Hacking Headaches &
2016’s Sourcing Scenario
We’ve turned the corner into 2016. Happy New Year! In terms of travel sourcing for the coming year, there’s good news and bad news. Good news first: Airline sourcing could get interesting as the major
U.S. carriers have finalized merger activities and begun competing
for corporate accounts on products, services and operations commitments. Transportation editor Michael B. Baker reports on page 22
that airlines will be looking for buyers that can offer solid international volume to shore up weak demand on those routes. As airlines
grab for market share, deals will be made.
The skies won’t be so sunny for travel buyers looking to strike
deals with hotels. Despite the expectation on Wall Street that the
bottom is about to fall out of the hotel market, STR and PKF both
project strong occupancy and average daily rate growth through
2017. Associate editor Julie Sickel digs into the disconnect on page
20 and explains why Wall Street’s skepticism won’t boost buyers’
negotiation power this year.
Hotel sourcing may require some extra attention in 2016—and not
just because of difficult rate negotiations.
Data hackers have gripped the hotel industry. Toward the end of
2015, Starwood, Hilton and Hyatt all disclosed that they experienced months-long security breaches over the course of the year.
Smaller hotel chains like the Trump Hotel Collection and Mandarin
Oriental disclosed similar breaches in July and March, respectively.
Travel Procurement’s cover story this month lies at the intersection
of hotel liability and payment systems. Lodging editor Julie Sickel
and payment editor JoAnn DeLuna help travel buyers understand
why and how hackers target hotels with malware and how solid
sourcing and contracting can help prevent and mitigate the effects
of data breaches, card fraud and identity theft for their companies
and travelers. Turn to page 14 to read the story.
Closing our issue this month, Choice Hotels International CEO
Stephen Joyce spoke with Travel Procurement about positioning
Choice as a technology provider as much as a hotel chain and why
that dual role is important for the future.
All the best in the coming year,
Editor-In-Chief, The BTN Group
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