The global online travel market continues to expand, and several predictions can be made with regard to its nearest future:
Asia-Pacific will become the largest region by online travel sales, overtaking North America
China, India, Indonesia and other emerging markets across Asia are showing exponential growth in online travel sales, leading to the prediction that Asia-Pacific will soon take the place of North America as the world’s largest online travel market. Online travel sales in Southeast Asia alone are projected to quadruple until 2025, while in the USA the growth rates are gradually falling below the 10% mark.
Mobile will take a larger share of online travel sales
The importance of the mobile channel for the online travel market is rising. On the global scale, mobile travel bookings are expanding at double-digit rates. The millennial generation especially is starting to use mobile apps to make travel bookings, and other generations are not far behind. In the USA, more than half of online travel bookers are expected to use smartphones and tablets to make travel reservations in 2016.
Peer-to-peer platforms to grow faster than online travel agencies
Peer-to-peer platforms for accommodation and ride sharing have gained popularity among travelers and investors over the past several years. Among the P2P platforms, Airbnb has managed to become the fourth largest online travel company worldwide by gross bookings in 2015 and one of the most visited online travel websites in 2016. Overall, total revenues of accommodation sharing platforms are forecasted to grow rapidly for the next three years, outpacing transport sharing platforms and online travel agencies.
For more predictions and data, see our report “Global Online Travel Market 2016”.