Innovation

💳 PayPal research indicates that a complicated or lengthy checkout process causes 22% of shoppers to abandon their purchases. Online booking platforms and payment methods have reshaped the travel industry, but outdated payment experiences hinder customer loyalty. E-wallets play a crucial role in retaining customers, allowing the collection of points and cashback for future bookings. In travel marketplaces, split payment functionalities through embedded payments distribute transaction funds to multiple stakeholders, fostering trust and loyalty.

📅 Traveltek and TProfile, Travolution Awards 2024 winner for Best Technology Product, announce a strategic partnership to enhance CRM and documentation software capabilities of Traveltek customers. The initial proof of concept will be launched before Christmas, with further system synchronisation expected in the new year. The integration aims to reduce duplicate entries, administrative errors, and increase efficiency for travel agents and tour operators. Strong demand for the collaboration has been reported with pilot customers already showing interest.

📆 During the holiday travel season, hotels leverage calendar marketing tools to enhance guest experiences and boost event engagement. Innovative strategies include subscription calendars, seamless event reminders, personalized event experiences, and streamlined RSVPs. These practices aim to keep hotel events top of mind amidst the busy season. Michael Nilsson, CEO of AddEvent, highlights the importance of these tools for the 250K+ customers served by his company, including Fortune 500 clients.

🏖 Hostaway's 2024 STR Market Report indicates a shift in property managers' concerns from technology to growth and scaling complexities, now ranked as top challenge. Climate-related concerns surged, with an 8% focus among managers, reflecting 24 times more mentions than the previous year. Economic volatility dropped out of the top eight concerns. AI adoption and dynamic pricing use grew by 45%. Over 300 property managers across 51 countries participated in the survey.

📖 Tripadvisor, the world's largest travel review site, announces a new AI-powered feature, "Review Summaries," that distills over 1 billion reviews into concise summaries and quotes for hotel properties. The summaries, created using state-of-the-art generative AI and Large Language Models (LLMs), aim to simplify search and maintain the integrity of the original user content. The feature leverages machine learning techniques such as RAG, BART, and DistilBERT, fine-tuned with extensive user research and feedback. Currently focused on hotels, Tripadvisor plans to expand to restaurants and attractions, prioritizing user trust and transparency.

📌 Agentic AI is advancing LLMs, impacting industries like travel, where companies like Onefinestay (2010), GetYourGuide (2013), TravelPerk (2016), Roadsurfer (2020), and Fora (2021) are on track for over $1 billion in revenue in 2024. These platforms may be challenged by AI's ability to autonomously perform tasks like booking without OTAs, potentially obtaining better rates, upgrades, or discounts directly. However, services requiring immediate fulfillment, like Uber, might remain less affected by AI disintermediation due to the need for real-time, local operations.

🛫 In the travel industry, OTA executives are criticized for high commissions, up to 25%, and for not adding value or sharing customer data. Operators often choose to minimize their participation in the OTA channel due to these negative impressions. Complaints also include OTA's lack of brand display, sustainable models, and respect for industry operators. The impact of AI on this ecosystem is predicted to be significant.

🏨 Choice Hotels International, Inc. announced openings of Everhome Suites in Fayetteville, NC, and Cheyenne, WY, with a groundbreaking in Clarksville, TN, addressing high demand for extended stay accommodations. Currently, seven Everhome Suites are open, over 20 under construction, nearly 30 expected by 2025, and over 65 in the pipeline. Developed with Highside Companies, which has four open and 13 under construction with Choice Hotels. Each hotel has 114-115 rooms, located near strategic hubs for defense, healthcare, and industry, with amenities like fully equipped kitchens, spa-style bathrooms, and 24/7 markets and fitness centers. Choice supports owners with tools like Choice Maps for market analysis and cloud-based management systems.

🍕 In McLean, Virginia, Hilton and Grubhub Onsite are expanding their partnership to over 2,600 hotels including Hampton, Tru, and Spark brands. Guests at these hotels can now access Grubhub’s Marketplace with 375,000+ merchants via QR code. This follows the 2023 launch at Homewood and Home2 Suites by Hilton, where orders have more than doubled. The service includes one free month of Grubhub+ with benefits like $0 delivery fees and 5% back on pickup orders.