Travel Industry

When Nic posted her My Bottle’s Up rant on October 16, allegedly detailing how TSA agents separated her from her child at Atlanta’s security checkpoint, the tale garnered plenty of sympathy and outrage, mainly from mothers who know what it’s like to travel alone.

Blogger Nic

The blogger’s story contained plenty of drama, from a crying toddler saying ‘No, no, no,” as he disappeared from sight to a woman blacking out from emotion in the bathroom. She claims to have called her husband and mother, begging them to help her because “they took Jackson.”

It’s a social media nightmare for anyone involved in the travel industry today, as bouncing prices, additional fees and last-minute changes have prepped the public to believe any horror story that comes down the pike. But what social media taketh, it also giveth back.

By Friday evening, the TSA got the last word at its blog, using less than a fourth of the space Ms. Nic took up for her side of the dust-up. It merely put up a video of the events showing that many of her claims were exaggerations, including the fact that no one carried off a young child. The Twitter-sphere was next in line, regugitating the blogger’s cyber comments after boarding the flight:

” dunno if i’m going blog about it… may pitch it to publications and go waaaay out with it. i dunno yet. “

” eh, i can put it on my blog, but get paid if someone picks up my story… MWUAHAHAHA…. pay me for my insanity!!!! ”

” i’m not posting sh*t. i’m writing a piece to be published much more widespread than my blog that get 6 hits ”

” full story can’t be posted on my blog…. publishers want it. “

“needless to say, today has been hell… but TSA will be ripped a new asshole thanks to freelance writing.”

Tylenol would have killed for this kind of defensive weapon during the tampering scare several decades ago.

Jason Chaffetz

But lest the TSA gets a swelled head, the surveillance video it released of Rep. Jason Chaffetz (R-Utah) traipsing through security at Salt Lake City International Airport proves the politician’s assertion that he did not choose a whole-body-image scanner after voting against that measure in the U.S. House of Representatives. Nor did he throw his business card at TSA officials on the scene as some had suggested.

“It corroborates exactly what I’ve been saying,” Chaffetz told the Salt Lake Tribune. “It dispels the erroneous myth perpetuated by the union.” Not to mention the erroneous myths perpetuated by life in general.

Photography: My Bottle’s Up, Jason Chaffetz

This year has been in the crapper for the airlines.

Every few months, the hot story making its way around the blogs and online news media commentary tends to be about that closet bathroom in the back of airplanes. In February, the uproar centered on Ryanair’s announcement it was thinking about charging passengers to use its loos. By June Ryanair had installed the credit card readers at its bathroom doors, and at the end of July, CEO Michael O’Leary remained high about this new low.

The center of attention

He told the New York times the end game is to cut down on those who use the bathroom for entertainment, and eventually cut back to just one toilet per plane.

In August, that unfortunate Continental/Express Jet flight was stuck on the tarmac overnight in Rochester, Minnesota, and horror stories of that broken, smelly bathroom led most of the descriptions. Today, lobbying efforts for a passenger rights bill have been stepped up on Capitol Hill, no doubt causing politicians to bemoan the lack of deodorizers at the least.

But just when you thought the topic of bathrooms was finally circling the bowl, Japan breaks out the press releases on All Nippon Airways. It seems the country’s airline is asking passengers to go before they go. The idea is that a planeful of empty bladders collectively weighs less, thus using less fuel and producing a smaller carbon footprint. We’re talking 4.2 tons less per month from one airline alone.

During the October experimental stage, ANA’s request is simply that —  a polite reminder. In fact, as CNN reported, they don’t even need a potty mouth in their announcement to use the lavatory at the gate before you board: “This flight is a so-called ‘eFlight.’ The idea behind the operation is to think about the Earth in the sky above. Fuel reduction by lightening the weight of the aircraft will lead to restrain the carbon dioxide emission, which is one of the causes of global warming. Thank you for your understanding.”

Time to go?

But as one Internet poster pointed out, “What’s the next step? Taking a sh*t as well as a p*ss? Not sure how much a turd weighs in comparison to liquid.” An educated guess says this comment came from a Westerner.

Other notable toilet mentions in the sky:

• Virgin Airlines now requires guide animals in the cabin to bring along absorbent pads, prompting this announcement: “It has always been the policy of the Guide Horse Foundation never to allow a Guide Horse to relieve themselves aboard a commercial airliner.” Just in case you were wondering.

• Not to be outdone, American Airlines opened a Pet Relief Park at JFK Airport in New York this summer, a 30- by 50-foot grassy enclosure, complete with a fire hydrant to put dogs in the mood.

And just think, we have two months left of 2009. That’s still plenty of time to write the next big bathroom headline.

Photography: chadmagiera (Flickr) specialkrb (Flickr)

Thanksgiving travel to decrease

When it comes to going over the river and through the woods to grandmother’s house for Thanksgiving, roughly 19 percent of last year’s travelers are rethinking that journey this November 24.

But that’s not the bad news. According to American Express’ latest Spending & Saving Tracker, more than one in 10 young professionals intend to drive instead of fly, 8 percent intend to stay fewer days for Turkey Weekend, and 7 percent of this crowd will use reward points and miles to help pay for the trip.

Comparatively, 7 percent of the general population and 6 percent of affluent demographics say they will drive, 3 percent in both categories are taking the “Hi! Bye!” schedule, and only 4 percent of affluent and 3 percent of the general population will lean on deals.

In other words, we’re training the next generation of discretionary income earners to cut back on travel. And as many businesses know, old habits die hard. 

The short-term picture isn’t that bad. For instance, 78 percent of the affluent expect to spend more or the same over the next 30 days in restaurants, while the general public says it will spend less on groceries — another positive sign folks could be throwing caution to the wind to celebrate. Pamela Codispoti, the American Express senior vice president and general manager of Cardmember Services, agrees.

“These results show that consumers do plan to open their wallets this holiday season, starting with Thanksgiving travel, but many are re-prioritizing those expenses,” she cautions.” If Halloween is any indication of things to come, 36 percent of young professionals said at the end of September they plan to purchase less expensive costumes this year, compared to 16 percent of affluent and 15 percent of the general population that admitted the same thing. In fact, 26 percent are making their own customer or using hand-me-downs — while only 13 percent of the affluent and 11 percent of the general population plan to take that route.

Who needs travel?

Sigh. More of those frugal living traditions forming that could bode ill for the travel industry’s cash flow in the fourth quarter.

So what does the airline industry do in light of this payment skittishness? Just this week, American Airlines, Delta, Northwest and USAirways announced  a $10 per ticket surcharge — each way — for flights on Nov. 29, Jan. 2 and Jan. 3. This is in addition to luggage fees that increased in 2009, and additional charges for specific seats in the coach class. “Yes, it brings in a lot of sorely needed revenue to the airlines — but to the detriment of holiday travelers, who are already paying stiff fares for those high-traffic days,” FareCompare.com’s CEO Rick Seaney told bNet.

While pricing experts will hammer home that discounting services isn’t always the right answer, even in a recession, merging an attitude of gouging with a population losing interest in the product don’t bode well for a healthy profit in this industry down the road.

Photography: CarbonNYC (Flickr), Ali Edwards (Flickr)

Wi-fi around the world

It should serve as the death knell for Internet connection charges in upscale hotels.

The pressure started with budget hotels tossing in free wi-fi connections along with their breakfast buffets. Then restaurants followed until the sign “free wi-fi here” became a staple of McDonald’s, Panera Bread and even little mom-and-pops like Aviano’s pizza.

Now it seems airlines might be the next hospitality arena to offer Internet without a $10.95 24-hour charge.

JiWire and Row 44 are reportedly in talks with Southwest and Alaska Airlines to deliver wi-fi network paid all or in large part  by advertising instead of log-on fees. The specifics are sketchy — some speculate users will have to stroll through a virtual mall to reach the Wild, Wild Net, a modern twist on the SkyMall catalogue.

The idea would certainly appeal to a business audience that has pulled its dollars from the travel industry in this recession. In fact, surveys by the Wi-Fi Alliance show that 76 percent of business travelers would pick an airline based on wireless access, and more than 70 percent would choose wi-fi over a meal service.

And it should go a long way toward converting the Internet from a service to a standard throughout the entire industry, similar to a televsion set. Hotels need to watch this experiment quickly … and it wouldn’t hurt the cruise lines to eavesdrop, too.

Photography courtesy mujitra (Flickr)

Future of registered travelers is unclear

Want to know whether  the idea of paying to pre-clear frequent travelers’ trips through airport security is a great business idea? Launch it, file for bankruptcy, and watch the feeding frenzy for your company. Nearly four months after CLEAR, the company Americans paid as much as $200 a year to join, went belly-up, three companies are scrambling to buy its assets (read: customer database) and take its place.

According to reporters at the Orlando Sentinel, Orlando appears to be the big prize everyone is after. MCO is not only the first airport to offer the expedited security service, it has the most registered in the database Morgan Stanley is now babysitting. Clear operated in a total of 18 airports in the United States, including DC, Los Angeles, New York and Atlanta.

All places frequent fliers would prefer to go to the front of the line.

So why the four-month wait? It turns out, buying citizen’s security information that claims they’re not terrorists is a legal quagmire. For starters, the Transportation Security Administration had washed its hands on participation in 2008 — before Clear’s bankruptcy — because officials there had determined it wasn’t a terrorist-proof system, and went back to merely doing the same background checks it does for every single airborne passenger in America. Now the U.S. House of Representatives wants TSA to change its stance and get on board. The new TSA chief Erroll Southers, a former FBI agent who has also served as the LAX police department’s assistant chief, might do just that.

Second, Clear owed a lot of its partners money, and the airports are saying they want reimbursement before they’ll dive in again.

What's next?

But even without the federal background check component, plenty of flyers would pay to skip sharing security lines along with every family headed to and from Disney World, even though the special registered traveler lanes still require you to take off your shoes, pull out the laptop, and put the liquid bottles in a baggie. In fact, Henry Inc., one of the bidders for the service, claims 90 percent of Clear’s previous customers say they’ll resign, even if they aren’t reimbursed for the funds they lost when the first company collapsed.

And that’s no doubt why the companies fighting to revive this regsitered traveler idea are assuring Americans the program will be back, even if they can’t describe how.

Photography: courtesy .schill (Flickr), hyku (Flickr)

It’s always hard saying ‘adieu’ to a co-founder but it’s especially painful in this case for me to bid Elliott goodbye. I’ve known Elliott since we started as graduate students in 1994 (note to youngsters like Dennis Schaal and Kevin May – this was pre-world wide web in Boston. We jointly organized a Silicon Valley technology tour in spring of 1996 and visited young wannabes like Yahoo, General Magic and @home; still stalwarts like Intuit, HP and Wired as well as then-leaders like Sun and Silicon Graphics. Elliott and I caught the web bug on that tour and we bucked conventional wisdom in 1996 – and ignoring fat signing bonuses and salaries – we went off to co-found our first start-ups – Netcentives for Elliott and CitySearch SF for me. Loyalty Matrix followed Netcentives for Elliott, then a stint in Corporate America, running online marketing for Intuit Quickbooks.

For those of you that know Elliott, you know that he has three deep professional interests – start-ups, social media, and U.S.-China cross-border opportunities. We are going to miss him as he heads off to pursue new, yet-to-be-defined, start-up ideas that combine all three.

Tweeting on the Great Wall

I cannot imagine a photo that better captures the essence of what Elliott would like to do next – this is the Great Wall; and yes…that is Elliott tweeting the dude beside him…

Kaango logo

Relentless, always optimistic and ever the team player, Elliott did whatever it took to help launch Kango, then re-launch as UpTake after we discovered that our trademark lawyers hadn’t done their work like they should have. He found numerous creative and pragmatic ways to drive our consumer acquisition and team-building efforts forward, and his results are clear in the speed at which we reached 1 million visitors (<12 months after public beta), the success of the UpTake blog network, the launch of Travel Insights 100 and the complementary position he has helped us establish in online travel position

We’ll miss Elliott tremendously. He’s not disappearing of course (see his post on more details), he’s transitioning into an active advisory role and will continue to drive our social media strategy and initiatives (including TI100, the Blog Network and some TBD initiatives) with Pat.

Live long and prosper

It goes without saying we wish Elliott the very best and as we say in Chinese – live long and prosper!

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Tnooz–Elliott Ng to leave UpTake for Ventures to be Named Later

When Yen first pulled me into UpTake almost 3 years ago, I decided to commit my money and my time to working with a friend of over 10 years.  That’s a rare opportunity, and its been one of the best startup teams I’ve been part of.    We’ve accomplished a lot. Last year, we were honored to participate in the PhoCusWright Travel Innovation Summit.  As far as we know, we’ve exceeded the traffic levels of all the companies that have been so honored in the past 3 years.  With the double-digit traffic growth we’ve been experiencing, I’m excited about UpTake’s future.

It’s with a great mix of emotions that I’m sharing that I’ll be moving from a full-time employee role at UpTake to an active Advisor role, effective this Friday.

Why am I leaving?
I’m leaving to pursue some new start-up passions.  After having my 3rd child in May, I quickly began to realize that I had to make some tough choices.  I couldn’t pursue these passions to the next level, deliver against the growing demands of a successful company, and be a good dad and husband.

The first passion I’ll be pursuing is China. In 2009, China became #1 in the world in internet users, at over 338 million total users and over 155 million mobile internet users.  China also graduates over 1/3 of the world’s engineers & scientists and is a source for talent globally.  And China is projected to be the largest economy by 2020 to 2025.  That’s only 10 years away.  I want to prepare for the world of 2020 starting now.

I’ll be investigating numerous startup ideas to begin with.  Some of the areas I’ve already found interest include online marketing/advertising, education, travel, and clean-energy.  I’m planning a trip to China in December, and also speaking on the “East Meets West” Panel at my friend Christine Lu’s [Re]Think : Hawaii conference November 1-5 which includes a number of people looking at the China market and cross-border markets.  Here’s the agenda, and the signup form.  If you’re interested in joining, I have a discount code for 35% off from Christine.  Just use the code “elliott”.

The second passion I’ll be pursuing is social media.  To early adopters, Facebook & Twitter may not feel that new, but I believe that we’ve only just begun to see the power of social media to transform how companies and media outlets interact with people.

I’ll continue to work with Pat Jenkins and the UpTake team on building up our online research community Travel Insights 100 and helping out with the UpTake Blog Network.  I’m also excited to represent UpTake in a Town Hall meeting at the annual PhoCusWright Conference with some great thought leaders on social media and travel, such as Stephen Joyce, Kevin May, and Dennis Schaal.

I don’t have a specific idea to share at this point, but I can say that I think there are great opportunities to bring together human/social curation and automated data aggregation/filtering of data in new and interesting ways.

Here’s a picture that brings together these interests – hanging out with Shel Israel, author of Twitterville, on the Great Wall of China. (David Feng also pictured.)

UpTake new marketing leadership, two years in the making
What makes it possible for me to leave at this stage is my team.   Pat Jenkins will continue to lead the UpTake Blog Network and Travel Insights 100, and I’ll be working with her on that.  Brian Piepgrass, Director of Marketing, will continue to play a critical role in driving our marketing partnerships, our traffic strategy, and revenue generation.  Pat, Brian, and I have worked together continuously for over 2 years together. I think that’s about just about 14 years in Internet years!  Reporting to Yen, they’ll lead things from here.

Steve Jobs: “Stay Hungry, Stay Foolish”.  I’ll be doing that over at VentureSprout.com.

in 2005, Steve Jobs was invited to make the Commencement address to the Stanford community.  If you haven’t read it before, go read it right now.  He talked about dropping out of Reed College, and as a result, taking a calligraphy class that he otherwise wouldn’t have taken had he stayed in his degree program.  His comments:

None of this had even a hope of any practical application in my life. But ten years later, when we were designing the first Macintosh computer, it all came back to me. And we designed it all into the Mac. It was the first computer with beautiful typography…

If I had never dropped out, I would have never dropped in on this calligraphy class, and personal computers might not have the wonderful typography that they do. Of course it was impossible to connect the dots looking forward when I was in college. But it was very, very clear looking backwards ten years later…Again, you can’t connect the dots looking forward; you can only connect them looking backwards. So you have to trust that the dots will somehow connect in your future.

I was never a Steve Jobs worshipper, but this speech has been an incredible inspiration to me.

From experience (this will be my 4th startup!), I know that the idea-to-opportunity stage can take some time. So I’m getting started right away.  I’ll be working under the stealth company name Venture Sprout and blogging occasionally over there about my progress. Here’s a placeholder logo.

Staying true to my goal of going global on day 1, the Chinese name is 启芽 or Qiya (Qi3 Ya2), which means “to awaken new sprouts.”

Entrepreneurs start companies with only one advantage — passion.  And for me, I need the company of like-minded people to sustain that passion.  If you’re still reading this post, then its likely that I’m referring to YOU.  You’ve inspired me with your ideas and your support, and I’m thankful.  I’ll be looking forward to our conversations!  If you want to connect, email me at elliott at ngventures dot com or connect via Twitter, Facebook, or Linked In.  See you then.

From borscht to travel bucks

As recession conditions linger, the travel industry continues to seek out ways to reach, and excite, its audience into parting with discretionary dollars. American Airlines thinks food could be that special ingredient.

Through a multi-faceted advertising program with the Food Network, American will weave its brand into the fabric of the new season of the hit series, The Next Iron Chef, which premiered on Oct. 4. Throughout the season, American will be seen flying the chefs from Los Angeles to Tokyo to New York. American Airlines Cargo is also featured in several episodes, helping the Chairman to gather certain ingredients and cooking tools from around the world. 

“For many American Airlines customers, food and travel are essential ingredients of life’s best experiences,” says Rick Wilbins, American’s managing director – brand and advertising. “Partnering with Food Network’s The Next Iron Chef is another way to show our customers that we understand and share their excitement about traveling the world to enjoy new cultures and cuisines.”

“We worked to find the best way to convey American’s message of the passion, energy, and culinary exploration that comes with travel,” says Karen Grinthal, the senior vice president of ad sales at the Food Network and Fine Living. “The Next Iron Chef provided the strongest vehicle, and American’s integration into the program added excitement and was organic to the international theme of the show.”

The partnership includes high-impact feature-style ad pages in Food Network magazine, which gives American the chance to highlight its global network and services, including the expertise of its distinguished Chefs’ Conclave members, celebrity consulting chefs and wine consultant.

American Airlines + Iron Chef

American certainly isn’t the first to try this angle. Sol Melia Hotels and Resorts spent heavily on p.r. to promote its Cancun resort when Real World 22 was filmed there for MTV. Sara Duffy talked Bravo into making a whole show about the length her travel agency goes to in the quest to keep upscale clients happy. First Class All The Way has aired only six episodes to date, but Nielsen data released in June 2009 showed that product placements on broadcast televsions for travel and hospitality were up 34 percent last year. 

What we don’t know is the return on investment. According to some players in the medical industry who have gotten their products on Grey’s Anatomy, the exposure is worth as much as $8 million in advertising dollars. 

Photography: Noel Zia Lee,  dissemination (Flickr)

Orbitz Blogger Day

By Whit Honea, Vacations Blog Editor

Orbitz Worldwide hosted their first annual Blogger’s Day early this week at their headquarters in the beautiful city of Chicago.

Orbitz was an incredibly gracious host and really went out of their way to ensure the comfort and enjoyment of all their guests, which included some of the biggest travel blogs on the web today (yes, even us!).

There are a lot of big things on the horizon for Orbitz and they were kind enough to share them with us, unfortunately they made us pinky swear not to cover all of it.  Something about swimming and cement shoes.

What we can discuss is the excitement and passion that is Orbitz and how it runs throughout the entire company.  They are generally giddy over the news regarding their change in Orbitz fee policy.  They are obsessed with hotels and customer service.  Technology drives them.  Also, coffee.

Barney Harford, the Orbitz President and CEO gave us a good portion of his day and he was happy to do so.  He even laughed at my jokes, which was probably forced and mere politeness, but I’ll take it.

In addition to Mr. Harford we were able to chat with Sam Fulton (Group Vice President, Retail), Chris Brown (VP, Product Strategy), Carolyne Crawford (Sr. Director, Customer Relations/Training), Roger Liew (VP, Technology), Julie Szudarek (VP, Strategy and Planning), Brian Hoyt (VP, Communications and Government Affairs), Eric Brodnax (VP/General Manager, The Away Network), Jan Lofgren (VP, Account Management and Development – Orbitz for Business), Chris Hills (Air Traffic Lead Team) and many others, including Kate who does a lot of the blogging and social media for Orbitz.

A special thanks, hence her own paragraph, goes to Marita Hudson Thomas, for everything.

Stay tuned to UpTake for more on Orbitz news and hovercrafts.

The Old Guard is in trouble when it comes to making a living on the New York City restaurant scene. Tavern on the Green declared bankruptcy in September, not even two weeks after Café des Artistes closed its doors. The owners said after 92 years in the restaurant business, the company could no longer pay employees’ health and pension benefits. Indeed, reports say they were $250,000 behind in health insurance and $116,000 in pension payments.

And both the Rainbow Room and Rainbow Grill are dark these days, with their plans to re-open shaky at best.

Statistics at NPD Group, a consulting firm that specializes in restaurant research, show that 512 New York City restaurants  have closed so far this year. It’s only October.

Las Vegas' CityCenter

Which makes it strange that Las Vegas is counting on upscale restaurants to bail it out of the doldrums. The $8 million CityCenter opening in December certainly has attracted new players to the Vegas dining scene, including restaurant moguls from New York and Paris. It could certainly be a boost to a city where unemployment levels have reached 13.1 percent, as officials are saying it will create 12,000 permanent jobs.

On the other hand, someone has to buy those rooms and meals to keep the jobs. The Las Vegas Convention & Visitors Authority says tourist traffic was down by 6.8 percent  — and that was only through June. And current plans at CityCenter call for more high-end dining establishments than casual meals.

“The last thing we need is 17 more restaurants in the inventory,”  Elizabeth Blau,  a partner at restaurants Society at the Wynn, Simon at Palms Place and Cathouse at the Luxor resort, told Nation’s Restaurant News.  Here’s the current rundown on the interlopers … er, new restaurants:

ARIA Resort & Casino – December 16, 2009
ARIA has assembled many of the best and brightest chefs and restaurateurs from around the country, uniting a pair of remarkable Las Vegas newcomers with those who have played integral roles in the development of Las Vegas’ culinary scene: Masayoshi Takayama, Shawn McClain, Michael Mina, Julian Serrano, Jean-Georges Vongerichten, Sirio Maccioni, Jean-Philippe Maury and The Light Group. Each will deliver a concept totally new to their repertoire.

Vdara Hotel & Spa – December 1, 2009

Martin Heierling, the acclaimed innovator behind Bellagio’s renowned Sensi, will serve as executive chef for Vdara. Inspired by the ancient trade route spanning from Venice to the Far East, Silk Road will incorporate subtle spices and exotic ingredients to create modern trans-ethnic cuisine. Silk Road will transform as the day evolves, from fresh and lively at daybreak to chic and sexy at nightfall.

Crystals retail and entertainment district – December 3, 2009

Restaurants opening their first Las Vegas locations at Crystals include Eva Longoria Parker’s BESO and
Mastro’s Ocean Club, joining an exciting new pub concept by Todd English. Wolfgang Puck will open two innovative new restaurant concepts, including a contemporary interpretation of a traditional French brasserie with tastes of the Mediterranean region. Many more luxury brands and dining concepts will be announced at a later date.

Mandarin Oriental, Las Vegas – December 4, 2009

Situated on the 23rd floor will be the first U.S. restaurant by world-renowned, three-star Michelin Chef Pierre Gagnaire. Twist by Pierre Gagnaire will infuse the simplicity of classic French cuisine with a modern spin, relying on a pairing of flavors and textures for which Gagnaire is renowned. Guests also can enjoy small bites and high tea rituals at the Tea Lounge; fresh preparations of world-class cuisine at MOzen Bistro; and gourmet pastries, sandwiches and more at Amore Patisserie, located directly on Las Vegas Blvd.

Perhaps it’s merely a case of old habits die hard. After, the new owner of Tavern on the Green was reportedly willing to offer New York officials a huge 20 percent of his sales for a chance to see if he could make a profit from the landmark sitting on the parks and recreation district’s land.

Photography: Courtesy of CityCenter