Professional Documents
Culture Documents
38
75
113
150
The
rst
chart
below
explains
the
involvement
of
our
respondents
globally
in
terms
of
geographical
regions.
For
example,
56%
of
companies
involved
in
our
survey
have
oces
in
Western
Europe.
Does
the
company
you
represent
have
offices
in
any
of
the
following
regions
(including
your
own)? West
Europe East
Europe North
America Latin
America Australia/New
Zealand Asia
&
Pacific Middle
East Africa 0%
15% 21% 20% 26% 43% 25% 45% 56%
15%
30%
45%
60%
This second chart indicates the actual market responsibility of our respondents and while we refer to the specic loca7on (country) in which a respondent is permanently based (above), we are also interested in the regions they are responsible for targe7ng on the basis that this is likely to inuence their ac7vi7es and perspec7ves. We can see below for example that 40% are targe7ng Western European markets whereas 56% have oces in that region (above), but also 35% selected global which would include all markets. Overall, our survey results present a good representa7on for all regions throughout the world which has allowed us to oer our readers a very interes7ng picture globally.
Which
regions
/
markets
is
THE
OFFICE
YOU
ARE
REPRESENTING
responsible
for
targeting? Global West
Europe East
Europe North
America Latin
America Asia
/
Pacific Australia/New
Zealand Middle
East Africa 0%
9% 14% 16% 13% 28% 22% 31% 35% 40%
10%
20%
30%
40%
Contents
SecOon
1:
Distribu(on
Channels
SecOon
2:
Online
Penetra(on
(for
suppliers) SecOon
3:
Direct
vs
Indirect
Distribu(on
(for
suppliers)
SecOon
4:
Current
Sen(ment
Towards
the
OTA-Supplier
Partnership
SecOon
5:
Sources
of
Online
Trac
In
Travel
SecOon
6:
Marke(ng
Channels
SecOon
7:
Marke(ng
Budgets
SecOon
8:
Online
Marke(ng
Ac(vi(es
-
Whats
Working
SecOon
9:
Social
Media
Par(cipa(on
SecOon
10:
Mobile
SecOon
11:
Next
Quarter
Budgets
SecOon
12:
Biggest
Challenges
SecOon
13:
What
Has
The
Industry
Learnt
Recently? SecOon
14:
Biggest
Opportuni(es
Iden(ed SecOon
15:
Next
Big
Thing
in
Travel
Distribu(on
&
Marke(ng
If youd like to join our research panel please contact Tim Gunstone: Om@eyefortravel.com
Distribu.on
Channels
Booking
Channels
Figure
x
analyses
channels
for
bookings
(volumes)
over
the
last
quarter
represen7ng
the
respondents
of
our
supplier
focussed
survey.
72%
have
experienced
an
increase
in
bookings
direct
from
their
websites
with
only
a
small
propor7on
registering
a
decline
(5%).
Bookings
direct
via
voice/call
centre
have
declined
for
20%
of
respondents
and
increased
for
29%.
42%
have
not
experienced
any
change
from
this
channel.
30%
have
experienced
an
increase
in
bookings
via
mobile
device,
52%
have
not
had
bookings
at
all
via
this
channel.
47%
have
had
an
increase
in
bookings
from
3rd
par7es,
31%
from
GDS/agency
and
24%
from
tour
operators. Figure
1:
Have
your
bookings
(volumes)
generated
via
the
following
channels
increased
or
decreased
over
the
last
3
months
(from
the
previous
quarter)?
Increased
Decreased
72%
22%
5% 2%
29%
42%
20%
10%
30%
16%
2%
52%
47%
35%
9%
10%
GDS/agency
31%
36%
19%
15%
Tour operator
24%
39%
22%
15%
0%
25%
50%
75%
100%
In the charts below we have then explored our data based on the regions that respondents are responsible for in order to inves7gate any interes7ng trends geographically. Direct distribu7on from their websites shows no major varia7ons. The majority have experienced an increase across all regions. Those represen7ng La7n America register the highest number of respondents with an increase at 79%. It clear that in all markets, companies have either had an increase in bookings direct from their websites or the volumes have stayed the same. The largest decline across all regions is bookings from tour operators. The GDS/agency channel closely follows but s7ll around a quarter of respondents in most regions have experienced an increase from this channel. 3rd party internet channels have been genera7ng more bookings for most regions as well. Most are hovering around the 50% mark except La7n America where 36% of respondents have seen an increase. Fewer companies from those represen7ng Australia/NZ have experienced a decline from these indirect channels in comparisons tother markets. Those represen7ng North America, Africa and the Middle East seem to have been having the most ac7vity in terms of mobile bookings. For North America for example, 37% of respondents have seen an increase in bookings direct from a mobile device. North America have also registered a larger propor7on with an increase in bookings via voice/call centre (31%). The biggest decline is from those represen7ng Eastern Europe (24%).
Western
Europe
Direct
from
your
website
Tour
operator
GDS/agency Third
party
Internet
channel
(e.g.
OTA)
Direct
from
a
mobile
device
Direct
via
voice/call
centre 0%
27% 22% 25% 24% 45% 16% 2% 44% 71% 34% 38% 35% 55% 20% 14% 25% 22% 11% 22% 16% 16% 9% 7% 1%
25%
50%
75%
100%
Eastern Europe
Direct from your website Tour operator GDS/agency Third party Internet channel (e.g. OTA) Direct from a mobile device Direct via voice/call centre
72% 29% 40% 28% 20% 46% 1% 50% 24% 25% 16%
8%
13%
12%
0%
25%
50%
75%
100%
Eastern Europe
North
America
Direct
from
your
website
Tour
operator
GDS/agency Third
party
Internet
channel
(e.g.
OTA)
Direct
from
a
mobile
device
Direct
via
voice/call
centre 0%
0% 21% 22% 38% 37% 31% 16% 76% 34% 38% 39% 1% 44% 46% 14% 11% 29% 21% 11% 20% 16% 18% 12% 4%
25%
50%
75%
100%
North America
Increased
Decreaed
25%
50%
75%
100%
Australia/NZ
Asia
Pacic
Direct
from
your
website
Tour
operator
GDS/agency Third
party
Internet
channel
(e.g.
OTA)
Direct
from
a
mobile
device
Direct
via
voice/call
centre 0%
30% 26% 32% 29% 49% 19% 3% 46% 69% 38% 36% 34% 48% 19% 9% 20% 27% 21% 3% 1% 9% 15% 11% 5%
25%
50%
75%
100%
APAC
Africa
Direct from your website Tour operator GDS/agency Third party Internet channel (e.g. OTA) Direct from a mobile device Direct via voice/call centre
17%
17%
7%
0%
25%
50% Africa
75%
100%
La.n America
Direct
from
your
website
Tour
operator
GDS/agency Third
party
Internet
channel
(e.g.
OTA)
Direct
from
a
mobile
device
Direct
via
voice/call
centre 0%
0% 23% 18% 36% 28% 23%
79% 26% 41% 38% 18% 46% 54% 15% 33% 23% 10%
3%3%
15%
25%
50%
75%
100%
Latin America
Middle
East
Direct
from
your
website
Tour
operator
GDS/agency Third
party
Internet
channel
(e.g.
OTA)
Direct
from
a
mobile
device
Direct
via
voice/call
centre 0%
20% 34% 30% 24% 44% 14% 52% 4% 70% 28% 38% 36% 48% 16% 12% 28% 18% 10% 22% 6% 2% 14% 20% 10%
25%
50%
75%
100%
% Middle Esst
Increased
Decreased
0%
25%
50% % of respondents
75%
100%
0%
25%
50% % of respondents
75%
100%
Tour
operator Other
accommodation Hotel DMC/tourism
board Cruise Car
Rental Airline
0% 0% 0% 9%
2% 62% 2%
52%
0%
25%
50% % of respondents
75%
100%
Increased
Decreased
0%
25%
50% % of respondents
75%
100%
GDS/Agency
Tour
operator Other
accommodation Hotel DMC
/
tourism
board Cruise Car
Rental Airline
0% 13% 35% 25% 21% 34% 45% 50% 50% 39% 33% 35% 27% 50% 25% 19% 13% 8% 40% 21% 24% 18% 6% 29% 25% 7% 9%
0%
25%
50% % of respondents
75%
100%
Tour Operator
Other
accommodation Hotel DMC/
tourism
board Cruise Car
Rental Airline
0% 0%
17% 42%
13%
18%
18%
0%
25%
50% % of respondents
75%
100%
14%
7% 9%
29%
19%
91% - 100% 76% - 90% 50% - 75% 30% - 49% 11% - 29% Less then 10%
21%
Looking further into the data we have considered the varia7ons based on some of the top travel markets looking at Europe specically against some other key global markets. The top travel markets refer to the specic country in which the respondent is based. The top band (91% to 100%) is most dominant amongst UK respondents. A signicant 21% fall within this range. Germany (17%), China (7%), Spain (6%) and the US (2%) have also indicated high dominance of online channels for their businesses. On the other end of the scale, China indicates the dominance of oine channels with 40% distribu7ng less than 10% of their product volume online. 35% of Australian respondents and 27% of Indian respondents also fall within this range. The UK illustrates a rela7vely even spread of online distribu7on propor7ons but edging on the higher bands of over 50%. Spain is not too dissimilar to the UK but with a larger group within the 30% to 49% range. Germany and France are dominated by companies in the 11% to 29% range, Germany also includes 17% at the top end of the scale, but neither are represen7ng companies with very low online distribu7on levels. Italy very evenly falls within the middle ranges but with a compara7vely high propor7on amongst the 76% to 90%.
100%
21%
6% 13% 19%
17%
7% 13%
18%
2% 6% 28%
91% - 100% 76% - 90% 50% - 75% 30% - 49% 11% - 29% Less then 10%
11% 24%
33%
33% 0% 0% 0% 0% 0% 0%
40% 27% 0% 0% 0% 0%
35%
20% 13%
0%
8%
0%
Ge rm an y
Fr an
Au st ra
Un i
te d
St at es
UK
ce
Ita ly
Sp
Ch
Br az il
di
In
in
ai
lia
Whilst it is important to consider the loca7on where the company is based, more importantly it is relevant to consider where the majority of their customers come from as it is the level of online penetra7on in their source markets and specic characteris7cs that may have a real inuence on the results. It must however be realised that the results will be somewhat skewed as this is not data in rela7on to that specic market only, but indica7ve. For example, those who are distribu7ng predominantly to Africa are selling between 11% and 29% via online channels. Of those distribu7ng predominantly to the Middle East, 21% sell 90% via oine channels.
91% - 100% 76% - 90% 50% - 75% 30% - 49% 11% - 29% Less then 10%
14%
ca
A m er ica
A m er ica
Pa cif i
ur op
ur op
an
/N ew Ze al
W es t E
Ea st E
As ia
No rth
La tin
Au st ra
lia
id
dl
e Ea
Af ri
st
30%
% of repondents
23% 15%
14% 20% 17%
24% 19%
8% 0%
7%
10 %
11 % - 29 %
30 % - 49 %
76 % - 90 %
Le ss
30% 23%
20% 26% 23% 17%
15% 8% 0%
10%
29 %
49 %
90 %
Le ss th en 1 0%
11 %
30 %
50 %
76 %
91 %
10 0%
75 %
91 %
-
10 0%
%
of
respondents
3%
50 % - 75 %
th
en
How
do
you
feel
about
the
results
of
your
direct
and
indirect
sales
over
the
last
quarter
Direct Indirect
As expected
0%
13%
25%
38%
50%
The role of online intermediaries in the distribu7on of travel supplier products is clearly signicant. Over half of all respondents state that indirect online channels have been extremely or very important to their company in the last 3 months. Also adding those respondents that consider indirect channels important it results in 85% of respondents. Whilst suppliers are aiming to distribute a higher propor7on of online sales via direct channels, it is clear that intermediaries are rates as a channel by most. 47% have increased the number of online third party distribu7on channels that they have worked with over the last quarter and 44% are maintaining the same number. Just 6% have reduced the number of partners and 4% did not work with any at all.
Please
rate
below
how
important
INDIRECT
online
channels
have
been
to
your
company
in
the
last
3
months
Extremely
important Very
important Important Neither
important
nor
unimportant Not
important
Has
the
number
of
online
3rd
party
distribu.on
channels
youve
worked
with
increased
or
declined
in
the
last
3
months
compared
to
the
previous
quarter?
Increased About
the
same
volume Declined We
did
not
work
with
any
Considering the dierent travel sectors, Cruise are the most reliant upon indirect channels for online distribu7on with 50% ra7ng them extremely important. In comparison only 8% of airlines stated them extremely important but a further 38% rate them very important. The accommoda7on sector rate them highly with Hotel resul7ng in 61% of respondents ra7ng indirect channels either extremely or very important. 13% of the Other Accommoda7on sector rate indirect channels as not important which could perhaps be in rela7on to the type or size of inventory. Indirect channels are less relevant for DMCs/tourism boards which is understandable based on the nature of their product.
Please
rate
below
how
important
INDIRECT
online
channels
have
been
to
your
company
in
the
last
3
months
Extremely important Very important Important Neither important nor unimportant Not important
Tour
operator Other
accommodation Hotel DMC
/
tourism
board Cruise Car
Rental Airline
0% 0% 0% 0% 0% 8% 9%
17%
0%
25%
50% % of respondents
75%
100%
Has
the
number
of
online
3rd
party
distribu.on
channels
youve
worked
with
increased
or
declined
in
the
last
3
months
compared
to
the
previous
quarter?
Echoing
the
results
above,
Cruise
have
been
increasing
the
number
of
3rd
party
distribu7on
channels
they
are
working
with
in
the
last
quarter.
Tour
Operator,
Other
Accommoda7on,
Hotel,
DMC/tourism
board
and
Airline
have
reduced
the
number,
10%,
8%,
4%,
9%
and
12%
respec7vely.
The
tour
operators,
which
can
blur
over
the
borders
of
supplier
and
intermediary,
Other
Accommoda7on
and
the
DMC/tourism
board
sectors
have
propor7ons
that
do
not
work
with
3rd
party
partners
at
all.
Cruise
and
Car
Rental
have
both
either
increased
or
remained
consistent
with
the
number
of
indirect
channels.
Increased
Declined
Tour
operator Other
accommodation Hotel DMC
/
tourism
board Cruise Car
Rental Airline
0% 0% 0%
10% 8%
12% 8% 4% 1%
9%
12%
0%
25%
50% % of responents
75%
100%
Do
you
mind
what
the
ra.o
of
direct
vs.
Indirect
distribu.on
is?
It
has
been
established
that
indirect
distribu7on
channels
are
playing
an
important
role
for
online
distribu7on.
When
asked
if
they
mind
what
the
ra7o
of
direct
vs
indirect
distribu7on
is
84%
stated
yes.
Due
to
cost
of
sale
and
other
such
reasons
suppliers
are
unexpectedly
preferable
towards
direct
distribu7on.
The
chart
below
indicates
the
ideal
propor7on
of
direct
sales
as
a
total
of
online
sales.
12%
are
aiming
for
100%
direct
distribu7on
whereas
the
average
for
all
respondents
combined
as
men7oned
earlier
is
62%.
Yes No
16%
84%
1%
10 11 12 14 15 17 20 25 28 30 33 35 40 45 50 55 60 65 70 75 76 80 85 90 92 95 98 99 100
0%
10.0%
20.0% % of respondents
30.0%
40.0%
The intermediary perspec7ve is not too dissimilar but weighted more to being fair. 35% state neither fair not unfair and 32% state its quite fair.
Extremely FAIR Very fair Quite fair Neither fair nor unfair Quite unfair Very unfair Extremely UNFAIR
0%
10.0%
20.0%
30.0%
40.0%
From the OTA perspec7ve, the image below illustrates their concerns. The main theme is around availability, or lack of, and the growth in direct bookings of course. Their are concerns around the level of technology that suppliers invest in to maximise the partnership and are looking for developments in this area. Readers can study the image to pick up some of them other issues. The larger the word the more common it was in the responses.
Looking at more posi7ve sen7ment, the OTAs feel that suppliers are really good at being exible and value this characteris7c in a partner that is having to operate in such a dynamic industry. They feel the range of products on oer are great and theyve really improved in their online presence to help the partnership reach new levels. Suppliers that are ecient and willing to work with the OTAs are rated.
While suppliers have iden7ed (as we show above) their concerns over the commission rates, the OTAs are s7ll hugely valued as a distribu7on and marke7ng channel in todays market. The level of reach that they have the ability to drive for distribu7on and overall marke7ng purposes is the most common theme. It is also noted that the strength of their brands in some of the more marginal markets makes the partnership a very valuable one. For many travel companies the OTAs are brining them in incremental business and any sale is considered good.
Based
on
the
supplier
sector,
there
is
some
varia7on
in
aotudes
towards
the
supplier
-
OTA
partnership.
DMCs/ tourism
boards
make
up
the
majority
who
believe
the
partnership
is
unfair
with
27%
of
this
group
sta7ng
it
is
very
unfair.
Again
due
to
the
nature
of
their
product
it
is
dicult
to
accurately
cross
compare
with
the
other
travel
sectors.
Other
Accommoda7on
have
a
propor7on
who
consider
it
very
unfair
sugges7ng
perhaps
that
the
characteris7cally
low
volume
or
price
inventory
is
not
as
well
regarded
in
the
OTA
sector
or
that
there
are
not
enough
niche
operators
serving
the
purpose
eec7vely.
While
Cruise
rely
heavily
on
indirect
channels
50%
feel
that
the
partnership
is
quite
unfair.
4%
of
the
Hotel
sector
currently
feel
that
the
partnership
is
extremely
unfair
and
8%
of
the
airlines.
43%
of
Hotel
respondents
feel
that
the
partnership
is
unfair
to
some
degree.
Airlines
are
more
posi7ve
with
74%
either
neutral
or
fair
to
some
degree.
Extremely FAIR Very fair Quite fair Neither fair nor unfair Quite unfair Very unfair Extremely UNFAIR
Tour operator Other accommodation Hotel DMC / tourism board Cruise Car Rental Airline
12%
10% 4% 7% 4%
27%
25% 19% 8%
0%
25%
50%
%
of
respondents
75%
100%
Agree strongly
Agree
Disagree
Disagree strongly
I
cannot
compete
in
the
market
without
partnering
with
OTAs The
high
cost
of
OTA
commission
is
not
worth
the
sale OTAs
will
lose
market
share
over
the
next
few
years The
OTA
model
needs
to
change OTAs
are
negatively
impacting
supplier
brands OTAs
are
competitors
of
suppliers My
companys
marketing
proficiencies
are
on
a
par
with
OTAs
these
days
4%
17%
9% 4% 7% 10% 0%
31% 26%
4% 4% 4%
0%
25%
50%
75%
100%
Disagree
25%
Disagree strongly
17% 25% 16% 9% 50% 13% 15% 14% 18% 3%
Tour operator Other accommodation Hotel DMC / tourism board Cruise Car Rental Airline
8% 8%
0%
25%
50%
%
of
respondents
75%
100%
Agree strongly
Agree
Disagree
Disagree strongly
Tour operator Other accommodation Hotel DMC/ tourism board Cruise Car Rental Airline
0% 6% 4% 3% 0% 0% 0% 0% 0% 4% 9% 13%
19% 33%
37% 42% 36% 64% 75% 38% 13% 15% 46% 50%
21% 9% 25%
23%
12%
0%
25%
50%
%
of
respondents
75%
100%
OTAs
will
lose
market
share
over
the
next
few
years
The
respondents
that
think
that
OTAs
will
lose
market
share
over
the
next
few
years
is
dominated
by
the
Cruise
and
Car
Rental
sectors,
closely
followed
by
the
Hotel
and
Airlines.
Agree strongly
Agree
Disagree
Disagree strongly
Tour operator Other accommodation Hotel DMC / tourism board Cruise Car Rental Airline
2% 4% 11% 0% 0% 0% 0% 0% 8%
35%
31% 50% 21% 45% 50% 38% 15% 35% 38% 32%
12% 4% 6% 9%
25%
12%
0%
25%
50%
%
of
respondents
75%
100%
Tour operator Other accommodation Hotel DMC / tourism board Cruise Car Rental Airline
0% 0%
0% 0% 0% 0% 0% 0%
9%
13% 12%
0%
25%
50%
%
of
respondents
75%
100%
Agree strongly
Agree
Disagree
Disagree strongly
Tour
operator Other
accommodation Hotel DMC
/
tourism
board Cruise Car
Rental Airline
0% 0% 0% 0% 4%
12% 8% 14% 9%
4% 8% 4%
4%
0%
25%
50%
%
of
respondents
75%
100%
Agree strongly
Agree
Disagree
Disagree strongly
Tour
operator Other
accommodation Hotel DMC
/
tourism
board Cruise Car
Rental Airline
0%
8%
35%
23%
29%
6%
17%
29%
37%
12%
4%
15%
32%
24%
26%
3%
9%
55%
27%
9%
0% 0%
100%
0%
13%
75%
13%
8%
39%
23%
19%
12%
0%
25%
50%
%
of
respondents
75%
100%
Agree strongly
Agree
Disagree
Disagree strongly
Tour operator Other accommodation Hotel DMC / tourism board Cruise Car Rental Airline
12% 4% 6%
4%
0%
25%
50%
%
of
respondents
75%
100%
Intermediary
feelings
about
their
sales
performance
over
the
last
quarter
Much
better
than
I
expected Better
than
expected As
expected Worse
than
expected Much
worse
than
expected N/A
2% 4% 14% 33% 11% 38%
0%
10%
20%
30%
40%
Intermediaries reveal a posi7ve last quarter. 49% feel that their bookings were bemer than expected.
Considering
the
following
travel
products,
how
have
your
sales
volumes
changed
over
the
last
3
months?
-
Intermediaries
only
Breaking
down
the
specic
products
distributed
via
the
intermediaries,
there
have
been
increases
across
sectors
and
the
most
success
is
with
ight
and
hotel
products.
The
largest
increase
has
been
in
Hotel
product
sales
with
49%
of
respondents
having
experienced
an
increase.
Flight
sales
have
been
increased
by
4%.
Around
a
quarter
of
respondents
have
had
consistent
sales
across
the
sectors.
Declines
can
also
be
iden7ed
in
each
sector
but
on
a
smaller
scale,
all
at
6%
except
Hotels
at
8%
of
respondents.
The
sale
of
dynamic
packages
has
increased
for
28%
of
respondents
and
29%
have
increased
the
sale
of
des7na7on
ac7vi7es.
Increased
No change
Declined
Don't know
Flight
only Hotel
only Car
rental
only Dynamic
packages Destination
activities
13%
34%
16%
6%
30%
14%
49%
25%
8%
12%
6%
25%
6%
36%
20%
28%
24%
6%
29%
13%
29%
19%
6%
29%
17%
0%
25%
50%
75%
100%
Have
your
bookings
(volumes)
generated
via
the
following
channels
increased
or
decreased
over
the
last
3
months
(from
the
previous
quarter)?
The
most
signicant
increase
in
the
last
quarter
for
channels
from
which
Intermediaries
are
receiving
their
bookings
is
from
their
websites.
64%
have
experienced
an
increase
in
the
last
3
months
and
only
7%
have
experienced
a
decline.
Voice/call
centre
is
remaining
to
be
important
with
28%
experiencing
an
increase.
31%
didnt
receive
any
bookings
via
that
channel.
While
59%
of
respondents
didnt
receive
any
bookings
via
mobile
device,
it
is
interes7ng
to
note
that
24%
have
experienced
an
increase
in
the
last
quarter.
Increased
Decreased
64%
22%
7%
7%
31%
10%
31%
24%
15%
2%
59%
25%
50%
75%
100%
SecOon 5:
Increased
Decreased
Organic
search
engine
listings Paid
search
listings
Display
online
advertising
Email
marketing
links
Travel
meta-search
sites
Online
directories Affiliates Facebook Twitter YouTube TripAdvisor Mobile
website Mobile
application
Company
blog
/
online
community 0%
25% 32% 20% 34% 26% 39% 19% 31% 29% 41% 34% 44%
62% 32% 32% 36% 39% 47% 36% 56% 27% 29% 26% 16% 15% 1% 27% 3% 1% 2% 3% 56% 59% 20% 2% 4% 10% 9% 7%
29% 6%
23%
38%
25%
50%
75%
100%
Increased
Decreased
Marketing budget
0%
25%
50% % of respondents
75%
100%
Marketing Budget
0%
25%
50% % of respondents
75%
100%
Mobile
Applica.on
Less
than
$25k $26k
-
$50k $50k
-
$100k $201k
-
$300k $301k
-
$400k $401k
-
$500k $501k
-
$750k $751k
-
$1
million $1.1
million
-
$2
million $2.1
million
-
$5
million $5.1
million
-
$10
million $10.1
million
-
$50
million $51
million
-
$100
million $101million
+
0% 13% 0% 13% 22% 16% 0% 11% 0% 15% 18% 5% 3% 12% 17% 30% 33% 0% 0% 22% 30% 0% 0% 0% 0% 32% 45% 42% 59% 34% 22% 19% 12% 12% 33% 19% 3% 20% 11% 16% 6% 2% 72% 68% 70% 70% 72% 50% 50% 50% 57% 49% 56% 43% 25% 22%
Marketing Budget
0%
25%
50%
75%
100%
Mobile
Website
Less
than
$25k $26k
-
$50k $50k
-
$100k $201k
-
$300k $301k
-
$400k $401k
-
$500k $501k
-
$750k $751k
-
$1
million $1.1
million
-
$2
million $2.1
million
-
$5
million $5.1
million
-
$10
million $10.1
million
-
$50
million $51
million
-
$100
million $101million
+
18% 0% 12% 19% 20% 0% 11% 0% 22% 40% 44% 0% 0% 0% 0% 0% 0% 0% 24% 30% 29% 45% 42% 52% 19% 41% 22% 22% 21% 17% 50% 30% 10% 6% 6% 16% 54% 49% 50% 38% 8% 12% 22% 7% 5% 16% 2% 3% 67% 67% 70% 62% 67% 50% 44% 44%
Marketing Budget
0%
25%
50% % of respondents
75%
100%
Firstly, there is a trend showing that those involved in social media and mobile increases in line with larger marke7ng budgets. Yet this is not an en7rely neat trend because 30% of the largest marke7ng budget range, for example, are not ac7ve with mobile websites. This budget range has however registered the most respondents with growth from mobile web trac. Mobile applica7ons ohen require more investment than a mobile website which is perhaps indica7ve of the trend in that chart. Those in the largest budget category have registered the most growth from this source with 59% of respondents experiencing an increase in comparison to 13% in the smallest range.
Facebook
Less
than
$25k $26k
-
$50k $50k
-
$100k $201k
-
$300k $301k
-
$400k $401k
-
$500k $501k
-
$750k $751k
-
$1
million $1.1
million
-
$2
million $2.1
million
-
$5
million $5.1
million
-
$10
million $10.1
million
-
$50
million $51
million
-
$100
million $101million
+
0% 0% 41% 0% 0% 0% 0% 0% 0% 63% 57% 65% 0% 0% 0% 0% 50% 67% 65% 67% 33% 19% 15% 21% 58% 56% 75% 78% 16% 27% 24% 6% 45% 50% 27% 17% 25% 3% 22% 39% 15% 11% 22% 16% 3% 21% 12% 17% 15% 8% 10% 11% 39% 25% 29% 20%
Marketing Budget
0%
25%
50% % of respondents
75%
100%
Social media sources display a trend in rela7on to marke7ng budgets. It is quite clearly pronounced in rela7on to Tripadvisor par7cularly. The trend line is less pronounced in rela7on to Youtube and Twimer. Mid budget companies around the half a million dollar range appear to be the most successful group amongst Facebook and Twimer, registering the largest increases from both sites. Facebook is however helping to drive trac to companies across all budgets very successfully and almost half of companies with the smallest budgets have experienced an increase which is indica7ve of how eec7ve this has been as a source of trac for any travel company over the last quarter. There are however s7ll 39% of this budget range that are not taking advantage of the medium, along with a good propor7on of
those in other budget ranges too. Twimer has resulted in a similar pamern to Facebook but with fewer experiencing growth across the board. However the ac7vity within the dierent budget ranges is comparable. Travel companies in all budget ranges appear less ac7ve in Youtube, par7cularly as we reach the lower budget ranges. Less companies overall are registering growth in trac from this source.
TripAdvisor
Increased About the same
21% 0% 37% 36% 38% 33% 25% 39% 34% 38% 27% 38% 31% 50% 0% 63%
Decreased
23%
Marketing Budget
$50k - $100k $301k - $400k $501k - $750k $1.1 million - $2 million $5.1 million - $10 million $51 million - $100 million
0% 0% 0%
5% 51% 15% 48% 22% 3% 39% 14% 2% 46% 28% 6% 33% 40% 35% 22% 39% 31% 34% 30% 5% 27% 38% 5% 30% 32% 3% 27% 38% 5% 26% 25% 8% 17% 22% 15%
0%
25%
50% % of respondents
75%
100%
Twiper
Less
than
$25k
0% 24% 38% 34% 0% 40% 33% 60% 67% 47% 30% 49% 53% 38% 50% 48% 43% 27% 15% 36% 33% 30% 2% 5% 32% 24% 17% 22% 22% 17% 15% 0% 0% 0% 0% 0% 0% 0% 27% 30% 50% 5% 17% 31% 27% 19% 20% 17% 25% 3% 30% 3% 48% 32% 36% 30%
$50k - $100k
Marketing Budget
$301k - $400k $501k - $750k $1.1 million - $2 million $5.1 million - $10 million $51 million - $100 million
0%
25%
50% % of respondents
75%
100%
YouTube
Less
than
$25k
14% 15% 24% 20% 22% 15% 28% 31% 19% 22% 27% 19% 15% 22% 25% 59% 58% 2% 49% 48% 17% 61% 40% 45% 33% 39% 25% 3% 41% 43% 38% 30% 3% 46% 24% 50% 45% 2% 33% 50% 25% 25% 44% 4% 37% 5% 2% 25% 32%
Marketing Budget
$50k - $100k $301k - $400k $501k - $750k $1.1 million - $2 million $5.1 million - $10 million $51 million - $100 million
0% 0% 0% 0% 0% 0% 0%
0%
25%
50% % of respondents
75%
100%
No major pamerns are iden7ed in the trac generated from aliates. It is rela7vely even in the propor7ons that have experienced growth and maintained levels across all budget categories. It can be seen however that almost half of the lower budget companies are not working with aliates. Trac from online directories is also rela7vely consistent across budget categories. Less growth has been experienced from this poten7al trac source in comparison to other categories.
Aliates
Less
than
$25k
26% 25% 31% 30% 17% 20% 50% 34% 35% 32% 32% 45% 50% 33% 41% 30% 38% 35% 28% 35% 4% 10% 41% 42% 17% 50% 43% 30% 10% 19% 12% 16% 39% 10% 20% 33% 6% 11% 3% 22% 8% 27% 22% 8% 6% 26% 41% 7% 7% 50% 7% 19%
Marketing Budget
$50k
-
$100k $301k
-
$400k $501k
-
$750k $1.1
million
-
$2
million $5.1
million
-
$10
million $51
million
-
$100
million
0%
28%
41%
0%
25%
50% % of respondents
75%
100%
Online
Directories
Less
than
$25k $50k
-
$100k
21% 22% 19% 18% 17% 15% 45% 28% 16% 47% 49% 62% 27% 12% 25% 26% 33% 48% 44% 67% 17% 4% 19% 11% 56% 6% 16% 8% 9% 7% 25% 22% 31% 16% 19% 21% 14% 0% 40% 37% 46% 50% 56% 20% 9% 13% 14% 6% 6% 31% 28% 22% 26% 22% 20% 17%
Marketing Budget
$301k - $400k $501k - $750k $1.1 million - $2 million $5.1 million - $10 million $51 million - $100 million
0%
25%
50% % of respondents
75%
100%
Travel meta-search sites are proving successful for the companies with larger budgets and it could be assumed that many of these companies are airlines which would make sense. 48% of the largest budget category have experienced an increase in trac from these sites in the last 3 months in comparison to 18% in the lowest budget range. Email marke7ng links are used more commonly across all budget ranges, although 31% of the lowest budget category are not beneong from these at all. The largest propor7on of companies with an increase from these sources are in the mid budget ranges such as 67% of those with a budget between $501 - $750k.
Increased
Decreased
Marketing Budget
$301k - $400k $501k - $750k $1.1 million - $2 million $5.1 million - $10 million $51 million - $100 million
0%
25%
50% % of respondents
75%
100%
Marketing Budget
$301k - $400k $501k - $750k $1.1 million - $2 million $5.1 million - $10 million $51 million - $100 million
0%
25%
50% % of respondents
75%
100%
Display online adver7sing is more common amongst companies with larger budgets understandably and they have also proved successful in the last quarter. Around half of the larger budget ranges have registered an increase in trac from their online display adver7sing eorts. Paid search lis7ngs again are dominated by those with larger budgets. Around half of those in the smallest budget range are not inves7ng in this form of marke7ng. The majority of those that are inves7ng in paid search lis7ngs have experienced an increase in trac. There is a good propor7on in both display and paid search adver7sing that have not seen much of a change in the last 3 months.
25%
8% 37% 34% 26% 28% 56% 25% 32% 38% 29% 9% 40% 5% 8% 11%
52% 10% 36% 32% 33% 5% 6% 28% 5% 14% 21% 31% 33% 33% 11% 5% 9% 11% 17% 19% 11% 15% 11% 25%
Marketing Budget
$301k
-
$400k $501k
-
$750k $1.1
million
-
$2
million $5.1
million
-
$10
million $51
million
-
$100
million
0% 0%
0%
25%
50% % of respondents
75%
100%
Marketing Budget
$301k - $400k $501k - $750k $1.1 million - $2 million $5.1 million - $10 million $51 million - $100 million
0%
25%
50% % of respondents
75%
100%
Increased
Decreased
Hotel Other
accommodation Airline Car
Rental Cruise Destination
management
company
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 46% 0% 20% 0% 0% 0% 0% 45%
64% 61% 68% 69% 86% 45% 60% 68% 40% 58% 26% 46% 27% 19%
27% 40% 8%
8% 8%
0%
25%
50% % of respondents
75%
100%
Hotel Other
accommodation Airline Car
Rental Cruise Destination
management
company
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
13% 0% 29% 18% 0%
43% 55% 38% 62% 43% 50% 41% 50% 60% 42% 29% 21% 24%
4%
14%
38%
0%
25%
50% % of respondents
75%
100%
Increased
Decreased
The transport sector and Cruise have registered the most success from display online adver7sing. Around a third of Hotel and Other Accommoda7on have experienced an increase in trac from investments here. Most sectors have experienced a decline in trac from display online adver7sing but in smaller propor7ons. Cruise stand out as the sector with the most growth amongst the respondents from email marke7ng, 71%. Around half of respondents from other sectors have however seen good growth except meta-search sites which have remained predominantly consistent. A good propor7on of Car Rental companies are not u7lising email as a source of trac genera7on.
Hotel Other
accommodation Airline Car
Rental Cruise Destination
management
company
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 20% 0% 0% 0%
33% 35% 56% 62% 57% 36% 31% 31% 20% 34% 37% 18% 31% 28%
7% 32% 12%
21%
12% 23%
25% 17%
37% 29%
0%
25%
50% % of respondents
75%
100%
0%
25%
50% % of respondents
75%
100%
Increased
Decreased
Hotel Other
accommodation Airline Car
Rental Cruise Destination
management
company
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 20% 23% 17% 14% 27% 23%
37% 39% 32% 31% 14% 14% 41% 37% 24% 4% 31%
3% 32% 3% 31%
16%
12%
27% 25%
31% 26%
42% 25%
0%
25%
50% % of respondents
75%
100%
Aliates
Hotel Other
accommodation Airline Car
Rental Cruise Destination
management
company
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
31% 29% 0% 32% 54% 0% 27% 37% 32% 40% 25% 25% 32% 50% 57% 27% 29% 36% 20% 11% 32% 53% 15% 14% 14% 8% 10% 20% 32% 13% 13% 15% 29% 32% 25% 22% 20% 43% 10% 7% 20% 29% 15% 15%
0%
25%
50% % of respondents
75%
100%
Travel meta-search sites are showing to have made the most posi7ve impact in the Hotel sector with 37% of respondents experiencing trac growth from these sites in the last 3 months. Most sectors have however experienced more consistency than growth. Aliates are working well for the Car Rental and Cruise sectors, growth for 54% and 57% respec7vely. The biggest decline has been for the DMCs/tourism boards at 27%. Meta-search sites are not very ac7ve in this marke7ng channel.
Online
Directories
Hotel Other
accommodation Airline Car
Rental Cruise Destination
management
company
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 12% 21% 15% 40% 45% 46% 9% 13% 0% 14% 18% 28% 40% 21% 16% 15% 31% 29% 32% 39% 12% 60% 34% 21% 45% 50% 46% 14% 27% 11% 33% 43% 23% 23% 58% 13% 6% 8% 26% 29% 23% 13%
0%
25%
50% % of respondents
75%
100%
Referring to the charts below, results in rela7on to Twimer are rela7vely consistent across all sectors. The majority who are par7cipa7ng have experienced growth over the last quarter. Tripadvisor on the other hand is understandably more dominant in the accommoda7on sector. 62% of Hotel companies have registered growth from this channel, Other Accommoda7on is less ac7ve but of those that are included or involved are experiencing good results. This source is less favourable for the transporta7on sector. Facebook is providing good results across all sectors. Well over half of travel companies in each sector, apart of OTAs, have registered a increase in trac rom this source. DMCs/tourism boards are proving very good results out of those who are par7cipa7ng. YouTube is proving more relevant for suppliers than OTAs and accommoda7on and transport sectors have shown rela7vely similar results. The Cruise sector appear to have had the most growth in the last quarter based on the number of respondents from that sector.
Twiper
Increased About the same Decreased No trafc from this source / Not applicable
Hotel Other
accommodation Airline Car
Rental Cruise Destination
management
company
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
25% 0% 28% 0% 0% 0% 0%
43% 36% 44% 38% 43% 46% 39% 35% 40% 48% 13% 4% 20% 14% 23%
27%
1% 42% 32% 3%
30%
21% 23%
14% 25%
31% 58%
2%
20%
0%
25%
50% % of respondents
75%
100%
Facebook
Hotel Other
accommodation Airline Car
Rental Cruise Destination
management
company
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
59% 0% 0% 0% 0% 0% 53% 42% 0% 0% 0% 54% 60% 68% 13% 14% 33% 31% 52% 62% 62% 57% 64% 14% 5% 23% 1% 1% 40% 19% 13% 24% 15% 22% 1% 36% 15% 23% 29% 32% 23% 26% 19%
0%
25%
50% % of respondents
75%
100%
TripAdvisor
Hotel Other accommodation Airline Car Rental Cruise Destination management company / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
62% 0% 0% 0% 8% 0% 14% 32% 27% 17% 0% 17% 4% 29% 22% 3% 8% 18% 3% 100% 23% 29% 32% 29% 39% 86% 9% 4% 63% 26% 35%
3% 9%
36% 40%
59% 58%
0%
25%
50% % of respondents
75%
100%
YouTube
Hotel Other
accommodation Airline Car
Rental Cruise Destination
management
company
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
23% 0% 0% 0% 0% 32% 25% 5% 0% 0% 8% 20% 20% 17% 8% 29% 31% 26% 24% 23% 43%
1% 55%
42%
32% 38% 29% 29% 46% 45% 62% 80% 51% 67%
18% 24% 3%
5% 5%
0%
25%
50% % of respondents
75%
100%
Mobile is working best for the Car Rental sector and 54% of respondents have registered an increase in trac from mobile applica7ons. Airline companies are also more ac7ve in comparison to other sectors and are showing a similar pamern. Hotel companies also seeing growth with 28% of respondents experiencing increased trac from mobile applica7ons which is a large propor7on of the 43% who are par7cipa7ng. In terms of mobile websites, again the Car Rental and Airline sectors are the most ac7ve and have proved the best results. 62% of Car rental companies have registered a growth in trac from mobile websites. There appears to be less ac7vity amongst OTAs but 21% have s7ll registered growth. Company blogs and online communi7es show more consistency across sectors. The best results are in the Car Rental and DMC/tourism board sectors.
Increased
Decreased
Mobile
Applica.on
Hotel Other
accommodation Airline Car
Rental Cruise Destination
management
company
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 4% 0% 0% 0% 0% 0% 14% 20% 17% 20% 32% 17% 4% 29% 23% 15% 15% 3% 1% 20% 12% 75% 16% 28% 13% 41% 54% 21% 15% 71% 64% 63% 67% 60% 55% 14% 1% 71% 38% 31% 57%
0%
25%
50% % of respondents
75%
100%
Mobile
Website
Hotel Other
accommodation Airline Car
Rental Cruise Destination
management
company
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
30% 0% 0% 0% 0% 0% 9% 23% 21% 0% 0% 0% 21% 20% 32% 8% 29% 36% 15% 15% 20% 11% 71% 4% 1% 19% 10% 44% 62% 14% 18% 15% 57% 55% 59% 63% 60% 57% 17% 1% 71% 38% 23% 51%
0%
25%
50% % of respondents
75%
100%
0%
25%
50% % of respondents
75%
100%
SecOon 6:
Marke.ng Channels
Marke.ng
Channels
Analysing
data
from
all
respondents
of
both
supplier
and
intermediary
surveys,
organic
search
engine
lis7ngs
have
proved
to
be
the
most
inuen7al
marke7ng
channel
for
bookings
over
the
last
3
months
for
the
largest
propor7on
of
travel
companies
(38%).
PPC
is
the
second
most
rates
channel
(22%
of
respondents)
and
email
marke7ng
the
third
(19%).
Social
media
is
rated
by
14%.
Considering
the
markeOng
channels
below,
please
choose
ONE
which
you'd
highlight
as
the
most
inuenOal
to
your
bookings
over
the
last
3
months?
14%
19%
22%
5% 2%
Email marketing Meta-search sites Mobile devices Organic search engine listings Paid search (PPC) Social media
38%
Inuen7al channels do vary across sectors. Email marke7ng is rated most by Cruise and Oine intermediary sectors; 43% and 38% respec7vely. This is not found inuen7al at all by the Meta-Search companies. Meta-Search sites have been found rela7vely less inuen7al to bookings but are rated by a number of suppliers and intermediaries. Mobile stands out in the Airline and Car Rental sectors but sits with a marginal propor7on of respondents; 9% and 8% respec7vely. Organic search lis7ngs which is the most inuen7al overall, is par7cularly useful for Meta-Search companies in which 60% rate this as the most inuen7al channel to their bookings. The other sectors reveal similar propor7ons for this, except the slightly slower oine intermediaries. PPC has been par7cularly inuen7al for Car Rental, OTA and Meta-Search companies. Social media appears to be working best for DMCs/tourism boards, Cruise and oine intermediaries. The Hotel sector and Other Accommoda7on as well as Airline companies emphasise the value of organic search lis7ngs for the last quarter.
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 0% 0%
13% 23%
6% 1% 6% 3% 9%
27% 16% 12% 38% 29% 29% 5% 33% 19% 35% 40% 36% 19%
10%
18%
15% 5%
17%
6% 2% 38%
14% 4%
22% 25%
0%
25%
50% % of respondents
75%
100%
22% 22% 24% 20% 28% 25% 11% 9% 27% 0% 0% 0% 0% 0% 7% 15% 22% 18% 14% 2% 42% 3% 2%
6% 5% 2%
5% 35%
36%
8% 20%
Marketing Budget
$301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million +
12% 8% 3% 9% 2% 17%
33%
33%
11%
0%
25%
50%
75%
100%
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
0% 0% 0% 0% 0% 0% 0% 9% 9% 11%
21%
3%2%
33% 73%
34% 9% 27% 22% 45% 38% 22% 15% 21% 22% 32% 35% 20% 29% 19% 14% 22%
8% 9%
55%
34% 49%
29%
0%
25%
50%
75%
100%
SecOon 7:
Marke.ng Budgets
Marke.ng
Budgets
Most
Recent
Quarter
Respondents
of
the
survey
are
clearly
less
inclined
to
the
majority
of
oine
marke7ng
tac7cs
in
comparison
to
online,
except
perhaps
print
adver7sing
where
30%
do
did
not
allocate
any
budget
towards
this.
56%
of
all
travel
companies
in
the
survey
invested
more
budget
towards
website
design/re-design
in
the
last
quarter.
This
is
the
category
showing
the
largest
growth
amongst
respondents.
The
second
largest
growth
area
is
social
media
marke7ng
(not
including
the
adver7sements)
with
53%
of
respondents
alloca7ng
more
budget
in
the
last
quarter.
Just
19%
are
not
alloca7ng
anything
towards
this.
In
terms
of
social
media
adver7sements
37%
increased
their
budgets
for
this,
30%
allocated
the
same,
4%
reduced
the
budget
and
29%
did
not
allocate
any.
Email
marke7ng
is
the
third
largest
growth
category
and
one
of
the
most
common
marke7ng
ac7vi7es
invested
in.
43%
allocated
more
budget
in
the
last
quarter,
40%
alloca7ng
the
same
and
8%
alloca7ng
less.
Mobile
marke7ng
is
being
invested
in
by
half
of
the
respondents
to
some
degree.
A
quarter
of
all
respondents
increased
their
budget
for
mobile
marke7ng
in
the
last
quarter.
The
biggest
reduc7on
in
budget
is
towards
print
adver7sing
at
20%,
following
by
direct
mail
(14%)
and
display
online
adver7sing
(13%). In
the
last
3
months
did
you
allocate
more
or
less
budget
to
the
following
markeOng
acOviOes
compared
to
the
previous
quarter:
More
The same
Less
None
Website
design
/
re-design Paid
search
engine
optimisation
(PPC Strategic
links
and
online
sponsorship
Local
search
listings Travel
meta-search
Display
online
advertising
e.g.
banners Email
marketing
Social
media
advertisements Other
social
marketing:
Facebook,
Flickr,
Twitter,
Youtube,
etc Mobile
marketing:
via
mobile
website,
SMS
or
application
TV
advertising Outdoor
advertising Experiential
marketing Consumer
events
/
event
sponsorship Print
advertising
Direct
mail
(postal)
9% 13% 14% 21% 16% 13% 25% 16% 21% 20% 19% 27% 43% 37% 39% 33%
56% 30% 39% 44% 40% 32% 10% 13% 40% 30% 53% 21% 7% 10% 6% 33% 33% 22% 14% 9% 20% 5% 67%
8%
10%
4% 26% 50% 3%
29% 19%
26%
0%
25%
75%
100%
More
The same
Less
None
Less than $25k $26k - $50k $50k - $100k $201k - $300k $301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million +
52% 43% 63% 60% 56% 55% 0% 53% 0% 0% 54% 62% 68% 52% 0% 58% 59% 61%
21% 33%
5% 10% 29% 32% 28% 30% 39% 31% 41% 24% 24% 40% 33% 30%
Marketing Budget
13%
3% 5%
14% 6% 3% 5% 2% 8% 4% 7%
0%
25%
50%
75%
100%
18% 20%
12%
8% 18%
62% 53% 17% 48% 60% 22% 45% 33% 6% 59% 22% 43% 60% 12% 10% 25% 48% 44% 50% 42% 30% 5% 39% 39% 30%
12% 18% 17% 20% 22% 13% 14% 11% 6% 12% 8% 4% 19% 16%
Marketing Budget
$301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million +
16% 22%
13%
25%
0%
25%
50%
75%
100%
Print
Adver.sing
More The same Less None
Less than $25k $26k - $50k $50k - $100k $201k - $300k $301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million +
13% 7% 17% 10% 39% 20% 22% 12% 27% 16% 18% 14% 25% 22%
10% 25% 27% 4% 17% 40% 28% 17% 25% 22% 43% 41% 36% 33% 37% 29% 30% 10% 28%
52% 30% 25% 42% 17% 30% 33% 31% 22% 22% 21% 19% 21% 21% 25% 30% 17% 11%
Marketing Budget
31%
0%
25%
50%
75%
100%
Marketing Budget
0%
25%
50%
75%
100%
Experien.al
Marke.ng
More The
same Less None
Less
than
$25k $26k
-
$50k $50k
-
$100k $201k
-
$300k $301k
-
$400k $401k
-
$500k $501k
-
$750k $751k
-
$1
million $1.1
million
-
$2
million $2.1
million
-
$5
million $5.1
million
-
$10
million $10.1
million
-
$50
million $51
million
-
$100
million $101million
+
0% 0%
14%
20%
33% 20% 28% 28% 49% 16% 15% 10% 17% 19% 22% 29% 33% 25%
6%
0% 11% 16% 8%
47% 41%
0%
25%
50%
75%
100%
% of respondents within marketing budget category Experien7al marke7ng is invested in by a smaller propor7on of the industry. The biggest budget range par7cipa7ng is the top budget range. Some growth can be seen in all ranges except one but the majority are not changing their budget alloca7on.
Outdoor Adver.sing
17% 20% 8% 18% 17% 25% 28% 22% 27% 19% 26%
7% 7% 10% 2% 17% 30% 6% 3% 11% 14% 12% 26% 42% 33% 14% 10%
67% 68% 68% 68% 61% 35% 61% 66% 51% 51% 50% 36% 17% 22% 17% 19%
Marketing Budget
$301k - $400k $501k - $750k $1.1 million - $2 million $5.1 million - $10 million $51 million - $100 million
0%
25%
50%
75%
100%
TV
Adver.sing
More The same Less None
Less than $25k $26k - $50k $50k - $100k $201k - $300k $301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million +
3% 3% 5% 4% 6%
6% 8% 10% 2% 6% 20% 11% 19% 3% 35% 8% 5% 29% 31% 25% 30% 26% 33% 33% 6% 14% 5%
82% 78% 76% 82% 83% 60% 72% 75% 46% 78% 47% 5% 17% 15% 38% 25% 22%
Marketing Budget
0% 3% 5% 8%
17%
18%
0%
25%
50%
75%
100%
Marketing Budget
0%
25%
50%
75%
100%
More
The same
Less
None
Marketing Budget
0%
25%
50%
75%
100%
Marketing Budget
0%
25%
50%
75%
100%
Investment in social media adver7sements show less growth than other forms of social marke7ng but growth nonetheless. Over half of the top marke7ng budget group have allocated more budget towards this (56%) and 65% amongst the $401-$500k range. A correla7on with marke7ng budget can be iden7ed in terms of ay investment with the lower end budgets less par7cipa7ve. But about half of the companies with budgets below $25k have invested in social media adver7sements in the last 3 months.
More
The same
Less
None
Email
Marke.ng
Less
than
$25k $26k
-
$50k $50k
-
$100k $201k
-
$300k $301k
-
$400k $401k
-
$500k $501k
-
$750k $751k
-
$1
million $1.1
million
-
$2
million $2.1
million
-
$5
million $5.1
million
-
$10
million $10.1
million
-
$50
million $51
million
-
$100
million $101million
+
35% 43% 54% 36% 0% 28% 50% 0% 50% 53% 35% 0% 51% 50% 38% 0% 33% 58% 56% 49% 35% 38% 57% 33% 7% 56% 30% 39% 41% 8% 10% 50% 31% 33% 29% 12% 13% 3% 23% 10% 14% 8% 17% 10% 11% 3% 3% 8% 14% 6% 6% 2%2% 8% 4% 6%
Marketing Budget
0%
25%
50%
75%
100%
Less than $25k $26k - $50k $50k - $100k $201k - $300k $301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million +
17%
11% 35% 29% 32% 33% 17% 40% 22% 44% 54% 12% 15% 14% 12%
58% 35% 32% 30% 39% 10% 33% 34% 11% 24% 16% 32% 33% 6% 14% 33% 41% 15% 16% 19% 12% 5% 8% 4% 15% 11%
Marketing Budget
0%
25%
50%
75%
100%
More
The same
Less
None
Travel
Meta-Search
Less
than
$25k $26k
-
$50k $50k
-
$100k $201k
-
$300k $301k
-
$400k $401k
-
$500k $501k
-
$750k $751k
-
$1
million $1.1
million
-
$2
million $2.1
million
-
$5
million $5.1
million
-
$10
million $10.1
million
-
$50
million $51
million
-
$100
million $101million
+
17% 7% 20% 24% 11% 0% 15% 22% 19% 24% 19% 21% 21% 25% 22% 33% 48% 38% 44% 52% 8% 15% 37% 49% 16% 9% 12% 33% 15% 39% 40% 39% 12% 3% 11% 30% 47% 39% 40% 6% 4% 10% 15% 12% 44% 45% 28% 31% 24% 27% 27% 14% 50% 37% 25% 24%
Marketing Budget
0%
25%
50%
75%
100%
Meta-search budgets have remained important, again generally the higher the budget the more investment. More companies have invested the same towards this than increased.
Less than $25k $26k - $50k $50k - $100k $201k - $300k $301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million +
17% 13% 29% 18% 17% 0% 20% 44% 12% 30% 16% 29% 17% 17% 11%
36% 43%
4% 18% 47%
44% 25% 8% 10% 34% 11% 22% 20% 39% 6% 34% 11% 14% 27% 15% 10% 17% 25% 11% 15% 21% 17% 16% 11% 15%
Marketing Budget
6%
0%
25%
50%
75%
100%
Less than $25k $26k - $50k $50k - $100k $201k - $300k $301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million +
21% 22% 46% 40% 28% 0% 45% 50% 28% 30% 38% 47% 33% 0% 22% 42%
30% 45%
9% 8% 29% 30% 39% 6% 45% 33% 53% 49% 43% 26% 55% 42% 59% 10%
41% 25% 12% 14% 20% 28% 10% 6% 6% 5% 11% 15% 11% 13% 16% 8% 12% 10% 17% 7% 11% 2%
Marketing Budget
0%
25%
50%
75%
100%
Marketing Budget
0%
25%
50%
75%
100%
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 0% 0% 44% 46% 43%
54% 68%
6% 19%
9%
6% 3% 15% 14%
9% 12% 5% 20% 5% 8%
9% 7% 5%
8% 8%
0%
25%
50% % of respondents
75%
100%
Again, there are not signiant dierences between sectors in terms of investment in websites. Most have either increased their investments or remained the same, but more have increased budgets than not. Other Accommoda7on shows the highest increase at 68% of respondents. The biggest reduc7on is for meta-search sites.
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
8% 0% 0% 29%
46%
29%
9%
17%
42%
10%
13%
36%
50%
12%
9%
54%
15%
31%
29%
29%
14%
29%
23%
41%
23%
14%
32%
36%
11%
21%
46%
27%
8%
19%
40%
40%
20%
35%
22%
19%
25%
38%
17%
38%
0%
25%
50% % of respondents
75%
100%
The Car Rental sector has increased their budgets towards PPC the most (54%). 46% of Hotel companies have allocated more budget and 42% of Other Accommoda7on. Online intermediaries are also at similar levels. There are no huge dierences between sectors in terms of PPC investments for the last 3 months.
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
13% 0% 14% 13% 29% 31%
38% 39%
41% 10% 56% 54% 29% 14% 32% 29% 44% 80% 9% 16% 43%
6% 39%
15%
9% 8%
6% 8%
38% 46%
31% 13%
5%
26% 29%
0%
25%
50% % of respondents
75%
100%
Meta-search companies are placing their amen7on towards this ac7vity the most. 80% of respondents from this sector allocated more budget towards strategic links and online sponsorship over the last quarter. It is also revealed that all companies in the sector allocated some budget towards this. Cruise did not invest in this marke7ng ac7vity so heavily. 43% did not allocate any budget at all in the last quarter. 14% reduced their budget. Airline and Car Rental have not shihed their investments for this during the last quarter with the majority alloca7ng the same. Around 30% of each sector have increased budget though. Hotel companies are more ac7ve than Other Accommoda7on in general and have shown more growth. The OTAs indicate a similar pamern to Hotel.
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
4% 0% 8% 20% 20% 13% 15% 15% 14% 18% 20%
48% 3%
7% 36% 12% 8% 43% 9% 13% 12% 80% 32% 32% 33% 23%
13%
15%
29% 58%
11% 13%
40% 25%
0%
25%
50% % of respondents
75%
100%
Local search lis7ngs have been less important for much of the industry. Meta-search quite understandably have not been geong involved and the 20% that were alloca7ng budget have stopped in the last 3 months. More Hotels companies have allocated more budget to this (32%) and while this ac7vity remains important for most sectors there is quite a large propor7on across all sectors that do not invest in this. Surprisingly 36% of Other Accommoda7on are not inves7ng at all.
Travel
Meta-Search
More The same Less None
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 8% 16%
25%
46%
8%
22%
36%
7%
42%
18%
59%
12%
12%
46%
8%
38%
14%
14%
71%
0%
32%
36%
32%
11%
40%
16%
33%
17%
32%
12%
40%
20%
80%
18%
32%
6%
43%
13%
46%
8%
33%
0%
25%
50% % of respondents
75%
100%
Travel meta-search investments were increased most by the Hotel and DMC/tourism board sectors. However the majority of sectors have kept their budgets the same. Cruise and tour operators have reduced their investments the most, by 14% of `Cruise and 16% of tour operators. While 18% of Airline companies have increased their budgets on meta-search in the last quarter, 59% have allocated the same.
Less
14% 42% 18%
None
19%
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
9% 15% 14%
0%
25%
50% % of respondents
75%
100%
The suppliers have increased their display online adver7sing budgets the most. Car rental show a par7cularly high propor7on at 54%. Airlines follow at 41%. The biggest reduc7on is in the DMC/tourism board sector and the intermediaries are par7cipa7ng he least. Other Accommoda7on companies are also not huge investors in this ac7vity.
Email
Marke.ng
More The same Less None
Hotel Other
accommodation Airline Car
Rental Cruise DMC/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 20% 0% 0% 31%
39% 42% 38% 54% 71% 36% 51% 42% 20% 48% 50% 29%
7% 19% 3%
8%
12% 15%
14% 14% 9% 4% 8%
20% 20% 8%
0%
25%
50% % of respondents
75%
100%
Cruise companies have registered the biggest increase in budget for email marke7ng for the last quarter (71%). Pamerns are quite similar across al other sectors, except meta-search companies in which 40% have allocated less budget over the last 3 months.
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 25% 28% 0% 0%
38% 36% 41% 38% 43% 36% 36% 18% 27% 40% 40% 43% 29% 14% 23%
3% 39% 3%
27%
0%
25%
50% % of respondents
75%
100%
Results across sectors for the investment in social media adver7sements is similar. The majority of those who invest at al have increased their budgets towards this. OTAs represent a slightly smaller propor7on that have increased budgets (28%) but overall par7cipa7on is the same as other sectors.
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 21% 0% 0% 0% 0% 47% 41% 40% 46% 0% 39%
58% 32% 62% 31% 57% 55% 27% 36% 40% 66% 42% 14%
25%
2% 29%
15%
24%
3% 23% 29%
12%
27% 7% 3%
0%
25%
50% % of respondents
75%
100%
In terms of other social marke7ng, Airline companies and other intermediaries indicate the highest propor7on with budget increases. The non par7cipa7on rates is rela7vely similar across all sectors but the Hotel and Airline sectors more ac7ve than Other Accommoda7on, Car Rental and Cruise for example. DMCs/tourism boards are more ac7ve in this category than some of the other marke7ng ac7vi7es and 55% have increased their investment in the last quarter. There has been limle reduc7on in budgets for this across all sectors.
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0%4% 0% 0% 0% 6%
30% 16% 38% 38% 29% 23% 17% 20% 40% 29% 33% 9% 19% 24% 6%
20%
45%
53%
0%
25%
50% % of respondents
75%
100%
Mobile marke7ng displays more varia7on between sectors. The biggest propor7ons increasing their budgets are in the Meta-Search (40%), Car Rental (38%) and Airline sectors (38%). Other Accommoda7on companies are not inves7ng in mobile very much with 71% inves7ng nothing. Airline and Car Rental companies are the most ac7ve at the moment.
TV Adver.sing
More
The same
Less
None
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 0%
17% 6%
62%
12%
26%
12% 12%
6% 0% 8%
6% 1% 8%
86% 83%
0%
25%
50% % of respondents
75%
100%
TV adver7sing is not common in marke7ng budgets for travel companies. This plays a far larger part in the Airline budgets than any other sector. There has not been much change for the sector in the last quarter with 50% alloca7ng the same budget and just 12% increasing it.
Outdoor
Adver.sing
More The same Less None
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 5% 8% 0% 0% 0% 7%
17% 16% 24% 23% 43% 14% 13% 10% 13% 20% 3%
24%
43%
15%
8%
46%
8%
3% 13% 4%
85% 75%
0%
25%
50% % of respondents
75%
100%
Outdoor adver7sing again is not for all travel companies. Intermediaries are inves7ng in this the least. The major growth is revealed in the Airline sector, 24% have increased their budget alloca7on towards this in the last quarter. For Hotel companies around the same number have reduced budget and they have increased and almost half did not allocate any budget to this at all.
Experien.al Marke.ng
More
The same
31% 9%
Less
44% 72%
None
Tour
operator Other
online
intermediary Other
accommodation Online
Travel
Agent
(OTA) Meta-search Hotel DMC/
tourism
board Cruise Car
Rental Airline "Offline"
intermediary
/
Retail
4% 0% 0% 8% 0%
3% 8% 100%
68% 60%
48% 41%
32%
0%
25%
50% % of respondents
75%
100%
Experien7al marke7ng varies across sectors in terms of par7cipa7on. DMCs/tourism boards are placing the most emphasis on this ac7vity, 27% have increased the budgets in the last quarter. There is some ac7vity across all sectors and of those that par7cipate, pamerns are similar. It does not currently appear to be a common marke7ng ac7vity in the industry though.
Tour
operator Other
online
intermediary Other
accommodation Online
Travel
Agent
(OTA) Meta-search Hotel DMC
/
tourism
board Cruise Car
Rental Airline "Offline"
intermediary
/
Retail
8% 0% 0% 0%
36%
29%
39% 41%
9%
26% 18%
0%
25%
50% % of respondents
75%
100%
Consumer events and event sponsorship is also less common amongst intermediaries. Meta-search did not par7cipate at all. Again DMCs/tourism boards appear to be using this marke7ng ac7vity the most. A quarter of Hotel companies also increased their budgets for this and around 15%-20% for other sectors. The largest reduc7on was in the Tour Operator, Car Rental and Airlines sectors.
Print
Adver.sing
More The same Less None
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0%
16% 10% 21% 23% 14% 14% 17% 21% 21% 8% 42%
17%
12%
14% 25%
17%
14% 38% 8%
55% 29%
0%
25%
50% % of respondents
75%
100%
There are varying results for print adver7sing. Meta-Search, OTAs and Car Rental invest the least. The largest reduc7ons are within the Hotel, Airline, DMC/tourism board sectors but each sector has registered a reduc7on in budget towards this to some degree. The largest increase in print adver7sing was from the oine intermediary (retail) sector (25%) and OTAs (21%) and Airline companies (21%) have also raised their budgets for this. It is clear that more companies reduced budgets rather than increased but it is denitely not dying out completely as a form of marke7ng.
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0%
25% 58% 15% 77% 57% 18% 28% 3% 100% 9% 13% 72% 50%
39%
38%
14%
14%
40%
8%
9% 29%
9% 21% 8%
74% 42%
0%
25%
50% % of respondents
75%
100%
Direct mail is also an ac7vity in fewer companies marke7ng budgets. Again, online intermediaries and Car Rental had smaller propor7ons inves7ng in this. DMCs/tourism boards and oine intermediaries indicated a larger propor7on increasing their budgets for direct mail but not signicantly higher. Cruise are large investors in this and 57% have not changed their alloca7on of budget for direct mail, but the 14% increase is oset by the 14% of those that have reduced theirs.
Marke.ng
Budgets
Next
Quarter
0%
25%
50% % of respondents
75%
100%
0%
25%
50% % of respondents
75%
100%
Don't know
7% 5% 6% 6% 8% 14% 14% 7% 10% 20% 3% 4% 6% 8%
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
0%
25%
50% % of respondents
75%
100%
Email
Marke.ng
Email
marke7ng
is
expected
to
remain
important
for
the
travel
industry
over
the
next
quarter.
Meta-Search
companies
are
intending
to
be
less
ac7ve
than
other
sectors
with
60%
inves7ng
to
some
extent.
Tour
Operators,
OTAs
and
the
other
online
intermediary
category
show
the
majority
of
companies
are
expec7ng
to
invest
in
email
marke7ng
with
very
few
not
alloca7ng
budget.
Car
Rental
are
expec7ng
to
con7nue
investment
but
remain
at
consistent
levels
for
the
next
quarter
(62%)
and
a
lower
15%
increasing
budget
towards
this.
Hotel
companies
are
puong
more
weight
towards
this
marke7ng
ac7vity
as
are
Cruise.
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 20% 0% 0% 0% 32% 15% 32% 35%
41% 45% 44% 62% 57% 50% 55% 41% 40% 46% 42%
6%
2% 3% 6% 9%
0%
25%
50% % of respondents
75%
100%
Social
Media
The
majority
of
companies
across
all
sectors
are
planning
to
increase
their
investment
in
social
media
over
the
coming
quarter.
Car
rental
is
a
slight
excep7on
with
a
lower
propor7on
planning
to
increase
but
rather
keep
the
budget
alloca7on
the
same
as
the
previous.
Hotel
and
Airline
companies
are
looking
to
push
their
ac7vity
up
a
notch
with
65%
of
the
sectors
increasing
their
budgets
within
the
social
media
space.
Cruise
results
suggest
that
perhaps
social
media
isnt
necessarily
working
so
well
because
29%
intend
to
reduce
budgets
towards
this
in
the
next
quarter.
Other
suppliers
(except
a
few
of
the
Other
Accommoda7on
sector)
clearly
rate
social
media
as
a
valuable
marke7ng
ac7vity.
Increasing Staying the same Reducing There will be no budget for this Don't know
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 0% 0% 40% 55% 0% 0% 0% 0% 0% 31% 57% 59% 48%
65% 23% 65% 54% 14% 32% 65% 32% 60% 63% 62% 20% 3%
1%3% 3% 10% 9% 8%
9% 3% 7% 4% 3% 5% 6%
34% 29% 4%
2% 2% 4%
0%
25%
50% % of respondents
75%
100%
Mobile
Mobile
varies
more
across
sectors
again.
Meta-Search
are
taking
mobile
very
seriously
and
80%
plan
an
increase
in
budget.
Both
suppliers
and
intermediaries
are
also
evidently
looking
towards
this
channel
though.
48%
of
Hotel
companies
will
increase
their
budget
for
mobile
and
a
large
62%
of
Airline
companies
too.
For
Car
Rental
which
we
have
established
are
already
the
most
ac7ve
in
mobile,
46%
plan
a
further
increase
with
just
15%
alloca7ng
no
budget
at
all.
Other
Accommoda7on
expect
to
be
less
ac7ve,
45%
plan
to
invest
to
some
degree
though.
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 37% 0% 0% 55% 17% 0% 0% 0% 0% 0% 32% 40% 53% 80% 23% 29% 2% 46% 57% 36% 24% 19% 7% 4% 16% 48% 29% 62% 38% 14% 9% 14% 14% 25% 12% 20% 15% 17% 5% 13% 24% 39% 21% 12% 15% 14% 9% 4% 3% 13% 12% 16% 6%
0%
25%
50% % of respondents
75%
100%
Oine
Marke.ng
Oine
marke7ng
is
not
on
the
cards
for
most
Meta-Search
companies
and
60%
plan
to
market
wholly
online.
On
the
other
end
of
the
scale,
the
highest
propor7on
from
all
sectors
planning
an
increase
in
budgets
in
oine
marke7ng
is
Other
Accommoda7on
(36%).
The
largest
reduc7on
is
expected
from
the
Car
Rental
sector
(31%)
and
Hotel
(24%).
While
we
iden7fy
some
fairly
signicant
increases,
such
as
Tour
Operator,
DMC/tourism
board
as
well,
and
decreases
as
men7oned
above,
the
majority
are
keeping
their
oine
marke7ng
budgets
the
same.
Increasing
Reducing
42%
Don't know
9% 6% 10% 12% 8% 14% 14% 7% 5% 9%
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
56%
35%
18% 54%
26% 8%
8% 8%
0%
25%
50% % of respondents
75%
100%
SecOon 8:
6% 20%
7%
28%
Afliate marketing Email marketing Mobile marketing Online advertising Search engine marketing Social marketing - we did none of the above -
29% 8%
3%
Comparing results by country (of the respondent) we can certainly iden7fy some dierences. In Europe the UK predominantly succeeded the most with search engine and email marke7ng. A small propor7on (3%) considered mobile their biggest success story and 12% for social media. Germany largely favoured their search engine marke7ng campaigns and placed no emphasis on mobile. France on the other hand indicate a signicant 18% of respondents that considered mobile their success story. On the whole aliate marke7ng, email marke7ng and mobile were favoured over social and search engine campaigns. Italy were very happy with their social media campaigns and did not feature search engine marke7ng at all. Spain also favoured their SEM campaigns as well as aliate marke7ng. Comparing other parts of the world, the US showed a very similar picture to the UK respondents, but with slightly more emphasis on social media. Australia also rated their results in similar propor7ons. China is split quite evenly between aliate, email, search and social media marke7ng. India experienced more success with email campaigns but SEM and social media have also proved successful in the last quarter.
27% 9%
3%
42%
12% 18% 18% 9% 22% 14% 22% 14% 7% 15% 22% 19% 29% 9%
2%
Country of respondent
Afliate marketing Email marketing Mobile marketing Online advertising Search engine marketing Social marketing - we did none of the above -
4% 2%
0%
25%
50% % of respondents
75%
100%
When
analysing
the
results
between
dierent
marke7ng
budget
ranges
we
have
not
iden7ed
any
clear
trends
at
all.
Afliate marketing Search engine marketing Email marketing Social marketing
32% 10% 5% 10% 0% 0% 5% 0% 6% 14% 0% 5% 0% 6% 0% 5% 0% 8% 11% 8% 22% 11% 27% 29% 2% 67% 11% 26% 35% 9% 22% 22% 33% 30% 17% 6% 32% 8% 9% 3% 8% 41% 52% 20% 36% 24% 2% 7% 2% 8% 11% 10% 8% 20% 22% 25% 33% 28% 14% 22% 27%
Online advertising
Less than $25k $26k - $50k $50k - $100k $201k - $300k $301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million +
4% 0%
Marketing Budget
6% 5%
0%
25%
50%
75%
100%
SecOon 9:
Travel companies are more ac7ve in Facebook in comparison to the other social media sites listed. 82% of respondents have proles as a company, not personally. This is very signicant but the level of ac7vity within that prole does obviously vary amongst companies. Twimer has also amracted 64% of travel companies to par7cipate. Less are ac7ve in YouTube and Flickr. LinkedIn has also proved a useful tool for travel companies.
Do you as a company (NOT personally) have proles created in the following social media sites?
Fa ce
Lin ke di n
bo ok
be
Tw itt e
Yo u
Fli ck
tu
There is not a huge varia7on between company sectors in terms of Facebook proles. Car Rental, Other Accommoda7on and oine intermediaries are the least represented. Twimer proles are more common amongst Airline, Cruise and Meta-Search and the least represented are DMCs/tourism boards, Other Accommoda7on and Tour Operators. YouTube is more common for the suppliers which makes sense based on the nature of their products. Cruise and Car Rental are the leaders. Linkedin is rela7vely varied with Meta-Search leading the way in terms of presence and Cruise not par7cipa7ng very much. Flickr is again dominated by travel suppliers but OTAs are playing a part. Other Accommoda7on and Car Rental are the most dominant sectors, closely followed by Hotel and Airline sectors.
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
87% 68% 85% 69% 86% 82% 84% 81% 80% 88% 58% 0% 23% 45% 68% 90%
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
63% 55% 79% 62% 71% 59% 56% 67% 80% 77% 38% 0% 20% 40% 60% 80%
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
44% 45% 44% 54% 57% 36% 32% 31% 20% 32% 8% 0% 15% 30% 45% 60%
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
41% 29% 35% 39% 14% 41% 35% 50% 60% 43% 38% 0% 15% 30% 45% 60%
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary
25% 29% 21% 31% 27% 24% 13% 14% 0% 10% 20% 30% 40%
Facebook is by far the homest social site of the moment. It is the site has has received the most investment over the last quarter. Twimer is also the most invested social site for a good propor7on. Looking at the analysis of the secondary listed sites it is revealed that Twimer is the dominant sited listed. In the 3rd and 4th rankings we start to see YouTube, LinkedIn, Flickr and some of the other sites emerge. It will be very interes7ng to follow the trends of this.
Rank 3
Rank 4
3% 16% 200 SMS responses 50 inbound enquiries to your call-centre 500 Facebook Likes 500 re-tweets A 10% increase in brochure requests A 5% increase in trafc to your website homepage
53% 17% 6%
4%
A 5% increase in trac to a website is certainly the winner in this ques7on overall. 53% chose this as their favoured campaign result. The second favourite was 500 Facebook likes (17%) and closely followed by 50 inbound enquiries to a call centre (16%). Comparing preferences between dierent sectors indicates some dierences. Airlines and Meta-Search are predominantly choosing a 5% increase to their website which makes sense due to the volume of trac they are likely to receive in general. Cruise, DMC/tourism board and oine intermediaries favour the inbound enquiries to call centres. Facebook likes are preferred mainly by Car Rental, Other Accommoda7on, and Tour Operators.
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
2% 6% 0% 3% 0% 0% 8% 0% 0% 9% 4% 3% 0% 0% 3% 0%
13% 19% 9% 3% 3%
15%
64% 32%
31% 43% 36% 19% 19% 20% 9% 23% 33% 12% 3% 13% 13% 13% 25% 9% 1% 80% 14% 5% 4% 9% 11% 5%
49% 29%
13%
0%
25%
50% % of respondents
75%
100%
When
analysing
the
results
based
on
marke7ng
budget
we
can
iden7fy
quite
clear
pamern
in
the
choice
of
answer.
The
higher
the
budget
the
more
the
web
trac
is
preferred,
probably
correla7ng
to
the
volume
of
trac
in
rela7on
to
the
size
of
the
company.
The
inbound
enquiries
are
preferred
as
we
look
towards
the
lower
end
of
the
budget
ranges.
Facebook
likes
are
spread
more
evenly
across
budgets.
200 SMS responses 500 re-tweets 50 inbound enquiries to your call-centre A 10% increase in brochure requests 500 Facebook Likes A 5% increase in trafc to your website homepage
9% 20% 19% 24% 11% 15% 11% 16% 19% 16% 12% 14% 17% 11%
17%
9% 8% 7% 8%
8% 2%
5%
Marketing Budget
$301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million +
17%
6% 30%
50%
11% 9%
51%
9% 5%
3% 3% 5%
0% 0% 7%
11%
70%
0%
25%
50%
75%
100%
Agree strongly
Agree
Disagree
32% 44% 51% 47% 51%
Disagree strongly
32% 32% 21% 26% 22% 15% 14% 4% 5%2% 11% 3% 8% 2%
Social media has generated us very little or zero return on investment (ROI) Social media has generated us direct bookings Social media has improved our engagement with consumers We have increased our investment in social media in the last 3 months We will be increasing our investment in social media over the next 3 months
0%
25%
50%
75%
100%
Social
media
has
generated
us
very
liple
or
zero
return
on
investment
(ROI)
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 0% 4% 0% 0% 0% 0% 5% 4% 6% 20% 18% 25% 28% 33% 14% 15% 24% 4% 13% 15% 31% 43% 23% 35% 29% 80% 31% 29% 23% 8% 41% 28% 32% 13% 13% 29% 38% 43% 33% 29% 35% 23% 14% 18% 19% 8% 35% 36% 21% 8% 15% 10%
0%
25%
50% % of respondents
75%
100%
DMCs and tourism boards reveal the most success in terms of direct bookings from social media with 78% agreeing with the statement. Airlines are also par7cularly posi7ve about this (62% of respondents agree to some degree). The sector where social has been least impacxul to direct bookings is the oine intermediary sector, OTAs and Other Accommoda7on. DMCs and tourism boards are again proving to be nding the best results with consumer engagement (82% agree to some degree). Meta-Search are not nding it is working as well for all of them (20% disagree) and OTAs 13% disagree. Hotel, Airline and Car Rental are repor7ng similar levels in aotudes towards social media and consumer engagement, predominantly posi7ve.
0%
25%
50% % of respondents
75%
100%
0%
25%
50% % of respondents
75%
100%
Disagree
27%
Disagree strongly
12% 29% 24% 3% 3% 7% 3% 3% 15% 29% 14% 7% 4%
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
38%
0%
25%
50% % of respondents
75%
100%
In the upcoming quarter, we expect further investment in social media by airlines and almost a quarter of respondents are strongly agreeing that they are planning an increase with an addi7onal 44% agreeing. The biggest propor7ons that agree to some extent are the Hotel, Cruise, DMC/tourism board and oine intermediary sectors. It seem more oine intermediaries are moving into this space over the next quarter in comparison to last, this can also be seen in the Tour Operator and Hotel sectors. Meta-Search are not expec7ng too much change except there is clearly some delibera7on as to the value as 40% have moved into the neutral ra7ng from posi7ve.
Yes
No
Don't know
We
will
be
increasing
our
investment
in
social
media
over
the
next
3
months
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 0% 0% 13% 22% 0% 0% 0% 0% 0% 14% 11% 17% 40% 49% 63% 51% 46% 40% 26% 21% 15% 10% 24% 38% 71% 59% 23% 23% 14% 12% 13% 20% 3% 4% 18% 55% 44% 46% 29% 14% 4% 1% 54% 23% 27% 19% 6% 7% 2%
6% 3% 3%
0%
25%
50% % of respondents
75%
100%
50%
46%
38%
40%
25%
13%
14%
0%
Al l t ra ve l c om
pa ni es
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 32% 40% 34% 38% 43% 0% 39% 44% 46% 43%
26%
57% 55% 43% 54% 60% 55% 42% 21% 11% 27% 18% 15% 14%
0%
25%
50% % of respondents
75%
100%
Hotel companies are evidently the most ac7ve in loca7on based marke7ng (60%) followed by DMCs/tourism boards (55%). There is not much dierence between the ac7vity across other sectors.
Mobile
Mobile
websites
are
slightly
more
developed
in
comparison
to
apps
to
date.
35%
of
all
respondents
currently
have
a
mobile
version
of
their
website
available,
61%
do
not.
24%
have
already
developed
a
mobile
applica7on
for
their
brand,
71%
have
not.
70%
61%
80%
71%
53%
60%
35%
35%
40%
18%
20%
24%
0%
4%
0%
5%
Yes
No
Don't know
Considering the results between dierent marke7ng budget ranges we can iden7fy a fairly clear clear trend showing a correla7on between size of marke7ng budget and investment in mobile websites. For example in the top marke7ng budget category 78% have a mobile version of their website available and 22% do not, against 15% of the companies with budget less than $25k who have a mobile website and 75% that do not.
Mobile Websites
Less than $25k $26k - $50k $50k - $100k $201k - $300k $301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million +
15% 32% 27% 38% 0% 0% 34% 0% 0% 0% 0% 35% 32% 41% 60% 75% 78% 28% 30% 50%
75% 63% 68% 58% 72% 60% 50% 63% 65% 68% 56% 41% 17% 22%
10% 5% 5% 4% 10% 3%
Marketing Budget
3% 8%
0%
25%
50%
75%
100%
% of respondents
Mobile
Applica.ons
In
terms
of
mobile
applica7ons
where
investment
is
lower
overall,
we
can
also
iden7fy
a
similar
trends
with
a
correla7on
to
marke7ng
budget.
67%
of
the
top
budget
range
have
invested
in
an
app
again
8%
of
the
lowest
budget.
This
is
unsurprising
but
a
conrma7on
nonetheless
about
the
priority
of
travel
companies
in
the
current
environment.
Yes
No
Don't know
8% 10% 24% 20% 11% 25% 28% 0% 22% 24% 0% 24% 38% 0% 48% 58% 67%
81% 87% 73% 76% 83% 70% 67% 78% 73% 76% 59% 52% 25% 30% 17%
11% 3% 3% 4% 6% 5% 6%
Makreting Budget
$301k - $400k $401k - $500k $501k - $750k $751k - $1 million $1.1 million - $2 million $2.1 million - $5 million $5.1 million - $10 million $10.1 million - $50 million $51 million - $100 million $101million + 0%
3%
3%
4%
25%
50%
75%
100%
% of respondents
Mobile
Website
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
0% 27% 29% 30% 44% 64% 71% 0% 0% 0% 0% 35% 44% 64% 48% 44% 50% 61% 52% 31% 55% 64% 56% 50% 4% 3% 6% 9% 9% 63% 46% 36% 6%
0%
25%
50%
75%
100%
Yes
No
Don't know
Mobile Applica.on
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
0% 0% 0% 0% 0% 0%
24% 55% 64% 22% 18% 24% 27% 21% 26% 19% 57% 71%
75% 46% 36% 78% 82% 71% 67% 79% 65% 9% 10% 43%
2%
5% 6%
0%
25%
50%
75%
100%
Performing an analysis by sector reveals that Car Rental are the biggest investors in mobile websites at the moment. 62% have a mobile website but Airline companies are reported to be higher investors in apps; 47% of the Airline sector have an app in comparison to 39% of Car Rental companies. Hotel companies are also rela7vely more ac7ve in the mobile space. 45% of Hotel companies report to have a mobile website available but they have put less amen7on towards mobile apps (26%). Online intermediaries have invested more in mobile apps against Hotel companies; Meta- Search report 40% of companies with apps and OTAs 28%. Tour Operators are the least ac7ve in the mobile space; 12% have a mobile website and 12% have an app. The Other Accommoda7on sector are also less developed in this area and report 23% with a mobile website and just 10% with an app. Cruise are also repor7ng smaller numbers with 29% having a website and 14% with an app.
Mobile
Website
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 21% 0% 20% 37% 79% 12% 38% 80% 60% 3% 0% 0% 29% 23% 59% 83% 59% 23% 50% 62% 71% 18% 5% 3% 45% 65% 47% 39% 51% 13% 3% 3%
0%
25%
50% % of respondents
75%
100%
Mobile Applica.on
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 0% 13% 0% 0% 14% 14% 12% 10%
6%
3%
0%
25%
50% % of respondents
75%
100%
For sales For marketing For customer Service For operations-related purposes e.g. check-in For information search
3%
7%
21%
29%
38%
4%
12%
31%
24%
30%
5%
11%
26%
26%
32%
4%
9%
17%
30%
41%
6%
10%
31%
24%
29%
0%
25%
50% % of respondents
75%
100%
How
important
has
the
mobile
channel
been
in
the
last
3
months
for
sales?
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 3% 3% 0% 13% 0% 0% 5% 3% 5% 7% 9% 40% 25% 21% 8% 42% 58% 4% 0% 3% 9% 8% 14% 9% 17% 19% 18% 29% 27% 32% 28% 60% 28% 7% 10% 15% 25% 26% 18% 54% 57% 41% 41% 39% 24% 31% 61% 35% 39%
33%
0%
25%
50% % of respondents
75%
100%
How
important
has
the
mobile
channel
been
in
the
last
3
months
for
markeOng?
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 5% 4% 0% 0% 0% 1% 6% 4% 0% 3% 12% 15% 14% 14% 12% 12% 20% 12% 17% 13% 39% 21% 12% 16% 12% 31% 29% 32% 29% 26% 40% 25% 46% 23% 24% 24% 40% 20% 19% 35% 36% 28% 61% 15% 54% 57% 32% 33% 32% 26% 20%
0%
25%
50% % of respondents
75%
100%
How
important
has
the
mobile
channel
been
in
the
last
3
months
for
customer
service?
Using
mobile
for
customer
service
is
rated
most
by
the
Airline
sector;
62%
rate
this
important
to
some
degree
and
21%
rate
not
important.
Im
comparison,
Meta-Search
do
not
nd
this
a
good
use
of
mobile
showing
80%
consider
this
unimportant.
DMCs/tourism
board
are
looking
to
mobile
for
this
use
more
than
many
other
sectors;
55%
rate
it
important
to
some
degree
and
23%
say
unimportant.
Cruise
again
do
not
see
the
value
of
mobile
in
customer
service,
71%
say
it
is
not
important.
OTAs
are
quite
divided
around
this;
40%
say
not
important,
24%
neither
important
nor
unimportant
and
36%
consider
it
important
to
some
degree.
Extremely important
Very important
Important
Not important
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
6% 3% 7% 9% 0% 8% 0% 5% 7% 3% 0% 3% 8% 6% 14%
9% 16% 21%
28% 26% 32% 38% 14% 32% 13% 27% 21% 24% 18% 15%
28%
21%
23% 32%
31% 17%
26% 33%
0%
25%
50% % of respondents
75%
100%
How
important
has
the
mobile
channel
been
in
the
last
3
months
for
operaOons-related
purposes
e.g.
check-in?
Opera7ons-related
purposes
are
reported
to
be
more
valued
by
the
Airline,
DMC/tourism
board
and
oine
intermediaries
based
on
the
smaller
propor7ons
ra7ng
this
unimportant.
This
is
the
use
that
Airline
companies
feel
more
strongly
about
and
21%
rate
this
extremely
important
with
a
further
39%
ra7ng
this
important
to
come
degree.
Apart
from
Car
Rental
which
report
39%
to
rate
this
important
to
some
degree,
most
other
remaining
sectors
are
siong
more
neutrally
ra7ng
neither
important
nor
unimportant.
This
excludes
Meta-Search
who
fully
rate
this
use
not
important
as
this
is
less
relevant
for
their
customer
lifecycle
than
other
travel
sectors.
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
4% 1% 5% 0% 5% 4% 3% 17% 23% 8% 31% 38% 0% 9% 16% 17% 8% 14% 14% 2% 6% 0% 3% 10% 21% 8% 14% 14% 16% 30% 100% 38% 33% 28% 47% 36% 36% 23% 19% 16% 21% 8% 71% 27% 18% 36% 71% 18% 54% 24% 38%
0%
25%
50% % of respondents
75%
100%
How
important
has
the
mobile
channel
been
in
the
last
3
months
for
informaOon
search?
Surprisingly
Meta-Search
do
not
view
mobile
as
an
important
channel
fro
informa7on
search
showing
80%
ra7ng
this
not
important;
20%
consider
it
important.
The
Airline
sector
is
looking
to
mobile
as
an
informa7on
tool;
just
15%
rate
this
not
important
and
71%
consider
this
important
to
some
degree.
Hotel
companies
also
value
mobile
for
informa7on
search
purposes
more
than
other
sectors
repor7ng
55%
that
consider
it
important
to
some
degree.
This
is
the
use
that
Cruise
are
looking
towards
the
most
but
s7ll
only
14%
are
ra7ng
this.
OTAs
are
fairly
divided
again;
32%
do
not
rate
this
important,
28%
are
neutral
and
40%
feel
it
is
important
to
some
degree.
Overall,
the
Hotel
sector
show
rela7vely
consistent
results
across
all
poten7al
uses
of
mobile
but
slightly
lower
ra7ngs
for
sales
and
opera7ons
related
purposes.
Other
Accommoda7on
do
not
report
much
varia7on
between
uses
for
the
small
propor7on
who
consider
any
importance
at
all.
Airline
companies
favour
informa7on
search,
customer
service
and
opera7ons
related
purposes
slightly
more
than
sales
and
marke7ng.
Whilst
other
data
in
the
survey
has
indicated
a
compara7vely
higher
level
of
ac7vity
in
mobile
by
the
Car
Rental
sector,
there
is
quite
a
high
propor7on
within
all
poten7al
uses
that
rate
it
unimportant.
However,
this
sector
is
edging
on
sales
and
customer
services
as
a
more
valuable
purpose
of
mobile.
Cruise
as
men7oned
are
not
looking
hugely
towards
mobile
but
out
of
all
uses
they
favour
informa7on
search.
DMCs/tourism
boards
sit
rela7vely
evenly
across
all
categories
but
rate
customer
service
slightly
more
than
other
uses.
The
Tour
Operator
sector
are
also
quite
consistent
across
categories
but
the
weight
is
towards
customer
service.
OTAs,
although
not
enormously
varied,
are
ra7ng
more
on
marke7ng
and
informa7on
search
a
limle
more
than
other
purposes.
Meta-Search
are
more
denite
repor7ng
marke7ng
and
informa7on
search
to
be
the
most
valued
use
for
this
sector,
but
as
men7oned
there
are
a
large
propor7on
who
are
not
ra7ng
any
use
at
all.
Oine
intermediaries
appear
more
interested
in
the
mobile
channel
in
rela7on
to
other
sectors
than
some
of
the
tradi7onal
online
ques7ons
in
the
survey.
For
this
sector,
customer
service
and
informa7on
search
are
more
important.
Extremely important
Very important
Important
Not important
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 0% 0%
7%
40%
24% 61% 35% 15% 15% 46% 43% 18% 25% 28% 80% 32% 32% 32%
21%
9% 8%
15%
5% 7% 4%
9%
9% 20%
8% 13%
11% 4%
28% 33%
25%
0%
25%
50% % of respondents
75%
100%
Extremely important
Very important
Important
Not important
How
important
has
the
mobile
channel
been
in
the
last
3
months
for
sales?
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
0% 7% 0% 9% 0% 0%5% 3% 3% 0% 3% 0%4% 7% 0% 14% 7% 9% 7% 5% 9% 26% 44% 86% 21% 23% 49% 35% 17% 27% 18% 33% 36% 29% 33% 18% 33% 50% 38% 35% 39% 35% 25% 21% 25% 45% 18% 36% 33% 46% 27%
0%
25%
50% % of respondents
75%
100%
How
important
has
the
mobile
channel
been
in
the
last
3
months
for
informaOon
search?
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
5% 0% 10% 18% 18% 0% 0% 6% 9% 0% 3% 4% 9% 0% 9% 12% 57% 11% 18% 10% 7% 24% 39% 34% 18% 31% 31% 42% 26% 17% 29% 27% 44% 27% 24% 28% 21% 45% 18% 9% 22% 36% 29% 26% 30% 22% 29% 14% 27% 18% 27% 22% 37% 18%
0%
25%
50% % of respondents
75%
100%
How
important
has
the
mobile
channel
been
in
the
last
3
months
for
operaOons-related
purposes
e.g.
check-in?
Extremely important Very important Important Neither important nor unimportant Not important
United Kingdom Germany France Italy Spain Global United States Australia China India Brazil
5% 0% 0% 0% 0%5% 4% 5% 0% 9%
6%
10% 27%
27% 36% 18% 22% 18% 33% 68% 30% 35% 42%
4% 4% 10% 0%
35% 22%
0%
25%
50% % of respondents
75%
100%
Brazil are the most dominant country who do not nd mobile valuable for opera7ons-related purposes, 71% rate this not important and the remaining 29% are neutral. India are the most posi7ve about mobile for this purpose out of all countries and 55% have rated it with some degree of importance. The next most posi7ve country is France but a fair way behind India with a total of 36% ra7ng some degree of importance. The UK and US are rela7vely similar in aotudes, as is Italy. China are very unsure about the value of mobile in this category and 44% chose neither important nor unimportant. Customer service is favoured the most amongst respondents from India with just 12% selec7ng not important. The majority of the remaining respondents from this market rate customer service purposes important to some degree, including 14% ra7ng extremely important. Although not overall in comparison to India but France stands out as the most posi7ve about this category with 27% ra7ng this extremely important. There is a higher propor7on (27%) that feel it is not important however. The UK and Spain reveal similar pamerns with almost half of respondents not ra7ng this use, a quarter neutral and the rest ra7ng it important to some degree. Germany and Italy report similar responses with approximately half ra7ng some importance. The US are less keen on this use as are Australia, and Australia report par7cularly low ra7ngs with 18% choosing some level of importance.
How
important
has
the
mobile
channel
been
in
the
last
3
months
for
customer
service?
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
3% 0% 13% 18% 27% 0% 0%5% 5% 3% 7% 3% 3% 4% 9% 14% 0% 14% 20% 14% 29% 12% 30% 11% 26% 42% 30% 44% 43% 11% 27% 26% 33% 23% 26% 33% 15% 27% 27% 9% 33% 46% 32% 33% 39% 26% 10% 12% 24% 36% 9% 27% 22% 45% 18%
0%
25%
50% % of respondents
75%
100%
How
important
has
the
mobile
channel
been
in
the
last
3
months
for
markeOng?
Extremely important Very important Important Neither important nor unimportant Not important
United Kingdom Germany France Italy Spain Global United States Australia China India Brazil
0% 0% 0% 0%
22% 36%
22% 27% 27% 44% 9% 22% 23% 31% 24% 32% 58% 52% 17% 42% 12% 29%
40% 18% 27% 22% 41% 30% 27% 36% 22% 22% 14%
27%
30%
57%
0%
25%
50% % of respondents
75%
100%
Mobile as a marke7ng channel is more popular across most markets. India put quite a lot of weight towards marke7ng with 12% choosing extremely important and overall 66% ra7ng it with some importance, nevertheless France includes 36% who rate this very important and a total of 63% feel it is important to some degree. The UK and Spain include higher propor7on that so not nd mobile marke7ng important, 40% and 41% respec7vely. Australia appear very unclear with 58% sta7ng neither important not unimportant. Brazil have denitely recognised some value and 57% of respondents from that market have selected important. In summary, the UK is rela7vely consistent with ra7ngs across dierent uses of mobile, yet sightly weighted towards informa7on search and marke7ng. Germany more clearly rate informa7on search, customer service and marke7ng against sales and opera7ons related purposes. France are the most posi7ve market overall but customer service and marke7ng certainly top their list of priori7es. Italy are recognising more value in informa7on search and marke7ng. Spain denitely do not rate sales and opera7ons related purposes as the most important use of mobile, customer service, informa7on search and marke7ng have signicantly higher importance. The US report rela7vely consistent ra7ngs across categories but place more emphasis on informa7on search par7cularly but also marke7ng. Australia, seemingly less keen on mobile in comparison to other markets, highlight informa7on search as their most valued use and clearly have not certain found value in mobile for marke7ng. China rate mobile as a marke7ng channel more than the other categories and in contrast do not nd mobile important for opera7ons related purposes. India are one of the most posi7ve markets around mobile overall and rela7vely consistent across categories but amongst the choices they par7cularly favour mobile for marke7ng and customer service, however top the ra7ngs for sales amongst all countries. Brazil display very dened preferences; sales and opera7ons related purposes are not hot for Brazil respondents but informa7on search and marke7ng are, less so for customer service.
Agree strongly
Agree
Disagree
Disagree strongly
Mobile has generated us very little or zero return on investment (ROI) Mobile has generated us direct bookings Mobile has improved our engagement with consumers We have increased our investment in mobile in the last 3 months We will be increasing our investment in mobile over the next 3 months
6%
23%
47%
17%
6%
5%
27%
43%
17%
8%
6%
32%
45%
12%
6%
6%
28%
38%
19%
9%
12%
37%
34%
11%
6%
0%
25%
50%
75%
100%
0%
25%
50% % of respondents
75%
100%
Agree strongly
Agree
Disagree
Disagree strongly
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
0%
6%
51% 27% 27% 44% 36% 36% 43% 52% 49% 48% 41% 57% 27% 43%
9%
13% 9%
9%
0% 0% 5% 5% 5% 3% 0% 0% 5% 0% 0%
33%
9% 8% 7% 3% 13%
20%
7%
0%
25%
50% % of respondents
75%
100%
United Kingdom Germany France Italy Spain Global United States Australia China India Brazil
5% 0% 0% 9% 0% 0% 11% 5% 0% 6% 7% 0% 4% 0% 8% 0% 0%
22% 36% 36% 67% 46% 32% 29% 24% 48% 46% 43%
12%
8% 9%
9% 22% 46%
9%
0%
25%
50% % of respondents
75%
100%
United Kingdom Germany France Italy Spain Global United States Australia China India Brazil
21% 9% 9% 33% 32% 38% 35% 19% 15% 18% 17% 42% 17% 43% 18%
13% 9% 9%
5% 9% 9% 3% 4% 5% 14%
0%
25%
50% % of respondents
75%
100%
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
0% 3% 4% 0% 0%
13% 0% 0% 9% 27%
39% 45% 27% 44% 27% 32% 37% 39% 36% 30% 42% 48% 32% 43% 29%
10%
8%
0% 11%
12% 11%
14%
39% 14%
10% 14%
5%
0%
25%
50% % of respondents
75%
100%
Agree
Disagree
23%
Disagree strongly
7% 6% 6% 12% 23% 14% 9% 3% 6%
15%
0%
25%
50% % of respondents
75%
100%
Hotel Other accommodation Airline Car Rental Cruise DMC / tourism board Tour operator Online Travel Agent (OTA) Meta-search Other online intermediary "Offline" intermediary / Retail
29% 58% 44% 46% 43% 32% 39% 30% 40% 40% 42% 31%
5%
8% 29%
0%
25%
50% % of respondents
75%
100%
Agree strongly
Agree
Disagree
Disagree strongly
12% 13% 3% 9%
3%
0%
25%
50% % of respondents
75%
100%
Hotel Other
accommodation Airline Car
Rental Cruise DMC
/
tourism
board Tour
operator Online
Travel
Agent
(OTA) Meta-search Other
online
intermediary "Offline"
intermediary
/
Retail
0% 0% 0% 0% 0% 0%
34% 39% 41% 46% 57% 36% 44% 31% 20% 18% 13% 38% 58% 32%
4%
8%
18% 7% 6%
4% 6%
5%
6%
0%
25%
50% % of respondents
75%
100%
5% 23%
9%
3% 10% 9%
0%
25%
50% % of respondents
75%
100%
Website
design
Paid
search
engine
listings
Online
display
advertising Email
marketing
Social
media Mobile Offline
marketing
21% 48% 33% 42% 43%
36% 7% 9% 13% 9%
3%1% 2% 5% 7%
0%
25%
50%
75%
100%
United Kingdom Germany France Italy Spain Global United States Australia China India Brazil
70% 91%
22%
6% 2% 9%
36% 33% 41% 36% 39% 52% 44% 39% 43% 4% 2% 3% 2% 11% 5% 5%
3% 1% 2% 3% 3% 1%
0%
25%
50% % of respondents
75%
100%
Increasing
Reducing
Don't know
Oine
Marke.ng
Oine
marke7ng
plans
are
changing
remarkably
in
Spain
with
major
reduc7ons
planned
or
not
budgets
allocated
at
all.
Only
27%
plan
an
increase.
Brazil,
India,
China
and
Australia
reveal
the
largest
propor7ons
planning
an
increase
in
this
medium.
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
0% 0% 0% 0% 0%
13% 18% 9% 36% 56% 9% 21% 17% 30% 44% 41% 43% 18%
25% 9%
12% 9% 18%
3%
33% 23% 40% 38% 36% 30% 39% 43% 19% 12% 36% 18% 19% 15% 22% 12% 13%
0%
25%
50% % of respondents
75%
100%
Mobile
Germany
and
France
are
expec7ng
the
most
increases
in
mobile
investment
for
the
next
quarter,
73%
and
64%
respec7vely.
Germany
are
looking
to
be
the
most
ac7ve
market
in
terms
of
mobile.
Italy
are
expec7ng
the
least
investment
in
the
next
3
months,
followed
by
Australia.
Brazil
and
India
are
also
intending
to
make
some
developments
in
the
upcoming
quarter
because
77%
of
respondents
from
India
and
86%
from
Brazil
either
plan
to
increase
or
keep
the
same
investments.
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
0% 0% 0% 36% 35% 0% 0% 0% 0% 0% 36%
18%
6%
13%
9% 11%
36% 48% 47% 27% 30% 47% 43% 30% 43% 9% 23% 19% 3% 3% 21% 27%
18% 17%
9% 10% 11% 9%
17% 5% 10%
9% 7% 14%
0%
25%
50% % of respondents
75%
100%
Increasing
Reducing
Don't know
Social
Media
In
term
of
social
media,
Germany
is
again
proving
to
be
the
most
ac7ve
in
the
upcoming
quarter;
all
respondents
intend
to
either
increase
or
keep
the
same
budgets
for
this
with
73%
planning
an
increase.
Brazil
shows
a
similar
pamern
with
71%
planning
an
increase.
Italy
is
showing
the
least
and
Australia
following.
The
other
markets
are
not
too
dissimilar
to
each
other.
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
0% 0% 0% 0% 44% 52% 0% 0% 0% 0% 0%
61% 73% 73% 56% 55% 61% 64% 33% 52% 61% 71% 22%
24%
4%
4%
9% 11% 5% 5% 5%
2% 4% 5% 1% 6% 2% 9% 6% 4%
31% 29%
2% 5% 2%
0%
25%
50% % of respondents
75%
100%
Email
Marke.ng
Email
marke7ng
is
rela7vely
consistent
across
countries.
Italy
are
planning
the
least
investments
and
Brazil
the
most.
United Kingdom Germany France Italy Spain Global United States Australia China India Brazil
39% 0% 0% 0% 11% 36% 42% 40% 0% 0% 0% 0% 0% 43% 44% 51% 52% 27% 27% 56% 41% 55% 64%
51%
3% 3% 5% 9% 9% 11% 9% 22% 9% 5% 9%
5% 4% 5% 3% 4% 6% 3% 3% 9% 7% 4% 5%
0%
25%
50% % of respondents
75%
100%
Increasing
Reducing
Don't know
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
0% 14% 0% 0% 0% 9% 22% 27%
37%
10%
18% 9%
6% 9% 9% 11% 5% 7% 7% 6% 4% 9% 7% 14% 3%
9%
12%
0%
25%
50% % of respondents
75%
100%
United
Kingdom Germany France Italy Spain Global United
States Australia China India Brazil
0% 0% 0% 35% 0% 0% 0% 36% 36% 33%
43%
34% 64% 27% 22% 22% 46% 36% 35% 52% 52% 36% 6% 18%
10%
9%
3%
9% 22% 5% 7% 9% 14% 3% 4%
9%
5%
5% 5% 4% 9%
4%
4%
49% 71%
36%
7% 29%
5% 3%
0%
25%
50% % of respondents
75%
100%
&
SecOon
14:
Biggest
Opportuni.es
Iden.ed
What
respondents
feel
they
and
their
teams
have
learnt
most
over
the
last
year
The
industry
is
learning
by
the
day
to
improve
their
distribu7on
and
marke7ng
strategies
and
enhance
the
eciency
in
sales
and
marke7ng
as
the
markets
consistently
change
and
new
opportuni7es
emerge.
Below
we
illustrate
some
of
the
key
areas
that
respondents
feel
theyve
learn
over
the
last
12
months.
Social
is
a
key
theme
and
a
large
propor7on
of
the
travel
industry
are
now
certainly
taking
this
medium
extremely
seriously
as
part
of
their
business
objec7ves.
Online
marke7ng
has
denitely
been
an
area
of
improvement
overall.
What
the
industry
feels
the
next
new
thing
in
travel
distribu(on
and
marke(ng
is
Echoing
the
above
results,
the
next
new
thing
is
expect
to
be
mobile.
It
is
clearly
the
most
dominant
theme
amongst
all
respondents.
Social
is
s7ll
there
and
certainly
not
considered
old
hat!
But
mobile
is
really
expected
to
be
growing
in
signicance
for
travel
companies
across
the
globe.
Loca7on
based
marke7ng,
social
media,
mobile
apps
perhaps
the
next
core
theme
will
towards
integra7on.
whats next?!
Find out in the next edi,on of the Travel Distribu,on & Marke,ng Barometer