Global mobile 3G subscribers in Q4, 2011, according to Informa/KPCB according to Informa/KPCBCountry3G subscribersQ4 20113G Penetration Country3G subscribersQ4 20113G PenetrationGlobal1,098 million18% USA208 million64% Brazil41 million17%Japan122 million95% India39 million4%China57 million6% Germany38 million36%South Korea45 million85% Spain33 million57%Italy44 million51% France30 million45%UK42 million53% Indonesia29 million11%Source: Informa/KPCA (May 2012)via: mobiThinking
MOBILE IN TRAVEL
MOBILE IN TRAVEL EyeforTravel Ltd.
The Mobile revolution is here! EyeforTravel Ltd.
How far have we come?>1.3 billion mobile broadbandsubscribers globally EyeforTravel Ltd.
How far have we come?Italy ranks 5th in the world for the largestnumber of 3G users (44 millionsubscribers)Only USA, Japan, China, S. Korea arehigher!
How far have we come?4G is currently being rolled out across 20Italian citiesIn Dec 2011, 9.7 million Italians accessedthe internet via a smartphone – a figurewhich is rapidly growing!
No. of travel brands gone mobile?54% of travel intermediaries and 50% oftravel suppliers said that they did nothave a mobile version of their website(June 2012)
Savvy travel brands ARE making money from mobile• In 2011 InterContinental Hotels Group (IHG) had seen revenues from mobile rise from $1 million to $10 million in just 12 months• By the end of 2012 they expect mobile revenues to exceed $130 million
Mobile leads to new customers In the first 2 months after the launch of its iPad app, Jetsetter saw over 250,000 downloads and 7,000 new customers
Google Smartphone Platform Leading EU5 LandscapeSmartphone platform market share andgrowth 166% 7% 5% 9% 8% Other 45% 20% Microsoft 38% RIM 21% 24% Symbian Apple 20% -2% Google 42% 22% -35% July 11 July 12 Product: MobiLens Data: Three month average ending July 2012 Country: EU5, N= 67,650
Significant Growth Observed Over Last 6 Months for Airline, Hotel and Car Rental / Transportation Transactions For Total Audience % Growth Feb – July 2012 – Total Phone Audience +101% 1.9 million booked airline tickets in July 1.7 million booked hotel rooms in July +77% 0.8 million hired cars or other ground transportation in July +90% Product: MobiLens Data: Three month average ending July 2012 Country: EU5, N= 67,650
Is Mobile investment increasing?Increasing Mobile Budget 53% in Q3, 2012 51% Didnt know if Mobile 8% budget would be Travel Suppliers increasing or decreasing 13% Travel Intermediairies 12% No Budget for Mobile 15% 0% 10% 20% 30% 40% 50% 60%
What results have travel brands seen? Mobile has generated 23%very little or zero revenue 19% Mobile has generated 41% direct bookings Travel Suppliers 35% Travel Intermediaries Mobile has increased 46% customer engagement 38% 0% 10% 20% 30% 40% 50%
Where do travel brands think mobile adds value?Important for customer 33% service 35% Important for 44% marketing 39% Travel Suppliers 52% Travel Intermediairies Important for sales 39% Important for 59% information search 48% 0% 20% 40% 60% 80%
What do consumers think? In July 2012, EyeforTravel surveyed 8,400 travel consumers in 5 differentcountries (UK, USA, France, Germany & The Netherlands).
Preferred travel booking method Most countries still very much prefer desktop Dutch are the Germans still most reluctant like the high to book via a street travel smartphone agentTABLET SMARTPHONE DESKTOP CALL DIRECTLY VISIT IN OTHER TO SUPPLIER PERSON TO AGENT
Attitudes vary by country50% of Dutch40% of French40% of Brits35% of Americans29% of Germans…. ….would not book travel via asmartphone EyeforTravel Ltd.
Willingness to spend via mobile 50% of Dutch 29% of Germans would NOT would NOT purchase purchase via via mobile mobile
Germans are the most willing nation to spend via mobile devices 71% of Germans were willing to book via mobile 18% of Germans would spend any value on a holiday via a mobile
How much do consumers want to spend? Of those willing to spend on mobile, the majority feltcomfortable purchasing up to a value of €600 via mobile
Trend for last minute • Google reported that 41% of last minute queries to airline websites were via mobile devices • For hotels, 33% of last minute queries were via mobile devices
However….62% of Germans will book via a tablet a month or more inadvance with just 7% booking on the day
Whereas in France…53% would book a month or more in advance and 10%would book on the day
The 5 Stages of Travel Chart courtesy of Google Inc
How do consumers want to engage with travel brands via mobile? 64% of Brits surveyed said they wouldlike information on local activities/deals while at their destination 45% want to check user reviews via a smartphone EyeforTravel Ltd.
Tap into the mobile ‘on-trip’ opportunities% of consumers who would 62% 58% like to use mobile to read 68% user reviews 59%% of consumer who prefer 69% Brits 59%to use a mobile to access a 69% Germans map 76% French Americans% of consumers who prefer 64% to use mobile to get 58% information on local 62% 69% activities/deals 0% 10% 20% 30% 40% 50% 60% 70% 80%
Social fuels the ‘on-trip’ mobile experience % of consumers who 10%ALWAYS share their travel 7% experience via social 7% media during their trip 14% Brits Germans % of consumers who 20% FrenchFREQUENTLY like to share 18% Americanstheir travel experience via 19% social media during their 23% trip 0% 5% 10% 15% 20% 25%
Travel is by definition mobile – and social! 30% of Brits and 37% of Americans like to share their travel experience via social media during their trip
SoLoMo - Integrate your mobile and social strategies! Gatwick airport uses a Social, Local and Mobile approach They have a presence across Facebook, Twitter, Foursq uare, Soundcloud, Qype and Instagram
The result?• 50% of passenger enquiries at Gatwick are now via their mobile site• Over the past year, the size of their Facebook community has tripled to 15,000 fans• Over 100,000 check-ins at Foursquare locations, 40,000 offers claimed• First airport worldwide on Instagram - 1,600 followers , 4,500+ images tagged #gatwick or #gatwick airport
bmibaby Instagram success• Instagram has more daily users than twitter• Visual social networks are rising in popularity• Asked Instagram communities in different European countries to create visual inspirational destination guides in return for flights!• #Miaitalia campaign in Italy had 6,400+ entries• Instameets were set up across different countries
The results?Almost 67,000images taggedimages tagged 100+ pieces of free media coverage
Tablets are different from mobile!• Tablets are more fun for consumers to use at the ‘Dreaming stage’• We found that Europeans are more like to book via a tablet than Americans• Eg. 25% of Germans want to book travel via a tablet compared with 15% of Americans
Change your website design to suit tablets! Use inspirational rich media Provide easy-touch navigation Adjust the size of fields on forms Remember that tablet users explore your website in both landscape and portrait positions so the first fold will change Consider font size Stay away from Flash!
To conclude…• Mobile is not just a booking channel!• Mobile budgets are increasing• Savvy travel brands are reaping the rewards of experimenting with mobile early• Your customer wants to engage with your brand via a mobile device at many stages of the travel life cycle – don’t lose out to your competitors!• Tablets and mobile devices require different approaches!
Grazie! Gina Baillie, GM, EyeforTravel ltd. firstname.lastname@example.org @anigba and @eyefortravel uk.linkedin.com/in/ginabaillieJoin the Linkedin ‘Mobile in Travel’ group! www.eyefortravel.com EyeforTravel Ltd.