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Hotels: on the path to attribute-based prosperity or calamity?
May 2022Hotels have long struggled to capitalize on room rates. The old selling model, which relies on simplistic sorting factors, leaves lots of potential revenue on the table by not customizing options for each unique guest. Enter: the attribute-based selling model (ABS). A new take on inventory and product bundling, ABS has the potential to improve search and data organization and optimize premium...
Short-term rentals: the difference between U.S. and Europe
May 2022Travelers in the U.S. and Europe have embraced rentals as a lodging option that affords safety as well as privacy, with many opting for smaller cities and non-urban destinations. Demand is through the roof and a niche no more. But what are the distinguishing features between these sets of consumers? Here’s what travel companies need to know about U.S. and European consumers when it comes to the...
Lodging Tax Compliance: Reducing Risk and Streamlining Efficiency
May 2022Every room rental, meal or ancillary retail transaction will typically involve some formof tax, or at least, an accounting of the exemption from such tax. For something soperpetual and pervasive, it is surprising that hotel operators across the spectrum –from the quaintest inns to the most opulent ultra-luxury properties – continually findthe processes associated with managing sales and use taxes...
Quiz: How well do you know the European short-term renter?
May 2022Short-term rentals have carved out their position as a mainstream option for travelers booking accommodation during their trips. How well do you think you know the European short-term renter? Take this quiz to find out, plus learn some new insights about consumer booking behavior and preferences.
Target beware: Not all SPACs are created equal
April 2022While SPACs with deep travel market expertise and a commitment to long-term growth offer a compelling value proposition, there are wide variations in SPAC quality, and overall, the category has underperformed. In some cases, sponsors and hedge funds, sometimes called the SPAC mafia (you can't make this stuff up), have reaped big rewards while leaving retail investors holding the bag. As the risks of...
Looking ahead to a sustainable, peer-to-peer car rental segment
April 2022There has been increased conversation on the future of sustainable tourism across the travel industry, and within car rental, the future of sustainable fleets. Some key steps have been taken toward incorporating greener options. Avis and Enterprise have both expressed intention to grow within their EV strategies, though they remain in more preliminary phases of their plans. Enterprise has rolled out...
1 thing to know about each major European market in 1 minute
April 2022Slowly but surely, the European travel market began to mount its recovery in 2021. After dipping to just 64% of its 2019 size in 2020, gross bookings climbed a projected 31% in 2021. Each major European market is undergoing developments that point to a cautious but optimistic recovery in 2022, with projected double-digit gains for the next several years. Here’s one thing to know about each major...
The difference between touchless and frictionless travel
April 2022While touchless interactions have eliminated the need for travelers to physically put their hands on a publicly used surface, touchless solutions still often require the traveler to drive the process through their smartphone. Depending on the complexity of that effort, the experience may be touchless but certainly not frictionless. True frictionless travel eliminates the use of all credentials, and...
What’s next for the U.S. airline market?
March 2022Airlines have ambitious goals for 2022 and beyond. They need to invest heavily in technology, reach sustainability goals and invest in partnership to offer more connected routes. Representing 37% of U.S. travel market gross bookings, here’s what’s next for U.S. airlines in the coming years.
Three key developments in the U.S. OTA market
March 2022OTAs delivered $65.2 billion in gross bookings in 2021, reaching 82% of pre-pandemic levels (2019).
Hotel and lodging represents 51% of all U.S. travel gross bookings
March 2022In 2022 and beyond, the industry should benefit from an increase in business and international travel, as well as groups and meetings demand. Phocuswright projects 2022 gross bookings to rise another 18%.
By 2023, hotel supplier-direct will again surpass OTAs
March 2022After experiencing a rebirth in 2021, OTAs gained more than half of hotel online sales in 2021. However, the supplier-direct channel was able to capitalize on certain marketing and loyalty campaigns to gain back share.
The 7 biggest tech trends influencing travel in 2022
March 2022Each year, Phocuswright's expert analysts identify the technology and innovation trends that will influence travel significantly in the years to come. These seven trends reveal a dramatic acceleration in digital change that has taken hold in the travel industry.
The most used booking platforms for short-term rentals and what makes them attractive
February 2022Travelers associate more familiar short-term rental (STR) brands with a better product offering and performance - either due to inherent strengths or due to the brand halo. However, streamlined search capabilities and a good user interface are still very important to accommodation shoppers. Nearly two thirds of STR users give priority to instantly bookable properties when searching. Here are the...
Myth-busting the new digital nomad
February 2022The demographics of the New Nomad population illustrate that many of the previously held assumptions about digital nomads are outdated. The population's age distribution, education level, employment status and income paint a very different picture of the nomadic travel trend.
10 things you might not know about the travel startup landscape in 1 minute
February 2022Recently, investors have backed more transactional startups than other business models. Funding to payments, SaaS/PaaS and fintech horizontals is on the rise. Here's 10 things you might not know.
Top drivers of conversion for short-term renters
February 2022When travelers decide to book a short-term rental (STR), they are often choosing among multiple properties. What makes a property stand out? The character of STRs is a key draw, and many STR users actively seek out properties with an interesting look and feel. Here are the top considerations and drivers of conversion for short-term renters.
These regions lead in innovation and startups
February 2022Here’s where travel startups are being founded and a breakdown of where innovation is thriving by region - in less than 3 minutes.
5 things to know about European attitudes on sustainability
February 2022Many Europeans have strong opinions on which travel behaviors they are willing to adapt or reduce. If sustainable options are well priced, Europeans would consider implementing those alternatives. Here are 5 things to know about their attitudes toward sustainability.
Business travel decimated, yet funding to startups explodes
January 2022Covid-19 decimated business travel, but the longer-term impact of the pandemic on the future of work has the potential to permanently rewrite the rules for corporate travel – and for the way startups in this space raise capital and operate. A vertical that has raised over $2.6B in funding since 2010, corporate travel startups are poised to see growth in 2022 and beyond.
1 in 3 travel startups are lodging-centric
January 2022Led by an acceleration of short-term rental startups, highlighting the consumer opportunities and related B2B technology and distribution needs of the segment, Lodging startups have collectively raised $12.4B since 2010.
The Critical Role of Independent Distribution in the U.S. Travel Industry
January 2022The U.S. travel sector has been badly affected by the COVID-19 crisis, although there are encouraging signs of a rapid recovery. Gross revenue is rallying and full recovery to 2019 levels is expected within the next several years.
Latin America travel market poised to hit $62.1B revenue by 2024
January 2022In the LatAm travel market, uncertainty is still present and travel companies must keep an observant position to see what happens in the coming months. However, with the new year upon us, the worst is behind the Latin America travel market. Here’s a complete overview of the LatAm market, with projections for 2022 in gross bookings, booking and channel data, a breakdown of country-specific data,...
Travel Tech: Creating Value and Driving Recovery
January 2022Return to 2019 revenue levels and growth is expected by 2025, as the recovery of the sector will be steady but slow. Given their key role in connecting buyers with sellers, travel intermediaries will play a significant role in this process.
7 gaps between AI proof vs. promise
January 2022The vision of completely automated, personalized processes using AI remains perfectly valid, but the reality of today's AI technology reflects a field that is still very much in the emerging stage. All AI initiatives should focus on enhancing human services, not just replacing them, and account for current limitations while planning for the future capabilities of AI technology.
Understand the startup landscape with these 10 findings
December 2021Phocuswright's latest analysis of the travel startup landscape reveals unique trends, problems and solutions that new entrants face in today's industry. The story of funding, acquisitions, favored verticals and founding geographies portray an evolving industry that companies of all segments and stages should pay attention to.
Everything you need to know about short-term rentals
December 2021New Phocuswright research explores how travelers view the strengths and weaknesses of hotels and short-term rentals, how they decide where to stay, and how providers across lodging categories can better cater to consumer demand.
Gender Equity in Travel 2021 - A Phocuswright and PhocusWire Webinar
December 2021Download the research deck and watch the event video.
The rapid growth of online travel in 5 charts
December 2021The theme of rapid digitization has caused a jump in online penetration. Here are 5 charts in 3 minutes that explain the growth.
SPACs and the future of travel investing
November 2021In the fourth quarter of 2020, the travel industry witnessed a frenzy of businesses planning to go public via special purpose acquisition companies (SPACs).
The decentralized computing future of travel
November 2021From a broad perspective, decentralized computing - and especially the implementation of smart contracts - brings a new level of transparency to the travel industry.
Travel still tops the priority list for U.K. consumers
November 2021For U.K. consumers, travel remains coveted, even in a tumultuous year when it was often unattainable.
10 things to know about the short-term rental traveler
October 2021Ahead of the publication of Phocuswright's fifth comprehensive research study on the short-term rental segment, here are 10 things to know about the short-term rental traveler, including who they are, their unique perspectives and lodging consideration sets.
Where Gen Z likes to travel and stay
October 2021Understanding Gen Z's unique spend patterns, planning preferences, travel interests and trip types allows companies to adapt their approach to this audience accordingly. Discover where they like to travel and stay.
Big tech regulation and travel
October 2021Calls to regulate Big Tech players including Alphabet (Google), Apple, Facebook and Amazon - as well as Chinese powerhouses like Alibaba and Tencent - have grown continually louder, especially after last week's hours-long outage of Facebook products, including global communication tool WhatsApp and Instagram. The current regulatory frenzy could impact the travel industry in several ways.
7 in 10 travelers prioritize flexible booking
October 2021Buying travel that has lenient cancellation, rebooking or refund policies is considered more important now than in pre-COVID days. However, most feel the burden should fall to travel companies. Travel companies are expected to maintain high standards of service, including in their policies regarding trip changes.
Travel expected vs. booked
September 2021As the world continues to navigate the pandemic, leisure travel is still sought after and valued by a plurality of travelers with age demographics playing a significant role in how travelers will proceed. Here’s a snapshot of consumer travel products expected in 2021 vs. booked in 2019/2020.
Rebuilding growth is a priority, but so too is reviving SE Asia's pre-pandemic dynamism
September 2021In the immediate future, a regional travel recovery will hinge on the interplay of three factors: the trajectory of the Delta variant, speed of national vaccination programs and shifts in government border policies. In August 2021, Singapore signaled its intention to gradually ease border restrictions with selected 'low-risk' countries. Other governments in the region are expected follow its lead...
5 APAC market developments to know
September 2021Strong brands, superior customer experience, increased suppliers' reliance on intermediaries, customers' inclination to use OTAs, and traditional agency business transition to online channels acted as a tailwind for OTAs growth. Here are 5 developments to keep your eye on.
5 key developments in the Russia travel market
September 2021Whether using online or offline distribution channels, Russians are rediscovering the tourism gems that their homeland offers, despite the pandemic restrictions. These types of in-country trips will fuel revenue increases for Russia's airlines, hotels, railways and tour operators in 2021. Here are 5 key trends and developments in the Russia travel market.
3 key behaviors of Gen Z travelers
September 2021Gen Z (born 1997-2003) is the youngest generation to come of age and contribute to overall travel spend. In contrast to their predecessors, these younger travelers are digital natives with an intuitive knack for all technologies that will help them reach their goals. Their booking behaviors align with their generational desires for flexibility and budget-consciousness.
OTAs vs. Supplier-direct bookings in Eastern Europe
August 2021While case counts fluctuate in mid-2021 and vaccine hesitancy persists, regional and domestic travel are the main lifeline for the industry. Recovery is taking foot, but unrolling slowly. In most segments, online penetration is rising, with particularly high mobile search use.
5 charts in 5 minutes: The current state of funding for travel startups
August 2021Pete Comeau, managing director, Phocuswright, shares 5 charts that illustrate the current state of the travel startup market: Funding by verticals, horizontals, funding annual change and more.
5 new developments on the business side of NDC
August 2021The debate continues surrounding the utility and economic feasibility of New Distribution Capability (NDC). The XML standard launched by IATA clearly solves certain issues, while not totally addressing a few technology gaps. Recent partnerships between airlines, GDSs and OBTs reveal economic-oriented objectives, but simultaneously pose some concerns regarding financial feasibility and technological...
How travelers will lead us into recovery in 5 charts
August 2021A lens into what recovery looks like.
A snapshot of airlines, hotels & lodging, rail and car rental in China
July 2021Domestic travel demand in 2021 will approach 2019 levels, enabling 54% growth that would push total travel bookings to US$127 billion. We've outlined key trends and data for four major segments in China’s travel market.
Profile of a loyalty member
July 2021Loyalty members enjoy special treatment from brands and appreciate a streamlined experience of knowing their favorite providers will serve them well, time and time again. That loyalty, however, is conditional on travel companies continuing to fulfill their customers' needs.
OTA bookings projected to climb 55% in Europe
July 2021Demand for leisure travel will escalate quickly, and OTAs are primed for a strong recovery. In 2021, OTA bookings are projected to climb 55%, with more modest (yet still double-digit) gains in subsequent years.
The top resources used for activity research
July 2021Here's a look at the top websites and resources used for activity research by U.S. travelers, with a highlight on differences by age.
A snapshot of consumer behavior and sentiment
June 2021In 2020, those who did opt to travel planned their trips differently. With a longer research stage and more all-online bookings, U.S. consumers made significant changes to their shopping behaviors.