SOCIAL TRAVEL & TECHNOLOGY 2015 and Beyond Opportunities for Australian Travel and Tourism
Topics for Discussion Technology Megatrends Online Travel Google Travel Analysis Bing Travel Tasks Social Search & Travel Facebook Future Innovative Travel Startups Travel Scenario Studies 2015 scenario for inbound tourism
Technology Megatrends Forrester - January 2010 “The Splinternet” 1. Internet of Things 2. Splinternet 8. Remote Robot -QB 6. Apple iTravel 3. Immersive 5. 3D Cinema & TV The Layar Reality Browser shows what is around you by displaying real time digital information on top of the real world as seen through the camera of your mobile phone. This technology is called Augmented Reality. We augment the real world as seen through your mobile phone, based on your location. 4. A-Reality 9. Electronic Publishing 7. PTAs
Online Travel Market Online travel market set to grow
Total US online travel market in 2010 will be ~$93B (offline + online = ~$236B) with expected growth through 2011 at 5-7%
While Asian markets offer solid growth projections, Europe provides better market sizes and online penetration. (UK was $30B in 2009. Expected 2010 growth is 5%. UK online travel share is ~40%)
PhoCusWright predicts that travel metasearch’s share is poised to take off, rising from its current 28% to get much closer to the OTA share of 71%
While flights will remain the largest transactional segment within online travel, hotels is expected to be the one to gain share by 2011.
Source: PhoCusWright US Online Travel Overview, Nov 2009
Search Travel Market Travel is a top 5 commerce category
~14.3B queries in November
(U.S. ComScore data)
~8.4% of 2.5B monthly commerce queries are travel-related
Travel is also a key category for revenue In FY09, Travel was the #1 vertical in revenue for Microsoft Media Network and the #3 vertical in revenue for Search (~$68M in FY09 and trending to ~$74M in FY10) Sources: ComScore, US query share, Nov 2009 Forrester Forecast of Travel Advertising, 2009
Top 12 Travel Tasks Research flights for an upcoming trip Plan a road trip of over 150 miles Get specific advice about a travel destination from people you know or other travelers Get specific advice about a travel destination from people you know or other travelers Research attractions (e.g. zoos, museums, etc.) at your destination Research attractions (e.g. zoos, museums, etc.) at your destination Research hotels for an upcoming trip Choose a vacation destination by looking at options meeting your criteria (e.g. type of trip, price, etc.) Explore options by type of destination (e.g. beach, cruise, etc.) or geographic area (Western US, Europe, etc.)
Top 12 travel tasks out of top 200 overall tasks in order of overall task importance.
Green shows top 5 tasks weighted on multiple factors (importance, frequency, etc.)
Get pictures or imagery of a vacation destination or a local area Research and plan a trip in a foreign country Organize and plan a last minute getaway Share your itinerary with people you know when planning a trip, for coordinating plans and adding to calendars (mobile) Find a condo or home to rent for a vacation
Chrome’s market share has grown organically from 1.6% to 5.2% between 3/09-12/09 (Launched Sep 08). Google’s search share on Chrome is 96%.
Surrounding consumers with online services from email to photo editing
Fundamental improvements in 2009 to catalog size, browse experience, opinion ranks, left rail web filters (nearby now & more shopping results)
Recent differentiators involve integrated local, mobile and product scenarios, such as near by now filter, Google shopper and Favorite Places Stickers(2), City Tours
Google handles ~133M travel queries/mo or 55% share of all travel queries
Bing Travel Top Tasks Of the top 40 tasks on Bing, these are the 5 travel specific tasks: Destinations by type (PC) Research hotels (PC) Share itineraries (mobile) Research flights (PC & mobile) Research attractions (PC & mobile)
Social Media Marketing is not Conventional Marketing “a many-to-many mediated communications model in which consumers can interact with the medium, firms can provide content to the medium and, in the most radical departure from traditional marketing environments, consumers can provide commercially oriented content to the medium.” Hoffman & Novak, 1997
A New Way of Marketing ? Social Network Marketing 1:1 Marketing ‘All Customers in a network interrelated’ Segment Marketing ‘All Customers are different’ ‘All Customers in a segment the same’ Shotgun Marketing ‘All Customers the same’
TV 3.0 Livestation All your channels in one place Surf and email while you watch Instant, live chat with others watching Livestation Desktop alerts bring you breaking news and Livestation updates Share with friends. Boxee makes it easy for friends to share their favorite movies, TV Shows, and songs with each other, on Boxee or on social networks like Facebook and Twitter.
“United Breaks Guitars” Collision of Marketing, Customer Service and PR “They Shake me”
Brands will be built and destroyed by social networking and media
Social networking tools and platforms such as YouTube, Twitter, Facebook and Delicious will become the main way to create (or destroy) brand value.
Consumers will increasingly trust opinions and preferences of their social network instead of traditional advertising. And their consumption behavior will be guided by this influence.
Businesses will increasingly have less control over brand reputation through mainstream advertising and will have to rely upon customer satisfaction and value.
Facebook is My Newspaper(Susie Wilkening, http://reachadvisors.typepad.com/ OneRiot.com: Search the realtime web
16 million people in the UK accessed Internet via mobile phones in December 2009. Total of 6.7 billion pages and 4.8 billion minutes online during the month. Top 10 sites accounted for 70 per cent of both total pages viewed and total time spent online
Australia Leads Average Time Spent per Person on Social Media Sites in December 2009
Social Travel General social networks and sites: Facebook (e.g. referrals to hotel web sites) Flickr (uploads from destination) Twitter (alerts on posted reviews, special offers e.g. Tornoto at 50% discount from Virgin America and geotagging use www.connectme360.com to check out ground content from destination tweets) LinkedIn YouTube (video of destination experience) Mobile social networks – foursquare and Gowalla Travel Blogs – Travelpod and TravelBlog Social Travel guides/networks – WAYN Travel review sites – trip advisor and Travel Post Online Travel Agencies (hotel reviews)
Zuckerberg: “We Are Building A Web Where The Default Is Social”(3rd F8 developer conference, San Francisco) not only can you see the social connections between people, but you can also see and create the connections people have with their interests—things, places, brands, and other sites. Zuckerberg calls it the Open Graph (as opposed to the Social Graph). It is really an Interest Graph. Yelp might create one around restaurants, Pandora might create one around music. Add some “like” buttons and anytime someone likes a restaurant, song, or movie anywhere on the Web with a Facebook like button, that information will flow back into the Open Graph. So that Yelp will know what restaurants you and your friends have liked elsewhere and take that into consideration when giving you recommendations, or Pandora with music, and so on Facebook is taking some of the information that pops up in people’s realtime streams and baking it into the Web. “The stream is ephemeral,” says Zuckerberg. “It is there for a few hours and then it mostly floats away. Services don’t understand the semantic connections between you and that restaurant.” But now Facebook can. Instead of the Web being defined only by hyperlinks (to the benefit of search engines like Google), Facebook wants it to be defined by social connections, likes and dislikes, interests that are coded and machine-readable. “Our goal is to use the open graph so people can have instantly social experiences wherever they go,” he says. The Open Graph is hugely ambitious. Just wait until Facebook plugs in targeted advertising by: Location, Age, Sex, Keywords, Education, Workplace, Relationship Status, Relationship Interests & Languages. The Open Graph API will allow any page on the Web to have all the features of a Facebook Page. Once implemented, developers can include a number of Facebook Widgets, like the Fan Box, or leverage any API, which enable the transformation of any Web page so it functions similar to a Facebook Page.
Travel Scenarios FUTURE TRAVELLER TRIBES 2020 FUTURE OF FREE TIME TOWARDS 2015 SHAPING TOMORROW TOURISM TOMORROWS TOURIST: SCENARIOS & TRENDS
Paradigm Shift 1.What today is impossible to do within the travel industry but if it could be done would fundamentally change our relationship with our customers/inbound international travellers no matter where they reside?
Technologies 2.What are the emerging technologies you feel will create significant opportunities for the travel industry associating with inbound travelers and therfore need to be considered specifically for further discussion?
2015 Inbound Scenario Based on what you have discussed at this workshop with fellow participants and a review of the highlights of futures studies e.g. Future Traveller Tribes from Henley Centre/Amadeus, tourism 2023, a Future of free time (lastminute.com) and Tomorrow’s Tourists (work of Dr. Ian Yeoman) think about a future scenario for inbound visitors in 2015. What are your key story elements for successful engagement with inbound international tourism in 2015 and afterwards as a travel industry participant? The 2015 ICC Cricket World Cup will have a positive impact and jointly hosted by Australia and New Zealand. The location of the final event is yet to be decided.
Issues 3. Issues to be overcome by 2015 to achieve your story: