»»Major US Carriers Plan to Raise Business Fares

By taking advantage of the increase in business travel demand, it seems many airlines are planning to raise business-class fares.

So, as United Airlines and Delta Air Lines increased business-class fares - for United the biggest increase since 2000: by $50 each way on tickets purchased the same day of travel, other companies such as AMR Corp.’s American Airlines, Continental Airlines Inc. and Northwest Airlines Corp. are studying the increase.

Even Southwest Airlines Co., the biggest U.S. discount carrier, raised one-way fares by $10 earlier this month, its biggest ever increase according to JP Morgan analyst Jamie Baker.
Business fares have risen 16 percent over the past year, on average, and are expected to increase for 2006, according to a Cathay Financial report.

For many carriers, after the losses in the recent years, partly because business fares declined, returning to profitability and facing higher jet-fuel prices - up 79 percent in the past two years, seem to be the main drivers for the fares increase. (Source)


 

»»More Luxury Less Food Aboard

As many airlines are attempting to improve elegance and comfort to compete on the market of business travel, many other have even eliminated hot meals and free sandwiches.

The airlines say they’re saving millions—not just in food costs but by adding seats to replace galleys that are no longer necessary.

As a consequence of that, many companies are getting into the business of selling prepacked meals to passengers.
Companies like SkyMeals in Los Angeles and Starwich in New York are offering to deliver prepacked gourmet meals to fliers at their offices, hotels or airport doors.

United Airlines, hearing the grousing and seeing the competition, has just started offering $5 RightBite snack boxes, which include healthy foods like tuna, hummus and raisins.


 

»»British Airways To Increase Flights to India

British Airways has decided to increase flights from London to India.
Starting from April, the number of flights from London Heathrow to five Indian cities, will increase from 35 per week to 42.

From April 8, British Airways would operate 14 flights to Mumbai, in place of the current seven to Delhi, six to Bangalore, five to Chennai and three to Kolkata.

British Airways Marketing Manager (South Asia) Charles P Carneiro said:

“We have come out with an India specific campaign and floated the idea of introducing online boarding passes shortly,'’
He added that BA did not have any problem for required facilities in any Indian airport. (Source)

With increasingly British companies are outsourcing IT services to India, BA adapt its offering to better serve the business travelers.


 

»»Better Accommodation for Long-Term Business Travelers

As a consequence of offshoring strategies and businesses expanding overseas, an increasingly number of business travelers is taking extended business trips.
Highland Group reported 9 percent growth last year in the number of extended-stay rooms that were rented.

To better accommodate those who measure their stays in weeks or months, the lodging industry is improving its offering, by upgrading bedding, technology, furniture, kitchenware, etc…

A few examples:

- Homewood Suites, which is owned by Hilton, let guests fill out shopping lists online before arrival so they’d find their room fully stocked with food and drink. The service is particularly popular with guests on a long-term business assignment who fly in family for weekend visits and might not have time to shop.

- Cotton bedding is replacing polyester bedspreads. Oakwood, the world’s largest corporate apartment operator, is midway through a $15 million bedding upgrade.

- At Marriott’s corporate apartment unit, ExecuStay, guests can e-mail their photos before departure, and find them printed and framed in their unit.
Marriott ExecuStay has also started connecting guests who bring pets with veterinarians and dog walkers. (Source USA Today)

Even though life is not easy for long-term business travelers, now it is not as harsh as it once was.

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»»Marriott Launches Total Trip Pricing

Marriott International Inc has announced a marketing initiative making absolutely clear about all the costs of a room.

The leading worldwide hospitality company will offer what was called Total Trip Pricing, enumerating all taxes, surcharges and fees in a line-by-line layout before a customer completes an online reservation.

Amy McPherson, Marriott’s executive vice president for sales and marketing, explaines:

“Customary industry practice is to have a lot of fine print -especially about taxes and government surcharges. We want to ensure that our guests are as fully informed as possible about the actual price of a guest room, including taxes, before they make reservations with us.” (Source)