utell-orbitz webex.pdf
TRANSCRIPT
Utell – Orbitz Worldwide Overview
Agenda
• Corporate Overview
• Global Online Travel Landscape
• Orbitz Worldwide Strategy and Mission
• Opportunities
ORBITZ WORLDWIDE OVERVIEW
$11.5B Bookings
140+ Countries
1,500 Employees 16 Languages18M Visitors / mo.
Orbitz Worldwide Brands
Key Points of Sale – Americas
Key Points of Sale – International
Increasing International Mix
2009 2010 20110%
10%
20%
30%
21%
23%
29%
ONLINE TRAVEL LANDSCAPE
Global Travel Market & Online Share ($B)
Source: PhoCusWright, Global Online Travel Overview Second Edition
2009 2010 2011 2012$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
28% 30% 31% 33%
+6%+6%
+7%
+11%+10%
+13%
Brand or Channel Monthly Unique Visitors (000)
Expedia 19,367Priceline 12,732
Orbitz Worldwide 10,881Southwest Airlines 8,586
Kayak 7,251Fareportal Media Group 6,491
Travelocity 6,405Delta Airlines 5,512
Marriott 5,436AOL Travel 5,237
Monthly Unique Visitors
Source: comScore, April 2012
63%37%
2010 Actual 2012 Estimated
63%
37%
Third Party Bookings Remain Consistent
Source: PhoCusWright, Global Online Travel Overview Second Edition
Less Than Half of OTA Shoppers Actually Book on OTAs
Other
Retail Agency Call Center
Retail Agency Website
Supplier Call Center
Supplier.com
OTA
6%
4%
5%
7%
31%
47%
Source: PhoCusWright, 2010
ORBITZ WORLDWIDE STRATEGY
Our Mission: Unlock the joy of travel by becoming the travel expert for the world, where our customers easily find and book personalized travel options
Unlock the joy of travel by becoming the travel expert for the world, where our customers easily find and book personalized travel options
Common technology platform positions us well for innovation and growth in 2012 and beyond
2012 Strategic Initiatives
Marketing optimization
Funneloptimization
Data infrastructure
Mobile
Significant Turn Around at ebookers Since Platform Migration
2009 2010 2011$0
$50
$100
$150
$200
$108
$135
$176
ebookers Net Revenue, $M
Strong top and bottom line performance since global platform migration
ebookers 23% of total OWW revenue in 2011, up from 15% in 2009
+26%
+31%
page 16
Site optimization
Eliminating speed bumps to improve conversion rate
Personalization
Booking PathSearch ResultsLanding Page
Hotel Card:• First test yielded 3%
increase in conversion rate
Site Optimization:
Landing Page Search Results Booking Path Personalization
• Second test yielded 2% further lift in conversion
Mobile
Mobile Website
Native Apps
Delivering intuitive search-and-book experiences designed from the ground up for mobile devices
2009 2010 2011$0
$50
$100
$150
$200
$108
$135
$176 ebookers Net Revenue, $M
+26%
+31%
page 19
Data Infrastructure
Investing in infrastructure to allow us to deploy analytics more broadly
Data hungry applications
Reporting & analytical insights
Storing large amounts of
data
Our Locations and People
• Australia• Canada• China• Finland• France
• Spain• Sweden• Switzerland• Thailand• The Netherlands
• Germany• Hong Kong• India • Ireland• Israel
• Italy• Japan• Latin
America • Mexico• Singapore
• UK• United States • Vietnam
Industry Leading Global Technology Platform
A Leading Managed Travel Provider
Source: OWW Internal Data – growth trends using base year 2008
2009 2010 20110%
10%
20%
30%
40%
50%
60%Room Nights
Growth Trends
Business Advantage
Private label distribution channel has grown impressively and represents significant growth opportunity
2009 2010 2011
2 year CAGR 55%
U.S. Private Label Distribution Channel Room Nights
OWW Distribution: New Partner in 2012
American Express Customer Base - Lodging spend
Average Daily Rate Room Category Mix
American Express Consumer Travel customers book rooms at higher room rates compared to the industry average both online and offline, and choose more premium room categories.
Standard 42%
Concierge/Suite 22%
Premium 35%
*This is an overall Average Daily Rate and it can vary by market. For example, the average CTN online rate for NYC is $374 and the ADR for offline is $652. The industry average rate for NY is $274.
Industry Average
CTN Online CTN Offline $0
$50
$100
$150
$200
$250
$300
$350
$400
$450
$500
$123
$220
$465
Partner opportunity: Participation criteria
Partner RequirementsProvided by American
Express Travel
• Best-in-class offer exclusive to CTN• Bookable through Orbitz promotion
path • 45 day booking and 60-90 day travel
windows• Discounted rates (minimum 20%
depending on market), value add amenities, or comp nights
• Limited minimum night stay requirements
• Double Membership Rewards points on all prepaid bookings
• Pay With Points on all prepaid bookings
• Multi-channel offer-specific marketing, reaching millions of travel-engaged CMs
• Multi-channel program-level marketing to drive awareness and sales
• Access to CTN agents (education, training, and incentives)
OPPORTUNITIES
Importance of Promotions
Americas APAC EMEA0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
With Promotion No Promotion
Importance of Packaging
Package Mix by Region
Opportunities: Global Brands with Global Reach
Merchandising and Point of Sale: Leverage Our Base
Private Label
Promotions
Corporate Travel
Partner Marketi
ng
Global Merchandising
Site-Wide and Flash Sales
Twitter Giveaways
Facebook Contests
Global Merchandising – Insider Steals
Global Merchandising – Mobile Steals
Performance Marketing Programs
Three Main Takeaways
• Global brands and reach
• Broad and diverse Merchandising capabilities
• Importance of promotions and packages
Thank you for your partnership