the resilience of global travel - itb kongress...111.100 tripadvisor media group 104.791 75.022...

The Resilience of Global Travel

TripAdvisor Strategic Insights

ITB Berlin

7 March 2018

Why TripAdvisor?

Our Evolution

Who We Are Today

Who We Are Today

Research & Compare Evaluate & Click to Book

About TripAdvisor A lot of people know TripAdvisor is the biggest travel website in the world

455M average unique

monthly visitors **

49 Markets

Worldwide

600M Reviews and

Opinions ++

7.3M Accommodations,

Restaurants and Attractions

6 *Source: comScore Media Metrix for TripAdvisor Sites, worldwide, Oct 2017 **Source: TripAdvisor log files, Q3 2017 ++Source: TripAdvisor log files, Q4 2017

TripAdvisor Overview - Worldwide TripAdvisor’s WW audience peaked in July 2017 at 324m

7 Source: comScore TDAN

0

50.000

100.000

150.000

200.000

250.000

300.000

350.000

To

tal U

niq

ue

Vis

ito

rs (

00

0)

Denotes peak month for TripAdvisor Inc. in each year

July 2016: 297m

July 2017: 324m

111.100 104.791

75.022 50.067

30.407 27.164

24.749 20.816

18.740 15.181 14.632

13.172 13.104 12.652

10.755 9.955 9.581 10.021

8.175 8.046 7.539

6.919 6.373 6.590 6.391

0 20.000 40.000 60.000 80.000 100.000 120.000

TripAdvisor Media Group

TripAdvisor Sites

Ctrip International

Booking.com

Expedia

Airbnb

Trivago Sites

Hotels.com Sites

Qunar

MSN Travel

Skyscanner

Mafengwo

Agoda

Kayak.com

EDreams Odigeo

HomeAway

Despegar-Decolar Sites

Priceline.com

Southwest Airlines Co.

Ryanair

LATAM.COM

CheapOair

Deutsche Bahn

Marriott

eDreams

TAMG remains the largest travel player worldwide

TripAdvisor: Worldwide

TripAdvisor 18% of the Travel Market

TAMG 19% of the Travel Market

Source: comScore November 2017, Desktop travel only 8

9

TripAdvisor’s Share of Travel Bookers

TripAdvisor reaches

of global travel visitors

23%

Global travel intenders

end up purchasing

with hotel site

15%

of global hotel purchasers

visit TripAdvisor

75%

MILLION

USERS 296

Source: comScore services

73%

Source: comScore Worldwide Path To

Purchase Study 2017

of all first

travel

searches

are generic i.e. not brand or

destination specific

2% of all first

travel searches

have a

destination

TripAdvisor Internal Data

About TripAdvisor A lot of people know TripAdvisor is the biggest travel website in the world

455M average unique

monthly visitors **

49 Markets

Worldwide

600M Reviews and

Opinions ++

7.3M Accommodations,

Restaurants and Attractions

12 *Source: comScore Media Metrix for TripAdvisor Sites, worldwide, Oct 2017 **Source: TripAdvisor log files, Q3 2017 ++Source: TripAdvisor log files, Q4 2017

13

The Traveler Shopping Experience is Vast

COMPLETED

34 Total Visits

CONSUMED

182 Pages

SPENT

164 Minutes Researching

INITIATED

40 Searches

OVER AN AVERAGE OF

89 Days

Source: TripAdvisor Travel Buyer Activity, comScore

Worldwide Path To Purchase Study 2017

January February March April May June July August September October November December

Global Sessions Viewing Germany

2015

2016

2017

Source: TripAdvisor Internal User Data

• The number of the international clicks to book on German content on TripAdvisor has grown

significantly in 2017: by 43% as compared to 2016

Global Interest in Germany

Top 20 Countries Viewing Germany

15 Source: TripAdvisor Internal User Data – Confidential For Internal Use Only

14,6%

8,2%

7,1%

6,6%

6,5%

4,3%

3,7%

3,6%

3,2%

2,8%

2,5%

2,1%

2,0%

1,8%

1,8%

1,7%

1,6%

1,5%

1,4%

1,3%

United States

The Netherlands

Italy

France

Switzerland

Spain

Belgium

Austria

Denmark

Russia

Japan

Sweden

Poland

Canada

Australia

China

Singapore

Israel

Brazil

India

+15%

+50%

+16%

+23%

+18%

+16%

+33%

+45%

+42%

+35%

+31%

+44%

+42%

+15%

+11%

+20%

+6%

+9%

+30%

+34%

United States

The Netherlands

Italy

France

Switzerland

Spain

Austria

Belgium

Denmark

Russia

Japan

Sweden

Poland

Canada

Australia

China

Israel

Brazil

India

Denmark

Share of Worldwide Views of Germany Year Over Year Growth

16

Top 20 Viewed German Destinations

11,1%

6,2%

4,0%

3,6%

2,7%

2,1%

1,9%

1,6%

1,3%

1,1%

0,8%

0,7%

0,7%

0,6%

0,6%

0,6%

0,5%

0,5%

0,5%

0,5%

Berlin

Munich

Hamburg

Frankfurt

Cologne

Dusseldorf

Germany

Stuttgart

Nuremberg

Dresden

Heidelberg

Leipzig

Hannover

Freiburg im Breisgau

Bremen

Bonn

Baden-Baden

Dortmund

Aachen

Mannheim

Source: TripAdvisor Internal User Data – Confidential For Internal Use Only

Share of Worldwide Views of Germany

+8,3%

+15,1%

+16,4%

+20,3%

+13,4%

+14,9%

+17,8%

+23,5%

+17,2%

+15,3%

+19,7%

+21,0%

+19,7%

+19,4%

+24,2%

+42,6%

+24,3%

+21,7%

+19,8%

+25,4%

Berlin

Munich

Hamburg

Frankfurt

Cologne

Dusseldorf

Stuttgart

Nuremberg

Dresden

Heidelberg

Leipzig

Hannover

Freiburg im Breisgau

Bremen

Bonn

Baden-Baden

Dortmund

Aachen

Mannheim

Essen

Year Over Year Growth

Top Other Countries Viewed When Viewing Germany 2017

17 Source: TripAdvisor Internal User Data – Confidential For Internal Use Only

26,6%

11,4%

9,8%

8,5%

7,6%

5,9%

3,1%

3,0%

2,4%

1,6%

France

Spain

Austria

Greece

Australia

Italy

South Africa

Switzerland

United States

The Netherlands

UK IPs

18,6%

13,9%

10,7%

10,3%

4,4%

3,9%

3,3%

3,2%

2,7%

2,6%

Italy

United Kingdom

United States

Spain

Greece

Austria

Switzerland

Poland

The Netherlands

Russia

FR IPs

10,4%

8,9%

8,6%

8,0%

7,6%

6,4%

4,7%

3,8%

3,6%

3,5%

Austria

United States

France

United Kingdom

Spain

Switzerland

Poland

Denmark

Greece

The Netherlands

IT IPs

16,6%

13,3%

10,1%

7,6%

4,1%

3,2%

2,8%

2,6%

2,5%

2,5%

France

Italy

United Kingdom

Spain

China

Greece

Austria

Switzerland

Russia

Japan

US IPs

Top Competitors: Ritz Carlton

Source: TripAdvisor Internal Site Data

Competitors w/ Most Page Views

From Users Viewing Ritz-Carlton

Ritz-Carlton vs. Park Hyatt


Top Competitors: Ritz Carlton


Competitors w/ Most Page Views

From Users Viewing Ritz-Carlton Share of Clicks Won By Competitor

From Users Comparing Both

21 Source: Oxford Economics

Ranking the top 20 tourism markets Country rankings on total spend, 2007 to 2017

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

United States

Germany

United Kingdom

Japan

France

China

Italy

Spain

Mexico

India

Brazil

Australia

Canada

Russia

South Korea

Turkey

Austria

Netherlands

Switzerland

Philippines

United States

China

Germany

Japan

India

United Kingdom

France

Italy

Mexico

Brazil

Spain

Australia

Thailand

Canada

South Korea

Russia

Philippines

Switzerland

Austria

Turkey

by total spend

20 Largest Tourism Markets

• The United States has been the largest

tourism destination worldwide for the

last 11 years

• Emerging markets have increased in

the rankings of top markets

• China has risen from the 6th largest

tourism market in 2007 to the 2nd

largest today

• Germany has been displaced by China

from the #2 market to #3

International Tourism Evolution

2017 will be the eighth consecutive year of international

growth in global travel demand. Annual average growth

has been 4.6% over this period.

Demand is accelerating in 2017 from the moderate

slowdown in from in 2016. This is consistent with the

improvement in economic activity.

Almost 1.3 billion visits are expected in 2017; roughly

twice as many trips as were taken 20 years ago.

Roughly half of all international trips are to European

destinations. Destinations in the Asia-Pacific region are

taking a greater share of travel

International travel has doubled over the past 20 years and continues to grow

22 Source: TDM, UNWTO

Oxford Economics: Arrivals by Destination

0

200

400

600

800

1.000

1.200

1.400

1.600

1990 1995 2000 2005 2010 2015

Millions MEA Asia Pacific

Americas Europe

Global Tourist Arrivals by Destination

Germany Booking Data: Average Nightly Rate

23 Source: TripAdvisor Internal Site Data

o Average nightly rate tends to decrease at the close of summer, to attract more visitors during the colder months

o Large increases in average nightly rate can be seen starting in winter, as users are actively booking for peak season travel

$1

38

$1

44

$1

49

$1

54

$1

56

$1

56

$1

54

$1

59

$1

56

$1

44

$1

42

$1

38

$1

38

$1

38

$1

42

$1

45

$1

50

$1

53

$1

54

$1

62

$1

65

$1

52

$1

51

$1

55

$100

$125

$150

$175

Jan16

Feb16

Mrz16

Apr16

Mai16

Jun16

Jul16

Aug16

Sep16

Okt16

Nov16

Dez16

Jan17

Feb17

Mrz17

Apr17

Mai17

Jun17

Jul17

Aug17

Sep17

Okt17

Nov17

Dez17

Average Nightly Rate


o Fewer rooms are sold during the winter months, as peak travel season for Germany normally occurs during the late spring and summer

Germany Booking Data: Room Nights Booked

39

.80

5

37

.51

7

45.4

04

51

.71

3

43

.94

3

54

.56

7

56

.96

4

53

.48

6

59

.88

2

62

.55

1

55

.25

6

44

.10

2

44

.23

8

37

.311

69

.19

1

62

.84

0

49

.99

5

69

.01

6

69.8

78

47

.62

0

37

.78

3

41

.65

8

37

.88

4

30

.82

7

0

10.000

20.000

30.000

40.000

50.000

60.000

70.000

80.000

Jan16

Feb16

Mrz16

Apr16

Mai16

Jun16

Jul 16 Aug16

Sep16

Okt16

Nov16

Dez16

Jan17

Feb17

Mrz17

Apr17

Mai17

Jun17

Jul 17 Aug17

Sep17

Okt17

Nov17

Dez17

Germany Room Nights Booked Through TripAdvisor

$5

,5M

$5

,4M

$6

,7M

$8

,0M

$6

,8M

$8,5

M

$8

,8M

$8

,5M

$9

,3M

$9

,0M

$7

,9M

$6

,1M

$6

,1M

$5

,2M

$9

,8M

$9

,1M

$7

,5M

$1

0,6

M

$1

0,8

M

$7

,7M

$6

,2M

$6

,3M

$5,7

M

$4

,8M

$0

$2.000.000

$4.000.000

$6.000.000

$8.000.000

$10.000.000

$12.000.000

16.Jan

16.Feb

16.Mrz

16.Apr

16.Mai

16.Jun

16.Jul

16.Aug

16.Sep

16.Okt

16.Nov

16.Dez

17.Jan

17.Feb

17.Mrz

17.Apr

17.Mai

17.Jun

17.Jul

17.Aug

17.Sep

17.Okt

17.Nov

17.Dez


o Estimated hotels revenue driven by TripAdvisor shows a decrease in winter, due to a decline in average nightly rate and fewer clicks

o Estimated revenue sees a large increase over the spring and summer, likely with people booking for peak season travel

Total Est. Hotel Revenue Booked

Through TripAdvisor, Last 12 Mos

$89.8 million

Germany Booking Data: Total Hotels Revenue


o Italy booking revenue driven by TripAdvisor consistently comprises between 4% and 8% of all TripAdvisor booking revenue for Europe as a whole

Germany’s Share of Europe Hotels Revenue

5,0% 5,0% 4,6% 4,5%

3,6%

4,3% 4,3% 4,8%

7,3%

8,4% 8,0%

7,0%

5,0% 5,1% 5,0% 4,8%

3,7%

5,1% 4,9%

4,2%

5,3%

6,1% 6,2%

5,4%

0%

2%

4%

6%

8%

10%

12%

Jan16

Feb16

Mrz16

Apr16

Mai16

Jun16

Jul 16 Aug16

Sep16

Okt16

Nov16

Dez16

Jan17

Feb17

Mrz17

Apr17

Mai17

Jun17

Jul 17 Aug17

Sep17

Okt17

Nov17

Dez17

Jan18

Germany as % of European Hotels Revenue

The Resiliency of Online Travel

28

The 45 Effect

29

Nov 1

4

Dez 1

4

Jan

15

Feb

15

Mrz

15

Apr

15

Ma

i 1

5

Jun

15

Jul 1

5

Aug 1

5

Sep 1

5

Okt

15

Nov 1

5

Dez 1

5

Jan

16

Feb

16

Mrz

16

Apr

16

Ma

i 1

6

Jun

16

Jul 1

6

Aug 1

6

Sep 1

6

Okt

16

Nov 1

6

Dez 1

6

Jan

17

Feb

17

Mrz

17

Apr

17

Ma

i 1

7

Jun

17

Jul 1

7

Aug 1

7

Sep 1

7

Okt

17

Nov 1

7

Dez 1

7

Nov 8 2016

US Election

• No apparent decline in viewing traffic

Views of US Destinations, Total Volume All Users worldwide

30

Nov 1

4

Dez 1

4

Jan

15

Feb

15

Mrz

15

Apr

15

Ma

i 1

5

Jun

15

Jul 1

5

Aug 1

5

Sep 1

5

Okt

15

Nov 1

5

Dez 1

5

Jan

16

Feb

16

Mrz

16

Apr

16

Ma

i 1

6

Jun

16

Jul 1

6

Aug 1

6

Sep 1

6

Okt

16

Nov 1

6

Dez 1

6

Jan

17

Feb

17

Mrz

17

Apr

17

Ma

i 1

7

Jun

17

Jul 1

7

Aug 1

7

Sep 1

7

Okt

17

Nov 1

7

Dez 1

7

Jan

18

Nov 8 2016

US Election

• Still no apparent decline

• Drop in December is seasonal each year

• Growth still apparent

Views of US Destinations, Total Volume Excludes US Users

31

Clicks to US Destinations as % of Global Travel Excludes US Users

0,0%

1,0%

2,0%

3,0%

4,0%

5,0%

6,0%

7,0%

8,0%

Nov 1

4

Dez 1

4

Jan

15

Feb

15

Mrz

15

Apr

15

Ma

i 1

5

Jun

15

Jul 1

5

Aug 1

5

Sep 1

5

Okt

15

Nov 1

5

Dez 1

5

Jan

16

Feb

16

Mrz

16

Apr

16

Ma

i 1

6

Jun

16

Jul 1

6

Aug 1

6

Sep 1

6

Okt

16

Nov 1

6

Dez 1

6

Jan

17

Feb

17

Mrz

17

Apr

17

Ma

i 1

7

Jun

17

Jul 1

7

Aug 1

7

Sep 1

7

Okt

17

Nov 1

7

Dez 1

7

Jan

18

Nov 8 2016

US Election

• Clear slow decline visible

• However decline began prior to 2014

• Most likely due to growth in APAC & other options

32

Clicks to US Destinations as % of Outbound Travel German Users Only

0,0%

2,0%

4,0%

6,0%

8,0%

10,0%

12,0%N

ov 1

4

Dez 1

4

Jan

15

Feb

15

Mrz

15

Apr

15

Ma

i 1

5

Jun

15

Jul 1

5

Aug 1

5

Sep 1

5

Okt

15

Nov 1

5

Dez 1

5

Jan

16

Feb

16

Mrz

16

Apr

16

Ma

i 1

6

Jun

16

Jul 1

6

Aug 1

6

Sep 1

6

Okt

16

Nov 1

6

Dez 1

6

Jan

17

Feb

17

Mrz

17

Apr

17

Ma

i 1

7

Jun

17

Jul 1

7

Aug 1

7

Sep 1

7

Okt

17

Nov 1

7

Dez 1

7

Jan

18

Nov 8 2016

US Election

• German interest down but trend started earlier

• If anything drop slowed

• Likely reflects growing interest in other markets

33

Clicks to US Destinations as % of Outbound Travel French Users Only

0,0%

1,0%

2,0%

3,0%

4,0%

5,0%

6,0%

7,0%

8,0%

9,0%

10,0%N

ov 1

4

Dez 1

4

Jan

15

Feb

15

Mrz

15

Apr

15

Ma

i 1

5

Jun

15

Jul 1

5

Aug 1

5

Sep 1

5

Okt

15

Nov 1

5

Dez 1

5

Jan

16

Feb

16

Mrz

16

Apr

16

Ma

i 1

6

Jun

16

Jul 1

6

Aug 1

6

Sep 1

6

Okt

16

Nov 1

6

Dez 1

6

Jan

17

Feb

17

Mrz

17

Apr

17

Ma

i 1

7

Jun

17

Jul 1

7

Aug 1

7

Sep 1

7

Okt

17

Nov 1

7

Dez 1

7

Jan

18

Nov 8 2016

US Election

• France interest down

• Trend started earlier

• Clear seasonal pattern opposite beach weather

34

Clicks to US Destinations as % of Outbound Travel Spanish Users Only

0,0%

1,0%

2,0%

3,0%

4,0%

5,0%

6,0%

7,0%

8,0%

9,0%

10,0%N

ov 1

4

Dez 1

4

Jan

15

Feb

15

Mrz

15

Apr

15

Ma

i 1

5

Jun

15

Jul 1

5

Aug 1

5

Sep 1

5

Okt

15

Nov 1

5

Dez 1

5

Jan

16

Feb

16

Mrz

16

Apr

16

Ma

i 1

6

Jun

16

Jul 1

6

Aug 1

6

Sep 1

6

Okt

16

Nov 1

6

Dez 1

6

Jan

17

Feb

17

Mrz

17

Apr

17

Ma

i 1

7

Jun

17

Jul 1

7

Aug 1

7

Sep 1

7

Okt

17

Nov 1

7

Dez 1

7

Jan

18

Nov 8 2016

US Election

• Spain interest down slightly

• Could be 1pt lower interest in Sept-May 2016/17

• Difficult to say is specific to election

35

Clicks to US Destinations as % of Outbound Travel Russian Users Only

0,0%

1,0%

2,0%

3,0%

4,0%

5,0%

6,0%

7,0%

8,0%

Nov 1

4

Dez 1

4

Jan

15

Feb

15

Mrz

15

Apr

15

Ma

i 1

5

Jun

15

Jul 1

5

Aug 1

5

Sep 1

5

Okt

15

Nov 1

5

Dez 1

5

Jan

16

Feb

16

Mrz

16

Apr

16

Ma

i 1

6

Jun

16

Jul 1

6

Aug 1

6

Sep 1

6

Okt

16

Nov 1

6

Dez 1

6

Jan

17

Feb

17

Mrz

17

Apr

17

Ma

i 1

7

Jun

17

Jul 1

7

Aug 1

7

Sep 1

7

Okt

17

Nov 1

7

Dez 1

7

Jan

18

Nov 8 2016

US Election

• Russia interest significantly up

• Fell back to lower than ever after four months

• Might be interesting to analyse the hotels chosen

?

36

Clicks to US Destinations as % of Outbound Travel UK Users Only

0,0%

2,0%

4,0%

6,0%

8,0%

10,0%

12,0%N

ov 1

4

Dez 1

4

Jan

15

Feb

15

Mrz

15

Apr

15

Ma

i 1

5

Jun

15

Jul 1

5

Aug 1

5

Sep 1

5

Okt

15

Nov 1

5

Dez 1

5

Jan

16

Feb

16

Mrz

16

Apr

16

Ma

i 1

6

Jun

16

Jul 1

6

Aug 1

6

Sep 1

6

Okt

16

Nov 1

6

Dez 1

6

Jan

17

Feb

17

Mrz

17

Apr

17

Ma

i 1

7

Jun

17

Jul 1

7

Aug 1

7

Sep 1

7

Okt

17

Nov 1

7

Dez 1

7

Jan

18

Nov 8 2016

US Election

• Definitely a drop after election

• However, drop seemed to start earlier – in June

• June 2016 was Brexit & drop in £

• With weak £, trips to the US far more expensive

Brexit

Referendum

Share of clicks to book hotels in Europe going to

Paris

37

No

v 1

4

De

z 1

4

Jan

15

Feb

15

Mrz

15

Apr

15

Ma

i 1

5

Jun

15

Jul 1

5

Aug 1

5

Sep 1

5

Okt

15

No

v 1

5

De

z 1

5

Jan

16

Feb

16

Mrz

16

Apr

16

Ma

i 1

6

Jun

16

Jul 1

6

Aug 1

6

Sep 1

6

Okt

16

No

v 1

6

De

z 1

6

Jan

17

Feb

17

Mrz

17

Apr

17

Ma

i 1

7

Jun

17

Jul 1

7

Aug 1

7

Sep 1

7

Okt

17

No

v 1

7

De

z 1

7

Jan

18

0,00%

2,00%

4,00%

6,00%

8,00%

10,00%

12,00%

14,00%

Global

United States

United Kingdom

Italy

Spain

Germany

Source: TripAdvisor Session Data

ISIS Attack


Barcelona

38

No

v 1

4

De

z 1

4

Jan

15

Feb

15

Mrz

15

Apr

15

Ma

i 1

5

Jun

15

Jul 1

5

Aug 1

5

Sep 1

5

Okt

15

No

v 1

5

De

z 1

5

Jan

16

Feb

16

Mrz

16

Apr

16

Ma

i 1

6

Jun

16

Jul 1

6

Aug 1

6

Sep 1

6

Okt

16

No

v 1

6

De

z 1

6

Jan

17

Feb

17

Mrz

17

Apr

17

Ma

i 1

7

Jun

17

Jul 1

7

Aug 1

7

Sep 1

7

Okt

17

No

v 1

7

De

z 1

7

Jan

18

0,00%

1,00%

2,00%

3,00%

4,00%

5,00%

6,00%

Global

United States

United Kingdom

France

Italy

Germany


Las

Ramblas

Attack


London

39

No

v 1

4

De

z 1

4

Jan

15

Feb

15

Mrz

15

Apr

15

Ma

i 1

5

Jun

15

Jul 1

5

Aug 1

5

Sep 1

5

Okt

15

No

v 1

5

De

z 1

5

Jan

16

Feb

16

Mrz

16

Apr

16

Ma

i 1

6

Jun

16

Jul 1

6

Aug 1

6

Sep 1

6

Okt

16

No

v 1

6

De

z 1

6

Jan

17

Feb

17

Mrz

17

Apr

17

Ma

i 1

7

Jun

17

Jul 1

7

Aug 1

7

Sep 1

7

Okt

17

No

v 1

7

De

z 1

7

Jan

18

0,00%

2,00%

4,00%

6,00%

8,00%

10,00%

12,00%

14,00%

Global United States

Spain France

Italy Germany


Westminster

Attack

London

Bridge

Attack

Manchester

Attack

40

Conclusions

1. The world of travel only continues to grow

2. Be sure to know your real competitors

3. Europe remains in top spot as the number one

destination on Earth

4. Price and brand still matters far more than

politics

5. In the long run we are unafraid

2018 New Hotels Insights

How important is the “hero” photo?

?

Oddly Performing Properties

Click Share index -12%

Review Score Index +3%



Review Score

Index -14%

Tinder Auto-Optimisation

Top Swaps

the resilience of global travel - itb kongress...111.100 tripadvisor media group 104.791 75.022...

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