Over the predicted time period, the digital travel market is expected to advance at a CAGR of 15%. (2022 to 2032). From USD 400 billion in 2022, experts predict that the digital travel market is expected to expand to USD 1,618 billion by 2032.
| Attributes | Details |
|---|---|
| Digital travel Market (2022) | USD 400 Billion |
| Digital travel Market (2032) | USD 1,618 Billion |
| Digital travel Market CAGR (2022 to 2032) | 15% |
The popularity of the internet has led to a rise in the need for digital travel market and its ancillaries. The major driving factors of the demand for digital travel could be distinguished as:
One of the major trends as seen in the digital travel market and corroborated by numbers is the mobile vs desktop use for travel related services. Currently, mobile devices account for 55% of all online traffic and are the preferred method of accessing travel-related websites.
Despite this, mobile sales account for only 44% of all online sales, and 85.2% of all mobile browser sessions are abandoned. As a result, it appears that mobile devices are used more for window shopping than actual purchases.
For this reason, travel ecommerce sites should consider this stage of the customer experience and provide tools to aid in making the final purchase choice. Email marketing, such as browse abandonment emails and email personalization, are only two of the many ways to notice an improvement in conversion rates.
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The most important tech innovations that are leaving a mark in the travel industry are:
Mobile Applications: Aside from being a convenient tool for communication, the cell phone has also taken on the role of tour guide, travel agent, finest restaurant finder, map, and more. It sticks with us throughout the entire buying process. In fact, 45% of smartphone users completely rely on their devices for all vacation-related tasks, as reported by TripAdvisor.
It has become important for businesses to make their services and communications suitable for mobile devices. The airline KLM, for instance, has already set up a Facebook Messenger-based passenger information service.
After a booking has been completed, this system is expected to notify the passenger via Facebook Messenger of any changes to their flight, send them their boarding pass, or provide them with flight status updates. There is no need for the user to download any additional software because they are likely to have all the information, they need regarding their journey in the palm of their hand using an app they are already familiar with.
Internet of Things (IoT): The travel industry stands to gain greatly from the innovations the IoT is sure to bring. Among these are Internet-connected sensors built into everyday objects like automobiles, bags, and even entire structures.
In some cases, guests at Virgin Hotels can use an app to adjust the temperature or switch channels on the in-room television. To prevent misplacement of luggage at the airport or elsewhere, some bags come equipped with tracking devices that can be monitored remotely via a mobile phone.
Virtual Assistants: Virtual assistants tailored to the hospitality industry are now here, and hotels are beginning to recruit their "help." Watson Assistant, IBM's new artificial intelligence-powered virtual assistant, was just released.
This is the type of freely available technology that any business can use. This manner, the hotel can give the virtual assistant any name it likes instead of using the moniker "Watson."
5G: With the support of 5G networks, transportation technology can reach new heights. They guarantee increased upload and download speeds, a larger service area, and a more reliable connection. In addition to being able to download content twenty times quicker than before, 5G paves the way for the deployment of technologies that were previously impossible on 4G networks. That implies there will be more connectivity between smart gadgets, and we may start to experience the benefits of the Internet of Things (IoT).
Tourists will soon be able to become the main characters of their own adventures thanks to the rise of immersive tourism. Plus, 360-degree videos and other forms of augmented reality (AR) will be easier to find and use.
Rating and Reviewing: In particular, digital travel and tourism-oriented social media platforms like Facebook, Yelp, TripAdvisor, and travel websites enable customers to quickly and easily share their ideas, allowing hotels and tour operators to gain a deeper understanding of their guests' wants and needs.
These technological aids encourage establishments to focus on excellence in order to attract and retain customers and to increase their legitimacy by means of testimonials from those patronising their services. Plus, it's a trustworthy resource that can be used as a reference when making a final decision about a specific travel service or product. Nonetheless, the goal of this movement is improved customer service, not higher profits for tourism-related enterprises. This is changing the digital travel market outlook.
The adoption of digital travel is gaining traction as the digital travel domain across the world is basking with a slew of new customer friendly initiatives that are cementing their base in the extremely competitive travel and hospitality sector.
In addition to this, the demand for digital travel is on the rise in the last few years as a greater number of travellers are taking the digital path to reach their coveted tourist destinations.
The digital revolution has opened several new corridors for tourists who are eager to set sail into the unknown and created numerous digital travel market opportunities as online travel platforms have empowered consumers as well as hoteliers.
A large pool of information and the chance of understanding the contenders are some of the significant factors that are impacting the digital travel market size, where the digital travel market accounts for 6% to 9% of the total tourism market.
The emergence of the android market and a massive boost in the number of mobile-friendly consumers are significantly impacting the demand for digital travel and the demography of the tourism industry around the world.
The digital travel market trends are set by the modern breed of travellers as they cling into their mobiles for all travel related activities, whether it is flight booking or hotel booking travellers, etc.
The online platforms or digital travel space is filled with latest offers and packages to lure maximum travellers, in turn, skyrocketing the adoption of digital travel.
Moreover, the demand for digital travel is rising as customers are queuing in on digital travel platforms to avail some extremely happening offers.
The digital travel canvas is populated with several in-depth reviews and blogs on travel destinations and facilities that are extremely helpful for tourists, boosting the digital travel market growth.
Apart from these, the social media platforms also sway the digital travel adoption trends to an extent as a traveller’s group on social media or a Facebook page of a luxury hotel can feed in some key information to budding travellers.
The digital drive has immensely changed the face of the industry and paved a new way of growth for stakeholders, expanding the digital travel market share.
Moreover, digitisation has multiplied the digital travel market growth and benefitted it in many ways.
The digital boom has equipped a massive population of travellers with apps and user-friendly systems that have tattered the conventional set rules of the travel industry.
The digital travel market is flooded with several tourism and hospitality friendly apps that have helped redefine the service quality of the hotel and airline industry and also affected their annual revenues.
Advanced cloud computing technology has simplified the entire travel experience of a tourist, in turn, fuelling the adoption of digital travel in many parts of the world.
Moreover, travel companies today can preserve crucial data related to customer behaviour and can use this to offer enhanced customer experiences, positively influencing the digital travel market outlook.
Several hotel chains and tourism companies are doing every bit to ride the digital growth wave and capture a sizeable digital travel market share.
They are using tailor-made apps, customer friendly software and a plethora of digital processes to enhance customer experience, catering to the demand for digital travel.
A glut of travel blogs, pictures and other first-hand accounts of surfers are motivating new travellers and it is impacting the digital travel market trends and forecast to a considerable extent.
Though the concept of digital travel has earned ample accolades in the last few years, there are some hurdles that are likely to muzzle its potential growth going forward.
The underdeveloped travel and tourism sector in different parts of the world and a massive population of elderly citizens is creating a vacuum in the digital travel sector.
Further, the surge of digital travel and digital travel market statistics are dwindled by several natural and manmade disasters that have occurred in the last few years.
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The digital travel sector is populated by several customer-friendly apps that are extremely useful for tourists and business insiders.
Platforms such as travelpod.com, flickr.com, technocrati.com, 43places.com, and tripmates.com are some of the frequently used sites by tourists and service providers.
Expedia Group, Inc., Ebury Partners UK Ltd, Fareportal Inc., Hostelworld.com Limited, Hurb Co S/A, HRS, MakeMyTrip Ltd., Oracle Corporation, Priceline (Booking Holdings Inc.), SABS Travel Technologies, Tavisca Solutions Pvt. Ltd., Thomas Cook India Ltd., travelomatix.com, Trip.com Group, Tripadvisor, Inc., and WEX Inc. are some of the best players in the market.
The players in the travel industry are expanding their penetration in the digital mode. One of the recent developments in digital travel market could be the launch of Travel + Liesure Co.launches online booking platform.
| Report Attribute | Details |
|---|---|
| Growth Rate | CAGR of 15% from 2022 to 2032 |
| Base Year for Estimation | 2021 |
| Historical Data | 2014 to 2020 |
| Forecast Period | 2022 to 2032 |
| Quantitative Units | Revenue in USD Million, Volume in Kilotons and CAGR from 2022 to2032 |
| Report Coverage | Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends and Pricing Analysis |
| Segments Covered | Tour Type, Consumer Orientation, Tourist Type, Age Group, Region |
| Regions Covered | North America; Latin America; Europe; East Asia; South Asia; Oceania; Middle East and Africa |
| Key Countries Profiled | USA, Canada, Brazil, Argentina, Germany, UK, France, Spain, Italy, Nordics, BENELUX, Australia & New Zealand, China, India, ASEAN, GCC, South Africa |
| Key Companies Profiled | Expedia Group, Inc.; Ebury Partners UK Ltd; Fareportal Inc.; Hostelworld.com Limited; Hurb Co S/A; HRS; MakeMyTrip Ltd.; Oracle Corporation; Priceline (Booking Holdings Inc.); SABS Travel Technologies; Tavisca Solutions Pvt. Ltd.; Thomas Cook India Ltd.; travelomatix.com; Trip.com Group; Tripadvisor, Inc.; WEX Inc. |
| Customization | Available Upon Request |
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The global digital travel market likely to advance at a CAGR of 15% from 2022 to 2032.
APAC is anticipated to hold a digital travel market share of 33%.
The digital travel market is likely to account for USD 1,618 billion by 2032.
1. Executive Summary 2. Market Overview 3. Market Background 4. Global Market Analysis 2017 to 2021 and Forecast, 2022 to 2032 5. Global Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Portal Type 5.1. Cloud Based 5.2. Web Based 6. Global Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By End User 6.1. Tour Operators 6.2. Individual Tourists 7. Global Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Region 7.1. North America 7.2. Latin America 7.3. Europe 7.4. East Asia 7.5. South Asia & Pacific 7.6. MEA 8. North America Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 9. Latin America Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 10. Europe Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 11. East Asia Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 12. South Asia & Pacific Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 13. MEA Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 14. Key Countries Market Analysis 15. Market Structure Analysis 16. Competition Analysis 16.1. travelpod.com 16.2. flickr.com 16.3. technocrati.com 16.4. tripmates.com 16.5. Booking.com 16.6. Kiwi.com 17. Assumptions & Acronyms Used 18. Research Methodology
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