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Home / News / Travel bookings on mobiles to grow by 67%

Travel bookings on mobiles to grow by 67%

Latest Govt. Jobs 21:52:00 News Edit
Travel bookings on mobiles to grow by 67%Mobile travel sales in India are expected to rise at 67.1% compound an nual growth rate (CAGR) from 2017 to 2020, according to research from marketing technology firm Criteo.

Indian digital travelers are most influenced by travel website reviews, posts and forums, especially in the case of millennials. However, they are also influenced by experience from their last trip (50%), as well as internet advertisements of the destination and travel services (56%), respectively.

The report goes on to say that millennials (54%) and baby boomers (44%) most often use the smartphone for online browsing of travel products and services, while generation-X (49%) uses laptops.

A person took 6.7 trips in the past 12 months with an average spending on a leisure trip of Rs 55,176 while debit and credit cards are the most popular modes of payment. CAGR of consumer expenditure on leisure would be 9.9% from 2017 to 2020, added the report.

This is already reflecting in the transactions of India's largest online travel agency Makemytrip, which recently merged with Goibibo. “Mobile bookings reached nearly 74% for our standalone domestic hotel transactions, booked online, and 52% for domestic flights booked online," said Makemytrip India CEO Rajesh Magow during a call with analysts in January.

Online travel market is expected to grow from $11 billion in FY16 to $18.9 billion by FY20, according to a Goldman Sachs report dated October 2015. Key players in the space include online travel agencies like (OTAs) like Makemytrip and Yatra, besides hotel booking players like Oyo Rooms. Global players like Bookings.com and Expedia are also present in the Indian market.

“The Indian travel landscape is changing rapidly, and has seen significant growth in the last decade.With the rise of OTAs, an increase in domestic flights and mid-budget segment hotels, Indian travelers have started spending on leisure and travel heavily,"said Dushyant Sapre, Commercial Director, Criteo India.“Thus, the trend of weekend trips and seasonal travel has become popular among Indians. Tech-savvy millennials primarily browse for best travel packages and in-destination activities through their mobile phones and OTA mobile apps.“
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