EyeforTravel Blog
Nominations now open for EyeforTravel’s Mobile Innovation in Travel Awards 2016
Does your travel company have what it takes to succeed in mobile? Is your app a key weapon in your battle to win and engage travel consumers? Top travel brands will find out as they battle it out as part of EyeforTravel’s Mobile Innovation in Travel awards taking place in San Francisco, March 14th as part of EyeforTravel’s San Francisco Summit.
As Kenny Jacobs, Chief Marketing Officer, of European low cost carrier Ryanair said an EyeforTravel event earlier this year, “Everything going forward is going to be about mobile”
Mobile technology is no longer a nice to have – it’s a must have. Mobile is transforming the way travel is sold – providing exciting opportunities to enhance the customer experience, grow loyalty and ancillary revenues.
EyeforTravel’s Mobile Innovation in Travel Awards seek to recognize the travel brands who are making significant progress in mobile – trailblazing the way for others to follow.
With new mobile devices hitting the app store and extra capabilities coming to devices, travel brands cannot sit still and must continue to innovate.
The awards will feature 3 categories – · Best Mobile Travel App· Best Mobile Travel User Experience· Best Mobile Travel Solution
A public voting stage will be used to narrow down the 3 lucky finalists per category who will present at the final which will be held as part of EyeforTravel’s 4th annual Mobile & Innovation Strategies for Travel conferencePast entrants and finalists of the awards include Booking.com, KLM, TripAdvisor, Marriott, Best Western, Carlson Wagonlit Travel, Worldmate, Hotwire.com, Hotels.com and more!Entrance for B2C travel brands is free of charge. All entires must be received by December 18th. Find out how to enter your brand and for full terms and conditions, visit - http://events.eyefortravel.com/mobile/awards.phpFor all awards enquires contact:-Gina BaillieGMEyeforTravelLondon, UK: +44 (0)207 375 7197US Toll Free: 1 800 814 3459 ext. 7197
gina@eyefortravel.com
As Kenny Jacobs, Chief Marketing Officer, of European low cost carrier Ryanair said an EyeforTravel event earlier this year, “Everything going forward is going to be about mobile”
Mobile technology is no longer a nice to have – it’s a must have. Mobile is transforming the way travel is sold – providing exciting opportunities to enhance the customer experience, grow loyalty and ancillary revenues.
EyeforTravel’s Mobile Innovation in Travel Awards seek to recognize the travel brands who are making significant progress in mobile – trailblazing the way for others to follow.
With new mobile devices hitting the app store and extra capabilities coming to devices, travel brands cannot sit still and must continue to innovate.
The awards will feature 3 categories – · Best Mobile Travel App· Best Mobile Travel User Experience· Best Mobile Travel Solution
A public voting stage will be used to narrow down the 3 lucky finalists per category who will present at the final which will be held as part of EyeforTravel’s 4th annual Mobile & Innovation Strategies for Travel conferencePast entrants and finalists of the awards include Booking.com, KLM, TripAdvisor, Marriott, Best Western, Carlson Wagonlit Travel, Worldmate, Hotwire.com, Hotels.com and more!Entrance for B2C travel brands is free of charge. All entires must be received by December 18th. Find out how to enter your brand and for full terms and conditions, visit - http://events.eyefortravel.com/mobile/awards.phpFor all awards enquires contact:-Gina BaillieGMEyeforTravelLondon, UK: +44 (0)207 375 7197US Toll Free: 1 800 814 3459 ext. 7197
gina@eyefortravel.com
We put together the most insightful tweets from our summit in Las Vegas
Some of the biggest travel brands recently came together in Las Vegas for EyeforTravel's Travel Distribution Summit N.America 2015. We saw a record attendance this year with over 600 attendees.
We've put together the best tweets from the summit to help you make sense of the North American travel market and what you should be focusing your resources on.
[View the story "Top Tweets from #TDSUSA" on Storify]
TDS N. America: Are you feeling lucky for Las Vegas?
EyeforTravel's flagship event TDS N. America (October 19-20, Bellagio Las Vegas) is now less than 4 weeks away and to build on the excitement we’re giving all 400+ confirmed attendees the chance to win $200 worth of Bellagio casino chips.
All you have to do is tweet about TDS N. America with the #imattendingtdsusa and include the link to the event homepage - http://bit.ly/EFT_TDSUSA
We will be tracking the hashtag and the person to make the most creative use of social media while including #imattendingtdsusabetween now and the end of Day 1 of the conference will be presented with their chips at the networking drinks.
Remember, you can enter as many tweets as you like and it increases your chances of winning those chips.
Good luck and get tweeting!
TDS N. America Event Director Julia Heighton
All you have to do is tweet about TDS N. America with the #imattendingtdsusa and include the link to the event homepage - http://bit.ly/EFT_TDSUSA
We will be tracking the hashtag and the person to make the most creative use of social media while including #imattendingtdsusabetween now and the end of Day 1 of the conference will be presented with their chips at the networking drinks.
Remember, you can enter as many tweets as you like and it increases your chances of winning those chips.
Good luck and get tweeting!
TDS N. America Event Director Julia Heighton
How can hotels ensure optimal profit from their property’s amenities?
Whilst total RM is becoming increasingly popular, little information really exists on how hoteliers can revenue manage their hotel amenities. Yet non-bedroom revenues can add a significant amount to a hotel’s bottom line.
Event space in particular, can be different to manage. Often the systems don’t exist to manage leads effectively. Those selling the space don’t communicate with the revenue management team to ensure they are pricing the contract optimally.
Ahead of EyeforTravel’s free webinar on this theme, we caught up Jeffrey Emenecker, GM of Decision Street, Cvent.
When asked how hoteliers currently manage group business leads, he shared that from their experiences, most hoteliers today manage leads through their inbox and their sales and catering system, processing them on a first-in, first-out basis, using experience and instinct to help prioritize efforts.
He identified some of the key issues faced by hotels -
a) Pressure to respond to all leads quickly within defined time frames
b) Difficulty in qualifying which leads are worth researching in detail
c) Not enough time to create a quality, custom response to important leads for the hotel
d) A lack of visibility into profit, not revenue, for a particular lead
So what can hotels do?
“Hoteliers should ensure that they have a process, and ideally systems, to view all revenues and associated margins related to each lead. We see many instances of hotels not hitting monthly profit targets because decisions made that impacted revenue and margins in non-room revenue related areas” said Emenecker.
Emenecker shared that in cases where a lead is too early in the cycle to get estimates on all non-room revenue items, properties can also create guidelines of expectations for non-room revenue items to apply when evaluating a lead.
Interested in finding out more? We’ll be exploring how hoteliers can better analyze and respond to incoming group business leads to ensure that they are maximising the entire revenues of the property, including those from amenities in a free webinar taking place next Wednesday 29th at 2pm EST in partnership with Cvent.
Sign up to the complimentary webinar here
NB. If you can’t make the date of the webinar, sign up anyway as we will be sending all registrants the full webinar recording to watch at your leisure.
Event space in particular, can be different to manage. Often the systems don’t exist to manage leads effectively. Those selling the space don’t communicate with the revenue management team to ensure they are pricing the contract optimally.
Ahead of EyeforTravel’s free webinar on this theme, we caught up Jeffrey Emenecker, GM of Decision Street, Cvent.
When asked how hoteliers currently manage group business leads, he shared that from their experiences, most hoteliers today manage leads through their inbox and their sales and catering system, processing them on a first-in, first-out basis, using experience and instinct to help prioritize efforts.
He identified some of the key issues faced by hotels -
a) Pressure to respond to all leads quickly within defined time frames
b) Difficulty in qualifying which leads are worth researching in detail
c) Not enough time to create a quality, custom response to important leads for the hotel
d) A lack of visibility into profit, not revenue, for a particular lead
So what can hotels do?
“Hoteliers should ensure that they have a process, and ideally systems, to view all revenues and associated margins related to each lead. We see many instances of hotels not hitting monthly profit targets because decisions made that impacted revenue and margins in non-room revenue related areas” said Emenecker.
Emenecker shared that in cases where a lead is too early in the cycle to get estimates on all non-room revenue items, properties can also create guidelines of expectations for non-room revenue items to apply when evaluating a lead.
Interested in finding out more? We’ll be exploring how hoteliers can better analyze and respond to incoming group business leads to ensure that they are maximising the entire revenues of the property, including those from amenities in a free webinar taking place next Wednesday 29th at 2pm EST in partnership with Cvent.
Sign up to the complimentary webinar here
NB. If you can’t make the date of the webinar, sign up anyway as we will be sending all registrants the full webinar recording to watch at your leisure.
Announcing the winners of EyeforTravel’s Startup Awards 2015
Last week saw 12 startup finalists compete in the final of EyeforTravel’s Startup Awards as part of EyeforTravel’s inaugural Startup Village in San Francisco.
From mobile concierge’s to the equivalent of Tinder for travel, the final saw a diverse range of exciting new online travel companies each deliver a 10 minute pitch to the expert panel of judges.
It was an intense afternoon, but after much deliberation, the winner and runners up were announced at the evening networking drinks reception.
The two runners up were –
AFRICA BOOKINGS LTD.
FLYR
FLYR, Inc. is a data science company first conceived to relieve a universal pain point among travelers — the guessing game of booking airfares. By aggregating and analyzing billions of data points, FLYR has created Foresight, a proprietary prediction engine, allowing for ultra - relevant fare forecasts and providing immediate benefits to travelers http://flyrlabs.com/
And the winner? Stockholm based booking platform for event venues and meeting spaces, stole the top slot with their innovative platform for aggregating unique venues.
SPACEBASE
Spacebase are a global booking platform for event locations and meeting spaces. They give renters access to unique locations for their next event and enable space providers to advertise their space to a ready-to-book user base. www.spacebase.com
The awards judges included: -
• Matt Zito, Managing Partner, Travel Startups Incubator, LLC
• Kevin McLaughlin, Founder & CEO, Ticket Project
• Cameron Yuill, General Partner, Structure Capital
• Zaid Al Husseini, VP Product, Gogobot
Well done to Spacebase, Africa Bookings and FLYR and a big thanks to all those involved!
To be informed of the 2016 edition of EyeforTravel's Startup Village, email gina@eyefortravel.com
From mobile concierge’s to the equivalent of Tinder for travel, the final saw a diverse range of exciting new online travel companies each deliver a 10 minute pitch to the expert panel of judges.
It was an intense afternoon, but after much deliberation, the winner and runners up were announced at the evening networking drinks reception.
The two runners up were –
AFRICA BOOKINGS LTD.
- A B2C channel for online bookings for accommodation across Africa for Consumers to get best choice and best rates. This is almost unheard of in many parts of Africa so they are pioneering there what is commonplace elsewhere in the world.
- A B2B channel for agents across Africa and worldwide to access our accommodation, make bookings and earn commissions. www.africabookings.com
FLYR
FLYR, Inc. is a data science company first conceived to relieve a universal pain point among travelers — the guessing game of booking airfares. By aggregating and analyzing billions of data points, FLYR has created Foresight, a proprietary prediction engine, allowing for ultra - relevant fare forecasts and providing immediate benefits to travelers http://flyrlabs.com/
And the winner? Stockholm based booking platform for event venues and meeting spaces, stole the top slot with their innovative platform for aggregating unique venues.
SPACEBASE
Spacebase are a global booking platform for event locations and meeting spaces. They give renters access to unique locations for their next event and enable space providers to advertise their space to a ready-to-book user base. www.spacebase.com
The awards judges included: -
• Matt Zito, Managing Partner, Travel Startups Incubator, LLC
• Kevin McLaughlin, Founder & CEO, Ticket Project
• Cameron Yuill, General Partner, Structure Capital
• Zaid Al Husseini, VP Product, Gogobot
Well done to Spacebase, Africa Bookings and FLYR and a big thanks to all those involved!
To be informed of the 2016 edition of EyeforTravel's Startup Village, email gina@eyefortravel.com
Advances in data, analytics and technology are creating exciting opportunities for growth in APAC’s travel industry
Asia is a complex and fragmented market with vastly different types of consumer behaviour, languages and cultures. With rapidly changing technological development, the increase of low cost carriers in the region and the capability of the middle class to travel further, the possibilities of travel in Asia are becoming limitless.
But the question remains, how can travel brands tackle such a diverse market?
The revolution in data and analytics is changing what brands know about their customers. At the same time the growth of mobile use by travel consumers’ means that travel brands can service and sell more and for longer. According to a study by LeNovo, about 59 per cent of the respondents in Asia said they searched for travel accommodation online via mobile devices – 13 per cent above global average.
However, as Tim Gunstone, MD, EyeforTravel highlights, “In the battle to win the travel customer, if you don’t use both mobile and data to send contextualised communications then you risk losing customers to the travel companies that do”. In a recent interview with Tarandeep Singh, IHG’s Director of Revenue Analytics for the Asia Middle East and Africa (AMEA) region he said “data analytics have been able to rewrite our consumer segmentation and break it up by every brand to ensure we are talking to the right audience at all times,” This enables the group to target far more accurately with much higher conversion rates than a few years ago.
All this change means that established business models are showing signs of failing and huge opportunities are in place for the brave and insightful. New business models from start-ups such as TravelMob, HotelQuickly, Stayzilla, GrabTaxi and many others could potentially grow into billion dollar industries.
EyeforTravel’s 17th Travel Distribution Summit Asia couldn’t come at a more opportune time. Taking place in Singapore, 20-21stMay, it will aim to bring together some of the leading APAC experts.
The changes in the industry mean that the travel professional needs to fundamentally re-visit and discuss how they can work together effectively and profitably. If they don’t, they risk facing commoditisation of their product and missing the huge opportunity to use data and analytics to increase ancillary product sales.
For years, EyeforTravel’s TDS Asia event has been the educational meeting place for the innovators in the travel industry. This year is no different, but we also have added into that mix some of the biggest brands in travel to brainstorm on the future of APAC’s travel.
Marketing, innovation, technology, analytics, RM and mobile experts from all branches of travel use this event as an annual meet up to predict the future of travel in the region and to network in view of profitable partnerships.
By Mariah Assuncao, Global Conference Director, EyeforTravel
Mariah@eyefortravel.com
But the question remains, how can travel brands tackle such a diverse market?
The revolution in data and analytics is changing what brands know about their customers. At the same time the growth of mobile use by travel consumers’ means that travel brands can service and sell more and for longer. According to a study by LeNovo, about 59 per cent of the respondents in Asia said they searched for travel accommodation online via mobile devices – 13 per cent above global average.
However, as Tim Gunstone, MD, EyeforTravel highlights, “In the battle to win the travel customer, if you don’t use both mobile and data to send contextualised communications then you risk losing customers to the travel companies that do”. In a recent interview with Tarandeep Singh, IHG’s Director of Revenue Analytics for the Asia Middle East and Africa (AMEA) region he said “data analytics have been able to rewrite our consumer segmentation and break it up by every brand to ensure we are talking to the right audience at all times,” This enables the group to target far more accurately with much higher conversion rates than a few years ago.
All this change means that established business models are showing signs of failing and huge opportunities are in place for the brave and insightful. New business models from start-ups such as TravelMob, HotelQuickly, Stayzilla, GrabTaxi and many others could potentially grow into billion dollar industries.
EyeforTravel’s 17th Travel Distribution Summit Asia couldn’t come at a more opportune time. Taking place in Singapore, 20-21stMay, it will aim to bring together some of the leading APAC experts.
The changes in the industry mean that the travel professional needs to fundamentally re-visit and discuss how they can work together effectively and profitably. If they don’t, they risk facing commoditisation of their product and missing the huge opportunity to use data and analytics to increase ancillary product sales.
For years, EyeforTravel’s TDS Asia event has been the educational meeting place for the innovators in the travel industry. This year is no different, but we also have added into that mix some of the biggest brands in travel to brainstorm on the future of APAC’s travel.
Marketing, innovation, technology, analytics, RM and mobile experts from all branches of travel use this event as an annual meet up to predict the future of travel in the region and to network in view of profitable partnerships.
By Mariah Assuncao, Global Conference Director, EyeforTravel
Mariah@eyefortravel.com
Meet the finalists for EyeforTravel's Startup Awards
Proving that the online travel industry is a hotbed of innovation, dozens of entrants chased the chance to pitch to the audience of judges, senior online travel entrepreneurs, investors, and travel brands at EyeforTravel's upcoming Startup Awards 2015.
The finalists, who will present their products during EyeforTravel’s Startup Awards Final at EyeforTravel's inaugural Startup Village in San Francisco, March 23rd have been announced as: -
· Bellhop
Bellhop is a mobile app that acts as a personal concierge for travelers globally, making all service requests a button click. They implement this by building a global community of hotels in which they act as the primary service providers.http://www.bellhop-app.com/
· Tripnary
Tripnary is a free iPhone app that lets you check places off your bucket list. The app lets you create your travel bucket list and compare airfares to every destination on the list in one tap! Think of it as Pinterest meets Kayak.www.tripnary.com
· Spacebase
Spacebase are a global booking platform for event locations and meeting spaces. We give renters access to unique locations for their next event and enable space providers to advertise their space to a ready-to-book user base.www.spacebase.com
· Africa Bookings Ltd.
Africa Bookings offers: - - a B2C channel for online bookings for accommodation across Africa for Consumers to get best choice and best rates. This is almost unheard of in many parts of Africa so we are pioneering here what is commonplace elsewhere in the world.
- a B2B channel for agents across Africa and worldwide to access our accommodation, make bookings and earn commissions.
Their product offering falls into two categories: a sharing platform and a discovery engine.
www.africabookings.com
· Tripstr
Tripstr 2.0 is Instagram meets TripAdvisor, answering the question ‘How was your trip?’ through photos, videos and the actual places you visited. Tripstr is unique in its ability to let you tell your travel story quickly and beautifully, and in the process turns those photos into actionable itinerary items that your friends can save for future trips.http://tripstr.com
· HelloShift
HelloShift is an exciting new category of communication software being pioneered by companies like Slack (and Trello, Yammer etc.) that is not built for use by the shift-based workforce hotels usually employ. We have packaged the relevant features from these tools into a simplified interface optimized for the way shift-based businesses work, and accounting for the various skill levels of the workers. http://helloshift.com/
· Tripcipe
Tripcipe aims to be the recipe for the perfect trip. Most travelers today consult at least 5 different websites to figure out what to see, eat, or do on their vacation. Instead of copying and pasting into Excel and Google Maps, you can use the Tripcipe plug-in to easily save information from any webpagehttps://www.tripcipe.com/
· Goconnekt
Goconnekt is a short-term WiFi hotspot rental service for travelers that combines convenience, quality and affordability. Goconnekt helps international travelers that want access to on-the-go 4G internet, but would rather not pay the expensive international data rates.www.goconnekt.com
· PalPrices.com
PalPrices is a fun and unique website with focus on intelligent tourist budget calculation and planning based on personal preferences, providing help with choosing your vacation destination. E.g., what is the cost of a weekend in New York City including nightlife and museums, but saving money on accommodation?www.palprices.com
· Proxce
Proxce helps travelers skip the front desk for check-in at hotels, Proxce’s Proximity Identity Manager system uses BLE/iBeacons and geo fence to provide auto check-in and keyless entry to guest rooms for hospitality industrywww.proxce.com
· ITeXplorer, Inc.
ITeXplorer Inc offers a real-time worldwide marketplace of travel services for travel professionals and consumers. We enable customers to research, book, price and alter multi-destination itineraries from any device at any time before and after departure. We see our target audience as: Travel professionals, consumers, corporate travelers.www.itexplorer.com
· FLYR
FLYR, Inc. is a data science company first conceived to relieve a universal pain point among travelers — the guessing game of booking airfares. By aggregating and analyzing billions of data points, FLYR has created Foresight, a proprietary prediction engine, allowing for ultra -relevant fare forecasts and providing immediate benefits to travelershttp://flyrlabs.com/
· Wellobox
Travelers are currently overloaded with data and recommendations on the "best" places to eat, see, and explore. Welloboxes offer a solution to this problem by allowing the traveler to purchase a locally curated box that is waiting for them upon arrival, freeing them to immediately start exploring.www.wellobox.com
The final will take place as part of EyeforTravel’s Startup Village which sees top online travel entrepreneurs, mentors and investors share key insight into what it takes to succeed in the cut throat online travel industry during morning bootcamp sessions and the Startup final take place in the afternoon. The day will be interspersed with plenty of time for networking.
Book your place to attend the final at EyeforTravel’s Startup Village here
For event enquiries contact:
Gina Baillie
GM
EyeforTravel Ltd.
International: +44 (0)207 375 7197
US.Toll Free: 1.800 814 3459 ext. 7197
gina@eyefortravel.com
The finalists, who will present their products during EyeforTravel’s Startup Awards Final at EyeforTravel's inaugural Startup Village in San Francisco, March 23rd have been announced as: -
· Bellhop
Bellhop is a mobile app that acts as a personal concierge for travelers globally, making all service requests a button click. They implement this by building a global community of hotels in which they act as the primary service providers.http://www.bellhop-app.com/
· Tripnary
Tripnary is a free iPhone app that lets you check places off your bucket list. The app lets you create your travel bucket list and compare airfares to every destination on the list in one tap! Think of it as Pinterest meets Kayak.www.tripnary.com
· Spacebase
Spacebase are a global booking platform for event locations and meeting spaces. We give renters access to unique locations for their next event and enable space providers to advertise their space to a ready-to-book user base.www.spacebase.com
· Africa Bookings Ltd.
Africa Bookings offers: - - a B2C channel for online bookings for accommodation across Africa for Consumers to get best choice and best rates. This is almost unheard of in many parts of Africa so we are pioneering here what is commonplace elsewhere in the world.
- a B2B channel for agents across Africa and worldwide to access our accommodation, make bookings and earn commissions.
Their product offering falls into two categories: a sharing platform and a discovery engine.
www.africabookings.com
· Tripstr
Tripstr 2.0 is Instagram meets TripAdvisor, answering the question ‘How was your trip?’ through photos, videos and the actual places you visited. Tripstr is unique in its ability to let you tell your travel story quickly and beautifully, and in the process turns those photos into actionable itinerary items that your friends can save for future trips.http://tripstr.com
· HelloShift
HelloShift is an exciting new category of communication software being pioneered by companies like Slack (and Trello, Yammer etc.) that is not built for use by the shift-based workforce hotels usually employ. We have packaged the relevant features from these tools into a simplified interface optimized for the way shift-based businesses work, and accounting for the various skill levels of the workers. http://helloshift.com/
· Tripcipe
Tripcipe aims to be the recipe for the perfect trip. Most travelers today consult at least 5 different websites to figure out what to see, eat, or do on their vacation. Instead of copying and pasting into Excel and Google Maps, you can use the Tripcipe plug-in to easily save information from any webpagehttps://www.tripcipe.com/
· Goconnekt
Goconnekt is a short-term WiFi hotspot rental service for travelers that combines convenience, quality and affordability. Goconnekt helps international travelers that want access to on-the-go 4G internet, but would rather not pay the expensive international data rates.www.goconnekt.com
· PalPrices.com
PalPrices is a fun and unique website with focus on intelligent tourist budget calculation and planning based on personal preferences, providing help with choosing your vacation destination. E.g., what is the cost of a weekend in New York City including nightlife and museums, but saving money on accommodation?www.palprices.com
· Proxce
Proxce helps travelers skip the front desk for check-in at hotels, Proxce’s Proximity Identity Manager system uses BLE/iBeacons and geo fence to provide auto check-in and keyless entry to guest rooms for hospitality industrywww.proxce.com
· ITeXplorer, Inc.
ITeXplorer Inc offers a real-time worldwide marketplace of travel services for travel professionals and consumers. We enable customers to research, book, price and alter multi-destination itineraries from any device at any time before and after departure. We see our target audience as: Travel professionals, consumers, corporate travelers.www.itexplorer.com
· FLYR
FLYR, Inc. is a data science company first conceived to relieve a universal pain point among travelers — the guessing game of booking airfares. By aggregating and analyzing billions of data points, FLYR has created Foresight, a proprietary prediction engine, allowing for ultra -relevant fare forecasts and providing immediate benefits to travelershttp://flyrlabs.com/
· Wellobox
Travelers are currently overloaded with data and recommendations on the "best" places to eat, see, and explore. Welloboxes offer a solution to this problem by allowing the traveler to purchase a locally curated box that is waiting for them upon arrival, freeing them to immediately start exploring.www.wellobox.com
The final will take place as part of EyeforTravel’s Startup Village which sees top online travel entrepreneurs, mentors and investors share key insight into what it takes to succeed in the cut throat online travel industry during morning bootcamp sessions and the Startup final take place in the afternoon. The day will be interspersed with plenty of time for networking.
Book your place to attend the final at EyeforTravel’s Startup Village here
For event enquiries contact:
Gina Baillie
GM
EyeforTravel Ltd.
International: +44 (0)207 375 7197
US.Toll Free: 1.800 814 3459 ext. 7197
gina@eyefortravel.com
Why Travel Suppliers need to share data to protect the value of their products
The fastest growing and most profitable travel companies are those with a tonne of data and incredible grasp on how to engage with the mobile consumer, along with being staffed by intelligent employees. They don’t own the travel product.
Certain intermediaries are dominating the fast growing mobile channel so effectively they are stripping more valuable direct bookings away from the suppliers at a terrifying rate. These data savvy intermediaries are using their expertise to grow the product range they sell. (At our recent Conference “How mobile, data, and innovation will dictate which travel companies grow” Airbnb’s Mike Curtis made it clear that Airbnb will soon be expanding the product range it helps distribute. Booking.com’s purchase of Open Table indicates the same desire there.)
The combination of data driven customer insight and the growth of the consumer using their mobile device means our industry can service the consumer for longer. As long as you have the trust of the consumer and the insight to know what they want you are going to be very profitable.
Right now the travel suppliers are losing the battle for this direct connection with the traveler and the related commercial benefits. One reason is they don’t have the insight. At the same event Ryanair’s CTO John Hurley told us that knowing what the airport knows would really help Ryanair provide a better service and be more profitable. Straight after his talk Chris Annetts, Heathrow’s Director of customer services said how he could benefit from the access to the customer knowledge the airlines holds.
Our Chairman, Sameer Poonja, Head of Digital for Emirates Airline asked why they could not share and the answers were system problems, legal issues but more fundamentally each travel supplier wanted to own the customer.
Surely travel suppliers are fighting the wrong battle. They need to work out the IT systems and legal issues that are stopping them sharing the data and work out a commercial arrangement that means they can best service the consumer. If they don’t the asset poor but data rich organisations such as booking.com, Airbnb, Skyskanner, and Google are going to make them the suppliers of small margin travel commodities.
The bottom line is travel is a people serviced business. TUI and Ryanair both told us how they are supplying their front line people with mobile devices to better service the consumer. How much better (and profitable) would that service be if they could start to share information with companies supplying the service along the travel chain.
By Tim Gunstone, MD, EyeforTravelTim@eyeforTravel.com
Certain intermediaries are dominating the fast growing mobile channel so effectively they are stripping more valuable direct bookings away from the suppliers at a terrifying rate. These data savvy intermediaries are using their expertise to grow the product range they sell. (At our recent Conference “How mobile, data, and innovation will dictate which travel companies grow” Airbnb’s Mike Curtis made it clear that Airbnb will soon be expanding the product range it helps distribute. Booking.com’s purchase of Open Table indicates the same desire there.)
The combination of data driven customer insight and the growth of the consumer using their mobile device means our industry can service the consumer for longer. As long as you have the trust of the consumer and the insight to know what they want you are going to be very profitable.
Right now the travel suppliers are losing the battle for this direct connection with the traveler and the related commercial benefits. One reason is they don’t have the insight. At the same event Ryanair’s CTO John Hurley told us that knowing what the airport knows would really help Ryanair provide a better service and be more profitable. Straight after his talk Chris Annetts, Heathrow’s Director of customer services said how he could benefit from the access to the customer knowledge the airlines holds.
Our Chairman, Sameer Poonja, Head of Digital for Emirates Airline asked why they could not share and the answers were system problems, legal issues but more fundamentally each travel supplier wanted to own the customer.
Surely travel suppliers are fighting the wrong battle. They need to work out the IT systems and legal issues that are stopping them sharing the data and work out a commercial arrangement that means they can best service the consumer. If they don’t the asset poor but data rich organisations such as booking.com, Airbnb, Skyskanner, and Google are going to make them the suppliers of small margin travel commodities.
The bottom line is travel is a people serviced business. TUI and Ryanair both told us how they are supplying their front line people with mobile devices to better service the consumer. How much better (and profitable) would that service be if they could start to share information with companies supplying the service along the travel chain.
By Tim Gunstone, MD, EyeforTravelTim@eyeforTravel.com
Booking.com, Hotwire, Ritz-Carlton join the finalists for EyeforTravel’s Mobile Innovation in Travel Awards
8 lucky finalists have battled it out to reach the final for EyeforTravel’s Mobile Innovation in Travel awards taking place in San Francisco, March 23rd.
Reflecting the ever growing importance of mobile to travel brands, it’s been a really tough contest this year with nominations from hundreds of travel brands from all over the world.Following the nomination stage, stage 2 of the awards process saw the entries being whittled down by the expert judges to approximately 10 per category. The travel industry was then invited to cast their vote.
We received over 15,000 votes for the awards which was a phenomenal response!
The finalists are invited to present a 5 minute pitch in front of the conference audience at EyeforTravel’s upcoming Mobile Strategies for Travel conference. The judges will then mark each finalist against strict judging criteria and the winner per category will be announced during the networking drinks reception on March 23rd.
The lucky finalists are –
Best Mobile Travel User Experience· Booking.com· Hotwire
Best Mobile Travel App· Tripcase· TripIt
Best Mobile Travel Strategy· Silvercar· Ritz-Carlton
Best Mobile Travel Solution· Carlson Wagonlit Travel· mTrip
Places to attend the Mobile Innovation in Travel Awards final are available as part of the 2 day conference pass to EyeforTravel’s Social Media & Mobile Strategies for Travel conference, March 23-24. For pricing information please see this link or contact gina@eyefortravel.com
Reflecting the ever growing importance of mobile to travel brands, it’s been a really tough contest this year with nominations from hundreds of travel brands from all over the world.Following the nomination stage, stage 2 of the awards process saw the entries being whittled down by the expert judges to approximately 10 per category. The travel industry was then invited to cast their vote.
We received over 15,000 votes for the awards which was a phenomenal response!
The finalists are invited to present a 5 minute pitch in front of the conference audience at EyeforTravel’s upcoming Mobile Strategies for Travel conference. The judges will then mark each finalist against strict judging criteria and the winner per category will be announced during the networking drinks reception on March 23rd.
The lucky finalists are –
Best Mobile Travel User Experience· Booking.com· Hotwire
Best Mobile Travel App· Tripcase· TripIt
Best Mobile Travel Strategy· Silvercar· Ritz-Carlton
Best Mobile Travel Solution· Carlson Wagonlit Travel· mTrip
Places to attend the Mobile Innovation in Travel Awards final are available as part of the 2 day conference pass to EyeforTravel’s Social Media & Mobile Strategies for Travel conference, March 23-24. For pricing information please see this link or contact gina@eyefortravel.com
Google’s to Blame for Impatient Travellers
As I was on the underground tube in London this morning, I had an epiphany – Easter was coming up and I was going to take advantage of the longest (Public Holiday) weekend in the year! So I Googled Airbnb.
I was suddenly horrified to discover my wifi wasn’t working underground. How inconvenient?! What’s wrong with my phone? I am assuming everyone else is busy researching destinations, replying to emails, and I am now frustrated that I am getting left behind!
When exactly did ‘no wifi’ become unacceptable?
Since instant-search has become an almost habitual part of our day-to-day life, travel consumers are now accustomed to getting whatever it is they want, 24/7, and become instantly impatient when their expectations are not met, or demands are not delivered. Product availability as well as range, and provider, has increased tenfold and as the line between meta-search and OTAs blurs further, the term ‘spoilt for choice’ has never been more apt.
So when will these impatient travellers (like myself) be satisfied? Here’s a look in to some of the current ‘buzz words’ and what travel brands really need to be paying attention to in order to satisfy this new & dominating breed of consumer:
We can all learn by sharing our lessons learned, when it’s our own ‘blooper’ however, it’s sometimes not such a comfortable experience! Perhaps one of the most recent & notable experiences for video & social media sharing - is Thailand Tourism’s video, criticised for 'romanticising stalking'. An example of how video + social media + sharing can sometimes have an undesired affect. YouTube it now – we’d love to hear your comments below!
If you’d like to learn more about how you as a travel brand can instantly engage and convert the new connected travel consumer, join us in Miami this June 2-3. Check out the line-up here!
And if you’re on the move and want to find out more it right now... Google it! ;)
This post was written by Emily Assender, Global Conference Director, EyeforTravel Ltd.
I was suddenly horrified to discover my wifi wasn’t working underground. How inconvenient?! What’s wrong with my phone? I am assuming everyone else is busy researching destinations, replying to emails, and I am now frustrated that I am getting left behind!
When exactly did ‘no wifi’ become unacceptable?
Since instant-search has become an almost habitual part of our day-to-day life, travel consumers are now accustomed to getting whatever it is they want, 24/7, and become instantly impatient when their expectations are not met, or demands are not delivered. Product availability as well as range, and provider, has increased tenfold and as the line between meta-search and OTAs blurs further, the term ‘spoilt for choice’ has never been more apt.
So when will these impatient travellers (like myself) be satisfied? Here’s a look in to some of the current ‘buzz words’ and what travel brands really need to be paying attention to in order to satisfy this new & dominating breed of consumer:
- Personalization:
- Guest experience:
- Video and Social Media Sharing
We can all learn by sharing our lessons learned, when it’s our own ‘blooper’ however, it’s sometimes not such a comfortable experience! Perhaps one of the most recent & notable experiences for video & social media sharing - is Thailand Tourism’s video, criticised for 'romanticising stalking'. An example of how video + social media + sharing can sometimes have an undesired affect. YouTube it now – we’d love to hear your comments below!
If you’d like to learn more about how you as a travel brand can instantly engage and convert the new connected travel consumer, join us in Miami this June 2-3. Check out the line-up here!
And if you’re on the move and want to find out more it right now... Google it! ;)
This post was written by Emily Assender, Global Conference Director, EyeforTravel Ltd.
Mobile – the ultimate weapon in the battle to go direct?
Everyone’s investing in mobile. Some hotels are spending millions of dollars. But is it really paying off? If the results posted by hotel giant IHG this week are anything to go by, mobile can make a difference to your bottom line. But where does the real value in a hotel’s mobile strategy lie?
Back in 2012 when most travel brands were just finding their feet in mobile, IHG reported mobile revenues of $330 million – up from $3 million in 2009. With 9 brands to manage and 710,000 hotel rooms worldwide, maintaining a personalised customer approach was a top priority.
It certainly seems that the big brand, generic hotel experience just won’t cut it anymore. What’s interesting is that the role that mobile plays as a key differentiator in the battle to win the ever-demanding travel consumer.
The slick mobile experiences offered by brands such as HotelTonight, Uber and Airbnb are difficult for large travel and hospitality brands, often tied to legacy systems, to emulate. What’s more, mobile has turned the search process on its head, arguably giving the OTAs the upper hand. After all, there is a limit to how many travel apps you can have on your phone.
But if hoteliers wish to compete with the OTAs as well as the new wave of digital-first travel brands, then significant mobile investment is a must.
In my view, for a number of years, hoteliers have placed too much emphasis on implementing a mobile strategy to deliver transactions. Overall, mobile transactional values have remained low and so mobile wasn’t seen as a top priority (arguably until now).
Whilst consumers searching for hotels via OTA mobile sites and apps gain from a wide variety of choice, hotels can really add value to consumers by using mobile to transform the guest experience and increase loyalty.
This strategy can be used to win direct business and help avert an over-reliance on OTAs.
For example, leading American hotel group Starwood, has a new program that allows guests to use their smartphone as a key if they book their stay through one of its hotel websites or its reward program.
Mobile is at the heart of global giant Accor’s five year, $280 million digital transformation strategy. Like IHG, using mobile to enhance the guest experience in the form of mobile check-in and check-out is a key feature of Accor’s new strategy. Every service available offline in the hotel will be available via their mobile app.
If hoteliers wish to really see their mobile investments pay off, they need to think smartly about how they can use mobile to ensure they are really adding value and winning direct business from travellers.
Not many brands have $280 million to spend but if mobile can be used successfully to win back more direct business and save costly OTA commissions, then for many hoteliers mobile will be the ultimate tool in the battle to go direct and well worth the investment.
This post was written by Gina Baillie, GM, EyeforTravel Ltd.
Join top travel brands as they debate what the future holds for mobile at EyeforTravel’s Mobile & Innovation in Travel conference, March 23-24, San Francisco.
Back in 2012 when most travel brands were just finding their feet in mobile, IHG reported mobile revenues of $330 million – up from $3 million in 2009. With 9 brands to manage and 710,000 hotel rooms worldwide, maintaining a personalised customer approach was a top priority.
It certainly seems that the big brand, generic hotel experience just won’t cut it anymore. What’s interesting is that the role that mobile plays as a key differentiator in the battle to win the ever-demanding travel consumer.
The slick mobile experiences offered by brands such as HotelTonight, Uber and Airbnb are difficult for large travel and hospitality brands, often tied to legacy systems, to emulate. What’s more, mobile has turned the search process on its head, arguably giving the OTAs the upper hand. After all, there is a limit to how many travel apps you can have on your phone.
But if hoteliers wish to compete with the OTAs as well as the new wave of digital-first travel brands, then significant mobile investment is a must.
In my view, for a number of years, hoteliers have placed too much emphasis on implementing a mobile strategy to deliver transactions. Overall, mobile transactional values have remained low and so mobile wasn’t seen as a top priority (arguably until now).
Whilst consumers searching for hotels via OTA mobile sites and apps gain from a wide variety of choice, hotels can really add value to consumers by using mobile to transform the guest experience and increase loyalty.
This strategy can be used to win direct business and help avert an over-reliance on OTAs.
For example, leading American hotel group Starwood, has a new program that allows guests to use their smartphone as a key if they book their stay through one of its hotel websites or its reward program.
Mobile is at the heart of global giant Accor’s five year, $280 million digital transformation strategy. Like IHG, using mobile to enhance the guest experience in the form of mobile check-in and check-out is a key feature of Accor’s new strategy. Every service available offline in the hotel will be available via their mobile app.
If hoteliers wish to really see their mobile investments pay off, they need to think smartly about how they can use mobile to ensure they are really adding value and winning direct business from travellers.
Not many brands have $280 million to spend but if mobile can be used successfully to win back more direct business and save costly OTA commissions, then for many hoteliers mobile will be the ultimate tool in the battle to go direct and well worth the investment.
This post was written by Gina Baillie, GM, EyeforTravel Ltd.
Join top travel brands as they debate what the future holds for mobile at EyeforTravel’s Mobile & Innovation in Travel conference, March 23-24, San Francisco.
Eye-watering travel tech leads the way to the future and beyond
Technological advances have and always will be at the forefront of people’s interest. From the Internet, to the smartphone, 3D Printers and Drones. One seamless trend continues to create the need for innovation and development, helping to push the boundaries of our technological ability. Exciting isn't it? But do we have a new technology that’s on the brink of being the next big innovation? This is visual reality.
Have you seen the growing number of new videos, adverts and recent films all shot in the angle of a humans perspective? Take a look at this music video below if not.
Aside from being quite a catchy song and brilliantly shot, I would like you to understand the underlying concept of putting on some goggles and becoming transported into a different world. It really paints a picture of what holographic visual headwear one day could be like. Sounds overly futuristic, right?
If that sounds overly futuristic, I am delighted to say its not far from this becoming reality. Take a look at this video demonstration to see the potential.
Players in the marketGoogle seemed to be the first on the market with Google glass. Unsurprisingly, that drove great awareness but unfortunately they seemed to fail to reach a coolness factor, perhaps the staggering $1,500 price tag? Google's announcement last week proved that with the discontinuation for consumers, however they are looking to re-work the project and steer in a different direction.
But don’t despair, there are several other entrants in the space from some of the biggest players in the market including, Microsoft, Samsung and Oculus. Oculus arguably the most well-known within this space, especially with their $2 billion purchase by Facebook giving it as much packing poweras the multi-nationals.
I see Microsoft’s HoloLens is also receiving some much deserved enthusiasm. The video above demonstrates how they plan to use everyday surroundings to enable and use the device - it’s really cool. So the ‘uncool’ brand could actually be on the verge of gaining credit and I believe it’s the perfect timing. Market research firm Forrester predicts that 3.6 million people will likely buy HoloLens products by the end of 2016, ambitious but I would like to see it happen. Two other big players at the forefront of this market are Oculus Rift and Samsung's Gear VR.
Samsung just released an introductory video to show off their own tech, again some great features and in particular, the street demos give the Gear VR a real practical look. With a very reasonable price tag of $199 it makes it surprisingly affordable, enabling easy take-up and a foreseeable future in the technology market.
Oculus Rift has been in the market a few years now, however primarily focusing on the gaming aspect helping to specialise in virtual reality travel. There are some great videos online of people trying them out if you have some time. So far, they’ve had some fantastic positive feedback giving a great indication of what’s to come. With a little further development of games, within the technology this market could become explosive. I really can see great potential. Having the most development time behind them as well as a solid financial backing I feel they are leading the way in innovation for visual reality, and with time can they make it a practical reality.
So what does or can this mean for Travel?
Experiences are everything from the places you go, people you see, they all bound into memories of travel. This technology can really enable people to picture, feel and truly represent experiences like the real thing. Within the travel space, there are some really exciting opportunities. One I feel is the use of VR to truly see and experience a holiday before you have left your home, a ‘try before you buy’ reality for example, in my opinion this could revolutionise the whole industry. Could hotels and resorts have video footage that consumers can view to walk around the hotel, see the pool and throw a stone onto the beach? An opportunity for a travel agent to help a consumer get exactly what they want, subsequently creating a happy customer for the agent. Say goodbye to those misleading pictures? I think so.
This almost gives the entire power to the consumer, giving them full control of getting the best possible holiday for themselves. As well as this, who wouldn't want to have a ‘try before you buy’ holiday? I found an article where Skyscanner has similar views in their report on future travel. This could almost be a travel agent’s USP - ‘Come see your holiday before you buy.’ Could we, in fact, be one step ahead and be sat on your sofa simply browsing holidays with a visual headpiece on? Now wouldn't that be cool?
Let’s steer it away from the travel agency now, these VR goggles are also creating holograms that users can interact with, using only the environment surrounding them. Microsoft’s HoloLense demonstrated this well in their video showing some great practical ideas, especially with everyday living within your home. Screens on the wall, wherever you are travelling or necessarily wherever needed, this is a real draw. There is of course a massive gaming aspect, and I think that’s where oculus have focused, whereas Microsoft may have focused into more of the social practicality.
The number of experiences you could possibly have with this technology is never ending. It may not be in the next year or two but before 2020 I see this technology being widely accepted and especially have a high take-up within the travel space and wider society on a day to day basis. Extensive research and development as well as investment is backing this industry, for example; Apple recently acquired several patent’s in this area so I can only see it go from strength to strength in growth. I see this market is expanding into a worldwide focus, exciting investment can only add heat to the fire. This really leaves me with a bubbling excitement for what’s around the corner, in particular the number of possibilities this tech could be used for. I’ll leave you to imagine a few of the possibilities Visual Reality could offer…
Have your own thoughts and ideas? Post below:
Written by: Jamie Goulding
To get in Contact: jamie@eyefortravel.com
Have you seen the growing number of new videos, adverts and recent films all shot in the angle of a humans perspective? Take a look at this music video below if not.
Aside from being quite a catchy song and brilliantly shot, I would like you to understand the underlying concept of putting on some goggles and becoming transported into a different world. It really paints a picture of what holographic visual headwear one day could be like. Sounds overly futuristic, right?
If that sounds overly futuristic, I am delighted to say its not far from this becoming reality. Take a look at this video demonstration to see the potential.
Players in the marketGoogle seemed to be the first on the market with Google glass. Unsurprisingly, that drove great awareness but unfortunately they seemed to fail to reach a coolness factor, perhaps the staggering $1,500 price tag? Google's announcement last week proved that with the discontinuation for consumers, however they are looking to re-work the project and steer in a different direction.
But don’t despair, there are several other entrants in the space from some of the biggest players in the market including, Microsoft, Samsung and Oculus. Oculus arguably the most well-known within this space, especially with their $2 billion purchase by Facebook giving it as much packing poweras the multi-nationals.
I see Microsoft’s HoloLens is also receiving some much deserved enthusiasm. The video above demonstrates how they plan to use everyday surroundings to enable and use the device - it’s really cool. So the ‘uncool’ brand could actually be on the verge of gaining credit and I believe it’s the perfect timing. Market research firm Forrester predicts that 3.6 million people will likely buy HoloLens products by the end of 2016, ambitious but I would like to see it happen. Two other big players at the forefront of this market are Oculus Rift and Samsung's Gear VR.
Samsung just released an introductory video to show off their own tech, again some great features and in particular, the street demos give the Gear VR a real practical look. With a very reasonable price tag of $199 it makes it surprisingly affordable, enabling easy take-up and a foreseeable future in the technology market.
Oculus Rift has been in the market a few years now, however primarily focusing on the gaming aspect helping to specialise in virtual reality travel. There are some great videos online of people trying them out if you have some time. So far, they’ve had some fantastic positive feedback giving a great indication of what’s to come. With a little further development of games, within the technology this market could become explosive. I really can see great potential. Having the most development time behind them as well as a solid financial backing I feel they are leading the way in innovation for visual reality, and with time can they make it a practical reality.
So what does or can this mean for Travel?
Experiences are everything from the places you go, people you see, they all bound into memories of travel. This technology can really enable people to picture, feel and truly represent experiences like the real thing. Within the travel space, there are some really exciting opportunities. One I feel is the use of VR to truly see and experience a holiday before you have left your home, a ‘try before you buy’ reality for example, in my opinion this could revolutionise the whole industry. Could hotels and resorts have video footage that consumers can view to walk around the hotel, see the pool and throw a stone onto the beach? An opportunity for a travel agent to help a consumer get exactly what they want, subsequently creating a happy customer for the agent. Say goodbye to those misleading pictures? I think so.
This almost gives the entire power to the consumer, giving them full control of getting the best possible holiday for themselves. As well as this, who wouldn't want to have a ‘try before you buy’ holiday? I found an article where Skyscanner has similar views in their report on future travel. This could almost be a travel agent’s USP - ‘Come see your holiday before you buy.’ Could we, in fact, be one step ahead and be sat on your sofa simply browsing holidays with a visual headpiece on? Now wouldn't that be cool?
Let’s steer it away from the travel agency now, these VR goggles are also creating holograms that users can interact with, using only the environment surrounding them. Microsoft’s HoloLense demonstrated this well in their video showing some great practical ideas, especially with everyday living within your home. Screens on the wall, wherever you are travelling or necessarily wherever needed, this is a real draw. There is of course a massive gaming aspect, and I think that’s where oculus have focused, whereas Microsoft may have focused into more of the social practicality.
The number of experiences you could possibly have with this technology is never ending. It may not be in the next year or two but before 2020 I see this technology being widely accepted and especially have a high take-up within the travel space and wider society on a day to day basis. Extensive research and development as well as investment is backing this industry, for example; Apple recently acquired several patent’s in this area so I can only see it go from strength to strength in growth. I see this market is expanding into a worldwide focus, exciting investment can only add heat to the fire. This really leaves me with a bubbling excitement for what’s around the corner, in particular the number of possibilities this tech could be used for. I’ll leave you to imagine a few of the possibilities Visual Reality could offer…
Have your own thoughts and ideas? Post below:
Written by: Jamie Goulding
To get in Contact: jamie@eyefortravel.com
Coffee beans & Jet Fuel: Why plummeting oil prices does not equate to cheaper airfares
It's a turbulent relationship to say the least. From towing planes to the runway and tweaking wing designs to curbing passengers' oversized baggage. For years, airline executives have been trying to find ways to save every drop of fuel.
But with oil currently trading at about $48 per barrel, isn't it about time the travel consumer started to reap the rewards of these plummeting prices?
The Chancellor of the Exchequer certainly thinks so, tweeting last week, "Oil price was $53 pbl last night - lowest in 5yrs. Vital this is passed on to families at petrol pumps, through utility bills and air fares"
Hugo Burge, CEO, Momondo Group predicts 2015 will see consumers benefiting from lower prices, stating, "We expect/ hope that airlines will pass on some of this in reduction of fares to help encourage demand (whilst also being significantly more profitable and able to invest in better services for the future too). Air Passenger Duty reductions will also help consumers to go further. In short, we predict a happy year for consumers on the price front”.
So, here's the good news, Hugo is right - the flying public is likely to benefit from lower air fares... but the fall is by nowhere near as much as the oil drop might imply. On top of this, you'll be waiting some time before you start to see the benefits of lower jet fuel costs.
Here's why:
1. Fuel surcharges - Leading airline groups including IAG, Delta and United continue to impose fuel surcharges. The European and US carriers are holding their ground, arguing, airlines 1.have yet to recover fuel costs for the last decade. But as their Asian peers (Japan Airlines, Qantas, AirAsia) have moved to reduce or phase out fuel surcharges in light of sliding oil prices, the legacy carriers are coming under increasing pressure to cut surcharges.
2. Hedging Jet Fuel - While jet fuel prices roughly track crude historically, they have not dropped quite as rapidly. Coupled with this is the fact that many airlines have hedged fuel well into 2015 and later in some cases. Ryanair, for example, will pay approximately $93 per barrel for 90% of its fuel in 2015-16 and estimates that it will cut just 4% of its fuel costs.
Meanwhile, Flybe shares were hit hard in recent weeks with a drop of 23% and have no show no sign of letting-up, having contracted to pay $128 per barrel until March 2015. Heavily hedged airlines are at the mercy of the oil suppliers and will have to wait until 2016 before experiencing the benefits of lower jet fuel prices.
But it's not just hedges and surcharges that keep air fares in check. As air travel demand continues to grow, why would any savvy revenue manager opt to substantially reduce air fares? Or, as one industry body put it, "Airlines should be treated like any other business - when the price of coffee beans falls, no one asks Starbucks why his or her latte does not cost less ".
But with good looking load factors, growing global demand and a favourable oil price, there's no denying airlines have an opportunity to improve margins over the next two years. The jury is still out as to whether these gains will be transferred to the travel consumer.
Written by John Gallagher. John is organising the annual EyeforTravel's TDS Europe 2015, the meeting place for Europe's senior travel executives. You can get in touch with him on John@eyefortravel.com
But with oil currently trading at about $48 per barrel, isn't it about time the travel consumer started to reap the rewards of these plummeting prices?
The Chancellor of the Exchequer certainly thinks so, tweeting last week, "Oil price was $53 pbl last night - lowest in 5yrs. Vital this is passed on to families at petrol pumps, through utility bills and air fares"
Hugo Burge, CEO, Momondo Group predicts 2015 will see consumers benefiting from lower prices, stating, "We expect/ hope that airlines will pass on some of this in reduction of fares to help encourage demand (whilst also being significantly more profitable and able to invest in better services for the future too). Air Passenger Duty reductions will also help consumers to go further. In short, we predict a happy year for consumers on the price front”.
So, here's the good news, Hugo is right - the flying public is likely to benefit from lower air fares... but the fall is by nowhere near as much as the oil drop might imply. On top of this, you'll be waiting some time before you start to see the benefits of lower jet fuel costs.
Here's why:
1. Fuel surcharges - Leading airline groups including IAG, Delta and United continue to impose fuel surcharges. The European and US carriers are holding their ground, arguing, airlines 1.have yet to recover fuel costs for the last decade. But as their Asian peers (Japan Airlines, Qantas, AirAsia) have moved to reduce or phase out fuel surcharges in light of sliding oil prices, the legacy carriers are coming under increasing pressure to cut surcharges.
2. Hedging Jet Fuel - While jet fuel prices roughly track crude historically, they have not dropped quite as rapidly. Coupled with this is the fact that many airlines have hedged fuel well into 2015 and later in some cases. Ryanair, for example, will pay approximately $93 per barrel for 90% of its fuel in 2015-16 and estimates that it will cut just 4% of its fuel costs.
Meanwhile, Flybe shares were hit hard in recent weeks with a drop of 23% and have no show no sign of letting-up, having contracted to pay $128 per barrel until March 2015. Heavily hedged airlines are at the mercy of the oil suppliers and will have to wait until 2016 before experiencing the benefits of lower jet fuel prices.
But it's not just hedges and surcharges that keep air fares in check. As air travel demand continues to grow, why would any savvy revenue manager opt to substantially reduce air fares? Or, as one industry body put it, "Airlines should be treated like any other business - when the price of coffee beans falls, no one asks Starbucks why his or her latte does not cost less ".
But with good looking load factors, growing global demand and a favourable oil price, there's no denying airlines have an opportunity to improve margins over the next two years. The jury is still out as to whether these gains will be transferred to the travel consumer.
Written by John Gallagher. John is organising the annual EyeforTravel's TDS Europe 2015, the meeting place for Europe's senior travel executives. You can get in touch with him on John@eyefortravel.com
The President of Sabre Hospitality or the CTO of Airbnb or the COO of Citizen M hotels?
All three are meeting to look at how mobile is impacting accommodation sales. Who has the best plan to grow?
If any travel sector is reeling from the impact of mobile it’s the accommodation sector. The dominance of OTA hotel booking apps has led to our researchers hearing about huge drops in brand led direct bookings. But the hotels occupancy levels are still high. How will the owners react?
One way that the brands are defending their position is by investing in incredibly useful apps that their guests will want to use. We are seeing huge ROI on the brand apps that extend the services the big brands can offer and the products they can sell.
And we heard this week that Barclays financial analysts finally recognise that Airbnb (and its 50% per annum growth) is having an impact on the hotel industry. Accor is singled out by Barclays for attention with “9% of its rooms under threat”
This debate is part of the event I am running at Mobile World Congress this March 2. Who do you feel is going to have the best future strategy?
Come along and participate in the debate liveor subscribeto gain access to the recording.
Tim GunstoneManaging Director+44 (0)207 375 7557Mobile +44 (0) 7815814314 tim@eyefortravel.com
If any travel sector is reeling from the impact of mobile it’s the accommodation sector. The dominance of OTA hotel booking apps has led to our researchers hearing about huge drops in brand led direct bookings. But the hotels occupancy levels are still high. How will the owners react?
One way that the brands are defending their position is by investing in incredibly useful apps that their guests will want to use. We are seeing huge ROI on the brand apps that extend the services the big brands can offer and the products they can sell.
And we heard this week that Barclays financial analysts finally recognise that Airbnb (and its 50% per annum growth) is having an impact on the hotel industry. Accor is singled out by Barclays for attention with “9% of its rooms under threat”
This debate is part of the event I am running at Mobile World Congress this March 2. Who do you feel is going to have the best future strategy?
Come along and participate in the debate liveor subscribeto gain access to the recording.
Tim GunstoneManaging Director+44 (0)207 375 7557Mobile +44 (0) 7815814314 tim@eyefortravel.com
Why Mobile needs data
Our research shows that Mobile spend by the travel sector is up again. Interestingly it seems that the travel industry understands how critical data analytics and mobile are to send contextual messages that sell more, reduce costs and serve their customers better.
I believe the days of the billboard travel website are over. If you want to sell to and service your consumers you need to apply data to your mobile strategy in order to provide a contextualized mobile experience.
Pre booking, pre trip, on trip and post trip, all the companies that make the trip possible now have the ability to serve the consumer for longer. A new battle for the customers trust has begun and the correct use of data and mobile is mission critical.
As an indication how critical this goal is 16 senior C level executives from the world’s biggest airlines, airports, hotels, rail providers, tour operators and intermediaries are meeting the Monday before ITB at the Mobile World Congress in Barcelona to debate, collaborate and discover the new opportunities that data analysis and mobile can provide.
To find out more about EyeforTravel@Mobile World Congress 2015, visit http://events.eyefortravel.com/mobile-world-congress/
- According to EyeforTravel’s latest research 68.8% of travel executives said they would spend more on mobile in 2014
- 80% OTA (online travel agent) and metasearch executives who believe mobile is business critical and will be investing more in the next three months
I believe the days of the billboard travel website are over. If you want to sell to and service your consumers you need to apply data to your mobile strategy in order to provide a contextualized mobile experience.
Pre booking, pre trip, on trip and post trip, all the companies that make the trip possible now have the ability to serve the consumer for longer. A new battle for the customers trust has begun and the correct use of data and mobile is mission critical.
As an indication how critical this goal is 16 senior C level executives from the world’s biggest airlines, airports, hotels, rail providers, tour operators and intermediaries are meeting the Monday before ITB at the Mobile World Congress in Barcelona to debate, collaborate and discover the new opportunities that data analysis and mobile can provide.
To find out more about EyeforTravel@Mobile World Congress 2015, visit http://events.eyefortravel.com/mobile-world-congress/
Does your travel company have what it takes to succeed in mobile?
Mobile technology is no longer a nice to have – it’s a must. But research shows travel brands shouldn’t expect praise from their customers for it. Increasingly travel consumers expect brands to offer an up-to-the-minute seamless mobile experience. The reward? Chances are that tech savvy brands will win customers and avoid losing market share to other savvier travel brands.
As many travel brands will attest, getting the right mobile strategy in place is not easy. It requires a considerable investment of time, money and resources as well as a willingness to experiment and make continual improvements. Indeed, the job of a mobile executive is never done.
EyeforTravel’s Mobile Innovation in Travel Awards seek to recognize the travel brands who are making significant progress in mobile – trailblazing the way for others to follow.
Taking place in San Francisco, March 23rd as part of EyeforTravel’s Mobile & Innovation in Travel conference, the awards will feature 4 categories –
· Best Mobile Travel User Experience· Best Mobile Travel App· Best Mobile Travel Strategy· Best Mobile Travel SolutionPast winners and finalists of the awards include KLM, TripAdvisor, Marriott, Best Western, Carlson Wagonlit Travel, Worldmate, Checkmate, BookAssist, Hotels.com and more!To find out more about how to enter your brand visit - http://events.eyefortravel.com/mobile/awards.phpFor all awards enquires contact:-Gina BaillieGMEyeforTravelLondon, UK: +44 (0)207 375 7197US Toll Free: 1 800 814 3459 ext. 7197gina@eyefortravel.com
As many travel brands will attest, getting the right mobile strategy in place is not easy. It requires a considerable investment of time, money and resources as well as a willingness to experiment and make continual improvements. Indeed, the job of a mobile executive is never done.
EyeforTravel’s Mobile Innovation in Travel Awards seek to recognize the travel brands who are making significant progress in mobile – trailblazing the way for others to follow.
Taking place in San Francisco, March 23rd as part of EyeforTravel’s Mobile & Innovation in Travel conference, the awards will feature 4 categories –
· Best Mobile Travel User Experience· Best Mobile Travel App· Best Mobile Travel Strategy· Best Mobile Travel SolutionPast winners and finalists of the awards include KLM, TripAdvisor, Marriott, Best Western, Carlson Wagonlit Travel, Worldmate, Checkmate, BookAssist, Hotels.com and more!To find out more about how to enter your brand visit - http://events.eyefortravel.com/mobile/awards.phpFor all awards enquires contact:-Gina BaillieGMEyeforTravelLondon, UK: +44 (0)207 375 7197US Toll Free: 1 800 814 3459 ext. 7197gina@eyefortravel.com
EyeforTravel Berlin giveaway: How you can win one free pass (and more)
Taking place in Berlin, EyeforTravel's annual online marketing, mobile and social media conference is only 2 weeks away and we couldn't be more excited.
This year, EyeforTravel Berlin features more CMOs and senior level speakers than ever before with speakers from Ryanair, Thomas Cook, Low Cost Holiday Group, Accor, Malaysia Airlines, Disney, Carlson Wagonlit Travel, Kempinski and more.
Want to know more about the free entry to the event?
We're pleased to offer you a chance to win one free* gold pass to EyeforTravel's Online Marketing, Mobile & Social Media conference.
Fill out the form below, including the question and you stand to win an all access conference gold pass if you're lucky. We also have runner-up prizes that give you access to the recorded sessions from the conference .
Deadline for entries is 12pm BST on Tuesday 23rd September.
Good Luck!
*Access to the conference is free of cost. Please note that you will have to arrange your own travel and accommodation.
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This year, EyeforTravel Berlin features more CMOs and senior level speakers than ever before with speakers from Ryanair, Thomas Cook, Low Cost Holiday Group, Accor, Malaysia Airlines, Disney, Carlson Wagonlit Travel, Kempinski and more.
Want to know more about the free entry to the event?
We're pleased to offer you a chance to win one free* gold pass to EyeforTravel's Online Marketing, Mobile & Social Media conference.
Fill out the form below, including the question and you stand to win an all access conference gold pass if you're lucky. We also have runner-up prizes that give you access to the recorded sessions from the conference .
Deadline for entries is 12pm BST on Tuesday 23rd September.
Good Luck!
*Access to the conference is free of cost. Please note that you will have to arrange your own travel and accommodation.
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Winners of Mobile Innovation in Travel Awards announced
Earlier this week, in San Francisco, 9 finalists battled it out in the final of EyeforTravel’s 3rd annual Mobile Innovation in Travel 2014 Awards.
Tensions rose as each finalist presented a 5 minute pitch to the panel of expert judges and to the audience of EyeforTravel’s Social Media & Mobile Strategies for Travel conference.
Following a period of deliberation by the judges the winners were announced as
• Best Mobile Travel AppTripAdvisor• Best Mobile Travel User ExperienceWorldmate• Best Mobile Travel StrategyredBus.in• Best Mobile Travel SolutionCheckmateWith thanks to the judges - · John T. Peters, President, Travel Media Group, USA Today · Gina Baillie, GM, EyeforTravel Ltd. · Glenn M. Gruber, Sr. Mobility Strategist, Propelics, Inc. · Michael Becker, Managing Partner & CEO North America mCordis · Dr. Natasa Christodoulidou, Director of Hospitality Technology Research Institute, California State University
The Mobile Innovation in Travel awards will be returning in 2015, in March in San Francisco. Contact gina@eyefortravel.comfor details.
We will also be holding a European edition of the awards in Berlin, October 1-2. Contact Julia@eyefortravel.com for details.
Congratulations to the winners!
Tensions rose as each finalist presented a 5 minute pitch to the panel of expert judges and to the audience of EyeforTravel’s Social Media & Mobile Strategies for Travel conference.
Following a period of deliberation by the judges the winners were announced as
• Best Mobile Travel AppTripAdvisor• Best Mobile Travel User ExperienceWorldmate• Best Mobile Travel StrategyredBus.in• Best Mobile Travel SolutionCheckmateWith thanks to the judges - · John T. Peters, President, Travel Media Group, USA Today · Gina Baillie, GM, EyeforTravel Ltd. · Glenn M. Gruber, Sr. Mobility Strategist, Propelics, Inc. · Michael Becker, Managing Partner & CEO North America mCordis · Dr. Natasa Christodoulidou, Director of Hospitality Technology Research Institute, California State University
The Mobile Innovation in Travel awards will be returning in 2015, in March in San Francisco. Contact gina@eyefortravel.comfor details.
We will also be holding a European edition of the awards in Berlin, October 1-2. Contact Julia@eyefortravel.com for details.
Congratulations to the winners!
What do Apple, Twitter, Facebook and Google plan for the travel industry?
Back in 2010, travel industry commentators went into overdrive as it was announced that Apple had patented ‘iTravel’. According to the Patently Apple blog, iTravel is designed to facilitate ticketless travel as well as check-in services with a plan to employ near field communication (NFC) for identification and ticketing by transportation providers for iPhone. Was this going to be Apple’s first foray into the travel space?
The industry got pretty excited, after all a mega brand like Apple could carry serious weight in the travel space and have a profound influence on the travel lifecycle.
Since this date though, aside from the launch of Passbook in 2012, they have remained fairly quiet on the travel front.
Last year however, Apple launched their own NFC technology, iBeacon. In November they updated their patent for iWallet. Combining all these technologies would result in a pretty useful offering to travelers on the go.
This year, I couldn’t help but notice that for the first time employees from Apple will be attending EyeforTravel’s upcoming Social Media & Mobile Strategies for Travel conference in San Francisco next week. I’m going to be sure to ask them what insights they might be able to provide into what lies in store.
Industry giants Twitter, Facebook and Google will also be at the event. Each of whom have the ability to be a disruptive force in the travel industry, particularly with their access to enormous datasets and daily interactions with consumers.
What do they all plan? Stay tuned on this blog next week to find out what’s discussed! You can also follow the event discussions using the twitter hashtag #smtravel14 or to be at the event in person contact me – gina@eyefortravel.com.