=====================================================
THE STANDARD'S
T E C H T R A V E L E R
Travel and the
Travel Industry in the New Millennium
=====================================================
| http://www.thestandard.com |
Monday, April 23, 2001
NEWS
BRIEFS: * Booking Sites in the Black ... Orbitz Opposition ...
Skip the Phone Call
TOP
STORY: * A Microchip of One's Own
SITE
REVIEW: * IndependentTraveler.com
NEWS
BRIEFS
~~~~~~~~~~~
BOOKING SITES IN THE BLACK: Wall Street analysts gave the online
travel sector a boost last week following favorable financial
reports from Travelocity.com and Expedia, both of which beat expectations
and reported profits for the quarter. Travelocity says its membership
rose by 2 million to 27 million during the quarter that just ended,
with gross travel bookings totaling $833.6 million, a 65 percent
increase over the same quarter last year. Expedia reported gross
bookings of $674 million for the quarter, up 68 percent from a
year ago.
ORBITZ
OPPOSITION: Public debate continues in the wake of the U.S. Department
of Transportation's recent decision not to interfere with the
impending launch of Orbitz, but at least one opponent of the controversial
airline-sponsored booking site has played down the significance
of the DOT's April 13 announcement. "Contrary to what Orbitz has
said," reads a recent statement from Richard M. Copland, president
and CEO of the American Society of Travel Agents, "this decision
is no green light and certainly no clean bill of health ... DOT
has committed to monitor Orbitz and we'll be right there with
them." The Justice Department is still conducting its own antitrust
review of Orbitz, and some state attorneys general are also investigating
the company.
SKIP
THE PHONE CALL: Travel site Etravnet.com recently announced a
partnership with the publishers of the Zagat restaurant guides
to provide online reservation services via the site's Rezconnect
Web-to-voice platform. Users can now select a restaurant listed
in any of Zagat's 39 U.S. city guides and submit a reservation
request free of charge by filling out an online form. The request
is then fed into a voice synthesizer and forwarded automatically
by telephone to the restaurant, which may accept or decline the
request using the telephone keypad. The system then relays the
restaurant's response back to the user with an e-mail confirmation.
TOP
STORY
~~~~~~~~~
A Microchip of One's Own
It's
only a matter of time before "smart" hotel room keys that can
double as credit cards find their way into guests' hands.
By
Morris Dye
During
the Internet World Wireless show in New York City two months ago,
the Holiday Inn Wall Street hosted a demonstration of a system
that enables guests to check in and enter their room without any
personal contact with hotel staff. Here's how it works: Upon arriving,
guests with a Bluetooth-enabled device are instantly recognized
by the hotel's system. They confirm their reservation via the
device's wireless application protocol, or WAP, interface, learn
their room number, then head directly to the assigned room, where
they punch a few numbers into the device to open the door. No
key or credit card required, and there's no waiting in line at
the front desk.
Sound
too good to be true? It is, for the time being. Pierre Calmon
of lock manufacturer TESA Entry Systems, which developed the prototype
with an m-commerce company called Registry Magic, says it's a
"concept lock," not yet ready for distribution. But even though
that technology is currently unavailable, TESA and other companies
are developing a number of other products, including microchip-powered
smartcard keys and locks, designed to revolutionize the way guests
stay at hotels. In the near future, they say, hotel guests can
use these cards to check into hotels at kiosks in the lobby, pay
for restaurant tabs and hotel services, and instantly redeem credits
for frequent-guest programs.
By
replacing the familiar magnetic-stripe keys - which are used in
roughly two-thirds of the 3.8 million guest rooms in the U.S.,
according to Hotel & Motel Management magazine - with microchip-powered
smart cards, lock manufacturers hope hotel room keys will soon
be able to transcend the simple mechanics of unlocking a door.
"It's small enough to fit in your wallet," says Elizabeth Lauer,
an analyst at the hotel-industry consulting firm HVS International,
"And like a personal computer, it can be programmed to serve many
different purposes and do many different things."
Currently,
cost and compatibility are the biggest barriers to widespread
acceptance of smartcards. The average price of a microprocessor-equipped
card is currently $3.79 - about 20 times the cost of a typical
"dumb" magnetic-stripe card, according to the nonprofit trade
alliance Smart Card Forum. Empowering a single card for multiple
applications - a hotel key that also works as a credit card, telephone
card, ATM card and electronic purse - is difficult due to the
lack of robust standards for data storage and processing.
Despite
the current obstacles, TESA has already sold smartcard locks to
the venerable Waldorf-Astoria in New York and to the Holiday Inn
Wall Street, where TESA's Bluetooth system is currently being
tested on the hotel's executive floors. CISA Security Products,
a lock manufacturer that began testing smartcard locks in 1997
at Chicago's O'Hare Hilton, has installed a smartcard system for
the 2,041-room Hilton New York and Towers. At the massive Venetian
Casino Resort in Las Vegas, more than 6,000 rooms have been outfitted
with smartcard locks made by a Swedish vendor called TimeLox.
Yet virtually all of these first-generation products are dual-format
locks - so while hotel staff rely on the smartcards to program
and maintain the systems, most guests continue to open their doors
with the less-expensive magnetic-stripe cards. For now, smartcards'
biggest benefit to hotel guests is enhanced security, not enhanced
convenience.
But
to date, financial services companies like Visa and MasterCard
have been driving the growth of smartcard use, particularly in
Western Europe, where more than half a billion smart bankcards
have been issued. In the U.S., American Express has put its considerable
muscle behind the technology, incorporating microprocessors in
more than 2 million "Blue" brand credit cards issued last year.
So,
given the potential for tapping directly into travelers' disposable
income, it's probably only a matter of time before you get your
hands on a digital room key that doubles as a spending machine.
---------------------------------------------------------------------
SITE
REVIEW
~~~~~~~~~~~
IndependentTraveler.com
With
big players like Expedia and Travelocity clearly dominating the
online travel space these days, prospects might seem dim for a
new general-interest travel site. That hasn't stopped the producers
of Independent Traveler, a longtime fixture of America Online's
travel channel. The site, which launched quietly last month, offers
a mix of original editorial content and AOL-style message boards
where visitors can post questions, advice and personal travelogues.
A Bargain Box section contains extensive listings of discount
offers, and a useful Traveler's Resource Center offers consumer
tips and links to a wide range of online references. There's a
dedicated area for women travelers and a news section featuring
updates on airline strikes, weather conditions and other issues
that affect the traveling public. Travelocity fields all traffic
from prominent Reservations buttons built into the Web site's
interface. The site's greatest shortcoming, at this point, is
the paucity of posts on its message boards: Except for the three
most popular boards, the majority contained only a few messages
when we checked recently. Overall, Independent Traveler is an
intelligently organized portal for online travel planning - not
to mention it has an Airport Adventure game you can play whenever
you want to kill some time.
STAFF
~~~~~
Written by Michael Shapiro and Morris Dye. Send e-mail to
techtrav@yahoo.com.
Editor: Michele Keller (mkeller@thestandard.com).
Copyright 2001 Standard Media International
=====================================================