REBOOTINGTRAVEL

APRIL 2011

Background and Methodology

Rebooting Travel

• Travel‟s Tiny Essential

• The New Travel Currency

• Unplugged Holidays

• Book NOW! The Urgency Economy and Travel

Things to Watch

• Marketing Work/Life Balance

• The New Chinese and Brazilian Tourist

• Culinary Calling Cards

• Gay-Centric Hotels

• Odyssey Trackers

Appendix

• Learn More about Our Experts and Influencers

WHAT WE‟LL COVER

REBOOTING TRAVEL

JWT‟s Rebooting Travel is the result of quantitative, qualitative and desk research

conducted by JWTIntelligence throughout the year.

Specifically for this report, we conducted quantitative surveys in the U.S. and the

U.K. using SONAR™, JWT‟s proprietary online tool, surveying 1,024 adults aged 18-

plus (590 Americans and 434 Britons) from March 4-15, 2011; data are weighted by

age and gender.

We also interviewed experts and influencers from the sector.

METHODOLOGY

REBOOTING TRAVEL

TRAVEL‟S TINYESSENTIAL

No more toting guidebooks and folding maps—the smartphone is replacing them, with

its location-based services and guides, mobile mapping technologies and many

available travel apps. It‟s a one-stop shop that connects travelers with their

surroundings, each other and travel brands better than any traditional travel guide

ever could.

This ultimate traveler‟s companion is changing the travel landscape, putting a world

of information about our surroundings within easy reach and offering a much more

personalized experience. Today‟s travelers can hit the ground running, then plan on

the go without missing a beat.

TREND

TRAVEL’S TINY ESSENTIAL

DRIVERS

• Mobile as the Everything

Hub

• Expectation of instant

gratification

• Hyper-Personalization

• Worlds Colliding

TRAVEL’S TINY ESSENTIAL

DRIVERS

• Mobile as the Everything

Hub

• Expectation of instant

gratification

• Hyper-Personalization

• Worlds Colliding

(cont‟d.)

TRAVEL’S TINY ESSENTIAL

MANIFESTATIONS: THE RISE OF THE DIGITAL GUIDE

“The publishing world has been talking for years

about how we are going to follow the music

industry down the pan. I don‟t think that is going

to happen tremendously quickly for publishing in

general, but travel guidebooks are absolutely

the front line. In travel it makes much more

sense to have digital rather than traditional

paper books.” — MARK ELLINGHAM, founder of the

Rough Guides series, “The end of the guidebook?”

Financial Times, August 6, 2010

TRAVEL’S TINY ESSENTIALImage credits: nycaudiotousapp.com; lonelyplanet.com

MANIFESTATIONS: ÜBER-NICHE GUIDES AND DATA

TRAVEL’S TINY ESSENTIALImage credits: google.com/mobile/goggles; Wikitude.org; seatauthority.com; goby.com

MANIFESTATIONS: THE SOCIAL GRAPH AS INFO HUB/RECOMMENDATION ENGINE

“If you try to pick a restaurant

based on Yelp reviews, it‟s like

walking up to a random group of

strangers and asking them where

you should eat. And while the

reviews are helpful and you may

learn something, you don‟t, know those people, you

don‟t know what they like. … With access to the social

graph, there‟s now the opportunity for individuals to

leverage their friends to get information. I think social

media and the social graph are the big things that we

do a little with today but will do a lot with in the

future, and I think that‟s the way recommendations

will start to work in the future.”

—MARK WATKINS, CEO and co-founder of Goby, a personalized

location-based activity search engine

TRAVEL’S TINY ESSENTIALImage credits: wanderfly.com; TripAdvisor YouTube Channel

MANIFESTATIONS: MOBILE MANUFACTURERS GETTING IN ON THE ACTION

As mobile, local, travel and search continue to overlap and integrate, watch for

mobile manufacturers to find innovative ways into the travel market.

The BlackBerry Travel app, launched in February, allows BlackBerry owners to book

hotels and flights, manage their travel itinerary, find local things to do through Yelp

and receive notifications of itinerary changes; it also taps into LinkedIn, letting users

compare itineraries.

Starting in June, Samsung phones will include a social travel service, Tripper, that

will help users find nearby points of interest, create itineraries, and add (and share)

photos, ratings and reviews.

Apple‟s rumored iTravel app is said to be focused on suggesting apps for users based

on location (e.g., a ticket finder app for someone in a theater district).

TRAVEL’S TINY ESSENTIAL

SIGNIFICANCE/RELEVANCE

Meet a new breed of traveler: the Foreign Local. Armed with mobile resources, these

travelers are clued in to the inner workings of a place (down to the bartender‟s

name), able to instantly familiarize themselves with their surroundings at the touch

of a button. And as more people come to rely on their mobile devices for on-the-go

planning, plugged-in travelers will rarely feel out of place, confused or lost.

At the same time, as the digital realm becomes more personalized, travelers will

come to expect uniquely tailored rather than generalized information from the travel

brands they interact with.

TRAVEL’S TINY ESSENTIAL

POTENTIAL

Mobile devices are disrupting many corners of the travel industry—from guidebook

publishing to human tour guides—as they become a one-stop shop for all things

travel. With travelers engaging these devices for trip planning, ticket purchasing,

navigation and more, brands have many new touchpoints. For instance, how can

the flight and hotel check-in process be made more social or game-like, leveraging

the popularity of location-based services such as Foursquare?

With the mobile travel market still taking shape, there are many opportunities,

especially as travelers come to rely more heavily on mobile services and as geo-

location apps start to drive behavior rather than simply reward decisions already

made. Travel companies can create dialogues with travelers throughout their trips

or selectively during the most relevant moments.

With the vast amount of travel information and recommendations out there, brands

can take a proactive role in the consumer‟s decision-making process—helping to

direct informed choices rather than simply adding to the content overload.

TRAVEL’S TINY ESSENTIAL

THE NEW TRAVELCURRENCY

Travel has always garnered some level of social currency. But where travelers of old

shared (and bragged about) their activities upon returning home, today‟s hyper-

connected and mobile-enabled vacationers are doing so in real time. Posting

photos, video and text updates amplifies the travel experience, affording an

opportunity to broadcast far and wide how cool, privileged, worldly, etc. the

traveler is.

TREND

THE NEW TRAVEL CURRENCY

“This concept isn‟t new, but it has been intensified,

especially with the advent of social media. The idea of

„keeping up with the Joneses‟ began in the late ‟90s when

people started choosing more sustainable holidays. When

more mainstream travel agencies started to market more

experiential holidays, it was accepted by early adopters,

which began the „one-up‟ concept. Social media has certainly

made it easier and more accessible.”

—BRUCE POON TIP, Bruce Poon Tip, founder and CEO of Gap

Adventures, a group travel company

DRIVERS

• Life in real time

• Social living

• Social one-upmanship

THE NEW TRAVEL CURRENCY

MANIFESTATIONS: FOURSQUARE BADGES

Real-time communications have only heightened the bragging rights associated with

attendance at mass cultural or sporting events as people comment and follow along on

social media. Foursquare badges awarded for attendance at such events can therefore

boost the user‟s social currency.

Image credits: foursquare.com/picklescoop; 4squarebadges.com THE NEW TRAVEL CURRENCY

MANIFESTATIONS: BRANDS TAPPING INTO THE TREND

Image credits: TheJamieExperiment YouTube channel; http://www.facebook.com/americanexpress THE NEW TRAVEL CURRENCY

SIGNIFICANCE/RELEVANCE

While relaying the experience to others has always been part of travel‟s appeal,

social media now affords travelers the instant gratification of sharing every highlight

on the spot with a broader audience, amplifying the social currency connected with

travel. Key brands with which travelers interact are being organically spread

throughout social networks.

THE NEW TRAVEL CURRENCY

POTENTIAL

With travelers posting photos, videos, status updates and the like, there‟s

tremendous opportunity for brands to facilitate online boasting, as American

Express is doing with “Social Currency.”

Contextual advertising on social networks can also boost brands, with many

consumers motivated to “get in on the action” after reading about friends‟

activities. Brand‟s can also create incentives for name dropping in photo tags,

check-ins and the like through programs like Facebook‟s Sponsored Stories—a

program that rewards users for brand interactions with greater user visibility on

the social network.

Brands that create unique, transient experiences that attendees will want to brag

about can also drive social media word-of-mouth. Or more simply, marketers can

make direct connections between the experience they offer and its cachet on

social media.

THE NEW TRAVEL CURRENCY

UNPLUGGEDHOLIDAYS

In an extension of De-Teching, one of our 10 Trends for 2011, vacationers are

increasingly seeking refuge from technology: choosing to log off in an effort to

reconnect with loved ones, fully recharge and savor real-world experiences.

While many travelers feel empowered and comforted by having their mobile devices

on hand, they‟re also feeling weighed down by nonstop reminders of obligations

waiting back home. With relaxation hampered by constant connectivity, vacationers

are coming to regard De-Teching as the only way to truly get away from it all.

TREND

UNPLUGGED HOLIDAYSSlide 21 Image Credit: chuck_heston

DRIVERS

• Desire to savor the now

• Desire to revive

relationships

• Life in real time

• Blurring of work and

personal time

• Growing awareness of

digital‟s downside

• Far-reaching digital

coverage

UNPLUGGED HOLIDAYS

DRIVERS

• Desire to savor the now

• Desire to revive

relationships

• Life in real time

• Blurring of work and

personal time

• Growing awareness of

digital‟s downside

• Far-reaching digital

coverage

(cont‟d.)

Digital communications have profoundly shifted

relationships, distracting people from focusing

on loved ones. Constant connectivity has led

many to allow digital relationships to eclipse

real ones. As a result, vacationers are putting

increased focus on reconnecting with loved

ones and strengthening those relationships.

Our survey found that 79% of U.S. and 68% of

British respondents use their vacations as a way

to rekindle personal relationships. Interestingly,

the hyper-connected Millennials in the U.K

outpaced their elders, with 78% in agreement

With the fast-moving pace of the online world,

our digital lives have become a never-ending

struggle to keep up. Did you see my e-mail? My

status update? That YouTube clip? Digital

media‟s immediacy gives our social and

recreational time a “get „er done” quality once

reserved for work. People are coming to see

vacations as a chance to leave this digital

baggage at home.

UNPLUGGED HOLIDAYS

DRIVERS

• Desire to savor the now

• Desire to revive

relationships

• Life in real time

• Blurring of work and

personal time

• Growing awareness of

digital‟s downside

• Far-reaching digital

coverage

“When I returned to civilization—and a phone—

[after De-Teching on vacation] I had over 50

messages. But here‟s what I found most

interesting: the first half of the messages all

raised problems that needed to be resolved, and

the second half were the same people telling

me not to worry about the first half because

they had resolved the problems on their own. It

turns out that unplugging created an

opportunity for my team to grow, develop, and

exercise their own judgment .”

—PETER BREGMAN, CEO of management consulting firm

Bregman Partners, “The Mostly Unplugged Vacation,”

Harvard Business Review Blog, March 18, 2010

(cont‟d.)

UNPLUGGED HOLIDAYS

DRIVERS

• Desire to savor the now

• Desire to revive

relationships

• Life in real time

• Blurring of work and

personal time

• Growing awareness of

digital‟s downside

• Far-reaching digital

coverage

(cont‟d.)

More and more research suggests that when

people busy their minds with digital input,

they give up the downtime they need to

process information, come up with new ideas

and simply relax. By severing digital ties

while on vacation, people can more fully reap

the mental health benefits of time off.

With people Tweeting from Mount Everest and

mid-flight, it seems impossible to escape

connectivity. As a result, vacationers are

forced to practice self-restraint or seek out

tech-disabled locales if they want a break.

UNPLUGGED HOLIDAYS

MANIFESTATIONS: LOW-TECH VACATION ZONES

“I really wanted to bring back the concept of

having a true getaway. You can have a much more

fulfilling experience with the people you‟re with

if you don‟t have those distractions. … We had

rooms wired for telephones, but people said, „Do

you really need to put them in?‟ Now we will

never install them!”

—MAURICE BONHAM CARTER, president and CEO of Island

Destinations and co-owner of Arawak Beach Inn, “10

Unplugged Vacations,” ForbesTraveler.com, June 2008

Image Credit: Satemkemet UNPLUGGED HOLIDAYS

MANIFESTATIONS: MOBILE-FREE ZONES

Though cell phone etiquette in

public spaces is still being

hammered out, some commuter

train lines designate “quiet”

cars where technology use is

banned and U.K.-based train

operator c2c has even installed

a signal-blocking film on

windows to ensure riders a bit of

peace and tranquility

UNPLUGGED HOLIDAYSImage Credit: ChazWags

MANIFESTATIONS: MARKETERS TAP INTO THE TREND

Image credits: Ads of the World Copa Airlines; Ads of the World Melchers Travel Agency; FloridaKeysTV YouTube Channel UNPLUGGED HOLIDAYS

SIGNIFICANCE/RELEVANCE

Consumers are tech-fatigued, stressed out and over-stimulated, and mobile devices

ensure that some of that stress follows them on vacation. Travel and tourism brands

that facilitate De-Teching holidays offer opportunities to reconnect with loved ones

and more fully savor the moment.

With a growing segment of vacationers less interested in whether resorts are “wired”

and equipped with the latest technology, brands can profit by offering isolation—a

peaceful, quiet and distraction-free bubble in which travelers can recharge.

With the pull of digital connections strongly felt, however, there is also some guilt

and fear about unplugging. More than a third of respondents expressed fears of

“missing something” if they found themselves unable to check their mobile phone, e-

mail or social networking site regularly while on vacation; this fear is most

pronounced among Millennials, with 60% of American and 54% of British Millennials

agreeing. Over one-third of overall respondents also feel guilty not answering

messages (business or personal) while away.

UNPLUGGED HOLIDAYS

SIGNIFICANCE/RELEVANCE (cont‟d.)

UNPLUGGED HOLIDAYS

POTENTIAL

While addicted to constant connectivity and fearful of missing out on something

important if they unplug, people also yearn for a break from the bombardment. As

experts in relaxation, travel brands can give consumers permission to De-Tech and

help assure them that it‟s a healthy choice that‟s only enhancing their holiday.

Since a fully unplugged vacation may not be an option for all, brands can help

vacationers dip into their digital lives as necessary.

Restaurants, hotels and entertainment venues can consider limiting Wi-Fi and

digital device use in order to cultivate a warmer, less distracting experience.

Hospitality venues can also help to facilitate the low-tech travel experience,

whether through planned activities or streamlining arrangements so that travelers

have less real need for their devices.

UNPLUGGED HOLIDAYS

BOOK NOW!THE URGENCY ECONOMY&TRAVEL

Travel is one of many categories

affected by today‟s Urgency

Economy (one of our 10 Trends

for 2011). As time-sensitive

deals experience a renaissance

among younger, hipper and

more “in the know” consumers,

we‟re seeing the “act now”

strategy adapted to the booking

and travel-planning process.

Sites like TripAdvisor‟s

SniqueAway—which sometimes

requires a decision within 24

hours—are helping to nudge

travelers back to their pre-

recessionary, “spend-now-think-

later” ways.

URGENCY ECONOMY: TRAVEL

BOOK NOW! THE URGENCY ECONOMY & TRAVELImage credits: http://escapes.livingsocial.com/deals/25749-5-days-on-grand-bahama-island

URGENCY ECONOMY: TRAVEL (cont‟d.)

BOOK NOW! THE URGENCY ECONOMY & TRAVEL

THINGS TO WATCH IN TRAVEL

THINGS TO WATCH: MARKETING THE WORK/LIFE BALANCE

THINGS TO WATCH IN TRAVEL

Even as people work longer hours in today‟s

demanding economy, they‟re more aware

than ever of the link between stress and

health—something a range of travel brands

are tapping into. Watch for more marketers

to target consumers anxious over achieving a

work/life balance.

Image credit: RoyalCaribbeanIntl YouTube Channel; No Leave No Life

THINGS TO WATCH: THE NEW CHINESE AND BRAZILIAN TOURIST

The booming economies of China and

Brazil are changing the face of

international tourism. Outbound tourism

expenditure from Brazil skyrocketed by

52% last year; from China it was up by

17%, according to the UN World Tourism

Organization. Compare that with

traditional markets such as Australia,

France and the U.S., where outbound

expenditure grew by 9%, 4% and 2%,

respectively. About three in 10 travel

industry executives cite in- and outbound

travel from emerging markets as the “as

the single biggest opportunity for the

travel industry…over the next five

years,” according to the World Travel

Market 2010 Industry Report.

Image credit: feserc THINGS TO WATCH IN TRAVEL

Several high-profile names will be producing

projects worth watching: Filmmaker Guillermo

del Toro has launched a transmedia enterprise,

Mirada, billed as “a storytelling engine in the

form of a company”; Ron Howard‟s adaptation of

the Stephen King book series The Dark Tower

will involve three films (the first is due in 2013),

with TV series between each to continue the

story; and an Inception video game is being

developed by Christopher Nolan, which the

director has described as an opportunity to

incorporate “all kinds of ideas that you can‟t fit

into a feature film.” While transmedia

entertainment is a natural fit for the sci-fi,

fantasy or horror genres, watch for it to expand

to other genres.

THINGS TO WATCH: CULINARY CALLING CARDS

Image credit: citymama THINGS TO WATCH IN TRAVEL

THINGS TO WATCH:

Lords, a gay-focused Miami hotel

that opened in late 2010, is looking

to open in New York and L.A. Fort

Lauderdale‟s Royal Palms Resort &

Spa has expanded from 12 rooms to

62 to accommodate more of its male

clientele. And with The Out NYC

“urban resort”—which will include an

Axel Hotel, restaurant, stores and a

club—in the works in Manhattan,

watch for more projects inspired by

Spain-based Axel.

GAY-CENTRIC HOTELS

Image credit: www.lordssouthbeach.com/ THINGS TO WATCH IN TRAVEL

With tools that combine social media and

GPS tracking, extreme adventurers are

broadcasting their adventures in real time

to a global audience. Geospatial company

Esri creates custom Web trackers such as

Live on Everest, which followed teenager

Jordan Romero‟s 2010 ascent. And the app

EpicTracker offers a “customizable map

that geo-locates all of your social media

posts including blogs, podcasts, photos,

videos, Tweets and Facebook status

updates—then posts them on your map in

real time.”

THINGS TO WATCH: ODYSSEY TRACKERS

THINGS TO WATCH IN TRAVELImage credit: fPat

APPENDIX

LEARN MORE ABOUT OUR EXPERTS & INFLUENCERS

GREG SULLIVAN, co-founder, CEO and editorial director of AFAR Media

APPENDIX: LEARN MORE ABOUT OUR EXPERTS AND INFLUENCERS

BRUCE POON TIP, founder and CEO of Gap Adventures

APPENDIX: LEARN MORE ABOUT OUR EXPERTS AND INFLUENCERS

MARK WATKINS, founder and CEO of Goby

APPENDIX: LEARN MORE ABOUT OUR EXPERTS AND INFLUENCERS

THANK YOU

Ann M. Mack

Director of Trendspotting

JWT Worldwide

ann.mack@jwt.com

@annmmack

WWW.JWT.COM | WWW.JWTINTELLIGENCE.COM | WWW.ANXIETYINDEX.COM

© 2011 J. Walter Thompson Company. All Rights Reserved.

Jessica Vaughn

Trends Strategist

JWTIntelligence

Jessica.vaughn@jwt.com

@jess_vaughn