GLG News by Online Travel Agency and Industry Experts (North America)

Tom BottsPartnerHudson Crossing

Municipalities have reservations on Online Travel Agent's hotel room tax policies

February 18, 2009

Analysis of:Cities and States Press Travel Sites to Collect Hotel Taxes | www.nytimes.com

Anaheim wins round one in the occupancy tax wars vs. the Online Travel Agents (OTAs) but will it be pyrrhic?

Tom BottsPartnerHudson Crossing

TZOO launches a strong product offering - may be the key in a reversal of fortune

February 5, 2009

Analysis of:Travelzoo Purchases Fly.com Domain Name for $1.8 Million | biz.yahoo.com

TZOO hasnt had a new product offering in some time and has faced extensive competition in the travel email advertising world. Fly.com represents an interesting new revenue stream as well as a potential threat to internet darling kayak.com

Christopher DanePresidentHRG-Executive Travel Associates

BA/IB Merger talks has 2 Opportunities to Collapse

February 2, 2009

Analysis of:British Airways-Iberia merger talks on the rocks | www.reuters.com

 1. BA stock price at 133 pence and potentially can go lower could call off the talks. 2. AA/BA antitrust immunity request could likewise kill the deal.

Tom BottsPartnerHudson Crossing

The times are right for Home2 - but how close is it to aloft?

January 26, 2009

Analysis of:Hilton Launches New Focused Service Brand | biz.yahoo.com

Hilton's new brand is well positioned in these times to resonate with consumers.

Tom BottsPartnerHudson Crossing

United and Aer Lingus - will it work?

January 22, 2009

Analysis of:Aer Lingus and United Announce Partnership | www.earthtimes.org

Today's WSJ is reporting that Aer Lingus and United are pairing up beyond their existing codeshare routes to/from the Emerald Isle to launch a new nonstop route from Washington Dulles (IAD) to Madrid (MAD). The flight will be operated by an Aer Lingus A330 aircraft and crew. Made possible by the recent open skies liberalization accord between the US and the EU, this new flight will be interesting to watch for a number of reasons......

Ken HeitCruise and Travel ExpertAdventure Travel / Signature Travel Network

Trouble on the high seas

January 21, 2009

Analysis of:Cruise trouble on the high seas | blogs.usatoday.com

Prices are being drastically reduced on cruises for 2009 Bookings are down for the wave season signaling trouble ahead Cancellations are up and the booking window is getting very close in

Chicke FitzgeraldChief Executive OfficerSOLUTIONZ HOLDINGS

We need to better understand the entire automotive industry ecosystem

January 12, 2009

Analysis of:U.S. Drivers Keep Autos Longer, Shun Showrooms on Job-Loss Risk | www.bloomberg.com

I was on the phone the other day with a colleague from Freescale and I was frankly surprised to hear that the decline that they are seeing in their production/demand is due to the automotive meltdown.  Because I'm only peripherally involved in the industry (through GPS and indash infotainment), I really didn't think through that car manufacturers were a primary consumer of semi-conductors. 

Chicke FitzgeraldChief Executive OfficerSOLUTIONZ HOLDINGS

As oil continues its decline, can it prop up the travel industry's slumping profitability picture?

January 12, 2009

Analysis of:Oil Prices Hit $86 a Barrell | www.msnbc.msn.com

Jet fuel is one of the top 3 cost items for airlines. Since the summer of 2008, the price of oil has declined from $140 barrel to under $40 a barrel today.  This should be very good news for investors in airline stocks, as it should directly flow to the bottom line if airline ticket prices hold steady. Likewise, cruise lines' profitability is closely tied to this volatile commodity and the major players in the cruise industry could benefit from the continued decline in pricing. But right now, what we face is a need to stimulate travel, which is normally done through price reductions.  Will these suppliers pass on the cost reductions to consumers?

Chicke FitzgeraldChief Executive OfficerSOLUTIONZ HOLDINGS

The travel ecosystem is shifting, beginning with the GDSs and online players

January 8, 2009

Analysis of:Expedia Vet Takes Orbitz Helm, Sabre Vet Takes Travelocity Wheel | www.btnonline.com

Both Orbitz and Travelocity this week announced new leaders at the helm.  Both have cut costs substantially due to reduced revenues and profitability.  Orbitz now has a technology savvy, operationally capable, marketing focused executive who is talking already about social media, which implies new models afoot for the OTA.  Orbitz had been outpaced by Expedia and Travelocity in the advertising model/social media capabilities, but does it really help them to do a "me too" offering to match Trip Advisor and iGoUGo? Just weeks ago, Amadeus founding CEO Jose Tazon stepped down in favor of his number two, David Jones, who had been the de facto day to day leader for some time, as Jose managed board and investor relationships with their private equity owners, BC and Cinven. Sabre puts its own COO at the helm of Travelocity, not replacing him in the Sabre organization, but instead splitting his job amongst his peers.  Is it time to go from 3 GDS companies down to two? 

Chicke FitzgeraldChief Executive OfficerSOLUTIONZ HOLDINGS

The lines of travel distribution are blurring

December 30, 2008

Analysis of:New Report Evaluates Trends in Online Travel Market | www.travelagentcentral.com

The PhoCusWright report that spawned this article reports that the online travel distribution market has shifted to 61% being sold via supplier sites (otherwise known as consumer direct) and 39% is sold via online travel agents. Suppliers are trying to wring more dollars out of frequent, loyal bookers, which means increased focus on personalization, loyalty and community. OTAs, by comparison, are trying to wring any dollars out of their mass of unconverted lookers, as the almighty transaction gives ground to eyeballs and emerging advertising-based lines of business.

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