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1. Waikiki Hotel To Drop Trump Brand
Trump Hotels and Irongate, the ownership group behind the Trump International Hotel, Waikiki, have reached a deal to drop the Trump branding from the property, according to a news release. The hotel has operated under a Trump flag since it first opened in 2009.
Bloomberg reports the property is expected to shift to Hilton's LXR brand beginning in February and operate under the name of Wakea Waikiki Beach.
2. Airfares See Deep Discounts To End 2023
With a record number of seats to fill in an off-peak season, airlines are dropping fares and offering deep discounts, CNBC reports.
Southwest Airlines is now offering $29 one-way fares to induce demand with company Chief Commercial Officer Ryan Green noting the amount of discounting they're "doing today [is] a bit more than normal."
September inflation data also showed airfares dropped 13% year over year at the same period airlines are offering a record high 259.8 million seats in the fourth quarter, an 8% year-over-year increase.
3. Chinese International Travel Starts To Creep Back
There are signs of life for outbound Chinese travel as the country eases hurdles like visa restrictions, according to panelists at the World Travel Market in London, HNN's Terence Baker reports.
One of the early winners as destinations vie for that demand could be Arab nations, said Khalid Al Midfa, chairman of the United Arab Emirates-based Sharjah Commerce & Tourism Development Authority.
“Language was a big barrier, but that is not so much the case anymore. They know exactly what it is they want and now no longer need to stay in groups. Even during COVID-19, we did not stop marketing and improving our relationships,” he said.
4. Big Hotel Companies Observe Demand Shift
While leisure demand has led most of the recovery since the onset of the COVID-19 pandemic in 2020, this earnings season many hotel company leaders noted a shift with somewhat softening leisure demand, a marked jump in group business, and a slow-and-steady recovery in business transient, HNN's Dana Miller reports.
Hilton President and CEO Chris Nassetta said group demand has finally surpassed pre-pandemic levels and is expected to take off next year.
Nassetta said that in 2024, “you will see the return of the mega groups that started in the second half of this year. … you will see a decent shift to the large groups because they have a huge amount of pent-up demand that needs to be satiated, and that will be happening next year. … Group is just off the hook with tons of demand and lead times are lengthening. There’s not been a lot of group hotels built in this country for essentially 20 years, so you have all this demand and fewer places to go. So groups have to start planning further in advance and booking much further out.”
5. Global Markets Start Week With Uneasiness
Worries over things like upcoming U.S. inflation data have kept global markets muted to start the week, Reuters reports.
The news agency reports "the week ahead is packed with market risk events, with consumer inflation and retail sales figures from the United States on Tuesday and Wednesday, respectively, the most likely to shift the economic narrative."
Editor’s note: Chris Nassetta serves on the board of directors for Hotel News Now’s parent company, CoStar Group.