PlanetEye
Travel Beyond Words
October 1st, 2008
Six Online Travel Myths
- Mark Evans
- Director, Community
An important part of being part of the online travel business is keeping a careful eye on what’s happening – the new startups, interesting trends, industry statistics, news, etc.
An item that caught my attention recently was some research by PhocusWright looking at six myths about the online travel industry.
#1: The number of online travel buyers in the U.S. is declining. According to PhocusWright, approximately 70% of online travelers bought travel online last year, compared to 63% in 2006.
#2 An increasing number of online travel shoppers use supplier sites than online travel agencies. In terms of popularity, online travel agencies are making a comeback.
#3 Travel agencies are experiencing a resurgence as travelers return to traditional purchasing channels. Not so. In reality, even many formerly exclusive offline buyers are migrating online for travel shopping and buying.
#4 The next generation of travelers prefers to do everything online. The reality is less half of what the 18 to 28-year-old demographic spend on travel is spent online.
#5 Social networks and travel reviews have the greatest influence on travel decision-making. While social media is widespread, destination Web sites and online travel agencies are favored by nearly 50% of next generation travelers during the travel shopping process.
#6 Online travel markets need high credit card and Internet penetration to succeed. Not true. For example, in the fast-growing Indian travel market, 98% of the population does not use credit cards or have access to the Internet.
Technorati Tags: phocuswright, travel
2 Responses to “Six Online Travel Myths”
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October 2nd, 2008 at 5:12 am
There certainly seems to be a lot of conflicting and contrasting views on the online travel industry. Was not aware of Number 6 mentioned above so thanks for that.
October 2nd, 2008 at 9:40 am
Go Streets Maps,
#6 struck me as interesting as well given it’s not something people have talked about much. Putting aside the “myths”, what’s most encouraging is the market is seeing healthy growth. We’re particularly excited about the travel planning sector is emerging as a key part of the online travel ecosystem.
Mark