April 30, 2012

New Orleans Achieves 8.75 Million Visitors in 2011

NEW ORLEANS, LA – New Orleans’ tourism industry welcomed 8.75 million visitors in 2011, an increase of 5.6%, or 462,263 from the number of visitors in 2010 (8.3 million). Those 8.75 million visitors spent $5.47 billion, a $180 million increase over 2010 and the highest spending in the city’s history, according to a study released last week. Tourism in New Orleans is an important economic engine, employing 74,000 people and generating spending that represents roughly half of the tourism spending for the entire state of Louisiana.

“These results are a reflection of the hard work of all those in the hospitality industry and a testament to the continued resilience of our great city,” said Mayor Landrieu. “Our city’s reputation as a top destination only continues to grow, as evidenced by the unprecedented run of special events we continue to host as we continue to work toward the goal of welcoming 13 million visitors in the year 2018.”

The 2011 results come as New Orleans kicks off the 2012 spring festival season and is in the midst of hosting an unprecedented series of high profile events such as Navy Week, the NCAA Final Four and SEC Championship, all leading up to the Super Bowl next year.

All key indicators increased in 2011, compared to 2010:

  • Overnight visitors grew by 337,000
  • Hotel visitors grew by 75,000
  • Lodging spending increased by $29.6 million
  • The number of visitors visiting friends and relatives increased by 251,000
  • The number of visitors who came in just for the day increased by 125,000
  • 76.5 % of visitors surveyed were in New Orleans for vacation/pleasure
  • 23.5 % of visitors surveyed were in New Orleans for a convention, association, trade show, corporate meeting or general business travel
  • 58.6 % of business travelers extended their stay for pleasure for an average of 2.1 days
  • Cruise visitors comprised about 1.3 %  of the total number of visitor responses
  • Restaurant spending increased by $67.3 million (4.3%) and entertainment/recreation increased by $65.1 million (11.0%)

The 2011 New Orleans Area Visitor Profile report also found:

  • 75.7% of visitors had an income $50,000 or more and over 35.8% having $100,000 or more
  • 40.6 % of New Orleans visitors were in town for the first time; 59.4 % are repeat visitors
  • Overnight visitation from top feeder markets outside of Louisiana were: Texas, California, Florida and New York
  • Visitors age 50-64 made up the largest demographic for 2011 visitors (37.8 %), followed by 35-49 (29.2 %), 25-34 (18.4 %), 65 and older (9.1 %) and 18-24 (5.4 %)
  • Overnight visitor stays in New Orleans went from 4.1 in 2010 to an average of 4.2 nights in 2011.
  • The proportion of overnight visitors staying in a hotel was 57.7 %
  • Average party size was 2.9 people
  • The majority of visitors who stayed in a hotel made reservations through the hotel website (31.1 %), or a travel website (22.1 %). 16.7 % of visitors called their hotel directly, while 8.4 % used association housing during their stay in New Orleans.
  • The majority of New Orleans area visitors surveyed arrived by airplane (50.5 %) or in their personal vehicle (44.1 %)

“Reaching a record-breaking $5.47 billion dollars of visitor spending in 2011 proves that the visitor demand for New Orleans and their impact on our economy is on a steady growth trajectory,” said Stephen Perry, President and CEO of the New Orleans Convention and Visitors Bureau. “Yet tourism does not just happen on its own. It is fueled by marketing, public relations and aggressive sales strategies. In order to reach our goal of 13.7 million visitors and $11 billion dollars by 2018, the hospitality industry is seeking to raise its own additional funding for marketing.  Tourism funding is a tremendous investment in job creation, the expansion of our cultural economy, the restoration of our core infrastructure, and new tax revenue generation that benefits every citizen in every neighborhood in New Orleans.”

Mark Romig, president and CEO of the New Orleans Tourism Marketing Corporation added, “These results continue to demonstrate that New Orleans is seen by  visitors as an authentic and unique travel destination, offering the widest variety of attractions, restaurants and hotels, fitting all budgets and interests. Our advertising and marketing plan for 2012 will build on these positive survey results as we continue to target both regional markets throughout Louisiana and neighboring states and key national markets such as the West Coast, Midwest and Northeast.”

John Williams, Interim Dean of the School of Business at the University of New Orleans commented, “ New Orleans has become a dining mecca, as noted by Travel & Leisure’s November, 2011 issue declaring us #1 in fine dining, #1 in Café’s, and #3 in ethnic food.  Supporting these rankings, 85.5% of visitors have a casual dining experience and 42.3% a fine dining experience when visiting New Orleans.  Visitors to New Orleans place a high importance on food and our study shows that we consistently exceed their expectations.

 

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March 23, 2012

Lone Peak Tram Opens for Summer Adventures in 2012

BIG SKY, MT – Since 1996 the Lone Peak Tram has been taking Big Sky resort winter guests to the top of 11,166-foot Lone Peak for extreme skiing and 360-degree views. Now, guests will be able to enjoy Lone Peak’s summit in the summertime on the Lone Peak Expedition, a guided experience up the mountain via lift, safari vehicle, and the iconic Lone Peak Tram starting July 2012.

Just 18 miles from the national park, Big Sky Resort is known as the Basecamp to Yellowstone and home to the Yellowstone Conference Center. With numerous lodging options, access to Yellowstone, and summer activities already ranging from ziplining to downhill mountain biking, Big Sky’s Lone Peak Expedition will be another facet to the Resort’s lively summer operations.

“Lone Peak and the Tram are defining features of Big Sky, and expeditions to the top take our summer activities to the next level,” said Big Sky Resort Sales and Marketing Director, Meg O’Leary. “The Lone Peak Tram put us on the map as a major big-mountain ski area in 1996, and now it is putting us on the map as the true Basecamp to Yellowstone National Park.”

Guests going on the Lone Peak Expedition will sign up for one of four daily guided trips, starting in Big Sky’s Basecamp building in the Mountain Village. Guests will then ride up the Swift Current chairlift, where a guide will be waiting to take them in a safari vehicle to the base of the Lone Peak Tram. Guests will then ride the iconic Lone Peak Tram to the top of 11,166-foot Lone Peak, where they will take in 360-degree views spanning three different states and all the way to the distant and jagged Tetons. At the peak, guest can take in the vista, buy snacks, and take short guided hikes around the summit. When it is time to go down, guests can choose to hike from the top or take the tram, vehicle, and lift back to the base area.

“The Lone Peak Expedition isn’t the DIY, hop-on-a-gondola experience other mountains have,” said Christine Baker, Big Sky Resort Basecamp Program Manager. “Our terrain is more rugged and dramatic than other resort mountain landscapes, and Big Sky leads you through the whole experience, giving guests information and guidance along the way. It’s more of an expedition, a Rocky Mountain safari than anything else – especially when you catch a glimpse of a bear, an elk, or a family of Mountain Goats along the way!”

The Lone Peak Expedition is a 2+ hour experience and costs $75 per person.

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March 22, 2012

New Massachusetts Law Allows for Building 3 Casinos

BRIMFIELD, MA – Spurred on by a gambling law so new that the agency charged with enforcing it does not yet exist, developers are scouring this state for places to build casinos — looking in cities and on the coast, off the Massachusetts Turnpike, by the stadium where the New England Patriots play, and even in little towns like this one, known for its summer antiques fairs and not much else.

Brimfield, population 3,600, would be perfect for a “New England-style resort in the woods,” says MGM Resorts International, the company that owns the Bellagio, the Mirage and other giants of the Las Vegas strip.

After shunning the concept for years, Massachusetts, seeking solutions to its budget woes, last fall became the first New England state to pass a broad law allowing resort casinos. Now others may not be far behind.

Under the Massachusetts law, which allows for three casinos to be built in three different regions, the state will pocket 25 percent of the gambling proceeds, plus 40 percent of the proceeds from a separate slot parlor that it will also allow. It is a potential bonanza that, combined with thousands of promised jobs, has much of New England poised to cast aside Yankee restraint and follow suit.

The type of law that Massachusetts passed is different from the more limited arrangement Connecticut has with two Indian tribes, which gives the tribes exclusive rights to offer casino gambling at Foxwoods and Mohegan Sun in exchange for a portion of their revenues.

In New Hampshire, which dreads losing tourism money to Massachusetts, lawmakers are considering a bill that would allow up to four casinos there. Maine just granted its first casino license to a six-year-old Bangor slot parlor that will add table games next month, and a second casino is expected to open in Oxford this year. Both are the result of voter referendums. Rhode Island, which already has two slot parlors, will hold a referendum in November on whether to allow table games at one of them.

In Connecticut, the two tribes that offer gambling at Foxwoods and Mohegan Sun are now worried about losing patrons to Massachusetts. The Mohegan tribe is hoping to win one of the Massachusetts casino licenses and open a Mohegan Sun location in Palmer, a town of 12,750, which borders Brimfield.

The region’s compact size makes the threat of losing money to gambling enterprises in neighboring states all the bigger, said Clyde Barrow, a professor at the University of Massachusetts, Dartmouth, who studies gambling laws. “They already have people leaving to gamble,” he said of other New England states. “They can continue watching those jobs and revenues leave their state or pass gambling legislation to keep them.”

Just how many jobs and how much revenue the Massachusetts casinos will generate, though, is an open question. State officials have estimated revenues of $300 million to $400 million a year, and up to $300 million in one-time licensing fees. But in other states with casinos, revenues have often fallen short of early projections.

The industry has also struggled in the recession; Foxwoods and Mohegan Sun have each lost about 20 percent of their business since the downturn began, according to Mr. Barrow, and both are mired in debt.

So far, at least nine developers are actively seeking land or drafting casino proposals in Massachusetts, where Gov. Deval Patrick, a Democrat, signed the law in November. In addition to MGM, they include other big-name companies like Wynn Resorts, which hopes to build near Gillette Stadium in Foxborough, a town of 17,000, and Caesars, which is looking at East Boston.

Most are promising that the casinos in Massachusetts, home to fiercely protected stone walls, white steeples and town greens, will look nothing like their Las Vegas cousins. In Palmer, Mohegan Sun has proposed a building with a trestle-like design in front — a nod to the town’s history as a railroad hub. In Brimfield, where the proposed casino site is in a valley below an overlook, MGM officials said the design would be understated, with stone and wood elements and perhaps even a grass roof.

“Envision, if you will, cascading buildings that come down the hillside so they tuck into that valley,” said Bill Hornbuckle, MGM’s chief marketing officer. Some Massachusetts towns, like Palmer, are eagerly embracing the prospect of a casino; others, like Foxborough, are already vowing to block any plans.

In Brimfield, where MGM says its project, tentatively named Rolling Hills Resort, would create about 3,000 permanent jobs, many people are taking a wait-and-see approach, said Thomas C. Marino, a member of the town’s governing body, called the select board.

“The money a casino talks about can be intoxicating and the numbers are really staggering,” Mr. Marino said. “We don’t want to get blinded by that.”

The project would need approval from town voters and from a new state gambling commission. Brimfield voters would also have to agree to change the zoning of the proposed site, which is on 150 rural acres in the hilly northwest corner of town.

MGM is also proposing that a new exit ramp be built from the Massachusetts Turnpike, which passes just south of its proposed site, to avoid routing casino traffic through town.

MGM has already opened an office in Brimfield, and the select board is seeking a consultant to help it negotiate. At a recent meeting, Diane Panaccione, board chairwoman, listed what the town might need if a casino opened. The Fire Department would need aerial equipment and a new substation. The Board of Health is worried about water supply and sewage disposal.

The elementary school might need more teachers of English as a second language — the schools in Ledyard, Conn., hired more than a dozen after Foxwoods opened there in 1992, Ms. Panaccione said.

While not taking a position on the casino yet, Ms. Panaccione noted that it could help the town’s tax base, which took a hit when two tornadoes swept through last summer, destroying 42 homes and damaging more than 100.

Virginia Irvine, a resident of Brimfield who helped lead a successful fight against a wind turbine proposal here last year, said she worried that after the tornados, residents might be more tempted to approve a casino. “We will have a big fight about this,” she said, “because there are people that will say, ‘How can you turn down millions of dollars?’”

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March 21, 2012

Airlines Cite High Fuel Costs as They Raise Fares

DALLAS, TX – If you’re buying an airline ticket soon, get ready to pay a few bucks more.

According to fare trackers, Dallas-based Southwest Airlines and JetBlue Airways are leading a round of price increases that will boost the base fare on many medium-length and long flights by $10 per round trip.

United, Delta, American and US Airways said Thursday that they had matched the increases.

J.P. Morgan analyst Jamie Baker, who tracks fares, said United and US Airways expanded the price increases to routes that Southwest doesn’t fly and included Denver, where Southwest had not raised prices. Rick Seaney, CEO of FareCompare.com, said at midday Thursday that all the largest U.S. airlines had raised fares.

Baker and Seaney said JetBlue took price increases that other airlines limited to a few markets such as Florida and expanded them nationwide last week. Southwest jumped in on Wednesday, they said.

JetBlue did not immediately respond to a request for comment. Southwest spokeswoman Ashley Dillon said her airline raised prices to match JetBlue and “cover operating costs including the high price of jet fuel.”

Jet fuel accounts for about one-third of an airline’s costs — about the same as labor — and the bill has been rising along with crude oil prices. This week, the spot price for Gulf Coast jet fuel was 12.1 percent higher than a year ago and up 8.5 percent so far in 2012, according to the U.S. Energy Information Administration. That could mean more fare hikes ahead.

“It is pretty clear airlines will continue to try to recoup fuel increases regularly this year, with passengers telling carriers exactly when the price of middle seats has stepped over the line,” said Seaney.

Airlines raised base fares about a dozen times in 2011. But at the same time, they sacrificed revenue by simultaneously running sales to fill seats during slower travel periods or in specific markets. This week, even as it raised base fares, American launched a sale on Miami flights. Many consumers are savvy enough to wait for sales before buying tickets.

As a result of this yo-yo pricing, average fares don’t rise as fast as the number of increases would suggest. The average fare on Southwest, one of the few airlines that discloses such figures, was $140 in late 2011, up 7 percent from a year earlier.

Southwest carries more U.S. passengers than any airline and heavily influences prices that competitors charge on many routes.

In some cases, including several times late last year, other airlines attempted to raise prices but gave up when Southwest refused to go along. Airlines are reluctant to set prices higher than competitors, because many consumers will switch carriers to save just a few dollars.

At times Southwest has hinted that in a weak economy, price increases might drive away customers. But chief financial officer Laura Wright told investors two weeks ago that demand was holding up despite many recent fare increases, including eight last year.

Traffic on some airlines, including industry leader United, fell in January compared with the same month last year. Others, including American, saw more traffic.

Thanks to fare increases, all the major airlines that reported figures said they earned more revenue for every seat flown one mile. That’s a closely watched measure of pricing power in the airline business.

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March 20, 2012

How to Attain Hotel Elite Status

NEW YORK, NY – Hotel chains have been loading on the perks for their most loyal customers recently.

Earlier this month Starwood Hotels & Resorts announced new benefits that go into effect March 1, including rolling 24-hour check-in for those who stay at least 75 nights a year and personal travel assistants, called Ambassadors, for guests who stay 100 nights. Hilton Worldwide recently began allowing its top-tier guests who stay at least 36 nights to get automatic room upgrades, free breakfasts and other perks. And Global Hotel Alliance, a collection of 14 luxury brands with over 300 hotels, rewards its top customers with access to insider experiences like a private tour of the stables and stud farm of the Sheikh of Ajman, in the United Arab Emirates.

But let’s face it: Unless you are practically living in hotels, you are not going to see any of those benefits. Just 2 percent of travelers drive 30 percent of Starwood’s profits, Frits van Paasschen, chief executive of the company, pointed out when announcing its new loyalty perks.

Still, that doesn’t mean you’re out of the game. Travelers who stay at a hotel chain only four times a year still have a shot at the lowest level of elite status, which doesn’t include lavish benefits like personal travel assistants and insider tours, but still allows you to earn loyalty points and offers valuable perks like upgrades or complimentary Internet access.

So how do you get there? Each hotel program has a slightly different threshold for attaining elite loyalty status; which program is best for you depends largely on your travel patterns and preferences. While there is no minimum-night-stay requirement for the non-elite entry-level tier of most hotel loyalty programs, elite status does require that you either spend several nights at the chain or get the right credit card.

One thing to consider is the size of the hotel company. “If you want to get to elite,” said Joe Brancatelli, publisher of the Web site JoeSentMe.com, which focuses on business travelers, “having a hotel anywhere you go makes it easier.”

With that in mind, here is a rundown on how to attain elite loyalty status at several hotel chains, and the perks that come with it.

Hilton HHonors

HOTELS WORLDWIDE About 3,800 in 88 countries.

LOWEST ELITE LEVEL Silver.

WHAT YOU GET Early check-in and late checkout; free use of the fitness center; a 15 percent point bonus for hotel stays; discounts on award nights; and two bottles of water per stay, depending on the hotel.

TO QUALIFY Four visits a year (even if just for one night at a time) or 10 nights total.

CREDIT CARD OPTION The no-fee Hilton HHonors card from American Express comes with Silver status, and offers up to six points for every dollar spent and 40,000 bonus points if you charge $750 in the first three months. Cardholders who spend $20,000 a year or more get automatic Gold status.

BOTTOM LINE With a low nightly threshold to qualify and a no-fee credit card that automatically makes you elite, Hilton HHonors Silver is “the easiest elite status to achieve,” said Jacob Gibson, a founder of NerdWallet.com, which evaluates credit cards, loyalty programs and other personal finance topics.

But unless you’re a gym rat who can appreciate the perk of waived fitness center fees, the benefits aren’t that significant. “Anytime I’ve called the front desk at any hotel chain, I’ve gotten a late checkout without having elite status,” Mr. Gibson said.

Hyatt Gold Passport

HOTELS WORLDWIDE 478 in 45 countries.

LOWEST ELITE LEVEL Platinum.

WHAT YOU GET Better rooms (on higher floors or larger rooms) when available; free Internet; a dedicated check-in counter; late checkout (until 2 p.m.); a dedicated Platinum reservation line; and a 15 percent point bonus for each stay.

TO QUALIFY Five visits or 15 nights a year.

CREDIT CARD OPTION The Chase Hyatt Visa, with a $75 annual fee, automatically bumps you up to Platinum status and comes with two free nights at sign-up and one free night a year thereafter.

BOTTOM LINE Solid perks, including free room upgrades and Internet access, make elite status worth reaching for — if you can use it. Significantly fewer hotels around the world than bigger chains may mean you won’t always find a Hyatt where you can take advantage of that status.

Marriott Rewards

HOTELS WORLDWIDE 3,600 in 70 countries.

LOWEST ELITE LEVEL Silver.

WHAT YOU GET Late checkout; a dedicated phone line for questions and reservations; 10 percent discounts at the hotel gift shop; a 20 percent point bonus; 10 percent off Friday and Saturday night rates on a regular room at Courtyard and SpringHill Suites hotels; and customized rewards like free tickets to your favorite Broadway show.

TO QUALIFY Ten nights a year. (Extra nights are rolled over to the following year — for example, if you stayed 12 nights in 2011, the extra 2 nights will be counted toward elite status this year.)

CREDIT CARD OPTION Marriott Rewards card from Chase, which has a $45 annual fee, offers automatic Silver status and one elite night credit for every $3,000 spent.

BOTTOM LINE Status is fairly easy to attain, and perks, which don’t include room upgrades, are fairly standard.

Starwood Preferred Guest

HOTELS WORLDWIDE About 1,100 in 100 countries.

LOWEST ELITE LEVEL Gold.

WHAT YOU GET Better rooms (on higher floors or newly renovated rooms), if available; a choice of either free Internet, a free drink or bonus points upon check-in; late checkout (until 4 p.m.); a dedicated customer service line; and three points per dollar spent at the hotel.

TO QUALIFY 10 visits or 25 nights a year.

CREDIT CARD OPTION “Most people don’t realize that if you have an American Express Platinum card, you automatically get Starwood Gold Status,” said Brian Kelly, who runs ThePointsGuy.com, a blog dedicated to maximizing loyalty program and credit card points. All you have to do is call the number on the back of your card, which has a $450 annual fee and includes other travel perks like a $200 credit for airline fees, and they will “instantly upgrade your status,” he said.

The next best route is to sign up for the Starwood Preferred Guest card from American Express, which charges an annual fee of $65 and automatically gives you five nights and two stays toward elite status — cutting the number of nights you need to spend at an actual hotel to attain status from 25 to 20, or from 10 visits to 8. Big spenders who charge $30,000 or more on the card automatically qualify for Gold.

BOTTOM LINE The most robust perks. But aspiring Gold members must either pay a hefty credit card fee or stay a significant number of nights to become elite.

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March 19, 2012

Cruisers Have Spoken: World’s Largest Online Cruise Community Reveals Top Cruise Ships

PENNINGTON, NJ - Cruise Critic® has released the winners of its 2012 Cruisers’ Choice Awards — the cruise awards based entirely on ratings and reviews submitted by cruisers.

The Cruise Critic Cruisers’ Choice Awards highlight the best cruise ships in three ship classes according to passenger capacity — small (1,199 passengers or fewer), mid-sized (1,200 to 1,999) and large (2,000+). Awards are presented to the top 10 ships in each class in the following categories: Overall, Cabins, Dining, Embarkation, Entertainment, Fitness, Public Rooms, Service, Shore Excursions, Value-for-Money and Family. This year, for the first time, awards are also given to the best ships by destination and by the regions from which they sail.

Select 2012 Winners

LARGE CRUISE SHIPS — The 2,850-passenger Celebrity Equinox took the overall top spot in the largest class of cruise ships, beating Royal Caribbean’s Oasis of the Seas, which claimed the number-one spot last year. Celebrity Equinox is also the highest-rated large ship in the Value-for-Money and Public Rooms categories, while Oasis of the Seas held on to its title as the Cruisers’ Choice for Entertainment.

Click here for a complete list of winners in all categories for large ships.

MID-SIZED CRUISE SHIPS — The 1,506-passenger Thomson Dream, which is owned by the UK-based line Thomson Cruises, was awarded first place in the Best Overall Medium Ship category, also winning the Best Entertainment and Best Service awards. Oceania’s Marina was also a favorite in this class and came first for Dining, Fitness and Public Rooms.

Click here for a complete list of winners in all categories for mid-sized ships.

SMALL CRUISE SHIPS — In the small-ship class, 694-passenger Azamara Journey won Best Overall Small Ship along with Best Fitness and Best Service. Crystal Symphony also achieved exceptional ratings from cruisers and came first for Dining, Embarkation and Public Rooms.

Click here for a complete list of winners in all categories for small ships.

This year, Cruise Critic introduced awards in destination categories to highlight the highest-rated ships sailing to the most popular destinations, as well as those sailing from some of the busiest cruise regions. Winners include:

Best Alaska Cruise: Amsterdam Holland America Line
Best Bahamas Cruise: Disney Dream Disney Cruise Line
Best Caribbean Cruise: Celebrity Eclipse Celebrity Cruises
Best Mediterranean Cruise: Azamara Quest Azamara Club Cruises
Best Cruise from Florida: Celebrity Equinox Celebrity Cruises
Best Cruise from the Northeast: Celebrity Summit Celebrity Cruises
Best Cruise from the West Coast: Amsterdam Holland America Line

“The most important opinions about cruises and cruise ships are those of the passengers who sail on them,” said Carolyn Spencer Brown, editor-in-chief of Cruise Critic. “With these awards, we give cruisers center stage and highlight the reviews they’ve submitted on Cruise Critic. Overall, the cruise lines do a fantastic job of keeping their customers happy, and the reviews on Cruise Critic reflect a very satisfied group of travelers who continue to cruise year after year.”

 

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March 5, 2012

Southwest CEO Talks Fares, Fees

PHOENIX, AZ – Southwest Airlines CEO Gary Kelly has worked for the company for nearly two decades but even he wasn’t around when the carrier began flights in Phoenix.

It was 1982. Southwest was barely a decade old, and Phoenix was the 16th city on its route map. Tempe-based America West Airlines, now US Airways, was 18 months away from starting service.

Southwest started small, with just 13 daily flights to six cities, but Southwest co-founder Herb Kelleher saw big growth potential. “We’re planning on making Phoenix a hub for our service,” he told reporters at the time.

It wasn’t an empty promise. Southwest made fast-growing Phoenix home to one of its largest operations in the country, with more than 200 daily flights at the peak. Phoenix and Las Vegas used to trade spots as Southwest’s busiest city, a spot now held by Chicago. Phoenix ranks No. 3, with more than 170 daily flights. Southwest has a maintenance facility, flight-provisioning center and a crew base here. It carries more local passengers than any other airline, including US Airways.

The rapid growth in Phoenix is in the past as Southwest focuses on new cities, most notably Atlanta, where it begins service next week. It is ramping up there following last year’s acquisition of AirTran Airways.

Kelly, who was six years out of college and working for an accounting firm in 1982, sees Phoenix as a big beneficiary of the AirTran acquisition. Non-stop flights between Phoenix and Atlanta debut on March 10. And more are likely on the way.

“You’ve got 16 more non-stop (U.S.) destinations, potentially, by the Air Tran acquisition,” he said. “That will show up up much faster on the Southwest route map as compared to where we would have been had we not acquired AirTran.

There is also the potential for international flights because AirTran serves the Caribbean and Mexico. Phoenix would also be a logical spot for planned Southwest flights to Hawaii.

“I’ve got to believe Phoenix will have some role, if not a significant role, in all of that,” he said.

Kelly was in Phoenix last week for the airline’s annual employee meetings and sat down with The Arizona Republic for an interview on everything from fees to fares.

Excerpts from the interview:

Question: What did you say to employees?

Answer: The message is really a celebration of 2011. The only disappointment in 2011 was surging fuel costs. Everything else, I tell you what, I felt like we did a wonderful job and had a wonderful year and really historic accomplishments. The new frequent-flier program launch. Introduction of three new cities’ service in two weeks’ time. Obviously, the acquisition of AirTran on May 2, followed by the historic seniority list integration (agreements) with the pilots.”

Q: What are the priorities in 2012?

A: We need to continue to drive revenues to overcome higher fuel costs and then we need to work harder on keeping the rest of our cost structure under control.

Our strategic initiatives that are already under way will require a lot of focus and execution here over the next couple of years. The top three: the AirTran integration, which will take several more years; to promote and tweak our new frequent-flier program, which is going very, very well. And the the new (Boeing 737-) 800 model is coming in the first quarter.

Q: What do the new planes bring to Southwest?

You get 38 more seats (175 in total) which is a good one-third increase in capacity and far short of a one-third increase in costs. So the economics are quite good.

That’s a big effort for us and going very well.

Q: On a recent Southwest flight, the flight attendant was positively giddy about new service to Hawaii and told passengers to look for an announcement “real soon.” Was he jumping the gun, or are you close?

A: It’s not decided. I could see us making a decision this year. I don’t see us flying to Hawaii this year. The 800s are the right equipment for it and they’re going to come equipped for Hawaii. We don’t have labor rates in several of our (union) agreements for international or Hawaii service, so that has to be done.

Q: There’s still a lot of grumbling about the dramatic changes made to your Rapid Rewards frequent-flier program a year ago, especially from travelers who are earning fewer free tickets because they mainly fly shorter routes and/or buy inexpensive tickets. Are you seeing negative impact on business?

A: There’s no overall evidence that the program is less popular, is less successful, less anything. The overall evidence is quite the contrary. We’re seeing the trips per frequent-flier member are up significantly compared to where we were.

We were honest about this in the beginning. We were not getting frequent fliers flying us long haul because you just didn’t get rewarded properly. We’re seeing people change their behavior. We’re seeing people take long-haul flights, earning awards.

Ninety percent of our customers are better off with the new program than before.

Q: How can you argue that its better for travelers who, say, fly frequently between Phoenix and Southern California or Las Vegas or Albuquerque?

A: If you bought … the absolute cheapest fare and that’s all your ever going to do in the future, no, you’re not going to be better off, just in what it takes to earn an award. On the other hand, because the (new) rewards don’t expire, because there are no blackout dates, I could argue that even for that person it’s better than it was.

Q: So no regrets?

A: Oh, no, absolutely not. The program’s working great. The one thing that I wish we didn’t have: It is more complicated than the old program, which means that customers are going to have to slow down a little bit and put a little bit of effort into understanding all of the benefits. Over time, all that will certainly happen.

Q: Southwest’s low-fare reputation has taken a bit of a beating, with complaints about your fares on your Facebook page and elsewhere. Here’s a recent comment from your Facebook page: “I am looking to book four different trips on your website. When will your prices go down. They are insanely high.” Does that distress you? Do you think it’s valid?

A: I think the issue is fuel. One thing I just reminded our people of last night: Our fuel bill is up $5 billion a year in 10 years’ time. It’s a gigantic increase in cost. The fares have had to go up, all else being equal, just to cover increase fuel costs.

Relative to the industry, we are the low-fare leader. We don’t nickel-and-dime you. We work very hard to not follow the crowd and charge things like bag fees and change fees. We’ve stayed true to our customers in that respect.

I wish fuel prices weren’t so high. I can assure you if they weren’t, fares would be a lot lower.

Q: Do you hear a lot of grumbling about Southwest’s fares?

A: I hear it more. Yes, I do hear that more.

Q: The lack of bag fees and reservation change fees is a huge point of difference for Southwest. How long can bags continue to fly free?

A: We’re committed. I don’t want to be waffling on this. We’re not going to charge bag fees, no way, or change fees. I feel like we have won more customers because we don’t charge bag fees. It helps because we are the only carrier that stands for bags fly free. That more than pays for those ancillary fees (other airlines are raking in).

Q: So it’s safe to say bags will fly free all year?

A: It’s probably safe as long as I’m CEO.

Q: When Southwest said it was going to add another row of seats to its Boeing 737-700s beginning this year as part of a major redesign of its seats, it sounded like a page out of the playbook of Allegiant Air and Spirit Airlines, a move designed mainly to boost revenue. Fair assessment?

A: That’s just not accurate. This was a part of a complete re-examination over the past six years … of what can we do to increase the customer comfort onboard our aircraft. These new seats I think are far more comfortable than our existing seats.

Q: How so?

A: The current seat is the flotation device. So it sits up a little high. It’s a little too firm. I don’t think it’s angled properly. This one sits more like a chair.

Q: Will Southwest add any new cities this year in addition to any AirTran destinations?

A: You could have some other, non-AirTran cities that could be opened up over the next couple of years. So stay tuned.

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February 24, 2012

Marriott Calls for Golden Age of Travel

BETHESDA, MD – In a global study released by Marriott at the World Economic Forum, it was revealed that international travel is considered even more important than the Internet, TV/movies, or political diplomacy at stimulating the economy and breaking down cultural barriers.

The independent study was conducted by Penn Schoen Berland on behalf of Marriott International and included the views of 1,100 global travelers and opinion leaders from eight countries, including Brazil, China, France, Germany, India, Spain, the United Kingdom and the United States.

Ninety-six percent of respondents, who ranged in age from under 35 to over 50 years old, believed that travel and tourism stimulates the economy, while 77 percent felt that “the more people experience other countries and cultures, the more peace will spread.”

“I believe we are entering a “Golden Age of Travel,” where opportunities to do business and travel abroad are opening up like never before,” said Arne Sorenson, Marriott International’s CEO-elect and current president, pointing to the number of international arrivals, which have doubled in the last 10 years and will reach 1 billion in 2012 (UN World Tourism Organization). “Travel opens up your mind, your heart and your wallet. This survey shows it is also a powerful form of soft diplomacy in the world today.”

“Bringing down barriers to travel creates jobs and prosperity and we applaud President Obama’s announcement to reform U.S. visa and entry systems to welcome more international visitors. We look forward to even more progress in the U.S. and around the world to develop multi-national solutions that will grow the travel industry and benefit economies and people worldwide.”

According to the World Travel & Tourism Council (WTTC), the industry is predicted to account for an extra 69 million net jobs by 2021, including direct, indirect and induced employment– almost 80 percent of which will be in Asia, Latin America, the Middle East and Africa. Put another way, one American job is created for every 35 international visitors to the U.S., according to the U.S. Travel Association. Marriott plans to fill about 60,000 jobs in 2012 alone, with two-thirds of those being in countries outside the U.S., where more than 50 percent of its hotel pipeline resides.

WTTC estimates that total contributions of Travel & Tourism to the global gross domestic product (GDP) are forecast to rise by 4.2 percent annually to US $9.2 trillion by 2021. Visitor exports—or the amount visitors spend in a given foreign country—will increase 6.6 percent annually through 2021, rising to US $1.8 trillion by 2021. As an example, in New York City alone, Brazilians spent a total of $1.63 billion, topping the $1.42 billion spent by travelers from the U.K., the $1.27 billion spent by Canadians and the $1.1 billion spent by Italians, according to NYC & Co., the city’s tourism board.

“We already knew that travel and tourism have a major impact on the economy, but now we also know that it can change people’s views worldwide,” says Mark Penn, CEO of Penn Schoen Berland and CEO of Burson-Marsteller. “International travelers advance people’s understanding of different cultures and reinforce all that we as humans have in common with each other.”

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February 23, 2012

History and Hollywood Meet at Titanic Museum Attraction’s Newest Exhibit

PIGEON FORGE, TN – Fans of the Hollywood blockbuster Titanic don’t have to wait for the film’s 3D re-release to feel close enough to reach out and touch the story. The first-ever museum exhibit of actual props, costumes and items from the movie go on display at the Titanic Museum Attraction in Pigeon Forge, Tennessee, in January 2012 as part of the museum’s Titanic centennial retrospective. The exhibit, opening exclusively at Titanic Museum Attraction in Pigeon Forge, Tennessee, gives movie fans a behind-the-scenes look at the making of James Cameron’s award-winning drama and its role in the lore and legend of the RMSTitanic. The exhibit is available for viewing through December 2012.

While the museum’s permanent exhibits focus on the factual history of the Titanic, the new movie-related exhibit featuring costumes, props and behind-the-scenes videos and photos, provides the museum an opportunity to explore the role of the disaster in today’s popular culture.

“We feel the movie has earned its own place in film history and will stand forever as a tribute to RMS Titanic, her builders, passengers and crew,” said John Joslyn, owner of the Titanic Museum Attraction and leader of the first private-expedition dive to explore Titanic’s resting place. “The film’s successful history as the first billion dollar blockbuster, one of the top Academy Award®-winning films of all time, and its highly anticipated release in 3D format illustrate how the stories of Titanic are just as compelling today as a century ago.

The movie will be return to movie theaters in 3-D format on April 6, 2012, in time to help commemorate the centennial of the great ship’s voyage. Popular items from the movie on display at the Titanic Museum Attraction will include a $250,000 replica of the heart-shaped diamond and sapphire necklace pursued by characters from the film. The famous full-length pink coat worn by actress Kate Winslet during the film’s climactic sinking scenes is also among the many famous costumes on display.

“We are excited to add this new dimension to our 100 year review of Titanic’s legacy in our culture,” said Joslyn. “Thanks to exclusive rights from private collectors, Titanic Museum Attraction is able to provide an unprecedented multi-dimensional exhibit associated with the film just as the film itself is returning to screens in a multi-dimensional format of its own.”

The exhibit is part of the Titanic Museum Attraction’s year-long commemoration of the centennial of the fateful maiden voyage in April 1912.

“It has been 100 years since a lookout in the crow’s nest shouted a warning of an iceberg ahead,” said Joslyn. “In the century since that moment, we have been captivated by the stories of bravery and tragedy experienced by the 2,208 passengers and crew members. Throughout 2012, Titanic Museum Attraction will offer an ongoing series of special events, activities and ceremonies to pay our respects and honor their memory.”

As the world remembers the most famous night in maritime history, Titanic Museum Attraction will continue to open the door to the past in it’s one-of-a-kind way by allowing “passengers” to experience what it was like to walk the hallways, parlors, cabin and Grand Staircase of the Titanic while surrounded by more than 400 artifacts directly from the ship and its passengers. Visitors gain first-hand experience through interactive exhibits such as touching an actual iceberg, attempting to stand on sloping decks, and placing their hands into 28-degree water.

The museum itself is housed inside a half-scale replica of three decks of the ship. Each and every day, Titanic Museum Attraction provides a gateway to 1912, where First Class Maids and a variety of Officers and crew members bring the stories of the ship and its passengers to life in vivid, dramatic detail.

The Titanic Museum Attraction in Pigeon Forge, Tennessee, opens daily at 9 a.m. Reservations are strongly suggested since many days sell out entirely. Passengers may purchase tickets online at www.titanicattraction.com or by phone at (800) 381-7670.

Cedar Bay Entertainment, LLC owns and operates the Titanic Museum Attraction in Branson, Missouri, and Pigeon Forge, Tennessee. A privately owned-and-operated entertainment and development company, Cedar Bay is headquartered in Branson, Missouri, the site of its first Titanic Museum Attraction. Titanic Branson has welcomed more than four million guests and Titanic Pigeon Forge boards approximately 100,000 “passengers” each month.

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February 22, 2012

Best Honeymoon Destinations in the U.S.

WASHINGTON, DC – Now that the wedding is out of the way, you and your partner can focus on your new life together, starting with an oh-so-romantic honeymoon. To help you kick-start your marriage (without the added stress of international travel), we’ve gathered together a list of the best honeymoon destinations found within our own borders. All of these places offer a little something special to make your trip as unique as the love you share.

#1 Napa Valley

Why Go: Robert Louis Stevenson once equated wine to “bottled poetry.” Well, if you and your new spouse are fans of verse, you’ll find plenty of bottled poetry in Napa Valley. In California’s wine country, vineyards are the things that separate verdant golf courses, soothing spas and gourmet restaurants. So plan for days overflowing with Cabernets and Sauvignon Blancs and prepare for an intoxicating trip.

#2 Maui

Why Go: This Hawaiian island says “Aloha” to hundreds of honeymooners each year who hop over the Pacific to reach dazzling beaches and palatial resorts. But Maui also caters to the more adventurous crowd: Jump-start your marriage with a hike through Haleakala National Park or a scenic drive along the Road to Hana. Then round off the day with some hula dancing at a traditional luau.

#3 Kauai

Why Go: If you’ve already dismissed Hawaii as a mainstream honeymoon spot, you need to take a closer look at Kaua’i. The archipelago’s northernmost island features all the highlights of a Hawaiian getaway — tangerine sunsets, coffee-colored beaches, cerulean waves — without the overbearing crowds found on Oahu. Kick off your marriage with a hike along the Na Pali Coast or a lazy afternoon on Kalapaki Beach.

#4 Sedona

Why Go: Surround yourselves with the color of passion in one of America’s most beautiful places. Sedona’s famed Red Rocks provide an incredible backdrop for romantic hikes and wine tastings, while the area’s mystifying vortexes may help align you and your lover’s energies for a lifetime of happiness. If you prefer a more physical form of bonding, book a couples’ massage at one of Sedona’s spas.

#5 U.S. Virgin Islands

Why Go: Craving the Caribbean but want to avoid international travel hassles? The U.S. Virgin Islands are your easy solution. With three main islands to choose from (not to mention dozens of smaller islets), honeymooners have no problem finding the perfect postnuptial paradise. For opulent hotels and exciting activities, head to St. Thomas; for USVI’s history and natural beauty, try St. John; and for peace and quiet, choose St. Croix.

#6 Aspen

Why Go: Singer-songwriter John Denver once described Aspen as a place with “Memories that can’t grow old.” Sure, this small Colorado town is ski-central, but you don’t have to hit the runs in order to enjoy Aspen’s cozy lodges and gourmet restaurants (unless you want to, that is). Boasting beautiful scenery year-round and a ritzy atmosphere, Aspen is a place that you and your spouse are sure to remember.

#7 Monterey

Why Go: For the laid-back beachcomber, the Monterey Peninsula along the central California coast is a great place to celebrate new nuptials. Quiet communities like Carmel-by-the-Sea provide a luxurious home base for serene strolls on the sand, while Pebble Beach and Del Monte Forest boast all the green you’ll need to tee off your marriage.

#8 Charleston

Why Go: Start your marriage off with a taste of authentic Hollywood romance (Gone with the Wind-style) in Charleston. This low-key South Carolina city pours on the Southern charm like gravy on biscuits: Gas lamp-lined cobblestone streets and antebellum architecture set the scene, while gourmet cuisine followed by a horse-drawn carriage ride will set the mood.

#9 Santa Barbara

Why Go: Although it’s less than 100 miles from bustling L.A., Santa Barbara may as well be a world away. This small coastal community may have lost the role of “America’s film hub,” but sprawling beaches and a casually elegant atmosphere have kept Santa Barbara in the spotlight. What does this mean for honeymooners? Spectacular lodging, gourmet dining and romantic sunsets over the ocean.

#10 Lanai

Why Go: Forget the overrun Oahu beaches and Maui resorts, and head to Lanai. This private island is home to jaw-dropping scenery; red lava cliffs overlooking azure seawater that seem almost ethereal. But the views aren’t the only thing that’s out of this world: Price tags here are sky-high.

#11 Lake Tahoe

Why Go: No words can do justice to Lake Tahoe’s beauty, making it a great place to celebrate the splendor of married life. Plus, you can enjoy the crystal-clear waters and jagged mountain peaks from the windows of your luxury hotel room. As your heads are already in the clouds, we recommend savoring the scenery on a romantic hot-air balloon ride.

#12 Martha’s Vineyard

Why Go: If your perfect honeymoon includes quiet beaches, cozy B&Bs and succulent seafood, then Martha’s Vineyard should be high on your prospective list. That is, if you don’t mind sharing the island with Hollywood’s finest. When you’re not cozying up with your beau, keep your eyes peeled for the likes of Bill Murray or Reese Witherspoon (and be prepared for A-list price tags).

#13 Vail

Why Go: Like Aspen, Vail has earned a reputation as prime powder-hound territory. But even if you aren’t planning to hit the slopes, don’t rule out this Colorado town as a honeymoon option. As well as renowned ski runs, Vail boasts a handful of stately mountain lodges, gourmet restaurants and relaxing spas. But be warned: Accommodations here charge top dollar, so prepare for cringe-worthy room rates.

#14 Cape Cod

Why Go: If you and your better half are looking to keep things casual, consider honeymooning in Cape Cod. Life moves at a slower pace on Massachusetts’ curling peninsula. You should indulge yourselves at the wide, honey-colored beaches and succulent seafood restaurants that line the Cape. And if you wish to escape the peaceful shores or the cozy B&B, spend a day exploring fun and funky Provincetown.

#15 Nantucket

Why Go: Ignore the naughty limerick: Despite all the dirty words that rhyme with its name, Nantucket features a charming, refined atmosphere that complements honeymooners’ needs. Couples can start their marriage off with lazy bike rides and days on the beach. And for a true taste of Nantucket, consider working together to catch your own seafood dinner or sample some local wine at Cisco Brewers.

#16 Stowe, VT

Why Go: When you hear the Alps calling your name, resist the urge and head north to Stowe instead. This Vermont town’s exciting ski runs and rustic lodges mimic those found in European mountain villages. Don’t believe us? This is where Georg Ludwig and Maria von Trapp (whose love affair was made famous by The Sound of Music) finally settled. Plus, a Stowe retreat is much cheaper than an Alpine getaway.

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