Content delivery Look what technology can bring
and there is a level of personalisation already. “[In future] you will see different levels
of offer [when] you perform a search, even if you are a new customer. Combine that with the database and a certain degree of personalisation [and] the easier and quicker you will find what you want.” Benati says: “At present, prepaid baggage
and advance seat selection are the only real ancillary options being offered by OTAs. We are only at the beginning [of this]. Amadeus’ Live Travel Space will help us service content and personalisation – and deliver content that is relevant through any source.”
Market differences This future will not arrive everywhere simultaneously. Benati says: “Western Europe is one of the most mature markets, [but] it is wrong to consider Europe as one market, because every country is different, and there are big differences. “Some are due to infrastructure
weaknesses, for example in Spain and Italy, some due to cultural differences. “The online market in Spain slowed a lot due
to the recession of 2010-11. Italy is still very slow [as an online market]. There are still 9,000 travel agencies in Italy and a lack of a strong online agency. Many people still don’t have credit cards, especially south of Rome. Also, it is a very fragmented market. Italy has 40,000 hotel properties, 97% still family-owned. “It is difficult to build anything relevant online in Italy. Just the big four OTAs –
Booking.com, Expedia,
lastminute.com and
eDreams – account for 95% of the OTA market in Italy, while OTAs account for about 33% of the online market across Europe,” Benati says, quoting Phocuswright figures. In most markets in Europe other than Italy, she adds: “There is still a big local [OTA] player.” Mobile has opened a new chapter, she
says, suggesting mobile now accounts for 25% of online travel transactions across Europe – chiefly rail, air and accommodation. The UK leads in online travel transactions,
partly because it is the only country with multiple rail operators. Benati says: “The UK is special when it comes to rail. In Spain, France and Italy there is only one big rail company which has had no reason to push online until recently. But in the UK, the rail market is more advanced in terms of technology.” She points out: “The top-five major OTAs
in Europe include [UK train ticket retailer] Trainline, after
Booking.com, Expedia, eDreams and Lastminute.” Benati adds: “Commodity products are easily booked by mobile. We expect growth in mobile travel bookings of 12%-14% a year in Europe over the next four years.” But she notes: “There is still an important
split between the device used in booking phases and the device used in research phases. Consumers are still booking travel 60% via desktop. Mobile is used when making bookings in a destination. “Beyond booking, mobile use is expanding
A MAJORITY of UK travellers aged 25-54 buy holiday accommodation online, but not yet half in any other major market (Figure 34).
quickly – for everything from research to sharing. Mobile has a lot of traction for everything related to the travel experience.”�
%
10 20 30 40 50 60
0
FIGURE 34: ONLINE PURCHASE OF HOLIDAY ACCOMMODATION: 2017 By age
53% 44% 38% 33% 19%17% 18% 15% 10% Age 16-24 25-34 35-44 30 | Travel Weekly Europe Report 2018 13% 45-54 9% 55-64 34% 31% 43% 33% 28% 37% 29% 27% 20% 22% 12% 6% 65-74 18% 12% 2%
Base: All adults Source: Eurostat
33% 55% 53% 48% EU
Germany France
UK Italy
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48
