American Airlines this week officially launched its New Distribution Capability (NDC) on Monday, which has caused some panic from the travel industry. One of the most outspoken critics—not entirely of the system, but rather the timing—is the American Society of Travel Advisors (ASTA).
In letters to the Department of Transportation and Department of Justice, ASTA President and CEO Zane Kerby said that disruptions will likely be caused by the fact that many of travel management companies, GDSs and third-party technology partners were not fully prepared to facilitate NDC implementation by its launch. Kerby’s top concerns include consumers’ ability to perform comparison shopping, agencies’ abilities to service and exchange tickets, and consumers not being able to utilize flight credits for past canceled, unused or partially used tickets.
As many of the concerns were admitted by Kerby as “theoretical,” it seems only time will tell as to how American pulling 40 percent of its fares will affect the traveling public and travel agencies.
In potentially better news for the industry, Americans’ willingness to travel appears to be near pre-pandemic levels—albeit some concerns (mostly economic) remain. According to the latest edition of MMGY Travel Intelligence’s 2023 “Portrait of American Travelers” study, 70 percent U.S. adults plan to take a vacation in the next 12 months (down from 86 percent last year), but Chris Davidson, executive vice president of MMGY Travel Intelligence, attributes this to “personal finances and the affordability of travel.”
That said, despite a decrease in the percentage of U.S. adults planning to travel in the next 12 months, the intended number of trips and spending intentions of those still planning to travel continue to surge. Another positive takeaway is that interest in international travel continues to increase.
Separate research by The Vacationer has found that 85 percent of Americans plan to travel this summer, with half of those intending to travel more often than they did last summer. Nearly nine in 10 of those aged 18 to 60 plan on traveling, while only 74 percent of those over 60 are planning to travel. Younger travelers are also more likely to fly, with the percentage decreasing with each age bracket. About one-quarter are planning to travel internationally.
New Cruise Leadership and Entertainment
Following Lisa Lutoff-Perlo’s planned transition from her role as president and CEO of Celebrity Cruises to vice chair, external affairs for Royal Caribbean Group (Celebrity’s parent company), on May 1. Laura Hodges Bethge, currently the Group’s executive vice president, shared services operations, will become the line’s next president.
Lutoff-Perlo has served in her role since 2014, when she became the first woman appointed to that role for of one of Royal Caribbean Group’s brands. Her time at the company dates to 1985.
Hodges Bethge, on the other hand, has been with the company more than 23 years and has held senior positions in many different areas. Previously, she was senior vice president of product development for Royal Caribbean International, and led the teams conceptualizing their ships, private island destinations and new onboard experiences.
As far as new onboard entertainment, Oceania Cruises unveiled new “Broadway-caliber” shows for Vista, the first of two ships in the line’s new Allura Class. "Headliners,” “The Anchor Inn” and “Into the Night” are immersive productions with songs by some of the world’s top artists and contemporary dance numbers led by “Dancing with the Stars” choreographer Britt Stewart.
In addition, Princess Cruises is working with the renowned Caymus Vineyards to offer an exclusive Caymus Vineyards Winemaker Dinner. It will be available on Princess ships sailing North America itineraries by the end of April and across all ships worldwide by late May. The five-course dinner, available for 12 guests per seating, will be offered two or three times per cruise, based on voyage length.
In our most recent update from last week’s Seatrade Cruise Global conference in Florida, we shared a plethora of news, including:
- Transcend Cruises, the global charter-only river cruise company that launched last year at Seatrade, will begin operations in 2023, earlier than expected. It’s going to utilize an existing ship contracted from Riverside Luxury Cruises so it can begin service this European river cruise season.
- Silversea Cruises is launching two new Grand Voyages for 2024, bringing the 2024-2025 Grand Voyages collection to eight sailings, the most ever for the ultra-luxury line. New options include the 43-day “Grand Voyage Mediterranean 2024” and 66-day “Grand Indian Ocean Expedition 2024.”
- With demand surging and the coming launch of its fourth ship, Queen Anne, Cunard has invested in North American trade support; It's added BDMs and increased the team at individual contact centers, which advisors use, to 10 people.
- Windstar Cruises is expanding to the Middle East in November 2023 on the all-suite, 312-passenger Star Legend. A 10-day “Sparkling Sands & Cities of the Persian Gulf” will operate from Dubai, U.A.E., to Muscat, Oman.
Good to Know
Pleasant Holidays has relaunched the website for its international air consolidation brand, Air by Pleasant. The website now sports a more efficient booking engine, a fresh look and a more user-friendly design. Travel advisors can book international flights in all classes of service on more than 80 airlines offering flights worldwide, inclusive of commissionable fares.
In Greece, privately owned hospitality group Kanava Hotels & Resorts rebranded as Empiria Group—inspired by the Greek word for "experience." Empira Group will continue to hold its status within The Luxury Collection and Design Hotels. It currently has a portfolio of seven hotels across Santorini, Mani and Paros.
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