What is online travel? | Online market studies
The online market studies is the research of online travel marketers who have analysed and tracked online sales and traffic in travel related products, services, online retail, travel websites and online travel communities.
The data shows that the online travel market is a lucrative industry, especially for those who can afford it.
According to data released by TripAdvisor in 2016, online travel is one of the fastest growing segments of the travel industry with growth rates exceeding 1.5 per cent per year.
While the average annual revenue per visitor is just Rs 12, it is expected to go up to Rs 25,000 by 2021, according to a TripAdviser report released in January 2018.
This growth rate is higher than that of any other category.
TripAdvisor’s data showed that the average visitor spends Rs 1,000-2,000 per trip on online travel services, with around a third of this spending going towards accommodation and food.
In 2016, around 90 per cent of the total travel spent was spent on accommodation and travel.
Travellers who are spending over Rs 5,000 on accommodation will benefit from a low cost, high quality accommodation option, which also includes a choice of breakfast and lunch at the resort, the company said.
The online travel industry is booming, with more and more companies providing online travel platforms like Airbnb, Gumtree, and Amazon, which are used by tourists for their vacation packages.
However, online shopping has not caught on, with the market shrinking by 2.5-3 per cent in 2017.
The rise of online shopping, combined with the rise in travel booking, is expected continue as the online market is growing.
According the TripAdvisors data, online spending grew to Rs 1.4 lakh crore in 2016.
In 2021, this will increase to Rs 3.5 lakh crore, as more travelers choose online travel as an alternative to staying in hotels.
This growth is due to a number of factors including rising prices, increased choice and ease of use, and the ease of booking online.
It is estimated that the industry is expected grow at 7 per cent a year in 2021.