Hyatt’s New Hotel Brand Wants You to Stay Awhile

Good morning from Skift. It’s Wednesday, April 19. Here’s what you need to know about the business of travel today.

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Episode Notes

Hyatt unveiled its newest brand, Hyatt Studios, on Tuesday, becoming the latest hotel company to launch an extended stay brand, reports Senior Hospitality Editor Sean O’Neill. 

Hyatt expects to open its first Hyatt Studios hotels next year. O’Neill writes Hyatt’s entry into extended stay is part of a boom in the category, with Marriott and Wyndham having launched extended stay brands recently. Extended stay projects represent roughly a third of the construction pipeline for U.S. hotels, according to hotel industry consulting firm Lodging Econometrics.

Next, Delta Air Lines has increased its market share in key markets such as Boston, New York, and Seattle this year compared to 2019 levels. But the company still needs its core hubs to fully recover, reports Edward Russell, editor of Airline Weekly, a Skift publication. 

Russell writes the recovery of Delta’s core hubs — including Atlanta, Detroit and Minneapolis-Saint Paul — was delayed amid operational challenges that forced the airline to fly less than it hoped last year. Delta President Glen Hauenstein said the company’s hubs fuel its profits. Russell adds that Delta needs its hubs to rebound to help it hit its financial targets, one of which is recovering to pre-Covid operation margin levels in 2024. 

Finally, online travel agency Hopper’s feature enabling customers to leave a tip as part of a reservation has been getting a lot of buzz recently, writes Travel Technology Reporter Justin Dawes. 

Hopper actually made the tip an optional fee in 2018, three years after the company implemented a mandatory fee in its reservations. Dawes reports the amount of the tip is either a flat fee or a percentage of the reservation. A Hopper spokesperson recently said many customers are willing to pay a small fee to thank the company for its service, so kept the tip feature. 

The spokesperson added that the optional tip is a way for users to acknowledge the value of its price prediction and flight-watch tools. The company offers those features for free.