eMarketer Webinar: Digital Travel Outlook

©2012 eMarketer Inc.

eMarketer Digital Travel Outlook What the Digital Revolution Means for Travel MarketersPresented by:

Dan MarcecAnalyst

eMarketer, Inc.

Twitter Hashtag:#eMtravel


Inside today’s webinar

US Travel Forecast and Digital Trends

Online travel sales

Mobile & smartphone growth

US social network usage

US digital ad spending

Worldwide Digital Trends and Their Effect on Travel

Digital media usage – audio and video

Twitter – #eMtravel


US Travel Forecast

and Digital Trends


The travel industry’s “look-to-book” conundrum


Number of online researchers and bookers growing


5:4 ratio of online travel researchers to bookers

115 million travel researchers in 2011

Source: eMarketer

94 million travel bookers

Source: eMarketer


Looking or booking? Or both?

“Look-to-Book” Ratio =

4,500:1?Source: Pegasus Solutions

This eye-popping number reflects the amount of travel research conducted online, not the ratio of shoppers to buyers.


US online travel research in 2011:

115M researchers

94M bookers

5:45:4


Overall US online shopping in 2011

178M shoppers

143M buyers


While travel researchers spend a lot of time shopping before they book, the ratio of shoppers to buyers mirrors general ecommerce.

5:45:4


Online travel sales forecast


Online travel sales growth is maturing


Mobile trends

73 million smartphone researchers

by 2016

36 million smartphone bookers by 2016


Mobile travel planning explodes

4.5x growth!



Getting social

65% of travel marketers to

increase social budget in 2012

Source: Frommer’s Unlimited and Tnooz


Social networking hits its stride

Half the US population are social

users


Social media is a highly mobile activity

One-third of the population will access social on their

smartphones

Two-thirds of smartphone users will access social on

their devices



Social media can inspire purchase


The mobile traveler


Source: comScore

Males use more mobile

travel content

35% earn $100K+

46% have a bachelor’s degree or

higher

Gen X & Y use mobile

the most for travel

content


Local is the next phase of mobile marketing


Digital Media — What’s Next?


Broadcast on the “big” screen


Dominate the “small” screen

77 million smartphone video viewers in 2016


Smartphone video for travel content


What about audio?

80 million smartphone music listeners in 2016

Source: eMarketer

“15- or 30-second auto-play videos while people are pausing, changing

stations or skipping songs, have tremendous—almost 90%—

completion rates”— Heidi Browning, SVP Strategic Solutions, Pandora


Advertising trends


Spending uptick for most online formats

Search = +$9.5B

Online Video = 5x growth


US leisure travel online ad spendingwill more than double over 5 years


Leisure travel has less than 10% share of US online ad spending



Global Trends


Smartphone users by region

Nearly 75% penetration in South Korea and Japan

UK smartphone users have highest

adoption among Western countries


Global growth of social

Brazil, Indonesia and Russia social users are more

than 85% of internet users

China has 300 million social

users, more than double the US

India and Indonesia showing most rapid growth – more than 50%


Why eMarketer?


More Than 4,000 Sources Vetted for Accuracy and Relevance

Research CompaniesResearch Companies AssociationsAssociations Consulting OrganizationsConsulting Organizations Government Agencies Government Agencies All Major Media OutletsAll Major Media Outlets

Research CompaniesResearch Companies AssociationsAssociations Consulting OrganizationsConsulting Organizations Government Agencies Government Agencies All Major Media OutletsAll Major Media Outlets


eMarketer’s Process

Charts & Infographics | Forecasts | ReportsArticles | Interviews


Travel-Focused Research Reports


Contextualizing online market trendsfor travel marketers

“The phrase ‘couch potato’ might better be ‘couch octopus,’

as a consumer works the TV remote, updates a social network page via tablet

and responds to a smartphone text message,

all more or less at once.”

Mark DolliverDemographics Analyst, eMarketer


Lessons for Travel Marketers

“Travel marketers using mobile media can’t assume

their audience is always on the go.”

Dan MarcecTravel Analyst, eMarketer


eMarketer’s Total Access


Q&A Session

eMarketer Digital Travel Outlook

Dan Marcec

US Leisure Travel: Digital Ad Spending Forecast and Key Trends

Social Media for Travel Marketers: Cultivating Conversation to Capture Customer Sentiment

US Online Travel Sales and Booking Forecast: Mobile Offers Opportunities to Shift Share in a Mature Market

Online Travel Search: Attracting Lookers and Catching Bookers

Learn more about digital advertising with an eMarketer corporate subscription

To learn more: www.emarketer.com/products

800-405-0844 or [email protected]

Over 120 reports are published each year. The following are a few recent ones relating to travel: