High Time to Upgrade Your Travel Activity Business with Marketplace
The travel industry tends to engrossed in what is happening in hotels and flight booking but in recent past, it’s the activities which has inspired the travelers to visit various locations across the globe.
The aggregate spending on tours and activities is around US$135 billion globally in 2016 and accounts for 10% of global travel revenue. Travel activities are a 3rd largest segment in the travel industry, remained in the shadow of tourism and hospitality industry.High demand travel activities among travelers have opened opportunities for broader travel marketplace. The travel agencies or guides need to come out of Stone Age and come into the digital world for travel activity business as more than half of tours and activities suppliers generate less than $250,000 annual revenue. As, business is still mostly manual, and more than 80% of gross bookings are made offline
Here are few stats describing the dynamic segment for upgrading travel activity business.
· The size and composition of the global travel activity marketplace, with regional division and forecasts through 2020
- Online tours and attraction gross bookings will more than double from $9 billion in 2015 to $21 billion in 2020. And suppliers need to be ready: online and on mobile. (Phocuswright, 2017).
- The high increase in investment for travel activities. This includes more than 90 online resellers, 42 P2P marketplaces, and over 20 B2B reservation software startups. (Phocuswright, 2017).
- Tour and activity suppliers have “growing online sales” as there number one priority.