Uber travel tips

Good morning from Skift. It’s Tuesday, March 7. Here’s what you need to know about the business of travel today.

Reliance Industries Limited (RIL) — the company belonging to Asia’s richest man Mukesh Ambani — is set to foray into the hospitality industry under its new arm Reliance SOU, engaging in hotels, resorts, and service apartments that will provide short-term lodging facilities. According to the details available with the registrar of companies, the company is planning to develop hotels and resorts near the Statue of Unity in the west Indian state of Gujarat’s Kevadia. In a stock exchange filing, Reliance said that it had incorporated a wholly-owned subsidiary called Reliance SOU (RSOUL) with the intention of developing commercial properties. However, it did not elaborate on whether it would manage those properties directly, an Indian daily said. Reliance Industrial Investments and Holdings Limited (RIIHL) — a wholly owned subsidiary of the listed parent RIL — had earlier bought a 73.4 percent stake in the luxurious Mandarin Oriental Hotel in New York for $98 million. It also acquired Stoke Park Country Club, another UK-based hotel, for $69 million. 

Travel entrepreneurs know the grind when it comes to funding a startup. But the ability to get financial backing and support is said to compound when you are a founder bringing unconventional solutions for emerging markets, predominantly Black markets, that don’t fit the usual Silicon Valley bill.

Occupancy in Indian hotels is expected to improve to 66 percent in 2023, according to hospitality research firm HVS Anarock’s latest report. India’s hospitality sector ended 2022 with occupancy in the 59-61 percent range, up 15-17 percentage points from the previous year, the report said. Average room rates recovered fully in 2022, crossing 2021 levels by 37-39 percent and revenue per available room in 2022 increased by 89-91 percent over the previous year. Some 166 new hotels with 14,885 rooms were signed in 2022, indicating a 33 percent increase in brand signings by keys over the previous year. “We expect India-wide occupancy to improve to 66 percent in 2023, which coupled with a 16-17 percent increase in average room rates will push revenue per available room to $57 during the year, almost 18 percent higher than the pre-pandemic level recorded in 2019,” said Mandeep Singh Lamba president of South Asia at HVS Anarock.

Car rental company Hertz’s corporate business has yet to recover to 2019 levels in the U.S.

Uber is steadily building its travel offering — solely for UK users for now — and has entered into a partnership with online travel agency Hopper to provide it with flights and fintech products.

Good morning from Skift. It’s Wednesday, May 10. Here’s what you need to know about the business of travel today.

For developers, generative artificial intelligence will “allow our devs to kind of be super devs.” For consumers, it “can level the playing field from a service perspective.”

We are excited to announce that Uber CEO, Dara Khosrowshahi, has been added to our growing list of exceptional speakers for this year’s Skift Global Forum. We last spoke with Dara on stage during our 2021 Global Forum. 

In the Middle East and Africa region, travel and entertainment spending by small businesses was up 49 percent in March 2023 versus a year ago, according to the Travel Industry Trends 2023 report by Mastercard Economics Institute. From March 2019, it is up 78 percent. Large businesses observed growth as well, but at smaller rates.

When it comes to online travel agencies’ business to business deals, you may need a scorecard to keep up. In the latest deal, Expedia Group became the power behind Walmart’s travel offering.

Hopper isn’t changing its fintech strategy after Expedia Group’s public break-up with it.

One of the most intense competitive areas of competition these days among online travel agencies is in their business-to-business partnerships, and Hopper announced a new alliance with LatAm financial services firm Nubank.

Uber has posted its first-ever operating profit, and the company continues to test its expansion into travel booking in the UK.  

While its success is based principally on attractive pricing and ease of use, Uber’s business model critically depends on a ready supply of available and motivated workers. While there’s no sign that the supply of potential drivers is drying up, yet, the enthusiasm of Uber drivers seems to be eroding.

In a big win for Uber, the ride-sharing service today announced a new partnership with American, the world’s largest airline. “The companies will work together to provide customers faster service, better airport navigation, rider promotions and mileage promotions.”

Since the rideshare service’s beginning, Uber has featured its drivers as a key element in its self-promotion. From the company’s website:

Uber’s policy on tipping is simple and clear: “You don’t need cash when you ride with Uber. Once you arrive at your destination, your fare is automatically charged to your credit card on file – there’s no need to tip.”

A key selling point of rideshare services like Uber and Lyft is their transparency. Users know where their ride is, how soon it will arrive to pick them up, and how much the fare will be to their destination.

No cash, no tip, no hassle… When you arrive at your destination, just hop out—we’ll automatically charge the credit card on file. And there’s no need to tip.

What’s better than an Uber ride? A cheaper Uber ride, naturally!