phocuswright research & executive roundtable: experience this! · global travel market share by...
TRANSCRIPT
![Page 1: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/1.jpg)
Phocuswright Research & Executive Roundtable:Experience This!
Alice Jong, Phocuswright Inc.
![Page 2: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/2.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.Source: Phocuswright Inc.
![Page 3: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/3.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
Global Travel Market Share by Segment, 2018
Note: Other segments include car rental, cruise and package tour operators in select markets.Source: PhocalPoint; Tours & Activities Come of Age: Global Travel Activities Marketplace 2014-2020;Private Accommodation in Europe 2010-2020; U.S. Online Travel Overview 2018 and estimates
31% Hotels
35% Airlines
![Page 4: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/4.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
Global Travel Market Share by Segment, 2018
Note: Other includes car rental, cruise and package tour operators in select markets.Source: PhocalPoint; Tours & Activities Come of Age: Global Travel Activities Marketplace 2014-2020; Private Accommodation in Europe: 2010-2020; U.S. Online Travel Overview 2018 and estimates
8% Other
9% Rail
10% Activities
7% Private accommodation
31% Hotels
35% Airlines
![Page 5: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/5.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
The Realm of Travel Activities
Source: Experiences Marketplace: Market Opportunity and Consumer Behavior for Experiential Travel
![Page 6: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/6.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.Base: European Activity Providers (N=701)Source: Experiences Marketplace: Market Opportunity and Consumer Behavior for Experiential Travel
72% A segment of small businesses
of providers average less than $250k in annual gross bookings
![Page 7: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/7.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.Base: European Activity Providers (N=701)Source: Experiences Marketplace: Market Opportunity and Consumer Behavior for Experiential Travel
of providers spend less than $5K on technology annually.
60%
![Page 8: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/8.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
Online growth has accelerated
![Page 9: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/9.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
1. Traveler Comfort With Online Travel
![Page 10: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/10.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
80%of European travelers shop for travel online
Base: European Travelers: France (N=989); Germany (N=985); U.K. (N=956) Source: European Traveler Technology Survey 2017
![Page 11: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/11.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
0%
20%
40%
60%
80%
Always online Usually online Both online and offline
2014 2016 2018
Typical Leisure Travel Booking MethodEuropean Travelers, 2014-2018
Base: U.K., German and French travelers 2014 (N=3,461); 2016 (N=3,158); 2018 (N=3,144)Source: European Consumer Travel Report 2018
![Page 12: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/12.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
2. Providers Onboard With Online
![Page 13: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/13.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.Base: European Activity Providers (N=701)Source: Experiences Marketplace: Market Opportunity and Consumer Behavior for Experiential Travel
want to increase sales with online travel sites/distributors
want to increase bookings directly with customers
78% 72%2019 Top Business Priorities
European Activity Providers, 2018
![Page 14: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/14.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
64%53%
24% 27%
Desktop site Mobile site
Have it already Plan to in the next year
Have Live Booking Enabled WebsitesEuropean Activity Providers, 2018
Base: European Activity Providers (N=701)Source: Experiences Marketplace: Market Opportunity and Consumer Behavior for Experiential Travel
![Page 15: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/15.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
0% 20% 40% 60% 80% 100%
In person
Traditional travel agent
Tour operator or DMC
Phone or email
Online direct
OTA or online seller
Expect Distribution Channel IncreaseEuropean Activity Providers, 2018
Base: European Activity Providers who distribute on respective channelSource: Experiences Marketplace: Market Opportunity and Consumer Behavior for Experiential Travel
Online
Offline
![Page 16: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/16.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
3. Reservation Tech Adoption Surging
![Page 17: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/17.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
27%Plan to in
the next year
26%No plans/
Unsure
47%Have it already
Third-Party Reservation System Implementation
Base: European Activity Providers (N=701)Source: Experiences Marketplace: Market Opportunity and Consumer Behavior for Experiential Travel
![Page 18: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/18.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
4. The Mobile Story
![Page 19: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/19.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
Travel Activities Mobile Research vs. Booking European Travelers, 2018
Base: Smartphone owners (France=867; Germany=987; U.K.=845)Source: European Consumer Travel Report: 2018
0%
10%
20%
30%
40%
50%
France Germany U.K.
Research/Shopping Booking
![Page 20: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/20.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
Mobile Research & Shopping, by SegmentEuropean Travelers, 2018
Base: Smartphone owners (France=867; Germany=987; U.K.=845)Source: European Consumer Travel Report: 2018
0%
10%
20%
30%
40%
50%
Research & Shopping Booking
HotelActivities
Flight
Hotel Activities
Flight
![Page 21: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/21.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
Mobile Use While in DestinationEuropean Travelers, 2018
Base: European Smartphone Owners (N=2,700); French (N=867); German (N=987); U.K. (N=846) Source: European Consumer Travel Report 2018
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%
Make restaurant reservations
Book activities or attractions
General research (e.g., transportation, weather)
Use a map
Research activities or attractions
![Page 22: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/22.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
5. Acquisitions and Investments
![Page 23: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/23.jpg)
© 2019 Phocuswright Inc. All Rights Reserved.
Making Headlines in 2018
Source: Experience Marketplace: Market Opportunity and Consumer Behavior for Experiential Travel
![Page 24: Phocuswright Research & Executive Roundtable: Experience This! · Global Travel Market Share by Segment, 2018. Note: Other segments include car rental, cruise and package tour operators](https://reader034.vdocument.in/reader034/viewer/2022042621/5f5da8ff55724532ff3eeae4/html5/thumbnails/24.jpg)
Please Welcome Our Panelists