Skift Travel News Blog

Lufthansa finally has a deal. For ITA Airways that is, and according to reports.

The Frankfurt-based carrier will initially buy 40 percent of the state-owned Italian airline for $343-354 million (€320-330 million), according to a report by Italian daily Corriere Della Sera. Lufthansa would invest a further $537 million to raise its stake in ITA to up to 95 percent at a later date. A final agreement could be signed as soon as Thursday.

The deal is the culmination of years of effort by Lufthansa to buy its way into the Italian market. The German carrier bid for a stake in ITA’s predecessor Alitalia as early as 2008, only to be out maneuvered by Air France-KLM. In the latest round of dealmaking, Lufthansa was counted out last year when a Certares-led consortium of Air France-KLM and Delta Air Lines was selected as the preferred bidder. But that deal fell through and Lufthansa was back in the running by December; the group made an official offer in January. Air France-KLM has, meanwhile, shifted its interest to acquiring TAP Air Portugal.

Lufthansa Group CEO Carsten Spohr has described the group as the “natural home” for ITA. Italy is Lufthansa’s largest market outside of its home markets, which include Austria (Austrian Airlines), Germany (Lufthansa and Eurowings), and Switzerland (Swiss Air). In May, Spohr said ITA’s Rome hub could be an integral southern gateway to Africa and Latin America for the group.

Lufthansa and the Italian government will need to European Union antitrust sign off before any deal for ITA could close.

Hospitality brand onefinestay will bring bespoke theatrical performances to their guests in the US and UK thanks to a new partnership with London-based private theater group, Revels in Hand.

From a performance of Shakespeare’s A Midsummer Night’s Dream to an original piece created for a special occasion, this new offering will enable guests to turn their rentals into their own personal theaters with first-hand access to West End actors, writers and directors.

The performances are available to book through onefinestay’s concierge in the US and UK initially, adding to their existing offering which already includes private chefs, cocktail waiters, event tableware and more via its website.

“We aim to bring unparalleled, tailored experiences to guests in the most exquisite settings, so offering our homes as the immersive setting for Revels in Hand’s bespoke performances was an exciting fit,” says Michele Bayens, director of concierge services at onefinestay. 

Many hotels have experimented with immersive entertainment on property, though few hospitality or short-term rental brands have offered experiential performances as a service.

At the Skift IDEA Awards, we are looking for the projects that are defining the future of guest experience, including day tours, activities, and one of a kind experiences.

If you have an exciting initiative to share, we want to hear about it. Head to the Skift IDEA Awards today and start your submission.

The Hawaii Tourism Authority has awarded the Hawaii Visitors and Convention Bureau the contract to market the island to the mainland U.S., the island’s largest source market, the agency announced Monday. The contract is worth over $38 million, has a two and a half year term with an option of a two-year extension and is scheduled to begin on June 22. 

The U.S. tourism marketing contract has had a rough procurement process. It was previously combined with destination management into one single contract by the Hawaii Tourism Authority. That contract was awarded last year to the Council for Native Hawaiian Advancement, a community non-profit, as part of the state tourism agency’s pivot to a more sustainable approach to tourism and improve relations with residents. The Hawaii Visitors and Convention Bureau has traditionally won the U.S. marketing contract and is backed the hotels.

The original contract’s implementation was stalled by legal protests from the Hawaii Visitors and Convention Bureau then canceled at the last minute by a government official. The Hawaii Tourism Authority broke it up into two separate contracts, one for destination management and another for marketing, which is going to the convention bureau.

The agency awarded the destination management contract to the Council for Native Hawaiian Advancement. It’s worth over $27 million for a two and a half year period with an option for two one-year extensions. It’s scheduled to begin June 20.

Finally, the contract to market to Canada went to VoX International, is worth $2.4 million, has an initial two and a half year term with an option for one two-year extension and is scheduled to begin June 30.

The Hawaii Tourism Authority said the contract winners will advance the agency’s regenerative model of tourism. A key focus for contract performance will be resident sentiment improvement.

Starting in May, United is the first U.S. airline to provide updates via Live Activities for iPhone, giving passengers real-time updates to gate info, boarding pass, seats, and a countdown clock to departure time without opening the airline’s app.

“We’re seeing soaring demand for travel this summer, and Live Activities puts all the flight information you need right at your fingertips, whether your iPhone is locked or you’re doing something else like checking email, listening to music or texting friends,” said Linda Jojo, Chief Customer Officer for United. “This new feature is another way United is leveraging technology to improve our customers’ travel journey. It’s going to save passengers a lot of time, and we think they’re going to love it, especially during a busy travel season.”

At the 2023 Skift IDEA Awards, we are looking for the most innovative airline projects defining the future of aviation, airlines, and the traveler experience.

Do you have an innovative project that deserves recognition? Head to the Skift IDEA Awards and start your submission today.

Air New Zealand has revealed further details around its new Skynest product, which is set to be available on ultra-long haul flights from September 2024, according to the airline.

The unique six-pod configured sleep zone will offer economy and premium economy fliers the chance to lie down and rest during long-haul flights, adding ‘more flexibility to the economy travel experience’.

Each pod is set to include all of the essentials required for a restful sleep, including a pillow, blanket and ear plugs, along with a USB port, ambient lighting and a privacy curtain.

“Our 83-year history is marked by a commitment to innovation and pushing the boundaries of what’s possible. SkyNest is the latest example, and we’re proud to be leading the way with this world-first cabin feature,” said Air New Zealand’s chief customer and sales officer, Leanne Geraghty.

“We’re delighted that customers are as excited about this new innovation as we are. Our extensive research and design process, which spanned five years and 170,000 hours, has resulted in a product that we’re confident will revolutionize the in-flight experience for Economy passengers,” she continued.

With prices looking to start at around $400 for a 4-hour period, it seems that the luxury of laying down during your flight may no longer be reserved for only First and Business Class fliers.

We are looking for the innovations that are transforming the world of aviation, airlines, and the traveler experience.

If you have an exciting project that deserves to be celebrated, head over to the Skift IDEA Awards and tell us all about it.

Lagardère Travel Retail has launched its first completely autonomous store, Travelwell, at Hong Kong International Airport.

The contactless store, which has been designed to offer passengers a convenient shopping location to complete any last minute purchases, utilizes an Artificial Intelligence technology system to track shoppers and products to ensure an accurate and safe shopping experience. 

When entering the 88 sqm store, customers will simply need to tap or insert their credit card at the payment terminal and then continue their shopping experience as normal. As they exit with their chosen items, the credit card will be charged thanks to a number of algorithms tracking movements around the store.

However for those who may struggle with this new shopping experience, there will be staff and visual guides on-site to provide guidance. 

Lagardère Travel Retail says it has been working with the airport on the concept store since 2019, and believes Travelwell will offer ‘a new kind of shopping experience’.

“We are grateful to have benefitted from the support of the Airport Authority Hong Kong and of business partners to pioneer this technology-led, innovative new store. Our Travelwell store and the beautiful Sky Bridge are a natural fit to each other. I hope the new shopping experience will appeal to travelers and become a memorable part of their journey. This project represents a key milestone in our ambitious roadmap to innovate to elevate the traveler shopping experience,” said Séverine Lanthier, Asia chief operating officer & group chief strategy and development officer at Lagardère Travel Retail.

At the 2023 Skift IDEA Awards, we are looking to celebrate the projects that are defining the future of airports and the traveler experience.

If you have an exciting initiative to share, head over to the Skift IDEA Awards website today and start your submission. Don’t delay, the entry deadline is set to end June 20.

JetBlue is set to become the first major U.S. airline to sell non-alcoholic beer during domestic flights thanks to a new partnership with Athletic Brewing Company. 

From May 2023, JetBlue flyers will be able to purchase Athletic Brewing’s non-alcoholic offering ‘Upside Dawn’ at 35,000 feet, aligning with JetBlue’s continued commitment to provide customers with ‘high-quality, delicious food and beverage offerings for diverse palates’.

The non-alcoholic drinks market is booming, with the IWSR reporting that the no/low alcohol product market surpassed a value of $11billion in 2022. Furthermore, a study from NCSolutions showed that one in three Americans are trying to consume less alcohol in 2023, so JetBlue is right on time with this new offering.

“In our continued effort to provide customers with an onboard experience customized to their needs and preferences, JetBlue is proud to be the first major U.S. airline to serve non-alcoholic beer,” said Mariya Stoyanova, director of product development, JetBlue.

“We’re thrilled to partner with industry leader Athletic Brewing to offer our customers the refreshing, balanced taste of a classic craft Golden without the alcohol.”

At the 2023 Skift IDEA Awards, we are looking to highlight the projects that are defining the future of aviation, airlines, and the traveler experience.

If you have an exciting initiative that deserves to be celebrated, head over to the Skift IDEA Awards and start your application today.

Brightline, the first new intercity passenger rail operator in the U.S. in decades, has started selling tickets for its long-awaited extension to Orlando. Riders can now book one of 16 daily trains between Miami and Orlando for travel from September 1.

“While we are finalizing an official launch date, guests can now book travel for Labor Day, Halloween and holidays through the new year,” Brightline President Patrick Goddard said. The company said it will begin selling seats earlier in the summer once it sets a date for passenger service to begin. The Orlando station is located in the new South Terminal complex at Orlando International Airport.

Backed by Fortress Investment, Brightline is the only private intercity passenger rail company operating in the U.S. Trains between Miami and West Palm Beach via a station in Fort Lauderdale began running in 2018. Two new stations in South Florida, Aventura and Boca Raton, opened in December.

And, despite running trains in car-centric Florida, Brightline has seen steady ridership growth since it resumed operations in late 2021 as the pandemic waned. Trains between Miami and West Palm Beach carried 179,576 riders in March, the latest month available, and the company expects a big boost in ridership once the Orlando extension opens. Brightline carried 1.23 million passengers in 2022, and forecasts up to 7.9 million annual riders by 2025.

South Korean company Yanolja Cloud, which offers AI-based SaaS solutions for the hospitality and leisure industries, has acquired Israeli B2B travel tech provider Go Global Travel.

Go Global Travel distributes its inventory of hotels and other travel products from 200 countries to over 20,000 client partners. Through this acquisition, Yanolja Cloud has significantly expanded its travel and hospitality inventory which will further enhance its solution offerings and differentiation. 

In addition, Yanolja Cloud member companies can benefit from greater personalization and AI-based automation, resulting from this acquisition. 

“Yanolja Cloud is made up of member companies from around the world, all with a different history and expertise,” said Kim Jong-yoon, co-CEO of Yanolja Cloud.  “We welcome Go Global Travel as our latest member company which will help us further fulfill our vision of leading the digital transformation of hospitality and leisure properties everywhere. I look forward to seeing the future innovation that will be born from this acquisition.”

Yanolja Cloud will also distribute its Asian inventory through Go Global Travels platform channels and online and offline travel agencies worldwide, including North America, Europe, and the Middle East.

“I am so proud of what Go Global Travel and its employees around the world have achieved since its founding over 20 years ago,” said Ophir Ben-Ezra, chairman of Go Global Travel. “I look forward to continuing to provide the same high-level of products and service to our client partners while being able to offer new inventory as well as innovative solutions from across Yanolja Cloud, including Booking Engines, Property and Revenue Management Software and more.”

Blackstone sold its stake in Indian software company IBS Software for $450 million to British private equity firm Apax Partners. 

Founded in 1997, IBS Software sells software-as-a-service solutions to the global travel and logistics industry. The company’s offerings include modular, cloud-based solutions for the travel industry — including cargo and logistics, flight operations, passenger services, loyalty programs, cruise operations, energy and resource logistics and hospitality distribution platforms.

“This investment is an endorsement of our strategy and our commitment and contribution to the industry, and we have a shared vision with Apax for the future of the business,” said VK Mathews, founder and executive chairman of IBS Software. “We thank our customers and employees who have been instrumental in our success so far. We’re grateful to the Blackstone team for their invaluable support over the years and we look forward to an exciting and fulfilling journey ahead with Apax.”

IBS Software’s Founder and Executive Chairman, V K Mathews, who will remain the majority shareholder.

“We are thrilled to partner with VK and the management team at IBS Software. Having closely monitored the travel software sector over the last several years, IBS Software stood out to us as uniquely positioned in the industry, offering a next-gen software suite that we believe is truly unrivalled,” said Jason Wright, partner at Apax. “Over the last two decades, IBS Software has invested in products, innovation, and culture, while continuing to scale the business. We believe there is tremendous growth potential ahead and look forward to leveraging our software experience to help IBS Software become a world leader in travel and logistics software.”

The transaction is subject to customary closing conditions and is expected to close at the end of the second quarter this year.