Skift Breaking News Blog

Short stories and posts about the daily news happenings around the travel industry.

Business Travel

Flight Centre’s Agency Supergroup Adds Business Specialists

3 weeks ago

Flight Centre Travel Group’s new invite-only agency member group has expanded.

Link Travel Group, which Flight Centre owns the majority of — alongside Goldman Group and Spencer Group of Companies — launched in May this year. The joint venture aims to combine forces of individual agencies to leverage buying power, while providing access to its own product and distribution capabilities “at a time when considerable change is taking place.”

In other words, staffing shortages persist, and airlines are gaining an upper hand in selling directly, meaning fewer kickbacks.

Since May, the new group has added Reho Travel, Platinum Travel Management, Entourage Travel Group, Mobilise Travel, Mosman Travel and Mary Rossi Travel.

However, this month it announced Eden Corporate Travel had joined, according to reports. Travel Beyond Group will join in 2023.

Flight Centre has been on a roll of late, growing its corporate business, while last month it was forced to quash rumors of an acquisition.

Its home base of Australia is also poised for recovery, after more than two years of tough trading conditions. Rival Corporate Travel Management even managed to make a profit this year.

Startups

Inspirato’s Luxury Travel Subscription Revenue Doubled in Q2

2 months ago

Inspirato, a Denver-based travel startup, said that it generated $36 million in subscription travel revenue in the second quarter — up by half year-over-year. The company’s full quarterly revenue was $84 million. 

The company’s Netflix-like subscription service, Inspirato Pass, had 3,600 subscribers in the quarter. For about $2,500 a month, Inspirato’s Pass lets travelers stay at about luxury vacation homes and hotels it partners with for specified lengths of stay.

In a concerning sign, growth in the company’s longstanding club-based program — Inspirato Club, where people pay a fee for access to discounted travel — grew only 4 percent to 12,100, year-over-year.

In another eyebrow-raising statistic, losses increased instead of shrunk. The net loss for the second quarter of 2022 was $7.2 million compared to a net loss of $0.6 million in the second quarter of 2021. Management attributed the rising losses to “increased corporate operating expenses.”

The company said it forecast that its loss for the full year will be between $15 million and $25 million on an adjusted earnings before interest, taxes, depreciation, and amortization basis. The company anticipates generating positive adjusted earnings for the full year 2023.

See Inspirato's earnings

Hotels

Inspirato Adds a Third Travel Subscription Product

4 months ago

Inspirato, a subscription business primarily for stays at luxury vacation homes and hotels, debuted on Thursday a third subscription product.

The new Inspirato Select product lets subscribers pick 3 trips from a list of more than 500,000 for an annual fee of $24,000, plus a $2,000 enrollment fee. The cost includes nightly rates, taxes, and fees but not transportation, meals, or other aspects of a trip.

Tapping into the corporate incentives market, Inspirato’s new Select product can be used as a perk for employees or business partners.

Ahead of going public in February, the Denver-based company said it had boosted its paying subscribers by 12 percent, to 13,191, in the nine months to September 30. The new product may further increase subscriptions.

Hotels

Fashion Magazine Elle to Open Boutique Hotel in Paris, as Bulgari and Armani Expand Their Hotel Brand Extensions

4 months ago

Europe-based fashion magazine Elle has announced plans to open a boutique 25-room hotel in Paris, reported the Business of Fashion on Tuesday.

Parent company Lagardère Group plans to open 15 Elle-branded hotels in the next decade. Maison Elle, set to open in October, will include a library on fashion design and the decor will feature will aim to look like the magazine’s photospreads.

A seaside Elle Hotel is in the works in western Mexico with owner-developer Actur, Le Figaro reported.

Elle’s move follows a growing momentum of fashion houses investing in brand extensions and licensing deals with hotels, reported the Business of Fashion.

Bulgari opened its first hotel in Milan in 2004 and now operates seven across Europe, the United Arab Emirates, China and Bali. Its hotels have seen occupancy surpass pre-pandemic levels and revenue double since 2019, said Silvio Ursini, executive vice president of Bulgari Hotels and Resorts. In the coming three years, Bulgari will nearly double its footprint, opening five more hotels in Moscow, Rome, Tokyo, Los Angeles and Miami Beach.

In March, Armani, which has two hotels in Milan and Dubai, announced it is set to open a third location in Saudi Arabia in 2025. Earlier this month, LVMH, which owns over 50 luxury hotels through its Hôtels Cheval Blanc and Belmond Hotel Group brands, appointed a new hospitality executive, signalling its own focus in the space.

The new Maison ELLE boutique hotel opens in Paris this fall.

The new Maison ELLE boutique hotel opens in Paris this fall. (ELLE Hospitality)


Read More at Business of Fashion

Filters

Tags

luxury

Clear Filters