospitality Directions Europe, said the UK could follow America where the extended stay market is far more developed.
According to BusinessTravelEurope one in five hotel stays in the States is an extended stay - defined as five nights or more -with hotels chains and property companies providing 240,000 rooms. The figure for the UK is 3,400.
But PWC said companies providing extended stay facilities were now moving in the UK. Staybridge Suites, owned by the InterContinental Hotel Group, is due to open its first property in Liverpool next year. John Wagner, Staybridge's vp EMEA, said the company had already signed seven contracts in the UK with more to follow.
He told PWC: “We aim to have between 20 and 25 operating or under development in the UK by 2010.
"We intend to extend the brand to continental Europe once the UK bridgehead is established."
PWC said that Marriott, Starwood and Hilton were all also considering bringing their extended stay brands to Europe.
The PWC report cites soaring hotel rates in the UK, especially London, and a more mobile workforce as factors likely to promote.
 
Budgetel Comeback Planned As Blackstone Sells Brand Rights
Gone from the hotel industry landscape since its last properties were converted to Baymont hotels several years ago, the Budgetel brand is now poised to make a comeback, Hotel Business® has learned.
Responsible for the rebirth of the economy brand will be Atlanta investors Mukesh “Mike” Patel and R.C. Patel, who have acquired the brand’s trademarks and franchise operations from the Blackstone Group.
Blackstone had been in possession of the brand name since it acquired La Quinta Corp. La Quinta previously oversaw the conversions of the last Budgetels into Baymonts.
The rejuvenated Budgetel will formally operate out of Atlanta under the name Budgetel Franchise System. Mike and R.C. Patel plan on opening the first 15 Budgetel properties within the next 15 weeks. Most of these new hotels will emerge via conversion; however, some will be the result of new-construction projects.
Beyond the first 15 hotels, the new owners plan on growing the brand rapidly, specifically within the upper economy segment. This growth is expected to be enhanced by the fact that franchisees will be given an opportunity to have an ownership stake in the overall company. Consequently, owners will be able to direct the brand’s development.
 
New York City Goes Global To Attract Tourists
The city's tourism office officially launched its first major international advertising effort Wednesday, aiming to sell potential visitors a new New York, one that's as much the birthplace of hip-hop as it is the home of the Empire State Building.
Associated Press reports that the campaign is part of an ambitious strategy in the last year to promote New York City around the globe. The tourism office, NYC & Company, already has bureaus in places like Dublin, Buenos Aires and London, and plans to open a total of eight offices in 2007, from Toronto to Tokyo.
Despite its reputation as a top destination, the city has never before embarked on a global ad campaign - relying instead on smaller, local efforts in foreign countries.
At stake are billions of dollars. Some 44 million people visited the city in 2006, generating an estimated $24 billion for the local economy and outpacing such cities as Las Vegas, Los Angeles and Washington, D.C. Mayor Michael Bloomberg has said he would like the city to reach the goal of 50 million annual tourists by 2015.
 
Atlanta Hartsfield Tops O'Hare, Heathrow As World's Busiest Airport
Atlanta's Hartsfield International held its ranking as the world's busiest passenger airport in 2006, followed by Chicago's O'Hare and London's Heathrow, according to preliminary figures released this week.
Some 84.8 million passengers went through Hartsfield-Jackson Atlanta International Airport, the Geneva-based Airports Council International said. It was a 1.2% decline over the previous year. O'Hare International Airport had 76.2 million, and Heathrow Airport 67.5 million, both numbers signal modest decreases in passengers compared with 2005. Traffic at U.S. airports declined because of the restructuring of Delta and Northwest and the closure of Independence Air, the council said.
"Heathrow's flat results stemmed from the August security scare and severe weather in December, but also show the stagnating effect of lack of expansion," the council said.
Filling out the top 10 were Tokyo's Haneda Airport, with 65.2 million; Los Angeles International Airport, 61 million; Dallas-Fort Worth International Airport, 60 million; Paris Charles de Gaulle, 56.8 million; Frankfurt Airport, 52.8 million; Beijing Capital International Airport, 48.5 million; and Denver International Airport, 47.3 million.
Beijing was the top performer in the Asia Pacific region with an 18% increase in passenger traffic, the council said. Denver was the best U.S. performer with a 9.1% increase.
 
Disney's Resort Project Strikes Fear Into Mom-And-Pop Hotels
Many mom-and-pop hoteliers in the Four Corners and Kissimmee areas of Florida are wary of the massive "value-priced" resort project announced March 3 by Walt Disney World says a report in the Orlando Business Journal.
"It's one of the most controversial projects they have done to date," says Steve Baker, theme park consultant and former Disney executive. "It's going to be very hurtful to the mom-and-pops," he says, of the small, family-owned and mainly unaffiliated motels that line U.S. Highway 192 from Kissimmee to U.S. Highway 27.
Some even predict at least a few lodging operators could be driven out of business by the project, which Disney says will include 4,000 to 5,000 competitively priced hotel and time share units near the west side of Disney property.
"No one is panicking yet," says Catherine Ewer, director of marketing for Orlando Fun Sports hotels, which includes the Travelodge Hotel Main Gate East. "But we know eventually they are going to suck up a portion of our business."
After all, she remembers when Disney opened its moderately priced All-Star Resorts in late 1994, a time of already declining hotel occupancy. The appeal of a $69-per-night stay at Walt Disney World drove nearby chain hotels, once charging $100 per night, to match that rate. The domino effect ended up driving many smaller hotel rates down to less than $25 a night, which barely covered their costs.
"We thought it was the end of the world," says Ewer. "Here we go again."
 
New Gadget Promises To Enhance Tourist Experience In Greece
If you have ever wandered around a dusty Greek archaeological site in midsummer, clueless about what you are seeing or where you are going, help is finally at hand suggests USA Today.
Greece's Culture Ministry on Thursday unveiled a handheld gadget for visitors that offers high-resolution video, detailed diagrams of sites such as ancient temples, position indicators, and imagery along with stereo sound.
The battery-powered, touchscreen devices are about the size and weight of a personal stereo weighing just 270 grams, or 9.5 ounces. Instructions come in four languages -- Greek, English, German and French.
The units will be available at 15 sites around the country including the Acropolis and National Archaeological Museum in Athens, Thessaloniki's archaeological and Byzantine museums, Delphi, Rhodes, Olympia, Mycenae, Vergina, Epidaurus and Knossos in Crete.
"We are offering visitors one of the most technologically advanced tourist guides in Europe," Culture Minister Giorgos Voulgarakis said at a news conference.
 
Hospitality Chains In India Going The Wi-Fi Way
Global competition and shortage of trained manpower is forcing hospitality chains across India to commit huge money on hi-tech gadgets like wi-fi connection, internet facilities, touch screen terminals for check-in and express check-outs to lure customers reports The Economic Times.
Accounting systems and internet/email were utilized the highest by hotels among all technology systems, representing approximately 92% and 87% respectively in 2006. Internet, email and website systems used by hotels as distributions channels continued to grow to 87% and 77% in 2005-06 from 65% and 33%, respectively in 2004-05.
Local area network (LAN) and point of sale system for food and beverage have also gained importance for hotels accounting for 65% and 66% in 2006, according to a latest FHRAI (Federation of Hotel & Restaurant Association) and HVS International report.
While hi-end features increase operational efficiencies, it also helps hotel companies to capture guest preferences and provide a better service, say sources. To keep up with the latest hi-end trends, Indian hotel companies have upped spends by 25-30% in recent months to undertake regular renovations and refurbishment’s. Traditionally a lean season phenomenon, big-name hotel chains like the Hilton Mumbai, Taj Mumbai, Leelas, Viceroys undertook renovations and refurbishment’s of a few floors.
 
Hotel Tries To Combat Meeting Stress
The Houston Business Journal reports that Houston’s Hotel Derek is aiming to alleviate the stress of business meetings held at the hotel by offering complimentary yoga breaks.
Beginning today, Nicole Haagenson, a local yoga practitioner and wellness consultant, will conduct free 10 to 15 minute "stress breaks" which include basic breathing and stretching exercises designed to give meeting attendees an energy boost during what are typically sedentary occasions.
 
Milan Up First In W Hotels' Global Push
Starwood Hotels & Resorts Worldwide Inc. currently has plans to grow the W Hotel line, which has been primarily US based since it began in 1998, abroad in at least seven markets. The newly targeted areas include Barcelona, Athens, St. Petersburg, Istanbul, Dubai and Doha, and most recently Milan.
"As one of the global capitals of design and fashion, Milan is a perfect fit for the W brand," says Ross Klein, president of Starwood's Luxury Brands Group, in a statement. "W Milan will mark a major step in our brand's global expansion, pairing two style icons in the heart of one of the world's most beloved destinations."
Starwood is teaming with the Statuto Group to open the W Hotel in Milan, located in the Brera district. Statuto Group, run by Giuseppe Statuto an Italian real estate investor, focuses on residential and luxury hotels. The company owns a stake in a number of well-known international hotels including the Hotel Danieli in Venice, the Four Seasons Hotel Milan and the Crowne Plaza London - The City. This hotel, when it converts to W Milan in December 2008, says GlobeSt.com, will be the first W Hotel in Italy.
 
Cuba Not Ready, But Expecting U.S. Tourists
Cuba is not ready for the throngs of American tourists who would be expected to visit the island if a U.S. ban is ever lifted, but it has the time to build new hotels, a senior Cuban official said on Wednesday.
“We have time to build the hotel capacity for the day that happens,” Cuba’s deputy minister of Tourism Oscar Gonzalez said in an interview. “It will take the United States some time to dismantle that infernal apparatus that has barred its citizens from traveling to Cuba,” he said, referring to proposals in the U.S. Congress to relax sanctions against Cuba.
According to MSNBC some U.S. lawmakers are seeking to ease restrictions on travel and trade with Cuba, but even if Congress approves, their efforts are likely to face a veto by President George W. Bush who has tightened sanctions in an effort to undermine Fidel Castro’s government.
Cuba estimates 1 million Americans would visit in the first year after Washington ends a travel ban put in place more than four decades ago to isolate Castro’s communist government. Americans are expected to flood to Cuba to enjoy its pristine beaches, sip daiquiris at Ernest Hemingway’s favorite bars and take a step back in time riding in vintage cars in a city that was once a Mafia playground.
By some estimates, there could be 3 million American tourists visiting Cuba within five years of an opening up of U.S. travel. Cuba would have to more than double its current capacity of 42,000 hotel rooms, Gonzalez said. The island has the potential for more than 250.000 rooms, he said.
 

Marketing & Tourism Trends is provided free-of-charge to leaders in the industry by Ferri & Partners, a communications and public relations agency specializing in strategic communications and marketing. To request a subscription for other executives in your organization, or have your name deleted as a recipient, please send your request to newsletter@ferriandpartners.com. 

Ferri & Partners LLC
1111 Brickell Avenue 11th Floor Miami, Florida 33131 USA
Tel: (305) 913-7191
www.ferriandpartners.com

building brands
and driving market share in the
travel and tourism industry

 

 

To manage your preferences, please click here.