Business Wire | 464 days 23 hours 52 minutes ago

Seventh Edition of the U.S. Online Travel Overview

Aug 14, 2008 9:00 AM CDT


DUBLIN, Ireland-- (BUSINESS WIRE) -- Research and Markets (http://www.researchandmarkets.com/research/8032dd/u_s_online_travel) has announced the addition of the "U.S. Online Travel Overview Seventh Edition" report to their offering.

The U.S. travel market entered a new era of channel balance in 2007. This was the first year that more travel was purchased online than offline in the U.S. While online travel continues to grow faster than the market as a whole, the maturity of the channel has led to a significant slowdown in growth compared to the torrid pace of the past.

While online sales continue to grow, the pace is not the same for certain segments of the market. Depending on the channel (online travel agency or supplier-direct Web site) or the product (point-to-point air, chain hotel, cruise, complex itineraries), online is still in various stages of development. Consumer marketing is more complex due to search, social media and other Internet outlets that need to be more closely aligned with a holistic marketing program.

This report continues the detailed tracking of the largest online travel market in the world, which PhoCusWright has sized and analyzed by segment and channel since 1999.

Key Findings Include:

  • While suppliers are gaining share in most segments (air, car, hotel), online travel agencies are competing via packaging and add-ons, corporate tools, distressed inventory, international expansion in Europe and Asia, independent hotel properties, U.S. chains, and cross-product and provider customer service initiatives.
  • Online travel agencies are lagging in integration of Travel 2.0 tools and will need acquisitions or partnerships to catch up even as they labor to develop targeted marketing based on their massive stores of consumer behavior data.
  • Alternative monetization of traffic will in the medium term reduce the overall significance of gross bookings to the bottom line for online agencies.
  • Search and metasearch continue to work in favor of suppliers as they drive traffic to their Web sites to book after their comparative shopping experience.
  • All travel companies must embrace the consumer desire to shift among online and offline channels.
  • Packaging components such as air, car, hotel plus local tours, spa treatments, golf, events and other destination services allows hotels and online travel agencies to upsell the customer and combat commoditization. To date, this is best done by online travel agencies, although hotels are increasing their efforts.
Key Topics Covered:
Section 1
Overview: Online Channel Fosters Expections that Suppliers Alone
 Cannot Match
Section 2
Size of the Market: Online Channel Growth Approaches Overall Rate
Section 3
Online Travel Agencies: Supply Pressures Impact Domestic Growth
Section 4
Airlines: The End of the GDS Wars (or Is It?)
Section 5
Hotel & Lodging: Channel Mix Stabilized but Hotels Press Gains with
 Consumer Engagement
Section 6
Car Rental: Suppliers Drive Traffic With Targeted Marketing, Enhanced
 Site Offerings
Section 7
Packaged Travel: Suppliers Unravel Online Agency, Tour Operator
 Packaging Efforts
Section 8
Rail: Online Direct Strategy Pays Off, but Packaging Solution Is
 Elusive
Section 9
Cruise Lines: Suppliers Pick Up Speed as Cruisers Gradually Take to
 the Web

For more information visit http://www.researchandmarkets.com/research/8032dd/u_s_online_travel

Research and Markets

Laura Wood, Senior Manager

U.S. Fax: 646-607-1907

Fax (outside U.S.): +353-1-481-1716

press@researchandmarkets.com


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