Hotels are implementing new strategies to increase direct bookings from corporations and businesses, bypassing traditional booking intermediaries. Senior Hospitality Editor Sean O’Neill explains that hotel executives believe offering more enticing offers that can’t be found through third parties could attract more business travelers to book directly. Some large hotels are testing a new pricing and booking process called attribute-based booking in an effort to help corporations better understand their spending. While attracting more direct bookings could save hotels money, the transition to attribute-based booking faces challenges due to a lack of industry-wide standards.
Viking CEO Torstein Hagen expressed confidence in the future of travel during the luxury cruise line’s second-quarter earnings call. Hagen mentioned that Viking doesn’t foresee any slowdown in travel and had recently experienced one of its strongest booking weeks ever. Global Tourism Reporter Dawit Habtemariam notes that roughly 95% of Viking’s passenger cruise days for 2024 were already booked as of August 11, with Viking Holdings generating $1.6 billion in revenue during the second quarter, marking a 9% increase from the previous year.
As companies are increasingly organizing regular in-person gatherings to bring staff together, there is a growing demand for accommodations for smaller meetings and events. Reporter Christiana Sciaudone writes that this trend is driving travel managers and hotels to modify their offerings to cater to the boom in smaller gatherings. Travel management firm Reed & Mackay recently expanded its meetings and events staff to address the increased demand for offsite internal events, with clients doubling or tripling their number of yearly gatherings and reorganizing their operations. Additionally, Hilton has made it easier for companies to book room blocks and meeting spaces online with customized packages, with CEO Chris Nassetta anticipating a boost from meetings and events.
Overall, the travel industry is seeing significant shifts in how business travel is conducted, with hotels focusing on increasing direct bookings from corporations and businesses by offering more enticing offers that cannot be found through traditional booking intermediaries. Viking continues to see strong demand for luxury cruises, with CEO Torstein Hagen expressing confidence in the company’s future and noting a surge in bookings. In response to the rise in demand for smaller meetings and events, companies are modifying their offerings to cater to this trend, with travel management firms and hotels adapting to accommodate the increased need for offsite internal events. The future of the travel industry appears to be evolving towards more tailored services and offerings to meet the changing needs of travelers and business clientele.
