US Policy Changes Vol.53 (Hospitality/Entertainment Vol.3)

Here are articles on hotel industry, digital divide, et al. Excerpts are on our own.

Steady Growth Projected for U.S. Hotels in 2017 And 2018 (1/25/2017) | @1HotelNews
… “Demand has outpaced supply in terms of growth for seven consecutive years, but we expect that to change in 2017 and continue in 2018,” said @HiteAmanda @STR_Data. …
For total-year 2017, the U.S. hotel industry is predicted to report a 0.3% decrease in occupancy to 65.3%, a 2.8% rise in average daily rate (ADR) to US$127.34 and a 2.5% increase in revenue per available room (RevPAR) to US$83.20. RevPAR grew more than 3.0% for each year from 2010 to 2016. …

Travel and Hospitality Industry Outlook 2017 – An analysis of travel disruptors (w PDF) | @DeloitteCB
PDF p4
Strong economic indicators help fuel travel demand in 2017
Economic fundamentals for consumer spending are solid going into 2017. The labor market continues to strengthen. An average of 181,000 jobs were added per month in 2016. As the labor market tightens further, income growth is likely to edge up in the short to medium term. Disposable personal income was up 3.4 percent towards year end, and average hourly earnings are accelerating. For consumers, income growth is corresponding with rising asset prices. House prices crossed their pre-2008 peaks and key equity indices hit all-time highs in November. This boosted household wealth and aided consumer spending. Overall, consumer confidence remains elevated, even after the exhausting election cycle of 2016.
Projecting the influence of that election cycle on consumer spending and the broader economy, however, remains difficult. Notwithstanding, travel companies have good reason to remain optimistic. Improvements in the job market have helped boost family income for the first time since 2007, and should help the US travel industry sustain a growth rate significantly faster than GDP. The US leisure travel market notched its fourth straight year of five percent growth in 2015, reaching $341 billion. Stronger growth (closer to six percent) is projected for 2017, pushing the market closer to $381 billion by the end of 2017.
… One of the biggest challenges hoteliers will face in 2017 is sustaining growth as online private accommodation aggregators flood the marketplace with new inventory. There is little doubt that companies like Airbnb already compete head-to-head with hotels in certain segments of the market. Some of this business may be additive, as travelers take more or longer trips than they would without the option, but perhaps more importantly, private accommodations have altered consumer expectations on a fundamental level—by redefining what and where a hotel is. The hotel industry has proved to be extremely resilient during this marketplace shift. Industry forecasts project continued success, estimating a 4.3 percent gain in hotel revenues for 2017. This is phenomenal growth considering one in three US leisure travelers stayed in some form of private accommodations in 2015.

FCC Chairman Pai vows to close broadband “digital divide”: Pai voted against previous broadband expansion orders, but has plans of his own. (1/25/2017) | @jbrodkin @ArsTechnica
…against an FCC order that updated the 31-year-old Lifeline phone subsidy program so that poor people can use a $9.25 monthly household subsidy from the Universal Service Fund to purchase home Internet or mobile broadband. …
In December 2014, the FCC decided that ISPs who accept government subsidies to build rural broadband networks must provide speeds of at least 10Mbps for downloads and 1Mbps for uploads, instead of the previous 4Mbps/1Mbps standard. The move was opposed by AT&T, Verizon, and cable industry lobbyists. …
…in September 2016 he outlined a “digital empowerment agenda.” The plan included “remov[ing] regulatory barriers to broadband deployment,” changes to pole attachment rules, and “dig once” policies that install broadband conduit when roads are dug up during any road and highway construction project. …
Pai also proposed creating “gigabit opportunity zones” in areas where average household income is below 75 percent of the national median. …

Media and Entertainment Outlook 2017 – Growth opportunities and challenges in an on-demand world (w PDF & Video) | @DeloitteTMT

Predictions 2017: No Rest For The Weary In The Media Industry (11/4/2016) | @MelissaRParrish @Forbes
…four predictions…
– Big, established media companies will disrupt themselves. As consumers’ media consumption continues to both increase in the aggregate and fracture across even more devices… The AT&T/Time Warner deal isn’t the end…
– Marketers will step up to change the advertising calculus. …
– Agencies relationships will get more complicated and contentious. Revelations around fraud, kick-backs, and the commoditization of advertising tech rocked the agency world in 2016. …
– The contracting ad tech ecosystem will result in more expansive deployments. …

The State of the Media Industry 2017 (10/26/2016) | TheMediaBriefing

2016 Entertainment & Media Industry Trends: To survive the rapid transition to a direct-to-consumer future, companies across the E&M sector need an effective fan-centric strategy — or risk decline and irrelevance. (w PDF) | @DeborahBothun & Christopher A. H. Vollmer @PwC