Source: Morgan Stanley, Global Internet Trends, April 12, 2010

Mobile and Tablet will overtake PC users by 2014

2

Mobile commerce no longer early adopter, it’s mainstream

Source: ROI Research & Microsoft study, March 2011

• 53% look for deals and coupons

• 52% read user reviews on device

• 69% check on order info

• 52% share product information with others

40% of consumers using mobile to purchase products

3

Mobile bookers spend $3,861 annually - $1,300 more than non-users (representing $170 Billion)

Source: PhoCusWright 2010 Traveler Technology Survey

Total Online Travelers (103MM)

Check-in, check itineraries

(42%)

Intend to book on mobile phone (35%)

• 58% of smart phone travelers interact with travel companies

• 42% plan to check-in

• 35% intend to book travel, up +16% YOY

US Travel Mobile Market Opportunity

Travel category is poster-child for mobile commerce

4

Location-based functionality and time-sensitive offerings drive purchase

Source: Travelocity Survey, March 2011, n= 1,253

Check-in, check itineraries (42%)

Intend to book mobile phone (35% or 36MM)

2011 US Mobile Booking Survey

Booked Travel

Hotels 83%

Flights 48%

Car Rentals 31% Vacation Packages 9% Other 4%

• 65+% of mobile users are booking hotels same day

• 39% of all travelers will research travel on their phones

• Majority using search, maps and more for just-in-time itineraries

5

Consumers shifting purchases in-trip

Design product solutions for core targets

Total ‘Online Traveler’ Population

Pragmatic Under 40s

Anytime, AnyplaceUnder 30s

Primary •Younger (under-30)•Less brand loyal •Device agnostic •UGC important•Deals and social features

Secondary•Under 40•Pragmatic and time constrained•Expect highly relevant experiences

Source: Internal Qualitative Groups May & June 2011, PhoCusWright 2010 Traveler Technology Survey

Target Segments younger, affluent, less brand loyal

Source: Amadeus U.S Air Travel Survey, April 2011, n =1,000 Age 18-34

Heavy consumers leaning towards Apps

8

Dream & Discover

Shop & Book

Share & Play

Social media & user generated content are must-have experiences to engage shoppers

Source: PhoCusWright 2010 Traveler Technology Survey

• 48% of travelers post on social media

• 32% are influenced by social reviews

• 20% solicit tips and advice on social networks

• 19% are fans of travel companies

• 13% use social networks to shop for travel

Social media core to purchase

9

Marketing Tips

• SEM and SEO are fragmented and under-optimized, play to win

• Mobile media vehicles still evolving, don’t despair!

• Your obvious assets can be the biggest drivers of App downloads

• Combat high App churn by extending product relevancy