Thank you for giving me the opportunity. It is always good to interact with the hospitality industry and I think is the best part of the travel industry. Am very excited about today’s topic because this is technology at its best. I have been in the technology industry for a long time and really thrilled to see amazing changes technology has done to re shape the world. I admit it can be too fast some times but mobile technology has the potential to reach everybody and empower everybody. And that is why it is so exciting.
We are living in an connected world. I do not remember last when I saw TV for more than 15 minutes at a stretch. I do remember that I spend lot of time on my phone, macbook and tablet. And we cannot leave our phones…
So the agenda in brief, clearly mobile is here and now. How is it impacting hospitality industry which is of great interest to all of us. I also want to share some stories of how hospitality and travel industry is using this platform and what are the possibilities.
And not just in metros but small towns too…
If you have to reach a segment between 15 to 34, mobile has more reach than TV!! Maximum possible reach of TV is 94%. And most time spent as well!
Huge numbers and huge growth! 300 million + by 2015.
India is huge in terms of using video and social on mobile.
20% of hotel queries come on mobile now… and they are growing faster than desktop… in fact for overall number of queries, mobile has already surpassed desktop in India…
Phenomenal growth on tablets and HED
And now tablets will grow even faster…
Astounding! In 2013, mobile bookings will double.
1. Mobile in Hospitality : Trends and Opportunities April 2013 Siddharth Dabhade – Head of Industry - Travel
2. “We see the emergence of the post-PC world and we areembracing it as an opportunity to reach our audience on whatever piece of glass they choose to use, with an experience appropriate for each device” Director of BBC Future Media, Ralph Rivera
3. Agenda1 Mobile is here and now.2 Consumer behaviour and hospitality.3 What is the world doing?4 The way ahead.
4. Mobile is Here & Now
5. Not just metros, small towns too!
6. 98% Reach amongst 15-34 SEC AB. Highest across all medium 72mins Time spent on smartphone > other mediaSource : 3D TGI 2011 / Nielsen Informate Source : IRS 2012 AI Urban Q1 (All SECs 12 years+) & Nielsen informate insightsInsights
7. Expected to reach 310M+ by 2015 400 350 38 300 250 120 200 150 53 100 190 63 44 50 40 26 40 0 11 2005 2010 2012 2015 Mobile PC + Mobile PC onlySource: Google Internal, Google-Mckinsey Study, market analysis
8. Mobile evolution: Smartphones are transforming consumer behavior Video Social Highest in India across the 76 73 Mobile Video & Social 66 49 52 47 46 48 43 40 29 26 25 26 Media usage: 24 21 19 12 12 14 13 14 11 11 globe China India UK US China India UK US High Usage Med Usage Low Usage Mobile Usage / Activities Search 98% App Store 98% Chat 90% Social Networking 89% Webmail 88% Video Streaming 70% News 58% BFSI 43% Shopping 41%Source: Ipsos India Mobile Consumer Insights study; Nielsen Mobile Informatics 2012
9. 1/5th of Hotel queries come from a mobile device now 2012 Desktop All Mobile Desktop: 18% 180 All Mobile: 61% 160 2011 Desktop: 27% All Mobile: 133% 140 120 80% 100 80 60 87% 40 20 20% 13% 0 Jan-11 Mar-11 May-11 Jul-11 Sep-11 Nov-11 Jan-12 Mar-12 May-12 Jul-12 Sep-12 Nov-12Sources: Google Internal Data, January 2013; Hotels & Accommodation Category
11. Trend of Hotel Specific Queries HED TABLET 2011 Jan 2011 Jun 2011 Dec 2012 Jan 2012 Jun 2012 Dec• HED volumes on accommodation related queries have grown by 410% YoY (Dec’11 to Dec’12).• Tablet volumes on accommodation related queries have grown by 260% YoY (Dec’11 to Dec’12).
12. Consumer Behavior
13. US mobile travel bookings to top US$ 25B by 2014 By 2014, Mobile revenue will be 18% of the online market and 8% of the total travel market in the US Mobile Bookings (US $B) Mobile as share of Online Market Mobile as share of Total Travel Market $30 20.0% Billions 18% 18.0% $25 16.0% 14.0% $20 13% 12.0% $15 10.0% 8% 8.0% 6% $10 5% 6.0% 2% 4.0% $5 3% 0.4% 1% 2.0% 0.2% $0.4 $2.7 $7.9 $17.0 $0 $25.8 0.0% 2010 2011 2012 P 2013 P 2014 PSource: PhoCusWright’s US Mobile Travel Report: Market Sizing and Consumer Trends.
14. Travelers are embracing booking on mobile Purchasing/booking via mobile phone, by medium Book/purchase travel Purchase extra services products such as hotel from travel providers rooms or flights 12% 14% 20% 22% 6% 7% 9% 12% Used mobile websites Used mobile apps 83% 80% 74% 70% Have not done online via mobile phone 2011 2012 2011 2012Source: PhoCusWright’s US Mobile Travel Report: Market Sizing and Consumer Trends. Base: Mobile web users.(2012: N=1,329; 2011: N=1,125.) Question: Please indicate which of the following travel-related activities you have done online usingyour mobile phone in the past 12 months and through which medium. Note: does not add up to 100% because some people reported using both mobile apps and mobile websites.
15. Mobile helps consumers book last minute% of mobile of reservationsmade within a day of arrivalby OTA: – Priceline: 82% – Hotwire: 80% – Orbitz: 64% – Expedia: 60%source: Forbes, October 2011; Nielsen, April 2011; Flurry, June 2011
16. mobile app users book last-minute, local and shorter stays at quality hotels Mobile Non-Mobile App Users Users Booked hotel within 1 day of arrival 82% 45% Booked 1-night stays 79% 62% Chose hotels 3-star or higher 82% 75% 58% of mobile app customers were within 20 miles of hotel at time of bookingsource: Priceline, September 2010
17. Consumers leverage a multi screen world Sequential Usage Moving from one device to another at different times to accomplish a task Simultaneous Usage Using more than one device at the same time for either a related or an unrelated activity Multi-tasking - Unrelated activity Complementary Usage - Related activity17
18. Sequential screening is common &mostly completed within a day 90% Use multiple screens sequentially to accomplish a task over time 98% move between devices that same day Base: Total Respondents (1611). Q. How often do you start an activity (i.e. emailing, researching, or shopping) on one device, but continue it or finish doing it at a later18 time on a different device? Base: Have Started Activity on One Device & Continued on Another (1455). Q. On average, how much time passes between the time you begin an activity on one device and continue the activity on another device?
19. Top activities performed whensequentially screening between devices 81% 72% 67% 63% 46% 43% 43% Browsing Social Shopping Searching Managing Planning Watching an the internet Networking Online for info Finances a Trip Online Video Base: Have Started Activity on One Device & Continued on Another (1455). Q. For the activities listed below, think about the last time you started each activity on19 one device and then continued or finished the same activity on another device. Please select which device you started and then continued on. If you have not done this, select “I have not done this”.
20. Smartphones are the most common starting place for online activities Started on a smartphone 65% 63% 65% 47% 59% 66% 56% Searching Browsing Shopping Planning Managing Social Watching an for info The internet Online a Trip Finances Networking Online Video Continued on a PC 60% 58% 61% 45% 56% 58% 48% Continued on a 4% 5% 4% 3% 3% 8% 8% Tablet Base: Have Started Activity on One Device & Continued on Another (1455); Searching (923), Browsing (1172), Shopping (969), Planning a Trip (627), Finances (675),20 Social (1041), Watching a Video (623). Q. For the activities listed below, think about the last time you started each activity on one device and then continued or finished the same activity on another device. Please select which device you started and then continued on. If you have not done this, select “I have not done
21. Tablets are most often a starting point for shopping and trip planning Started on 7% 7% 11% 15% 7% 4% 11% A tablet Searching Browsing Shopping Planning Managing Social Watching an for info The internet Online a Trip Finances Networking Online Video Continued on a smartphone 1% 1% 0% 1% 1% 2% 2% Continued on a PC 6% 6% 10% 14% 6% 3% 9% Base: Have Started Activity on One Device & Continued on Another (1455); Searching (923), Browsing (1172), Shopping (969), Planning a Trip (627), Finances22 (675), Social (1041), Watching a Video (623). Q. For the activities listed below, think about the last time you started each activity on one device and then continued or finished the same activity on another device. Please select which device you started and then continued on. If you have not done this, select “I have not done
22. Smartphones are the most frequent companion devices during simultaneous usage of the time when we’re of the time when we’re 57% using a smartphone, we’re using another device 77% using a TV, we’re using another device 28% 29% 49% 34% with a with television with a with PC/Laptop PC/Laptop smartphone 75% of the time when we’re using a tablet, we’re using another device 67% of the time when we’re using a PC, we’re using another device 35% 44% 45% 32% with a with television with a with television smartphone smartphone Base: All Device Interactions – Smartphone (6057); TV (3592); Tablet (542); PC/Laptop (3817). Q. Which of the following did you use? Q. What else did25 you use at the same time?
23. What is the WorldDoing?
24. Google Hotel Finder
25. Accor case – drive ranking 2
26. Myon-line CA Airport Lounge Check destination Planning information Send arrival notifications to Push notification of family, chauffeur, boarding time local company hosts dependingyour movie from the Start on the Return Information on distance pick up where In-flight Video hangouts Notificationlounge and of on the flights localShow important your in the Message from trains and Taxi Preview WelcomeArrivalyou left off Drink order plane Navigationupon to luggage your a notification to estimated time message for destination with No Check to waitthe need with information Notification of the captain destinationAutomatically from Send status arrival at the Google Earth yourcarousel and estimated destination in line automatically Online maps airport checked-in smartphone automatically Arrival family time for luggage pick up Check-in
27. The way forward
28. Mobile for hospitality1 Clearly a high growth distribution platform2 Location, personal, voice, mobile!3 A personalised engagement platform.4 Grow sources of revenue.5 India - mobile first!