What Will 2024 Bring? Reflecting on a Tumultuous 2023 in the Travel Industry with 10 Popular Articles [Column]

2023 was yet another year of momentous change. With the subsiding effects of the pandemic, international travel became more active than ever. On the other hand, the travel industry experienced intense upheaval due to factors such as the historic depreciation of the yen, and labor shortages.

In this article, although it is an annual custom, we will look back at 2023 through the lens of 10 popular articles.

“Nationwide Travel Assistance” Makes Its Mark in 2023

Initiated to create demand in the tourism industry amidst the COVID-19 pandemic, the ‘Go To Travel Campaign’ was followed in 2022 by the “Nationwide Travel Assistance” scheme.

The following articles were popular in 2023. Please note that all articles contain information from their original release.

Rakuten Travel resuming reservations for ‘Nationwide Travel Assistance’ targeting 16 prefectures (Ranked 6th)
Rakuten Travel reopens ‘Nationwide Travel Assistance’ reservations for 9 prefectures including Tokyo and Osaka (Ranked 8th)

This ‘Nationwide Travel Assistance’ initiative has gradually diminished with the quelling of the infection and the recovery of travel demand. It is no exaggeration to say that the era of significantly generating demand through these support programs has come to an end by 2024.

The Difficulty of Shifting to Proactive Demand Creation as ‘Travel Assistance’ Shrinks

It cannot be denied that the travel industry was reliant on assistance during the pandemic. Domestic travelers, likewise, had expectations for discounts through these supports.

Strategies for exiting these shrinking and ending supports, and creating demand, are of utmost importance. Apart from a few services with booming inbound demand, it seems to be quite a struggle.

Sales that revolve around demand creation have made it into the popular articles.

JR East offers unlimited one-day travel on all lines for 10,000 yen, Shinkansen included, weekdays only (Ranked 1st)
Tokyo to Shin-Aomori for 8,740 yen: Tohoku Shinkansen ‘Hayabusa,’ 50% off for limited two weeks (Ranked 5th)
Tokyo to Morioka Station for 7,140 yen and more, Tohoku Shinkansen, up to 50% off for a limited time (Ranked 7th)

JR East’s Shinkansen sales and unlimited ride tickets ranked high. Although not making it into the selection, limited-time sales from full-service carriers (FSCs) such as ANA and JAL also garnered significant attention.

Meanwhile, in 2023, sales from low-cost carriers (LCCs), a staple topic for this magazine, did not generate as much buzz compared to previous years. Factors such as the changing environment due to soaring fuel prices, the impact of FSC sales on domestic routes, and intensified competition with overseas LCCs on international routes can be considered.

While it did not make the selection, the story that Jetstar Japan’s labor union would strike from December 2023 to January 2024 also became a notable topic. It seems that LCCs are continuing to struggle comprehensively with the intensification of competition and labor shortages.

The Future of the Aviation Industry Reconsidered Post-Coronavirus

So far, we have focused on domestic topics, but abroad, post-corona changes have been dynamic. One example is the ‘airplane “double-decker seats,” latest version unveiled, interest from major Japanese airlines‘ (Ranked 4th). Not limited to this, the strategies of airlines are rapidly changing, and correspondingly, the entire aviation industry is undergoing evident transformations.

Strategies for capturing elite members by ANA and JAL seem to be undergoing changes as well.

ANA has been running campaigns to double the premium points required for status determination frequently, aiming to increase and secure elite members. They appear keen on effectively utilizing assets for elite members, as evidenced by their decision to open international ANA lounges to Priority Pass holders during the peak of the pandemic.

Since 2023 began, crowded lounges have been frequently observed, and currently, the only ANA lounge accessible with a Priority Pass is at Kansai International Airport. The article reporting the end of Haneda Airport ANA Lounge usage by Priority Pass ranked 10th.

JAL, having implemented a policy to double the FLY ON points similar to ANA, is planning to revise some status requirements in 2024, effectively making it harder to join the ‘JAL Global Club (JGC)’ which allows lounge use without a time limit (explanatory article Ranked 3rd). ANA’s similar ‘Super Flyers Card (SFC)’ program has not announced any changes for 2023, demonstrating a contrasting approach. How both companies will navigate the future remains a point of interest for 2024.

The Spread of New Design Passports and the Quiet Disappearance of a System

If anything, it’s indisputable that this was a year when infectious diseases’ impacts diminished, and international travel increased. At airports, the chance to see Japan’s new passport, adorned with ukiyo-e prints, has grown. On the other hand, the quietly removed ‘supplement system‘ featured in an article ranked 9th.

Everyone probably has something that was once taken for granted before the pandemic but is now gone.

In the Ever-Changing Travel Industry, Are Unique Measures Gaining Expectations?

We’ve quickly reviewed popular articles from 2023, but to close, let’s mention the ‘Golden ICOCA‘ (Ranked 2nd). ‘ICOCA’ is well-known, but the ‘Golden ICOCA’ isn’t, and this gap seems to have been the main reason behind the surge in traffic.

The travel industry is subject to extensive changes. It’s not unusual to see yesterday’s norms become today’s novelties. Amidst these changes, we at TRAICY continue to search for anything interesting.

Thank you for being with us in 2023. We look forward to your continued readership in 2024.