http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Tue, 29 Sep 2009 00:00:00 +0000 PhoCusWright Research Subscriptions: Technology Edition - releases http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Historically, airline seats were a commodity, albeit with a number of pricing variables. Travelers would choose their “seat” based on price, schedule and class of service. This allowed most travel agents to function more or less as order processors, and the global distribution systems (GDSs) provided the technology. Now airlines are transforming their product to include optional services and branded fares. To accommodate the sale of these new services and packages, the travel distribution system is implementing major changes. Key to these developments are the existing profile systems of the GDSs and third-party technology companies. This paper does the following: 1. Reviews the changes taking place in travel profile systems 2. Analyzes the relative value of additional customer profile information that a travel agent (online or traditional) might use to close a sale for these new services 3. Details the profile initiatives of all three GDS companies and several travel management companies (TMCs) 4. Assesses the potential implications for all companies that interact with these systems 5. Examines the potential for a traveler-owned “open profile” industry standard Tue, 29 Sep 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Global Distribution Systems Move Into the Future Part Two: The User Interface Air travel distribution is undergoing significant changes, including new sources of content and new ways to display and sell it. One of the drivers for these changes is the unbundling of content by the airlines into optional services and subsequent rebundling into branded fares. For an industry used to only selling a single product – an airline seat – this is a substantial amount of change to swallow. In addition to accommodating this new content, industry leaders are taking fresh approaches to content acquisition and point-of-sale user interface tools. The consequences of these developments will reverberate throughout the air travel distribution system, requiring new capabilities at almost every level. Thu, 24 Sep 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list ANALYST BRIEFING: THE IPHONE AND THE FUTURE OF MOBILE TRAVEL APPLICATIONS This Webinar is the result of a year-long PhoCusWright research study on the impact of mobile technologies on the global travel industry. It will review current trends in mobile technology and their impact on specific travel industry segments (airlines, hotels, car rental, online and traditional travel companies and the corporate travel industry). The research provides insight into the applications used and desired by frequent leisure and business travelers, and spotlights useful travel-oriented applications available on the iPhone. To access the recorded Webinar, please go to slide 2 of the PowerPoint presentation to access the links. Thu, 17 Sep 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list The PhoCusWright Consumer Technology Survey Third Edition, Part Three of Five The most popular methods for online travelers to share their leisure travel reviews involve two technologies that are rarely mentioned these days. When asked to cite up to three methods they prefer to use when sharing trip experiences or reviews, the largest percentage of travelers opted for spoken conversation in person or via phone, and email, whose death knell was apparently sounded too soon by some online tech prognosticators (e.g., PC Magazine). But while these more established communications methods still reign supreme, don’t dismantle your blog just yet. A significant percentage of online travelers are using social media for travel-related activities, and because social media has a viral quality that three-way calling can’t match, travel reviews shared online, while less frequent, may be exponentially more influential. Thu, 17 Sep 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Global Distribution Systems Move Into the Future, Part One One of the drivers for these changes is the unbundling of content by the airlines into optional services and subsequent rebundling into branded fares.For an industry used to only selling a single product – an airline seat – this is a substantial amount of change to swallow. In addition to accommodating this new content, industry leaders are taking fresh approaches to content acquisition and point-of-sale user interface tools. The consequences of these developments will reverberate throughout the air travel distribution system, requiring new capabilities at almost every level. Fri, 04 Sep 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Travel Content Distribution: Industry Heal Thyself While air and hotel content distribution certainly can be improved, it has evolved with the times and generally remained efficient since its inception. Unfortunately, other segments have not followed suit and still struggle with this issue. This paper will discuss how the air and hotel segments have changed with regard to distribution and why other travel services should strategize to compete on value instead of for control of the distribution channel. Fri, 04 Sep 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list The PhoCusWright Consumer Technology Survey Third Edition, Part Two of Five It won’t be long before social media will be as common as mobile phones – and savvy travel companies have already started engaging in this space. But a newer technology seems to have lured some social network users away. Online travelers who have joined/participated in a micro-blog are also slightly more likely than non-users to have stopped using social networks. Tue, 18 Aug 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list ANALYST BRIEFING: TRAVEL & FINANCE OUTLOOK 2009-2010 Jake Fuller, PhoCusWright's senior research analyst, finance and analytics, explains the implications of the latest travel agency earnings, identifies signs of recovery (or not), and projects the industry outlook for the next 12 months. To access the recorded Webinar, please go to slide 2 of the PowerPoint presentation to access the links. Wed, 12 Aug 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list The PhoCusWright Consumer Technology Survey Third Edition, Part One of Five Destination marketers, take note – travelers who have embraced various forms of social media and/or mobile devices are significantly more likely to use the Internet to select their leisure travel destination. Eighty-two percent of social network users selected their leisure travel destination online in the past twelve months, versus just 68% of non-users. The same pattern of online destination selection holds for micro-blog users (83%) and mobile early adopters (91%). Tue, 28 Jul 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list The iPhone and Travel When the iPhone was first introduced in January 2007, opinions were split between those who called it a revolutionary new mobile device and those who were convinced it would never gain a significant market. Since then, more than 20 million iPhones have been sold and the device is now available in 81 countries around the globe, with more on the way. The early doubters were proven wrong. With the iPhone Apple introduced what is essentially a totally new mobile device with distinct features that differentiate it from competitors’ products. The major difference is that, despite its name, the iPhone is much more than a phone – it is a mini-computer and the first phone to offer a full Web browsing experience (via Safari). These two factors alone made a significant impact in the market and offered vast improvement over the previous mobile user experience. Tue, 14 Jul 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Optional Services: The Coming Sea Change in Air Travel Distribution—ATPCO and ARC This transition – from selling just an airline seat to offering ancillary products like onboard meals, checked bags, toys and T-shirts – will require significant changes in the way airlines display and sell their products. The reverberations will be felt across the entire travel distribution ecosystem as intermediaries and points-of-sale alike scramble to keep up with the airlines. This is the first in a series of papers that will examine the developments in airline optional services and the implications and required changes for distribution companies across the travel industry, including the leisure and corporate markets and both online and offline channels. The article focuses on two companies in the U.S. that serve as essential hubs in air distribution and provide business tools that enable air shopping and booking. Thu, 02 Jul 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Innovation Profiles: Learning and Shopping The first stages of travel planning are dreaming, learning and shopping. The business model for these activities generally involves advertising, placement fees and referral fees. This article takes a look at the business and technology models of 25 companies in this space. This article also explores the variety of business models, profile techniques, social networking tools, platforms and content aggregation, and manipulation and display approaches these companies use. Wed, 06 May 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list The Facebook Phenomenon The online social network space is one of the most dynamic areas of business and technical innovation on the Web today. Almost weekly, we come across a new social network and hundreds of new applications and services are launched on existing social networks every day. Over the last three years, two networks in particular have gained enormous mind share and market share: MySpace and Facebook. As consumers have swarmed to these networks, advertisers and businesses have raced to monetize the growing virtual neighborhoods. More recently, software developers have begun to leverage these communities, with their inherent viral and network effects, as launching pads for a vast array of innovative and attractive applications. Fri, 24 Apr 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Analyst Briefing: PhoCusWright's Mobile: The Next Platform for Travel This analyst briefing covers highlights from PhoCusWright’s Mobile: The Next Platform for Travel report published in March 2009. To access the recorded Webinar, please go to slide 2 of the PowerPoint presentation to access the links. Tue, 21 Apr 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright's 2009 Technology Trend Predictions With 2009 in full swing, we again look at the technologies that have the potential to drive change through innovation and create business value in the travel industry in the next several years. These 10 technology trends have been carefully selected by PhoCusWright from the plethora of global business and technology initiatives that dominate the press and the Internet. Mon, 23 Mar 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright's Mobile: The Next Platform for Travel As mobile technology has evolved and mobile phone adoption has gradually increased over the last two decades, travel companies have speculated about when mobile will begin to have a significant impact on the travel industry. Recent handset innovations and the introduction of 3G (third-generation) mobile networks indicate that worldwide adoption numbers will continue to soar, creating a marketplace that is ripe for the introduction of mobile travel applications. The mobile platform has the potential to enable innovative personal interactions with travel customers, enhance the travel experience and enable travel companies to reach new levels of operational efficiency. Thu, 19 Mar 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Hyperlocal Content Services “All politics is local.” So goes the aphorism attributed to late-Speaker of the U.S. House of Representatives Thomas “Tip” O’Neill as he attempted to explain how the local issues of neighborhoods and cities around the country shape the response of elected officials at the national level. This focus on local concerns and problems is not new, nor is it particularly surprising. But it is driving an important trend that is gathering speed, fueled in part by mobile technologies and the ubiquitous availability of various modes of communication. Increasing access to local information on places, people, organizations, events and news is transforming a number of established information sources, including local newspapers, listings and directories and classified advertising. It is also proving to be a valuable resource for travelers and a potential growth opportunity for travel marketers, content publishers and aggregators. Thu, 12 Mar 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Innovation Profiles: Shopping and Booking Shopping and booking have come a long way since the early days of text-based “dumb” terminal input screens, but there is still considerable scope for innovation. This article examines seven innovations that address different aspects of shopping and booking. These include: talking persona, open source neutral shopping and booking, fare and award availability tracking, around-the-world shopping, attribute-based shopping, and an interactive consolidator and tour operator marketplace. Some of these innovations have significant challenges to overcome, while others are clearly ahead of the curve. Tue, 24 Feb 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Innovation Profiles: The Long Tail Comes of Age in 2008 The Long Tail is a phenomenon associated with the adoption of the Internet that enables large numbers of small suppliers to create a market that may be larger than today’s big business-dominated Internet sites. The travel industry is a perfect example of how technology has enabled small suppliers to have more distribution, providing a new market for travel industry products. While considerable progress has been made since the first online reservation system in the 60s, a substantial amount of opportunity can still be realized. To do this, a number of technical and business issues need to be and will be resolved. New aggregators such as AdventureLink, LiveRez and Escapia are already staking their claim to this new marketplace. Wed, 14 Jan 2009 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list A Winning Philosophy for Travel-Related Web Site Design Web site design has matured substantially over the years as tools and design concepts have become more sophisticated. Some of the early groundbreaking sites that were considered “leading edge” in their day look primitive in today’s world. Today, complex user interaction and response can be facilitated by the use of broadband with AJAX and Flash technologies – an improvement over the page-based, request-and-reply paradigm that is the signature of HTML-based Web content. Tue, 30 Dec 2008 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Hotel Revenue Management Revenue management is a strategy for selling the right product to the right customer at the right price. It involves dynamic pricing, overbooking, predictions of demand and allocation of perishable assets (rooms) across multiple pricing structures and distribution channels. What makes hotel RM so challenging are the number of variables that must be taken into account to determine the price at which to offer a room. In addition to room type and expected demand, these variables can include maximizing total guest spend, negotiating group pricing and optimizing yield over a number of properties in a given geographic area. The process is extremely complex, challenging many of the best minds in academia. Wed, 24 Dec 2008 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Semantic Web and Semantic Search The explosive growth of user-generated content, multimedia and vertical data across the Internet has brought a renewed focus to finding new methods of extracting meaningful information. An increasing number of technology companies are looking for ways to add meaning to, or extract understanding from, these vast pools of data. In essence they are aiming to make the Web a meaningful guide rather than a static catalog of information. Over the last several years, this long-term goal has fueled a number of promising approaches to a more meaningful Web, commonly referred to as the semantic Web. Mon, 22 Dec 2008 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Learning to Think Like a Mobile Traveler To date, travel industry mobile efforts have largely been limited to creating scaled-down versions of travel Web sites formatted for mobile. While this is a good first step, it fails to take advantage of the unique contexts in which travelers use their mobile devices. Rather than just viewing mobile as a smaller screen for viewing travel Web sites, it’s crucial to recognize the contextual implications of a device that travelers use when they are on the move. Travel companies will not begin to reap the benefits of mobile until they introduce mobile offerings that account for the mobile user’s context and the unique capabilities of their handset. Wed, 17 Dec 2008 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Travel Apps for the iPhone: The First Wave The iPhone has been hailed as a game changer in the mobile space largely because its innovative design makes it possible for users to reasonably browse the full Web, rather than rely solely on mobile-optimized interfaces. But while users enjoy the option of surfing unhindered, a site designed for a big screen quickly becomes inefficient when a targeted mobile task is being performed (e.g., looking up a train schedule or viewing a travel itinerary). When it’s time to get things done (or, in the case of one application, when you feel like using your iPhone as a tiny lightsaber), a mobile application is the way to go. Wed, 05 Nov 2008 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list Much has been written about the process of shopping for, purchasing and consuming travel-related products and services, but very little has been done to document the financial systems that enable the world’s largest business: travel and tourism. For the travel market to be efficient and effective, processes and systems must be in place to collect, distribute and reconcile transfer of funds and commission payment. These systems are well established and mature for the air segment, fragmented but maturing for hotels, and somewhat less developed for cruises and tours. Commission settlement systems are still in their infancy for newer forms of content, such as activities. This paper explores the components that make up the financial settlement structure for travel agent commissions, and highlights key vendors and their roles and capabilities in the settlement process. Future opportunities are also discussed. Wed, 22 Oct 2008 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list The PhoCusWright Consumer Technology Survey Second Edition, Part Five of Five The PhoCusWright Consumer Technology Survey Second Edition studies a range of consumer technologies relevant to travel and assesses U.S. online traveler familiarity and usage patterns, as well as the degree to which these technologies influence purchasing behavior (see Methodology below). The current article is the last in a series presenting the findings from the larger research initiative. Mon, 06 Oct 2008 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list What if Airline Seats Become Products Instead of Commodities? Airline seats have long been sold as commodities, with all the associated rules and classes. But as Sabre unveils its significant three-year investment in its SabreSonic Customer Sales and Service platform, there’s no denying that change is on its way. The platform aims to offer airlines the potential to redefine airline seats as unique products with varying characteristics and price points, and the company is pairing this with enhanced revenue management and advanced inventory capabilities, comprehensive merchandising functions and a customer-centric platform. If Sabre is successful in its endeavor and the approach is broadly adopted, air distribution, shopping and booking could be substantially redefined. Fri, 03 Oct 2008 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list The PhoCusWright Consumer Technology Survey Second Edition, Part Four of Five The nature of social media – especially traveler reviews and social networks – is highly personal. From user-generated content to Facebook applications, travelers are interested only in the information or promotions that are most relevant to them. Reviews from friends and family are significantly more influential than those from strangers. And generic banner ads in social networks like Facebook? A large number of travelers view them negatively, opting instead for giveaways or offers personalized totheir interests. Wed, 17 Sep 2008 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list The PhoCusWright Consumer Technology Survey Second Edition, Part Three of Five Travelers are reading user-generated travel reviews online – but seem to be taking traveler advice with a grain of salt. U.S. online travelers rate consumergenerated reviews as less reliable than expert reviews, advice from friends, and recommendations from traditional travel agents. Tue, 22 Jul 2008 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list TravelMuse is a venture-funded startup based in the Bay Area, founded in 2007 by Kevin Fliess and Eric Wood. The company launched its public beta on June 9, 2008 and offers several tools to help with trip planning, most notably its Inspiration Finder, which endeavors to help would-be travelers answer the question: Where should I go on vacation? Wed, 09 Jul 2008 00:00:00 +0000 http://www.phocuswright.com/research_subscriptions_technology_edition_publication_list PhoCusWright