Today's edition of Skift's daily podcast looks closer at tourism boards on Threads, the cost of summer vacation, and Marriott’s bet on MGM.
Skift Daily Briefing Podcast
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Good morning from Skift. It’s Tuesday, July 18. Here’s what you need to know about the business of travel today.
Twitter has increasingly lost its relevance as a tourism marketing tool in recent months. And now, a growing number of destination marketing organizations are turning to its new rival Threads, writes Global Tourism Reporter Dawit Habtemariam.
Habtemariam cites Destination Toronto, Visit Orlando and Visit Utah as some of the destination marketing organizations that have signed up for the direct competitor to Twitter. The brands have been able to grow their audiences quickly on Threads in large part due to the vast reach of Threads’ parent company Meta, which also owns Facebook and Instagram. Paula Port, Destination Toronto’s vice president of marketing, said the organization added most of its 10,000 followers on Threads in a short period of time.
Habtemariam notes some destination marketing organizations haven’t posted anything on Threads yet while others like Visit Orlando have posted regularly. He adds any strategies they might develop for Threads will depend on the platform’s evolution.
Next, people who made plans to travel this summer likely noticed the price of hotels and flights increasing. So why has travel gotten more expensive? Associate Editor Rashaad Jorden delves into the reasons why using responses provided by Ask Skift, our artificial intelligence chatbot, and additional research.
Jorden found three reasons for why going on trips has gotten pricier — booming travel demand, overall inflation and airlines’ surging operational costs. Italy’s Minister of Enterprises Adolfo Urso recently blasted Italian airlines for raising airfares in response to Italy’s travel boom. Sky-high travel demand is one of the reasons airfares to and across Europe have jumped substantially this summer.
Meanwhile, Skift Senior Research Analyst Seth Borko wrote last month that most hotel owners are increasing prices to keep pace with the rising cost of items such as food, fuel and heating. In addition, the aviation industry has been hit by an ongoing pilot shortage and aircraft delivery delays. With travel demand surpassing the supply of seats, airfares have risen. However, the trend is beginning to reverse: U.S. airfares dropped 8% in June from the previous month.
Finally, Marriott International announced a licensing deal with MGM Resorts on Monday. Marriott Bonvoy loyalty members will be able to earn points during stays at 17 MGM resorts throughout the U.S. from October, reports Senior Hospitality Editor Sean O’Neill.
Members of both companies’ loyalty programs would be able to exchange MGM Rewards points for Marriott Bonvoy points and vice versa. Bookings at 40,000 of MGM’s Las Vegas rooms will be available through Marriott’s site and app by the end of the year. O’Neill writes Marriott’s move represents its first attempt to make inroads in the gaming resort sector. Las Vegas has long been a difficult market for Marriott to crack because of the dominance of gaming resorts.
The Daily Newsletter
Our daily coverage of the global travel industry. Written by editors and analysts from across Skift’s brands.
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