October 9 Travel News Review…

I am an addict.  There – I said it and I’m proud of it.

I am an admitted travel addict and I am going through horrible travel withdrawal pains!  Lisa and I are finally going on our first outing of the year with a quick trip to St. Augustine this weekend.  We’re staying at the St. Francis Inn in the heart of the St. Augustine Historic District and I can’t wait.

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Travel Weekly started a recent article with this frank review of the travel and tourism economy:

“No doubt 2020 will go down in history as one of the most challenging years for tourism post World War II.  In the spring, tourism ground to a virtual halt.  The economic effects can’t be overstated.  According to the World Travel & Tourism Council, “Travel & Tourism is responsible for 330 million jobs, or one in 10 jobs globally, and 10.3 percent of global GDP (USD 8.9 trillion).”

That certainly shows the economic importance of travel and tourism, and I am convinced that travel and tourism will rebound more quickly than many have predicted.  Yes, it will likely take years to get back to “normal,” but we will get there.

Sadly, in the meantime, many businesses will never recover, people and businesses will go bankrupt and the economic dislocation will be enormous.

How the Tourism Market Place is Responding

Whether for business or pleasure, travelers have understandably been reluctant to jump on a plane.  RV and car trips have increased.  The travel economy, especially hotels and restaurants, is in rough shape and the immediate future isn’t looking good.

Here’s the good news.  The airlines recognized they had to win back the confidence of their customers and took action.  New cleaning protocols, mask requirements and social distancing requirements have all been implemented with Delta leading the way.

Likewise, the hotel industry has instituted new cleaning routines and many require masks in public spaces.  Countries, individual airlines and even resorts are providing incentives to travel by offering Covid testing.

I reported last week (October 1 Travel News Roundup) about the expanding Covid testing offered by various airlines, and now the Sonesta resorts in St. Maarten are offering up to $120 per person in resort credits to offset the cost of the Covid test that is necessary to enter the country.  Expect to see more of the same in the coming months.

While the CDC has declined to allow cruising to resume, CLIA (the Cruise Lines International Association) has proposed common safety protocols for all U.S.-based cruises.

All of this is good news not just because something is being done, but because the market is responding to current conditions to win back customers.  Government action can only do so much; ultimately, every business must act to secure the confidence and loyalty of their clientele.

Good News – Alaska Airlines Cuts 532 Workers

You may be thinking that cutting staffing isn’t good news unless you also understand that Alaska Airlines predicted a reduction in force of 4,200 in August.  This comes on the heels of Delta announcing no flight attendant layoffs.  Plenty of other airlines are making huge cuts in staffing, so I’ll take the good news where I can get it.

The airline had previously cut 233 jobs during the summer and the remainder will take place in October.  Alaska Airlines has received $1.9 billion in CARES Act loans.

Caribbean Countries Continue Opening to Tourism

For all too many Caribbean destinations, tourism is the primary driver of the economy, so re-opening is critical.  Here is a list of countries and U.S. territories that have re-opened:

St. Kitts and Nevis, Cayman Islands and Cuba are expected to re-open later this Fall and the rest have yet to announce a timeline.  See the full list and the entry requirements HERE.  Other countries close to home are already open or opening soon including Costa Rica, Mexico and Belize.

Is It Safe to Travel?

That’s actually a pretty loaded question; it depends on your point of view, how and where you travel and your personal health situation.

As reported in Luxury Travel Advisor, MMGY Global, a marketing company specializing in the travel, tourism and hospitality industry has released their Travel Safety Barometer, designed to track travelers’ attitudes and behaviors.

Using a scale of 0 (extremely unsafe) to 100 (extremely safe) confidence in domestic travel safety bumped up from 45 in July to 49 in August; not a big increase but at least moving in the right direction.

The safety of lodging received a score of 50, the highest since Covid hit.  In terms of intentions, 75% of respondents said they are likely to take a car trip in the next six months.  Not surprisingly, the prospect of international travel received a score of 32 (up slightly from July) and cruise travel remained steady with a score of 24.

South African Airways Update

I first reported in April (RIP South African Airways…) that South African Airways was on its last legs due to its financial position and labor issues.  Covid-19 was the last nail in the coffin.  The government insisted they were resisting an asset sale in the hope a restructured airline would survive.

However, in the intervening months, many SAA assets have been sold off and the airline now needs around $600 million to stay afloat.  Their employees accepted packages, but have yet to be paid.

Enter Ethiopian Airlines.  According to a Bloomberg article, Ethiopian Airlines has offered to enter a joint venture with the South African government to provide pilots, planes, expertise and maintenance services.

Ethiopian is Africa’s largest airline and probably sees this as not only an opportunity to assist their southern neighbor, but also utilize their own excess capacity in the short term.  CEO Tewolde GebreMariam made it clear they don’t want financial entanglements that deal with SAA’s debt or labor problems.

Read related:  And even more on the current airline turmoil… and More airlines going under?

Workcation Is Becoming A “Thing”

I’ve seen a few stories about this but as time goes on, more locations (primarily in the Caribbean) are offering special rates for folks who want to temporarily relocate to an exotic destination to work remotely.  Extended stays, discounted accommodations and even cut-rate activities and excursions can be included in the offer.

If you’ve got the ability, why not?  I can social distance and wear my mask just as easily in Aruba, the Bahamas, Estonia, Jamaica or the Dominican Republic as I can in Sarasota.  TravelAge West had a short article about a family that moved to Aruba and even had their kids begin the school year there.

Got your attention?  Sound like a good idea?  Let Erin Greenawald at the muse walk you through how to make it a reality!  Not sure where to go?  Check out these location options at Veranda.

 

Air Canada Study Suggest Ending Quarantine Policy

On September 3, McMaster HealthLabs, Air Canada and the Greater Toronto Airports Authority partnered to conduct a Covid-19 study of arriving international travelers. The focus of the study was on the mandatory 14-day quarantine and whether or not it is effective.  Air Canada was urging a science-based approach to managing the Covid problem.

On October 6, Air Canada began pushing to eliminate the 14-day quarantine based on the research conducted of 15,000 tests taken by international customers in Toronto.  99% of the tests proved negative.  Toronto television station CP24 described the testing process in detail.  In a social media post, Air Canada said, “We believe that a test-based strategy may be a safe alternative to the 14-day quarantine.”

Don’t Be An Internet Troll With Poor Grammar/Spelling

And finally, there’s this.  Kate McCue is the captain of the Celebrity Edge and the first female U.S. cruise ship captain.  When a social media troll suggested she couldn’t be a captain because she is a woman, she responded in a clever and epic fashion.

Captain Kate McCue is awesome pic.twitter.com/q9ky4Ed6dB

— Jesse Miller (@MediatedReality) October 5, 2020