Travel Business News - North America

AirGuide Business, May 5, 2008

May 5, 2008

Warning that airline consolidation is harmful to consumers and does not address the airline industry[sup.1]s real problems, Kevin Mitchell, chairman of the influential Business Travel Coalition (BTC), urged Congress to examine the consumer and competitive issues carefully and deliberately, and develop a new fact based national aviation policy that serves the traveling public. Mitchell[sup.1]s statement emerged in the aftermath of last week[sup.1]s Congressional hearings on the proposed merger of Delta Air Lines and Northwest Airlines and subsequent reports of merger and alliance talks between American, US Airways, Continental United and British Airways. Full details of the BTC policy statement can be found at www.btc.com. May 2, 2008

Roger Dow, president and CEO of the Travel Industry Association (TIA), told a Senate Subcommittee on Oversight that successful implementation of the Western Hemisphere Travel Initiative (WHTI) would require a sustained communications campaign to explain changing travel document requirements for entering the United States by land or sea. Dow warned of summer travel delays and lost revenue if action was not taken and stressed the economic importance of the U.S.-Canada border. He urged passage of the Travel Promotion Act (S. 1661 / H.R. 3232), currently pending before Congress and said the legislation provides a consistent and sustainable vehicle for communicating security changes to travelers. "The confusion and frustration that the impending implementation of the Western Hemisphere Travel Initiative has created for American and Canadian travelers should serve as a lesson learned for the entire United States government," said Dow. "With the introduction of all new security procedures, communication is as important as the policy itself. Without a nationally coordinated travel promotion program that utilizes the best minds of the private sector, the United States is failing the communications test."More than 40 million Canadians visit the United States annually and a mere five percent decline in Canadian travel could cost the United States economy more than $700 million. The Travel Promotion Act establishes a public-private promotion campaign - at no cost to the American taxpayer - to improve communications. May 1, 2008

U.S. hosts more international tourists as dollar declines More foreign tourists are visiting the U.S. to take advantage of the weak dollar. The Department of Commerce said the number of international visitors to the U.S. rose by 11.1% in 2007 from year-earlier levels. May 1, 2008

Cruise sales now make up more than half of the total business mix of the Vacation.com agency network, which consists of over 5,000 predominantly leisure-oriented agencies across the U.S. and Canada, according to a recent survey by Vacation.com. Most Vacation.com agencies were reporting a shorter booking window for cruises, a phenomenon experienced by tour packagers for the past decade, says Vacation.com. However, even here, some retailers said they were getting bookings as far out as 2009 cruise sailings. Apr 30, 2008

The Vacation.com Engagement Program - approximately 2,100 Vacation.com members are signed on to the program - appears to be a solid business tool. Engaged agents typically reported sales gains and were less likely to report declines in the premium/luxury cruise market and the 14-day sailing category. Engaged agents are the most likely to report much better results in 2008 compared with 2007. Among the engaged agents reporting, a total of 81 percent said that sales increased as compared to 69 percent for non-engaged agents. Engaged agents were also more likely to show an increase in premium or luxury cruises with 20 percent reporting an increase in bookings as compared with 15 percent among non-engaged agencies. The latter are also less likely to book luxury cruises altogether with 15 percent not operating in this segment. Apr 30, 2008

MAST Travel Network[sup.1]s 17th annual conference in Tampa, FL, April 16-20, won strong support from the 145 MAST member agents who attended, John Werner, president and COO of the 170-agency member group said. Forty of MAST[sup.1]s preferred suppliers and technology partners were represented. MAST Travel Network is a travel agency consortium and marketing group in the Midwest with over 170 agency members in eight states and Canada. Werner introduced several new initiatives for MAST member agencies, including online fulfillment for direct mail programs and e-mail marketing campaigns directed to lifestyle and life-stage demographics. This includes honeymoons, romance packages and family vacations. Also announced were new interactive tools for agency websites. A major initiative announced by Werner is MASTis late-summer launch of a comprehensive sales training program for both new travel agents and industry veterans. The program will offer abbreviated two-hour sessions as well as a half-day condensed version and a full one-day program. Sales trainers from both within the industry and outside will participate. Apr 28, 2008