Insights Collective weekly briefing

VIRUS 


 The US has reported a record-high number of coronavirus cases, with a daily average of more than 196,000 cases over the last week. California saw San Francisco, San Diego and Los Angeles all continue to spike, with Los Angeles reporting its single day highest number of cases on December 6. Source / Additional Virus Tracking: here  

And why is that important [Insights Collective] The continued increase of cases in California is the reason for the state’s recent stay-at-home order.  The state’s first stay-at-home order had important tourism implications – it resulted in a massive drop in hotel occupancy, which fell to 11 percent at one point. It also led to widespread furloughs and layoffs, and massive financial losses across the industry — including some business closures.Impacts this time around are anticipated to be equally severe. The three-week stay-at-home order will last until the end of the year.  Additional restrictions: here 

 

REOPENING 


A Kantar study identified the most productive advertising campaigns focused on hopeful and forward-looking messaging. These ads showed people traveling as they had before the pandemic, without masks and in large groups. They offered solutions to today’s problems, instead of dwelling on how terrible the current situation is. Offering discounts was also highly favored as an incentive to encourage travelers to book now for the future, instead of when the situation is clearer. Source: Travel Pulse 

And why is that important [Insights Collective] … This research combined with the upcoming distribution of a vaccine should motivate the industry to evolve their ‘safe and clean’ messaging towards something more influential. With ever-increasing COVID fatigue setting in people are looking for reasons to be hopeful and have something to look forward to. Seeing a hopeful message in advertising would help to reinforce those feelings and encourage consumers to actively do something (plan a trip). 

 

ECONOMY 


The latest data on how U.S. businesses changed their operations and employment since the onset of the coronavirus pandemic has been released.Nationwide, 52 percent of establishments (4.4 million) told employees not to work (with or without pay) for at least some point during the pandemic, and 31 percent of establishments (employing 68.6 million workers) increased telework offered to employees. Source: BLS 

And why is that important [Insights Collective] … The industry with the most to lose in this scenario are restaurants, many of whom serve visitors and also the score of office workers looking to socialize and get out for their break.  According to the National Restaurant Association, an additional 10,000 restaurants have closed in the last three months. As of today, 17 percent of restaurants—more than 110,000—are closed permanently or long-term. The vast majority of those permanently shuttered were well-established businesses and fixtures in the community.  On average, they were in business for 16 years, and 16 percent were open for at least 30 years 

 

LODGING  


 Puerto Rico has partnered with Airbnb to create a website as part of a strategic alliance to promote safe and sustainable tourism. The website promotes local destinations that comply with safety and cleaning protocols as mandated by the local government and provides information about the hosts and the experiences available to visitors. Partnering with Discover Puerto Rico is part of Airbnb’s global initiative to work with local authorities, tourism organizations and non-profit organizations to support economic growth. Source: Travel Weekly 

And why is that important [Insights Collective] … Airbnb and Puerto Rico have worked together in the past. In 2018, to help the island recover after Hurricane Maria, Airbnb launched popular experiences and unique activities led by locals, including tours of the best-kept secrets of Old San Juan, Condado and El Yunque. The latest partnership is great example of how Puerto Rico is leveraging trends and positioning themselves as a destination ready to welcome travelers.  It also represents how Airbnb is leveraging the opportunity of partnership to gain position in the market as a leader. 

 

NEW REALITIES 


Mall of America has launched a virtual guided and interactive experience with Santa and his elves.  Guests can virtually tour The Candy Cane Institute (located in the North Pole) and help Santa find the true meaning of the holiday season. Reservations are required for a virtual visit, and the cost for the 10-minute virtual holiday experience is $20. Time slots are limited. Guests are encouraged to make their reservations as early as possible. Source: Amusement Today / Landing page: here   

And why is that important [Insights Collective] … The march to normalize virtual experiences continues and now is the time to ask if you should be developing (and charging)for a similar experience either this holiday season, or in 2021. The industry is still in the early adopter stage for this type of offering and doing something sooner rather than later will increase the number of opportunities to improve.  You didn’t want to be the last organization to get a website, you didn’t want to be the last business to accept online payments…don’t be the last to offer a virtual product to the public.