TOP NEWS

📌 20% of hotel reservations are canceled. In hospitality, refundable rates are common, but this trend is questioned. Alternatives like Mews Payments allow for immediate, automated payments at booking. In 2024, 22% of Mews-powered property rates were non-refundable, a slight increase from 20% in the previous year but down from 29% in 2019, before the pandemic-induced surge in flexible rates. Non-refundable rates can improve cash flow and reduce cancellations, but may require a mindset shift in the industry.

🏕 Nearly half of Americans plan to travel during the 2024 holiday season, with average planned trips increasing from 1.88 in 2023 to 2.14. A significant 64% will take multiple trips, up from 57%, and 33% will vacation for a week or more, rising from 25%. Financial optimism is also up, with 46% reporting better finances than last year's 31%. High-income households ($100K+) now make up 45% of holiday travelers, with their planned trips up from 1.9 to 2.5. Gen Z represents 14% of travelers, surging from 8%, while 39% of millennials intend to spend more, driven by the value they place on travel experiences. Remote work during travel, a rising trend, sees 'laptop luggers' planning on average 2.7 trips, more than the 2 trips of non-working travelers.

📈 In December, OAG’s Airline-Tech Innovation Radar revealed three AI innovations transforming aviation efficiency. eDreams became Spain's first unicorn (1999-2014) without startup playbooks. The AI expert paradox highlights the growing gap between AI experts and influencers. AI now values ideas over execution. Hybrid teams evolved from employment type, to location context, to intelligence type. With AI, from 100 million developers, software creation could surge to over 1 billion. Replit's platform suggests the travel industry could innovate from outside, with every traveler potentially solving problems. The future of travel may feature micro-businesses with AI tools rather than billion-dollar companies. AI could disrupt OTAs by directly negotiating with services. TripAdvisor doubled review page traffic by using AI for content enhancement. Amazon’s campaign "Thank My Driver" offers a $5 tip to drivers at no cost to the user.

🏗 The Los Angeles City Council voted to increase the hourly minimum wage for tourism workers to $30 by 2028, starting with $22.50 in 2025. This legislation, inspired by upcoming events like the 2026 FIFA World Cup, the 2027 Super Bowl, and the 2028 Summer Olympics, also includes a $8.35 weekly healthcare plan. Current wages for airport and hotel workers are $18.78 and $19.73, respectively. Critics worry the increase may harm the industry's recovery post-pandemic.

🛫 SITA and Romania's Cluj Avram Iancu International Airport have signed a Letter of Intent for a partnership focused on improving operational efficiency and sustainability. The collaboration will include pilot projects and proof of concept initiatives, such as streamlining airport processes, enhancing passenger flow and baggage handling, and improving energy efficiency. SITA's President for Europe, Sergio Colella, emphasized innovation for smarter, sustainable travel, while Cluj Airport's CEO, David Ciceo, valued the partnership for technological advancement in line with sustainability goals. The agreement also features R&D, joint workshops, and a commitment to reducing airports' ecological footprints.

🏨 On Dec 13, 2024, the hospitality industry is evolving to prioritize personalized experiences, integrating small details that foster connections and enhance stays. To balance luxury with convenience, hotels offer all-inclusive packages. Technology plays a crucial role through virtual tours, digital concierge services, smart room features, and eco-friendly innovations. The industry's drive for excellence and sustainability reflects in custom, high-quality experiences and green technology adoption. Full details at Glamour.

📲 Booking.com is set to revamp its review scoring system by December 13, 2024, to emphasize the most recent guest feedback. The new algorithm will likely boost scores for numerous properties on the platform within months. This update allows hotels to highlight recent improvements and positive experiences, reflecting their current performance more accurately.

🏨 In 2025, AI in hotels is expected to automate repetitive tasks, supercharge communication, and personalize guest experiences. Google's U.S. search ad market share may fall below 50% by 2025, challenging travel ad networks. Italy has banned rental key-boxes to preserve human interaction. TikTok Shop emerges as an influential online marketplace, potentially extending to travel. Walmart partners with Roku for a shoppable Christmas movie, hinting at a future shoppable hotel concept. Cloud PMS companies remain unprofitable, competing for market share without clear monopolistic threats.