Travel marketers are focusing more on the mobile channel and personalization, according to Euromonitor International online travel analyst Angelo Rossini, via Tnooz.
In his recent analysis, Rossini states that the mobile channel accounted for approximately 15 percent of all global online travel sales in 2014, solidifying its relevance in the travel industry.
Personalization is also a key focus area for marketers, Rossini said. It is being used to "increase conversions and offer a better consumer experience, which will become a key competitive factor in the next few years."
Of course, companies that excel in both marketing practices figure to be extremely successful in 2015 and beyond.
TripAdvisor's new Instant Booking Tool, for example, "has the potential to be especially disruptive" in the travel marketplace, according to Rossini. Instant Booking Tool is essentially a cross between a metasearch engine and an online travel agency (OTA).
It is owned by the merchant (hotel or OTA), but bookings are ultimately made on TripAdvisor.com. This means that both the merchant and TripAdvisor gain access to the traveler's personal information, allowing them to target the traveler during a trip as well as set up future trips via personalization.
Such a business model could eventually be adopted by major companies such as Google and Facebook, Rossini adds. Don't expect OTAs to be happy about it, though, as they could lose business if it drives online sales for direct travel suppliers such as hotels.
It's also no coincidence that major global online retailers, Amazon and Alibaba, have decided to enter the travel space. As Rossini notes, travel is the largest category for e-commerce globally, and it's about time two companies with substantial online marketing skills took aim at the industry. Alibaba, which launched at the end of 2014, is challenging Ctrip and Qunar in the all-important Chinese market, while the upcoming Amazon Travel will look to take business away from major sites such as Booking.com and Expedia.
Ctrip and Qunar, of course, are currently leading the way when it comes to the Chinese online travel market. A whopping 50 percent of Ctrip's sales came via the mobile channel in 2014. The mobile channel accounted for 40 percent of Qunar's sales.
Travel companies that are already successful in the online marketplace know that it's not just about tailoring offers to potential customers in real time-you need to follow travelers throughout their trip. Expect more companies to catch on to this moving forward, Rossini notes.
Apps have become increasingly important in driving business recently. A well-designed app will offer detailed flight and hotel check-in information, immediate customer support and the ability to make additional bookings on the fly, among other things. Online retailers that create an app (or partner with an app) that provides a seamless travel experience have the potential to capture a great deal of the market.
Companies that provide dependable mobile travel assistants (including those that respond to voice commands) also figure to be successful. This is especially true when it comes to securing bookings of in-destination tourist services, which figures to boost the growth of the online travel marketplace in the next few years, according to Rossini.
There is a lot of business to be had out there on the World Wide Web, but only the most savvy travel companies will command the marketplace.
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