PhoCusWright study commissioned by Travelport identifies new consumer demands and changes in corporate booking behaviour.
LANGLEY – Travelport, a leading distribution services and e-commerce provider for the global travel industry, releases new research into the European managed travel sector. Findings from the PhoCusWright study reveal European growth, tighter use of corporate policy and significant changes in consumer behaviour.
The research concludes that austerity measures are here long-term as corporations drive for higher levels of compliance, enforcing a reduction in premium class travel and utilising preferred suppliers.
A new breed of consumers are emerging, demanding more online access to travel bookings. This younger generation of corporate travellers are increasingly using mobile technology to shop, look, amend and book on the move. Mobile bookings are expected to gain traction in 2013 and beyond.
The research confirms growth in European managed travel:
- Total European travel sector grew to 218 billion euros, up 3.9%
- Managed European travel sector climbed to 38.9 billion euros, up 4.4%
- By 2014, Europe’s total travel sector is projected to reach 230 billion euros
- For online TMCs, bookings are expected to increase by 16% in 2013 and by 13% in 2014.
Against a backdrop of austerity, European low cost carriers are expanding their networks while some full-service carriers are contracting. Rail, with often comparatively lower cost fares, has also benefited, capturing 50%+ share from air for journeys up to 3.5 hours.
“A growing demand for managed travel, mobile booking capability and a closer eye on corporate spend brings opportunity for the GDS,” commented Leonidas Zotos, Country Manager Greece, Cyprus & Israel.
“Our recent launch of Travelport Merchandising Platform enables travellers to compare and book low cost carriers and traditional carriers in a single screen and using the same booking processes for the first time. Eurostar content is also included and is attracting a high volume of corporate bookers.”
“These insights endorse Travelport’s view that mobile technology continues to grow in importance for travellers. To meet this, we’ll be continuing to enhance our Travelport ViewTrip Mobile tool which allows travellers to update travel plans on the move.”
European Managed Travel: Market Forces Fuel Innovation and Opportunity
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She holds a Bachelor's degree in Communication & Mass Media from Panteion University of Political & Social Studies of Athens and she has been editor and editor-in-chief in various economic magazines and newspapers.
