According to a recent Salon article, there is a major drop in overall airfares happening right now. The most significant driver for this is overcapacity, with too many seats being available and not enough demand from travelers.

Furthermore, the combination of airlines making seats smaller, the addition of new planes and low fuel prices, is creating regional prices as low as $20 for one-way fares from regional carriers like JetBlue and Frontier.

As a result, we are headed into a holiday season where virtually anyone who is willing to do a little research, and book immediately when they find a deal, can have a very low-cost travel experience.

For hoteliers, this could create a tremendous spike in demand coming into November and December. This demand will most likely create new revenue-generating opportunities, but also put stress on hoteliers when dealing with the challenge of pleasing guests – especially when properties are booked or near capacity. Not being able to meet all guest needs due to overcapacity, combined with an overwhelmed staff, can be a negative thing.

However, by embracing the right innovations for a guest, such as offering recommendations for the best local experiences, it is possible to establish long-term loyalty because the guest feels like their needs are being met,.

Too much of a good thing often comes with challenges. But by preparing for the soon-to-be-over-booked holiday travel season by developing the right innovation strategies, it is possible to come out with the ultimate win. By easily managing a dramatic increase in demand, it is possible to make every traveler feels like they had a positive experience with your brand.