Amanda Owen Area Manager, South Africa
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Amanda Owen Area Manager, South Africa
Agenda 2 Corporate Overview Booking Trends New Tools
3
1996 – 2016
20 YEARS OF EXPEDIA
Back in 1996… 4
R1.88 per Litre
5
Then and Now 6
20
Years ago
10
Years ago
Now
7
2016
TRAVEL REVIEW
8 Welcome to the family
9
Rail
$130
Business opportunity
BILLION
Based on Phocuswright 2016 data
10
MOBILE
>50% >40%
of transactions
of traffic
AND
>40%
GROWING!
Hotels.com and Wotif traffic, Q3 2016
2012 Hotels.com, Q3 2016 201611
TREND
EXPECTED 79%
to continue 75%
68%
Mobile
share of
global
Internet
usage: 40%
2012 2016 2017 2018
Source: Zenith Media, Mobile Advertising Forecasts, October 201612 SEAMLESS EXPERIENCE ACROSS DEVICES
13
14
COMPLEXITY
OF NEW CUSTOMER AQUISITION
HAS ALSO CHANGED15
All these complexities Social
Meta
when someone is booking a trip Email
App
Online
Offline
CHANNELS SEO/SEM Korea
10
English UK
French Japan
Korean Mexico
Spanish Canada
Chinese Singapore
Arabic Germany
LANGUAGES COUNTRIES
35 240
DEVICES
6 5 9
Expedia
PRODUCTS Hotels.com PAYMENT Credit
TYPES Debit
400
Lodging Orbitz
Wotif Installments
Air
Cruise Travelocity PayPal
BRANDS EAN IBP
Million
Car
17
Package Bitcoin
Activities
combinations!16
WITH ALL OF THE COMPLEXITY
THE INDUSTRY SPENDS
+$10 Billion
1
1 Assumes global hotel chain revenue is $200B ($181 from composite of top 115 Global & Key accounts), 5% of chain revenue assumed to be technology
segment (per 5% transaction fee within franchise fees). Of 5%: we assume 2% is online distribution, 1.5% is loyalty, and 1.5% is CRS funded by chains with
up to an additional 1% PMS / Hotel operations (outside the franchise fee) funded by owners. Franchise fees are from Franchisedirect.com17
EXPEDIA INVESTS
+$1 Billion
1
ON DATA & TECHNOLOGY
1 Spent over LTM through Sep 30th 201618
PMS Revenue Digital Website CRM &
& CRS management marketing & Guest
Mobile ExperienceBooking Trends
Country of Origin into South Africa GERMANY 20
R1912
UK 78 Days
USA 2.4 Nights
R2180
R2037 64 Days
37 Days 2.7 Nights
2.3 Nights
AUSTRALIA
R2088
69 Days
2.5 Nights
BRAZIL
R2422 S. AFRICA
50 Days R1281
2.4 Nights 16 Days
1.8 NightsMobile – South Africa 21
Mobile
Mobile
26% 28 Day Booking Window
South 2 Night Avg. Length of Stay
Africa
Mobile Non Mobile
Share 39 Day Booking Window
2.3 Night Avg. Length of Stay
Non Mobile
74%Package 22
+ +
Package Bookings Accommodation Only Bookings
47 Day Booking Window VS. 41 Day Booking Window
3.2 Night Avg Length of Stay 2.2 Night Avg Length of StayFX Rate 23
Jan 2016 R15.50 – R16.80
Jan 2017 R13.22 – R13.78
Feb 2016 R15.59 – R16.20
Feb 2017 R12.91 – R13.48
Mar 2016 R14.90 – R15.90
Mar 2017 R12.40 – R13.32
Apr 2016 R14.29 – R14.90
Apr 2017 R12.40 – R13.32
South Africa Australia Brazil Thailand
2016 $124 2016 $136 2016 $91 2016 $87
2017 $147 2017 $143 2017 $100 2017 $88
18% Growth 5% Growth 10% Growth 0.5% GrowthNew Tools
WE ALSO
27
BUILD FOR YOU
EPC
VALUE CONVERSATIONS
ADDED
PROMOTIONS REV+
UPGRADES PROMOTIONS
REAL TIME ACCELERATOR
FEEDBACK
POINTS OF
INTEREST
GUEST SENTIMENT
ANALYSIS
EPC MOBILE
TRAVELADS
CONNECTIVITY
SOLUTIONS28
Guest Review Insights 29
30
48% of travel
shoppers will
look for another
hotel if it doesn’t
offer
free parking
Source: Expedia Inc May 2016. Based on a survey sampled of 400 online hotel shoppers, half were explicitly Expedia
account holders and half were general travel shoppers31
What if there was a promotional tool to
help you…?
Draw attention to your hotel listing
Keep your Average Daily Rates stable
Help drive revenue to onsite amenitiesValue Add Promotions 32
FREE FOOD
44%
FREE PARKING
12%
FREE LATE
CHECKOUT 5%Upgrade Promotions 33
Leisure travelers upgrade
15-20%
Of guests pay for
50%
more often than
upgrade when offered business travelers
Customers who had the Customers with enhanced
“Best Experience” spend up to experiences have up to
140% more 25% higher
satisfaction34 Upgrades
Rev+ 35 1 to 3 hours researching competitor pricing 41% can’t afford revenue management systems
36
Partners like you told us:
• their daily or weekly performance
review and price setting process
involves up to 45-steps
• they spend between 1-3 hours on
price setting activities; such as
review multiple reports and
competitor pricing
• they check competitor pricing 3 or
Less than 15% of the global hotel more times per day in urban markets
market uses revenue management
technology. • some even spend between $1,000 to
$3,000+ per year on Rate Shopping
tools aloneWhat if there was a FREE revenue 37
management tool to help you…?
make smarter pricing decisions
optimize your revenue
save time38
Meet Rev+
A new, free tool in Expedia
PartnerCentral (EPC) that
provides competitive pricing data
and market demand intelligence
to help you make smarter pricing
decisions and optimize revenue,
in less time.You can also read
