Publication Summary

If there was a recession in Asia Pacific (APAC), some of the region's railways may not know about it. While gross bookings of APAC's airline and hotel segments fell in 2009, gross ticket revenues for APAC railways grew slightly over the same period.

The role of rail varies greatly across the region, with rail penetration higher in markets with high population density such as India, China and Japan. Although online rail bookings are increasing, a range of market complexities continue to inhibit online growth, and offline channels will dominate through 2012.

PhoCusWright's Asia Pacific Online Travel Overview Fourth Edition: Rail provides a detailed analysis of the rail market and online distribution in APAC, with historical market sizing and forecasting through 2012. The report covers the following:

• Asia Pacific total rail market and online leisure/unmanaged business travel passenger revenues for 2008-2012
• Channel segmentation for online travel agencies (OTAs) and rail websites, and analysis of inhibitors to intermediary distribution
• In-depth analysis for Australia/New Zealand, China, India, Japan and Singapore
• Aggregate analysis for Hong Kong, Indonesia, Macau, Malaysia, South Korea, Taiwan and Thailand

Asia Pacific Travel Market Overview
To put the airline-specific trends in perspective, this report includes a comprehensive overview of the total APAC travel market. The "Overview" chapter includes market sizing and projections for the APAC region through 2012, including breakouts for major travel segments, supplier versus intermediary online distribution trends and country-level analysis. Regional market sizing is based in U.S. dollars (US$) and converted from local currencies at the average rate for the period represented.

The market sizing and projections for Japan in PhoCusWright's Asia Pacific Online Travel Overview Fourth Edition have been built upon market data collected before March 2011. PhoCusWright will provide an update on Japan for research subscribers and report purchasers (at no additional charge) in the second half of 2011, including updated market size and forecasts for Japan and Asia Pacific as a whole.

Purchase PhoCusWright's Asia Pacific Online Travel Overview Fourth Edition: Rail to gain a comprehensive understanding of overall and country-specific trends impacting rail distribution and online penetration growth in the APAC region.

Table of Contents

24 Pages

Market Overview
Introduction: Asia Rising
Key Findings
One Region, Many Different Markets
Segment Overview: Air, Hotel, Rail and Car
Online Surges Ahead
APAC Online Travel by Segment
Online Intermediaries vs. Supplier Websites
Methodology

Rail: Growth on Track
Key Findings
Introduction
Online Bookings: Steady Does It

LIST OF TABLES

Real GDP Growth by Region

Total Travel Market Gross Bookings (US$B) by Region and Growth (%), 2008-2010

Asia Pacific Total Travel Market Gross Bookings, Share by Country (%), 2008 vs. 2012

Asia Pacific Total Travel Market Gross Bookings by Segment (US$B), 2008-2012

Asia Pacific Travel Market Gross Booking, Growth by Segment (%), 2009-2012

Asia Pacific Online Leisure/Unmanaged Business Travel Gross Bookings (US$B), Growth and Online Penetration (%), 2008-2012

Asia Pacific Total and Online Leisure/Unmanaged Business Travel Gross Bookings (US$B), by Country and Online Penetration (%), 2009

Asia Pacific Online Leisure/Unmanaged Business Travel Gross Bookings, Growth by Country (%), 2009-2012

Asia Pacific Online Leisure/Unmanaged Business Travel Gross Bookings Share by Country (%), 2008 vs. 2012

Asia Pacific Online Leisure/Unmanaged Business Travel Gross Bookings, Share by Segment (%), 2008 vs. 2012

Asia Pacific Online Leisure/Unmanaged Business Travel Gross Bookings (US$B) and Share (%) by Online Channel, 2008-2012

Asia Pacific Online Leisure/Unmanaged Business Travel Gross Bookings, Growth by Channel (%), 2009-2012

Asia Pacific Rail Total Gross Bookings by Country (US$B), 2008-2012

Asia Pacific Rail Total Gross Bookings, Growth by Country (%), 2009-2012

Asia Pacific Rail Total Gross Bookings, Share by Country (%), 2009-2012

Asia Pacific Rail Total and Online Leisure/Unmanaged Business Travel Gross Bookings (US$B), Online Penetration and Growth (%), 2008-2012

Asia Pacific Rail Online Leisure/Unmanaged Business Travel Gross Bookings, Share by Country (%) 2009 vs. 2012

Asia Pacific Rail Online Leisure/Unmanaged Business Travel, Growth by Country (%), 2009-2012

Asia Pacific Rail Online Leisure/Unmanaged Business Travel Gross Bookings (US$B) by Channel and as Share of Segment (%), 2008-2012

Methodology

PhoCusWright's Asia Pacific Online Travel Overview Fourth Edition presents market sizing and projections for the total and online leisure and unmanaged business travel markets from 2008-2012. The total travel market reflects the aggregate gross travel bookings of Asia Pacific-based travel suppliers, including airlines, hotels, car rental companies and railways, as well as online travel agencies operating in the region.

Figures for 2008-2009 are based on actual company results. Market sizing for 2010-2012 are projections. Estimates and projections are for gross bookings - the retail value of travel sold over the Internet - after cancellations. Figures for airlines are based on flown (passenger) revenue. Hotel figures are based on room revenue. Figures for car rental are based on rental revenue. Figures for rail are based on passenger ticket revenue. All figures have been adjusted to reflect the calendar year and may differ from actual data reported by companies. Totals may not always equal 100% due to rounding.

This report covers 13 APAC countries: Australia, China, Hong Kong, India, Indonesia, Japan, Macau, Malaysia, New Zealand, Singapore, South Korea, Taiwan and Thailand. PhoCusWright has chosen these countries based on the maturity of their online travel markets. The six markets with the largest market share - China, India, Japan, Singapore and Australia and New Zealand (the latter two addressed as a common market) - are addressed in detail. The remaining seven markets are treated as APAC-7. Supplier revenues are attributed to the market where the company is based or headquartered. For example, 100% of Singapore Airlines' passenger revenue is attributed to Singapore.

Both leisure and unmanaged business travel services are included in the online travel market size and forecast figures. Unless otherwise indicated, all online gross bookings and share figures refer to leisure/unmanaged business travel. Unmanaged business travel refers to all air, car, and hotel expenses associated with business travel in firms that do not have a travel policy dictating the channel, type of travel, supplier, or fare/rate uses. Corporate online booking systems such as Sabre's GetThere and Amadeus' e-Travel are excluded from this analysis. This report does include corporate travel bookings in the total travel market figures and in the total revenues for each segment, but does not directly address the size and dynamics of the corporate travel market except to the extent that it shapes key trends affecting the size and development of the total and online travel markets. Some corporate bookings made through leisure channels, such as OTAs and supplier websites, may be included in the online totals because of the difficulty of distinguishing these bookings from leisure sales.

PhoCusWright defines online travel as travel services that are paid for online. Travel that is researched online but booked offline using telephone numbers provided on the websites is, wherever possible, excluded from online gross bookings figures. This methodology has resulted in a reduction in the size of the online travel market in China from PhoCusWright's Asia Pacific Online Travel Overview Third Edition, 2009, which included offline bookings from OTAs in China.

PhoCusWright builds its estimates and forecasts from discussions with more than 50 travel executives across APAC regarding their companies' Internet sales, marketing and technology investments, challenges, strategies, and expectations. Their responses have been vetted and aggregated to determine market size for supplier websites and OTAs. PhoCusWright also considers historical growth and economic trends when developing its forecasts and reviews data from public filings of listed companies, government statistics, and select third-party data sources.

Regional market sizing is based in U.S. dollars (US$) and converted from local currencies at the average rate for the period represented. Country chapters include both local currency and U.S. dollar conversion. References to the "travel market" are understood to cover the total travel market, and "traditional travel agency" refers to principally offline travel agencies. "Online penetration" denotes the percentage of people shopping and buying travel online, while "Internet penetration" denotes the percentage of people with Internet access.

Note regarding Japan and March 11, 2011 earthquake: The market sizing and projections for Japan in PhoCusWright's Asia Pacific Online Travel Overview Fourth Edition have been built upon market data collected before March 2011. The devastating earthquake and resulting tsunami that occurred on March 11, 2011 have already had a dramatic effect upon the Japanese travel and tourism industry. While it is too early to determine the full impact of this disaster, a significant decline in market size across all segments of the travel industry in Japan is almost certain for 2011. Japan is also the largest travel market - and online travel market - in Asia Pacific, and the effects of this disaster are already making an impact across the region and around the world. PhoCusWright will provide an update on Japan for research subscribers and report purchasers in the second half of 2011, including updated market size and forecasts for Japan and Asia Pacific as a whole.