The Online Travel Industry: Investing EssentialsBy Asit Sharma | More Articles August 25, 2014 | Comments 0Barajas Airport, Madrid. Source: Jean-Pierre Dalbera under Creative Commons license.The speed at which the Internet evolves can make milestones from 10 or 15 years ago seem worthy of encasement in a glass museum display. Take this quote from Priceline Group’s first annual report after its 1999 IPO:
Attribution is difficult but digital data can help. Ritesh Gupta, EyeforTravel’s Travel Journalist, gets the low-down and the highbrow from a marketing expert at Travelocity. No marketing investment can be committed to unless it can demonstrate a tangible impact on metrics. Digital advertising is no different. However given its potential to be a high performance medium that delivers intelligent and relevant data, works strongly in its favor.
Indeed, actionable data intelligence today is being converted into targeted marketing actions: SEO templates, content initiatives, link building and so on. So when marketing executives see technology that can process huge quantities of structured and unstructured data, while at the same time gleaning actionable insights, then they are in a better to ‘sell’ campaigns that actually deliver to the rest of the business.
- The Muslim travel market: The Kuoni Group has a vision – eTurboNews.com (cmosintravel.com)
- Privacy Analytics Unveils Anonymization Solution for Structured and Unstructured Data for Secondary Use (hispanicbusiness.com)
- How travel marketers can benefit from Big Data analytics [INFOGRAPHIC] (tnooz.com)
- 5 PR and social media trends for 2014 (prdaily.com)
Depending on whom you talk to, Travelocity’s unexpected announcement last month that it has reached a strategic marketing agreement with long time rival Expedia will either create a dominant new Internet travel agency, give consumers access to more hotel choices or raise prices.
Your Resource for the Latest Market Research and Industry Intelligence
The Affiliate Deal of the Decade
Travelocity’s New Deal with Long-Time Rival Expedia Marks the End of an Era
It was the fall of 1999, the heyday of online travel 1.0, among many other heydays.
Sabre, the parent of Travelocity, had announced the acquisition of Preview Travel, then the third-largest online travel agency (OTA). The combined entity would be an online travel powerhouse, pushing Travelocity well past number two Expedia, with whom it had been in a rough-and-tumble knife fight for the top spot.
“This is going to be a very, very impressive business in terms of its reach,” said then Sabre Chairman Donald J. Carty, quoted in an October 1999 article in the Wall Street Journal.
And so it was. The acquisition catapulted Travelocity to a leading position, with 35% of the OTA market in the U.S. in 2000, when total OTA gross bookings reached $6.6 billion. But the experience of being top dog was a fleeting one. Sabre’s subsidiary was quickly outflanked.
Within just two years, Expedia had shot ahead with its market-making merchant model for hotels, powered in part by the acquisitions of two online lodging aggregators, Travelscape and VacationSpot. Expedia’s new hotel platform gave it an edge that left its competitors as well as hoteliers in a daze amid the recession of 2001 and 2002. By 2004, one year after the additions of Hotels.com and Hotwire, Expedia was the U.S. market leader by a longshot, with nearly half the market.
read more via PhoCusWright.
BELLEVUE, Wash. AND SOUTHLAKE, Texas – August 22, 2013 – Expedia, Inc. (NASDAQ: EXPE) and Travelocity today announced entry into an exclusive, long-term strategic marketing agreement, whereby Expedia will power the technology platforms for Travelocity’s existing websites in the US and Canada, while providing Travelocity access to Expedia, Inc.’s supply and customer services. Upon the implementation of the agreement, Travelocity will focus its efforts on promoting its brand and marketing the broad offering of travel services and supply made available through this agreement. Travelocity will remain wholly-owned by Sabre Holdings Corporation, and independent of Expedia, Inc. Travelocity-owned lastminute.com in Europe and the Travelocity Partner Network are not included in this marketing arrangement. – See more at: http://www.sabre.com/newsroom/expedia-inc-and-travelocity-announce-strategic-marketing-agreement/#sthash.OPAjRhRO.dpuf