FOXTROTS*

Travel-Industry-Data News, May 27-31.

Travel business updates

31 May 2024

[] Our summary of WAS* reports:

-Government security checked 10.5mn +8% travellers at US airports over the Memorial Day weekend May 24-27.

-Airlines for America forecasts US airlines will fly 26,000 +5.6% daily flights this summer (June 1 to August 31).

-Firearms were intercepted at US airport security checks 2500 times YTD; 93% were loaded. Note 1.

–Dubai is expanding its Al Maktoum airport (DWC), to be bigger than DXB (Dubai). DWC’s is planned to have: a US$35bn terminal with 260mn passenger capacity, against 100mn at DXB; 400 aircraft gates and five runways.

*Notes:

-WAS is Washington Aviation Summary, a monthly publication produced by US-based legal company, Kirstein & Young.

-Note 1. WAS did not specify period (its release was dated May 31); in 2023 it reported 3251 in H1, of which 92% were loaded; this indicates a fall this year.

[] Our summary of STR* report on US hotels:

Weekly 7-day periods through:

-25 May occupancy (against comparable week in 2023) 67.7% (+1.6%), average room rate US$160.67 (+2.3%)

-18 May 67.4% (+0.2%) US$163.11 (+2.6%)

-11 May 66.1% (+2.1%) US$162.14 (+4.4%)

End-month 7-day periods:

-April 65.7% (-1.2%) US$154.44 (-1.3%)

-March 62.3% (-5.6%) US$157.14 (-0.7%)

-February 62.0% (-3.3%) US$156.62 (+0.3%)

*Notes:

-STR = US-based Smith Travel Research. Despite that name, a hotel-research company.

-STR also reports hotel revpar (revenue per available room). We concentrate on occupancy and room rate, as we believe revpar has little marketing value to those not working in the hotel business.

April air traffic

30 May 2024

[] Our summary of an IATA* report on April air traffic:

-Worldwide RPKs +11.0%; comparison with pre-covid 2019 no longer given. ASKs +9.6%, load factor 82.4% + 1.0pt.

-RPKs by region – Asia Pacific +17.4%, Europe +9.3%, North America +4.2%.

-International RPKs +15.8% – Asia Pacific +32.1%, Europe +10.1%, North America +6.5%.

-Domestic RPKs +4.0% – Australia +6.9%, Brazil +6.5%, China +4.2%, India +2.7%, Japan +0.1%, Russia NA, US +3.2%.

*Notes: IATA=International Air Transport Association. Switzerland-based airlines’ trade body.

OTA spending

29 May 2024

[] Our summary of PCW* report on OTAs* in Q1:

-Top-4 – AirBnB, Booking, Expedia, Trip – together spent US$4.08bn +10.6% on sales and marketing (Booking reported just ‘marketing’).

-Spend average 37% of revenue.

-AirBnB spent US$514mn +14.2%, 24% -0.8pts of revenue.

-Booking US$1.6bn +6%, 36.4% -3.8pts.

-Expedia US$1.65bn +11%, 56.9%. Note 1. Change not given.

-Trip US$320mn +32%, 19% -1pt compared with Q4. US$1.3bn in all-2023. Note 2. Note that categories are not the same as for other OTAs.

-All-2023 sales and marketing US$16.8bn. Note 1.

*Notes:

-PCW is Phocuswright, a US-based travel research company specialising in online data, or Phocuswire, a news outlet. The Northstar travel group bought it in 2011 from the late founder Philip C Wolf, after whom it had been named PhoCusWright.

-OTA=online travel agency.

-Any rounding by PCW.

Asia Pacific airlines

28 May 2024

[] Our summary of AAPA* report on international seat sales of its member airlines:

-In March 30.1mn +47.1%. January-March 88.6mn +58.0%.

-Top-3 airlines, March only: Singapore 2.18mn +23.0%, Cathay P 1.89mn +42.4%, Eva 1.13mn +39.4%.

-Other usually-big airlines, March only: All Nippon 641k +22.5%, Japan 609k +15.7%, Thai 1.01mn +33.8%.

*Notes: AAPA=Kuala Lumpur-based Association of Asia Pacific Airlines. Only 13 member airlines because from its beginning (as Orient Airlines Association) it limited membership, most notably excluding any airline from China and India.

Travel business updates

27 May 2024

[] Our summary of TDN* report on UK travel trends, with data from BDO* (together, TB):

-87% plan to travel this year, domestic or international. 63% domestic, 61% international, 36% +3pts both. Note 1. 1, We cannot interpret TB’s maths for this data. 2, Other changes not given.

-47% plan shorthaul, 24% longhaul. Note 2. We cannot interpret TB’s maths for this data.

-Spend +12pts. Note 2.

*Notes:

-BDO, an accounting company, was Binder Dijker Otte when founded in 1963.

-TDN is Greece-based publication Travel Daily News.

The Fox.

*Fox – sly.  Trots – left-leaning (Trotsky) plus its more insalubrious meaning.  Foxtrots – leading the industry in a dance.