Designed as a way to differentiate travel brands and build traveler allegiance, loyalty programs have become the norm for airlines and major hotel chains. However, changes in technology and consumer behavior have raised questions about the future of travel loyalty programs. This report examines travel loyalty in Europe to assess participation levels and impacts for airline, hotel and OTA loyalty programs. Key topics include the relationship between loyalty program membership and brand loyalty, and a detailed profile of the behaviors and attitudes of loyalty participants, with an emphasis on high-value elite loyalty members.Analysts: Cathy Walsh, Marcello GasdiaTopic: Consumer TrendsSegments: Air, Hotels & Lodging, Online Travel AgenciesResearch Type: Report
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Europe’s economy continues to recover from the recession. Thanks in part to increased consumer spending, the region’s travel industry reached new heights in 2015, driven by exceptional growth in the online market. Phocuswright's European Online Travel Overview Eleventh Edition: Market Size and Trends provides comprehensive sizing and forecasts for total and online leisure and unmanaged business travel in Europe, and examines the key segments, channels and trends shaping the market.Analysts: Charuta Fadnis, Ralph Merten, Friederike WinkowskiTopic: Market Overview & SizingSegments: Air, Car Rental & Ground Transportation, Cruise, Hotels & Lodging, Online Travel Agencies, Rail, Tours & PackagesRegion: EuropeResearch Type: Report
Not only did Scandinavia’s travel market expand in 2013, but each segment performed well – especially low-cost carriers. Scandinavia, the smallest of the major European travel markets, has the highest online penetration, and it will retain this title through 2016 as strong smartphone penetration drives an exponential rise in travel-related mobile use. Annual growth through 2016 will be slow but steady, as the travel markets in Norway, Denmark and Sweden are all relatively mature, but certain segments and channels – low-cost carriers, online travel agencies and mobile bookings – will outpace the overall market.Analyst: Friederike WinkowskiTopic: Market Overview & SizingRegion: EuropeResearch Type: Report
The French travel market managed to eke out stability in 2013 in the face of considerable economic and political challenges, both at home and in key inbound and outbound markets. Gains made by French airlines and online travel agencies were negated by the drop in tour operator gross bookings and by stagnation in the rail and hotel segments. However, online travel is having better luck than the market as a whole, and the bulk of this growth is due to the success of online travel agencies (rather than suppliers). France’s total travel market will begin to recover in 2015.Analyst: Peter O'ConnorTopic: Market Overview & SizingSegments: Air, Car Rental & Ground Transportation, Hotels & Lodging, Online Travel Agencies, Rail, Tours & PackagesRegion: EuropeResearch Type: Report
Improvements in the British economy in 2013, as well as favorable exchange rates between the pound sterling and the euro, drove demand for outbound leisure travel and stirred heavy competition within the industry. Low-cost carriers led growth for the year, followed by rail and traditional airlines, and mobile strategies stood front and center. Tour operators started separating themselves from online travel agencies in the hopes of becoming favored travel brands (and channels). This flurry of consumer-driven activity and growth – while welcome – may cool down soon, resulting in relatively slower growth through 2016. Ultimately, though, the long view for the U.K. remains optimistic.Analyst: Luke BujarskiTopic: Market Overview & SizingRegion: EuropeResearch Type: Report
In Spain, strong inbound tourism has pulled the country’s travel market out of recession and will continue to drive growth through 2016. The national economy is still struggling under the weight of extremely high unemployment and massive public debt, though, which has put a damper on domestic travel. Spain’s online travel market is less developed than those in other major European markets, but it is growing rapidly, especially in mobile. Low-cost air carriers and the country’s lone rail operator already depend heavily on online direct distribution, and online travel agencies serve a critical role in aggregating local, independent hotel content. Low-cost carriers will lead growth through 2016.Analysts: Jesus Salgado Criado, David JumanTopic: Market Overview & SizingSegments: Air, Car Rental & Ground Transportation, Hotels & Lodging, Online Travel Agencies, Rail, Tours & PackagesRegion: EuropeResearch Type: Report
Thanks to a gloomy economic and political environment, Italy’s travel market has suffered three straight years of losses. But 2014 brought a turnaround: Travel gross bookings increased both overall and within each segment, and rail operators’ investment in high-speed routes finally paid off. Despite the country’s previous struggles, Italy has plenty of reasons to expect a brighter future. The country remains highly desirable as an inbound destination, and low-cost carriers across Europe have added more Italian routes to and from major cities. Italy is also home to a robust informal economy, which – along with the recent influx of visitors from emerging markets like Russia and China – is helping to cushion the travel market from low unemployment and the subsequent drop in domestic trips. In addition, Italian travelers are flocking to social media and mobile, which will give travel a needed boost through 2016.Analyst: Stanislas FeminierTopic: Market Overview & SizingSegments: Air, Car Rental & Ground Transportation, Hotels & Lodging, Online Travel Agencies, Rail, Tours & PackagesRegion: EuropeResearch Type: Report
Europe’s vacation rental market has exploded over the last several years, as would-be renters turned to online resources, and a plethora of startups and incumbents positioned themselves to capitalize on the shift. Europe is now the largest regional market for private rental accommodations, a segment that is increasingly moving from alternative to mainstream as a lodging option for travelers. This report takes a closer look at Europe’s private accommodation and rental landscape, including analysis of rental traveler behavior and trends, as well as online shopping and booking methods.Analysts: Douglas Quinby, Bing LiuTopics: Consumer Trends, Mobile, Social & SearchSegment: Hotels & LodgingRegion: EuropeResearch Type: Report