Mnitmtravelfactbook2017 170420141330

Take
a Trip
2017 Travel
Industry Factbook

Travel Industry Insights
Travel Planning Process
Travel Purchase Funnel
• The Upper Funnel—Magazines, Search
• The Mid-Funnel—Display, Video,
Retargeting, Personalization, Social,
Influencers, Email
• The Lower Funnel—Desktop, Mobile
• Post-Purchase Actions
2017’s Hottest Travel Trends
Engaging the
American Traveler
Recap
Inside
MNI Targeted Media Inc. | 2017 Travel Industry Factbook

4
2017 is a good year for travel,
thanks to economic growth,
low fuel prices, and Millennials’
coming-of-age.
• The U.S. travel industry is forecast to grow
22% from 2015 to 2020, from $232.9 billion
to $284.5 billion.[1]
• A growing economy, low fuel prices, a
strong U.S. dollar, and an increasing
willingness to spend more on vacations
contribute to this growth pattern.[1]
• Millennials’ increasing spending power
and desire to travel, plus their growing
families, are helping to boost the U.S.
travel industry.[1]
The Travel Industry Continues to Soar
Best and Worst Case Forecast
Value Sales of Vacations and
Tourism, at Current Prices
2010–2020
Note: Includes fares and travel overseas; domestic spend on traveler accommodations;
scenic and sightseeing transportation services; travel arrangement and reservation services.
Source: based on Bureau of Economic Analysis, U.S. Office of Travel and Tourism Satellite Accounts
$306.4 B
Best Case
$262.6 B
Worst Case
$284.5 B
Mintel Forecast
TotalSales($billion)
170
190
210
230
250
270
290
310
330
Actual Est. Projected
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

5
Travel Sales
Go Digital
Digital travel sales
are likely to exceed
$195 billion this year.
• The U.S. was the largest
digital travel market in the
world in 2016, with over
$180 billion in sales,
representing nearly
one-third of the
worldwide digital
travel economy.[2]
• Overall advertising
expenditure
in the travel
category saw
a growth of
11% last
year, over
2015.[3]
U.S. Digital Travel Sales,
by Category, 2014–2020
Billions USD and % of total travel
sales in each category
2014 2015 2016 2017 2018 2019 2020
Airline $74.97 $76.92 $80.30 $85.30 $89.39 $93.26 $97.27
—% Total 54.3% 55.3% 56.1% 57.3% 58.3% 59.0% 59.8%
Hotel/
Lodging
$47.47 $52.54 $58.54 $64.17 $69.15 $74.60 $80.07
—% Total 35.7% 36.4% 37.4% 38.1% 39.1% 40.4% 41.6%
Vacation
Rental
$9.84 $12.34 $15.96 $20.82 $26.59 $32.58 $37.99
—% Total 32.6% 36.6% 41.1% 45.6% 50.1% 54.6% 59.1%
Car
Rental
$9.06 $9.56 $10.26 $10.74 $11.31 $11.89 $12.51
—% Total 49.2% 50.8% 53.0% 53.5% 54.0% 54.5% 55.0%
Cruise $3.09 $2.74 $2.96 $3.32 $3.61 $3.92 $4.26
—% Total 20.0% 17.0% 17.0% 18.0% 18.7% 19.5% 20.2%
Rail $1.22 $1.27 $1.34 $1.41 $1.48 $1.55 $1.62
—% Total 56.6% 59.1% 59.9% 60.9% 61.6% 62.4% 63.1%
Total
Digital
Travel
$152.40 $164.17 $179.79 $196.83 $213.03 $229.77 $264.16
Total
Travel $355.50 $374.43 $399.62 $426.45 $449.04 $470.65 $490.06
Source: UBS, “US Internet & Interactive Gaming—
Turning to ‘17: Growth vs. Investments Ahead,” Jan. 17, 2017.

6
Spending on travel will
rise 8%, to $6.77 billion
this year.[18]
• U.S. travel marketers spent
approximately $5.96 billion
on digital advertising in 2016,
a 21% gain from 2015.[18]
• Digital ad spending in the travel
sector is forecast to grow 13%
through 2020, and travel brands
will invest $8.9 billion.[18]
• Online travel agencies will
dominate spending over hotels,
airlines, cruise lines, rental car
companies, destination marketing
organizations, and tour operators.[19]
Travel Brands Ramp Up Digital Ad Spending
U.S. Travel Digital Ad
Spending, 2015–2020
Billions USD, % of total digital
ad spending, and % change
Note: CAGR (2015–2020)=12.5%; includes advertising that appears on desktop and laptop
computers as well as mobile phones, tablets, and other internet-connected devices, and
includes all the various formats of advertising on these platforms.
Source: eMarketer, Sept. 2016.
20.3% 20.5%
13.4% 11.1% 9.6% 8.1%
7.9%8.0%8.1%8.2%8.3%8.3%
$4.95
$5.96
$6.77
$7.52
$8.24
$8.90
2015 2016 2017 2018 2019 2020

7
More travelers seek experiences,
balancing the vacation of their
dreams with a price-conscious
travel budget.
• Nearly 60% of adults who planned at least one
vacation in 2015, including a flight or hotel, said
that a trip was their largest discretionary purchase
in the last year.[4]
• Between 2010 and 2015, travel spending grew a total of 27%.[5]
• 35- to 44-year-olds have the highest average spend on trips, at $879.[1]
• Most travelers venture to destinations they’ve never visited
before—53% of leisure travelers say they chose a destination
to visit new places.[6]
• The recent “sharing economy” trend resonates with travelers
across demographics.[7]
“Sharing economy” refers to the sharing of assets or services between private individuals,
either for free or for a fee, typically via the internet. Popular examples are Airbnb, HomeAway,
and Uber.
Americans Have Been Bitten by the Travel Bug
Attitudes Toward Vacation(s)
All Ages vs. Millennials (by percentage)
Iliketohavenew
experiences
whileonvacation.
Vacationsareprimarily
forrelaxation.
Ienjoyvisiting
exoticdestinations.
It’slessstressfultoreturn
tothesamedestination
you’vevisitedbefore.
83 83 66 5885 84 75 65
Based on responses from 1,550 internet users aged 18+ who have taken
at least one vacation in the last 12 months.
Source: Lightspeed GMI/Mintel Seasonal Vacation Trends – U.S., June 2014.

8
They are more likely than other generations
to take vacations, choosing travel experiences
over material purchases.
• Nearly half of Millennials say that travel is an important personal goal.[1]
• 83% of Millennials traveled for leisure in the last 12 months,
compared to 75% of the general population.[1]
• In 2016, 32% of Millennials said they are spending more on vacations
than they have in prior years, compared to 21% of the general population.[1]
• Millennials are the most likely of all adult generations to have
traveled internationally in the past three years (37% vs. 26%).[1]
• Nearly one-quarter of Millennials are interested in using shared
economy services, such as Airbnb, for accommodations
and home rentals.[1]
Goals and Aspirations for the Next Three Years
Millennials
Are the
Holy Grail
Healthier
lifestyle
56% 47% 41% 41% 37% 32% 25% 22%
Travel Freedom
from debt
Time
mgmt
Interpersonal
relationships
Big-ticket
purchase
Start a
family
Community
services
Base: 708 internet users aged 20-37.
Source: Lightspeed GMI/Mintel Marketing to Millennials – U.S., February 2015.MNI Targeted Media Inc. | 2017 Travel Industry Factbook

9
Bleisure: Millennials Make the Most of Business Trips
A passion for travel leads
Millennials to squeeze quick
vacations into business trips.
• Of the 40% of global business travelers in
2016, 46% think they will travel even more
for business in 2017.[9]
• 49% of business travelers extended their
business trips in 2016, while 75% intend
to do so this year.[9]
• 30% of travelers would accept a lower-paying job
if it meant they could travel more for work.[9]
• The bleisure movement has led the travel
industry to target Millennials with new
offerings, such as Marriott’s Experiences
by Marriott packages that offer premium
deals on curated experiences, made easily
accessible through the free mobile app.
Combined Business and Leisure Travel
Millennials, Gen X, and Baby Boomers
Source: Lightspeed GMI/Mintel March 2015.
I have added extra days
to business travel for my
own personal enjoyment.
I have scheduled a
business trip to a place
that I wanted to travel for
my own enjoyment.
I have scheduled a
business trip to coincide
with a fun non-business
event at that destination.
35% 20% 29% 25% 20% 26% 30% 17% 9%

10
As Consumers Age, Travel Expenditures Rise
Baby Boomers revel in travel
as a perk of higher income brackets,
and younger Millennials seize the
opportunity due to newly-acquired
financial resources and free time.
• Older Millennials are more likely than younger
Millennials to be employed (85% vs. 74%,
respectively), providing them more disposable
income to spend on travel.[1]
• Frequent business travel gives Millennials
an opportunity to rack up airline miles
or hotel loyalty points to utilize toward
future personal trips.[1]
• Baby Boomers spend a great deal on travel,
primarily due to their relative wealth and
time available.[1]
Median Household Income,
by Age of Householder (in USD)
Source: U.S. Census Bureau, Current Population Survey, Annual Social and Economic Supplement/Mintel.
$34,605
$54,243
$66.693
$70,832
$60,580
$45,227
<25
(iGen,
Millennials)
25–34
(Millennials)
35–44
(Millennials,
Gen X)
45–54
(Gen X, Young
Baby Boomers)
55–64
(Older Baby
Boomers)
65–74
(Older Baby
Boomers, Swing)

11
Millennial spending picks up as
they embark on family vacations.
• 92% of married Millennials have traveled
for vacation in the past 12 months, versus
69% of single Millennials.[1]
• Nearly 90% of parents vacationed in the past
year, compared to 70% of non-parents. Similarly,
parents with children under 18 are more likely to
go on multiple vacations throughout the year.[1]
• Visiting friends and family is the most common type
of vacation travel (47%).[1]
Family Matters for Millennial Travelers
Vacation Participation by
Quantity and Parent Status
Parents of Minors vs.
Childless Adults & Empty Nesters
Based on 2,000 internet users ages 18+.
Source: Lightspeed GMI/Mintel Seasonal Vacation Trends – U.S., June 2014.
Any Vacation 2+ Vacations
85% 74% 44% 32%

13
Great Trips Start with Great Research
55% of leisure travelers
only take one or two
vacations a year, but they
put a lot of thought into
planning these trips.[4]
• 37% of U.S. travelers think
about vacation planning once
a month; 17% think about it at
least once a week.[10]
• For many travelers, planning
begins with a blank page.
• 28% haven’t decided their destination
when they start planning a trip.[11]
• 83% say it’s important to choose a
destination where they can have a
new experience.
Primary Device/Medium Used by Leisure Travelers
to Conduct Travel Research(% total respondents in each group)
Millennials (ages 18–34)
vs.
Laptop
35%
Smartphone
29%
Tablet
17%
Desktop
16%
Print
2%
Total (ages 18–55)
Laptop
36%
Desktop
24%
Smartphone
20%
Tablet
18%
Print
1%
Note: numbers may not add up to 100% due to rounding.
Source: AMP Agency and Blitz, “Targeting Moments of Need in the New Travel Landscape” conducted by
Survey Sampling International (SSI), Oct. 5, 2016.

14
Travel Research is a Complex Process
Top criteria include cost, reviews,
pictures, availability, flight length,
travel schedules, and activities
at the destination.[13]
• Not surprisingly, price is the most common reason
for choosing one airline over another. Flight
schedule (57%) and free bag check (48%) are
distant second- and third-place considerations.[8]
• When presented with a deal, 30% would take a
trip when they weren’t planning to, 25% would go
to a destination they weren’t familiar with, 25%
would consider booking a last-minute flight, and
32% would book a hotel they’re unfamiliar with.[4]
• For Millennials, 70% consider quality over price
as the key criterion for choosing flights, hotels,
and even destinations.[1]
Most Critical Factor on Destination Decision Making
Source: comScore survey, CritContent—What Information Was Most Critical In Helping
You Decide On Your Destination?, among Total U.S. Online Travel Bookers (n=805).
Travel Costs 36%
27%
16%
14%
13%
12%
12%
12%
Hotel/
Accommodation
Activities Available
Recommendations
from Family/Friends
Reviews/Ratings
Weather/
Climate Info
Time to Reach
Destination
Hotel/Airfare
Loyalty Programs

15
Travel Inspiration Comes from Everywhere
Research is a cross-channel activity—
from magazines and TV programs to
social media and online reviews.
• 40% of travelers draw travel inspiration
from peers, 42% from online travel
providers, and 59% from online videos.[14]
• Reviews rule—over 95% of leisure
travelers read approximately seven
reviews before booking, spending
an average of thirty minutes on
sites like TripAdvisor.[15]
• Tech-savvy Millennials are
more likely to use travel
agents and print media,
as well as online sources.[1]
• TV and movies also inspire
would-be travelers, and
have a greater influence
on Millennial vacationers
(36%) than on total
vacationers (27%).[1]
Research Source for Most
Recent Vacation Travel
Online / Print / Travel Agent
Base: 910 internet users aged 22-39 who have traveled
for leisure in the last 12 months.
Source: Lightspeed GMI/Mintel.
51%
42%
36%
22%
22%
19%
19%
Online research
via desktop/laptop
Online research
via smartphone
Online research
via tablet
Print travel book
Print travel
magazine
Print materials
from travel agent
Direct contact
w/travel agent

16
Digital Remains Key to Travel Research
Digital media drives awareness and
education, pushes transactions, and
affects post-purchase touch-points.
• An average trip-buying journey includes fifty-six visits
to travel-related digital touchpoints before booking.[14]
• Reading articles and watching travel-related videos
ranked among the top activities.[16]
• While desktop and laptop computers are most likely
used (51%) for online research, mobile devices are
catching up.[1]
• Technology-based recommendations, like Booking.com’s
search feature based on interests or passions, resonate
with nearly 40% of Millennial vacationers.[1]
• 84% of travel booking is done through online channels.[11]
• Almost one-third of leisure travelers said they used
at least one mobile app in planning travel.[17]
Mobile apps from airlines
for upgrade status alerts
Mobile apps or text alerts
on flight status (incl. delays)
Digital Tools That Help
U.S. Internet Users Manage
Holiday Travel, Sep. 2016
% of respondents
Notes: n=1,106 ages 18+
Source: Sequence, “Technology and Holiday Traditions: The New Normal,” Nov. 4, 2016.
Weather apps to track
for potential delays
Mobile boarding apps/digital
boarding passes
Texting or chat apps
Mobile travel booking
apps to book flights
Twitter to track airport activity,
incl. long lines or other issues 10%
24%
29%
33%
48%
51%
57%

Travel’s
Multimedia
Purchase
Funnel

18
Travel’s Multimedia Purchase Funnel
Upper Funnel—Awareness
Magazines, Search
Mid Funnel—Consideration, Preference
Display, Video, Retargeting, Personalization,
Social, Influencers, Email
Lower Funnel–Purchase
Desktop, Mobile
Engagement/
Advocacy
Mobile Search, Apps
Intent
Post-Purchase Behaviors
Referral

19
Travelers Trust Magazines
Upper Funnel
Travel intenders and affluents
seek the opinions of trusted
print media about travel.
• U.S. travel intenders are heavy
consumers of magazines, using more
of this medium than any other.[20]
• U.S. travel influentials are 60% more
likely than the general population to
read travel magazines, while affluents
are 33% more likely to do so.[20]
• Travel influentials are three times more likely to
seek information on costs, travel arrangements,
sightseeing, and travel activities from magazines,
while affluents are 74% more likely to do so.[20]
Affluents: HHI of $100,000+
Travel Influentials: Business or vacation travel category influentials
Travel intenders: Likely to take a domestic or foreign vacation in the
next 12 months
Heavy consumers of media (Magazines, Newspaper, Radio, TV, Internet):
refer to top quintile consumers
Index of Travel Characteristics of Devoted Media Users
Magazines / Internet* / TV / Radio / Newspapers
Index: Top quintile of users of each medium vs. adults 18+
* Includes internet magazine activity.
** Defined as Hawaii, Florida, theme parks, and other U.S. destinations.
Source: GfK MRI, Spring 2015.
Very likely next 12 mos.:
take a cruise (2+ days)
vacation abroad
Agree completely/
somewhat: people ask my
advice about vacation travel
vacation in U.S.**
114 105 82 103 107 113 103 78 98 98 110 107 96 109 101 108 101 85 102 104

20
Consumers and Advertisers Swear by Search
Upper Funnel
Following consumer trends, travel
advertisers allocated more than
half of their budgets toward paid
search efforts in 2016.[19]
• 48% of U.S. travelers said they used search
engines when beginning to research a trip,
compared to 20% using a property’s website
and 14% using an online travel agency.[17]
• The travel industry spent approximately
$3.12 billion on paid search in 2016,
up 18.6% from 2015.[19]
• Search accounted for 58% of the U.S. travel
industry’s digital ad spending in 2016, while
display accounted for 34%.[19]
• The focus on driving transactions leads paid
search to dominate travel ad budgets.
U.S. Marketers Who Use Paid Search Advertising
% of respondents, by industry
2015 2016
Travel/hospitality 35% 46%
Healthcare/pharmaceutical 42% 38%
Technology 41% 37%
Retail 37% 35%
B2B services 33% 27%
CPG 37% 25%
Financial services—banks or credit unions – 25%
Financial services—insurance – 25%
Nonprofit 18% 21%
Publishing & media 18% 8%
Automotive 36% –
Building/construction 25% –
Financial services 16% –
Education 13% –
Entertainment 3% –
Other 27% 35%
Note: 2015 n=143, 2016 n=203
Source: Direct Marketing Associaction (DMA) and Demand Metric, “2015 Response
Rate Report” & “2016 Response Rate Report,” April 2, 2015 & July 28, 2016.

21
Mobile Search Has Arrived
Upper Funnel
The availability of smartphones
makes mobile increasingly
important for travel.
• 70% of travelers with smartphones use
them to research travel options.[22]
• 40% of the visits to U.S. travel sites and
60% of destination information searches
now come from mobile.[22]
• U.S. mobile travel sites are securing more
frequent and shorter sessions, resulting in
a 10% rise in conversion rates.[23]
• The increasing time spent, and growing
sales via mobile devices, is pushing travel’s
mobile ad spending ever higher, to over
63% in 2016.[19]
2016 U.S. Travel Industry Digital Ad Spending
billions USD and % total, by device
Total=$5.69
*Includes classified, display (banners and
other, rich media, and video), email, lead
generation, messaging-based advertising,
and search advertising; ad spending on
tablets is included.
Note: digital ad spending includes
advertising that appears on desktop
and laptop computers as well as mobile
phones, tablets, and other internet-
connected devices, and includes all the
various formats of advertising on those
platforms; numbers may not add up to
total due to rounding.
Source: eMarketer, April 2016.
Desktop/Laptop
$2.09 (36.6%)
Mobile*
$3.61 (63.4%)

22
Mobile Search and Millennials
Upper Funnel
Four-out-of-ten Millennials
conduct travel research on
smartphones and tablets.
• More than one-third of travelers
have discovered a new travel
company through mobile search.
This figure is even higher (50%)
for Millennial travelers.[13]
• Searching for coupons or deals
is the most common mobile
travel-related activity for
U.S. Millennials.[16]
Travel-Related Smartphone Activities
Conducted by U.S. Smartphone Users
(% of respondents)
Looked for discounts/offers 44%
Looked at things to do/tourist info before visiting a place 35%
Looked at things to do/tourist info while traveling 32%
Looked at flight options 29%
Checked flight times 28%
Looked at accommodation options 25%
Watched videos about accommodations or the local area 24%
Checked into flight or accommodation 22%
Found address/contact info for a travel agency 20%
Booked accommodation 20%
Looked at rental car options 19%
Booked a flight 18%
Used a mobile ticket/boarding pass 18%
Used a loyalty program 15%
Made a last-minute booking 14%
Wrote a review for a destination 11%
Note: n=500 ages 18–64 who used their smartphone for travel activities in the past month;
in the past 30 days; via mobile app or website.
Source: Think with Google and Ipsos, “How People Use Their Phones for Travel,” Nov. 30, 2016.

23
Display Ads Capture Attention
Mid Funnel
After paid search,
display dominates.
• Travel industry spending on display
will amount to $1.95 billion this year.[19]
• Digital display and rich media remained
a significant portion (34%) of the
category’s total digital spending
in 2016.[19]
• Most of this spending is moving
away from standard banner units and
heading toward rich media and display
ads purchased programmatically.
• $1.5 billion (77%) of the $1.95 billion
in digital display ads purchased by
travel advertisers in 2016 was
purchased programmatically.[19]
2016 U.S. Travel Industry Digital Ad Spending
billions USD and % total, by transaction method
Total=$1.95
*Digital display ads transacted via an
API, including everything from publisher-
erected APIs to more standardized RTB
technology.
Note: includes advertising that appears
on desktop/laptop computers as well as
mobile phones, tablets, and other internet-
connected devices; includes banners, rich
media, sponsorship, video, and other.
Programmatic*
$1.5 (77%)
Non-
Programmatic
$0.45 (23%)

24
Video Aids in Purchase Consideration
Mid Funnel
Travel advertisers spent 11% of digital
ad spending on digital video in 2016[19]
,
as 64% of travel intenders watch travel-
related videos.[12]
• Digital video spending by travel advertisers amounted
to $610 million in 2016.[19]
• Three-out-of-five travelers who watch online video use it to
narrow down their brand, destination, or activity choices.[12]
• In any given month, over 100 million of YouTube’s unique
visitors are travelers[12]
, and video-watch time on Instagram
is up 40%.[24]
• YouTube searches for ‘travel hack’ videos grew 115% year-
over-year, with over half coming from mobile devices.[25]
• Watch time on mobile devices has grown by over 65%
year-over-year.[12]
2016 U.S. Travel
Industry Digital
Ad Spending
billions USD and
% total, by format
2016 % total
Search $3.12 54.9%
Display* $1.95 34.3%
—Video $0.61 10.8%
Other** $0.62 10.8%
Total $5.69 100%
*Includes banners, rich media, sponsorships, video, and
ads such as Facebook’s New Feed Ads and Twitter’s
Promoted Tweets
**Includes classifieds and directories, email, lead
generation, and mobile messaging.

25
Retargeting and
Personalization Go a Long Way
Mid Funnel
• 61% of travelers thought that retargeting
ads were helpful for completing purchases
in general.[19]
• 85% of travelers said that customized
itineraries are far more appealing than
one-size-fits-all solutions.[26]
• 83% of Millennials said they would allow travel
brands to track their habits in exchange for a better,
more personalized experience.[26]
• Travel brands are taking note—43% of travel companies
named ‘targeting and personalization’ as the top priorities
in their digital strategy. 25% of companies are focused on
mobile optimization of their online properties.[26]
74% of travelers
were more likely to
click on a travel ad if
it was for a vacation
or destination they
had previously
searched for.[19]
Retargeted and personalized interactions
boost brand consideration, and even conversion.

26
Travel Intenders Flock to Social Media
Mid Funnel
Social media provides everything from
travel tips and blog trip experiences to
inspirational photos and videos.
• 52% of travelers said that social media influenced a
change in their travel plans, while 80% are more likely
to book a trip from a company “liked” by a friend than a
conventional Facebook ad.[15]
• While 43% of all vacationers look at photos and videos
of destinations on social media, this trend is more
popular among tech-savvy Millennials (49%).[1]
• Programmatic growth across the travel category is due
to the rapid adoption of social media advertising on
Facebook and Twitter, via programmatic direct buying.[19]
• 46% of U.S. travel and hospitality brands invested in
social media advertising in 2016, up from 41% in 2015.
Information Sources Used by Travelers
to Plan Trips, Sep. 2016
% of respondents
Note: n=1,000 ages 18+; after they have decided to take a trip.
Source: Signal, “Signal Cross-Device Traveler Survey,” Oct. 12, 2016.
62.9%
58.2%
56.2%
53.9%
39.2%
35.9%
33.4%
27.8%
26.1%
25.0%
16.8%
14.9%
14.8%
0.7%
Search engines
Third-party travel sites
Friends and family
Hotel sites
Reviews from other travelers
Social media
Airline sites
Online articles and blogs
Travel guidebooks
Travel ads
Travel agencies
Newspapers & magazines
TV shows
Other

27
User-Generated Content Is King
Mid Funnel
Travel content from bloggers
and influencers is a credible
source of information for travel
intenders, because they marry
personal experiences and
authentic imagery.
• Influencers generate snackable travel-
related content pieces that are shorter
and easier to read—interspersed with
photos and videos.
• This content creates top-of-the-funnel
awareness on Instagram and Pinterest, is featured
in ads to accelerate the journey, and on-site to
help drive bookings.
• Blogs covering both food and travel are
among the most popular content types,
as food tourism gains popularity.
Earned media value for every $1 spent on paid media from influencer marketing campaigns.
Source: eMarketer | RhythmOne, “Influencer Marketing Benchmarks Report Full Year 2015”, March 30, 2016.
Earned Media Value of U.S.
Influencer Marketing Campaigns
by advertiser category, in USD
Alcohol
CPG food
Grocers
Toys & games
Home & garden
Bath & beauty
Health & pharma
Retailers & apparel
CPG non-food
Casual dining
Baby care
Telecom
Electronics
Travel
$21.03
$12.03
$18.98
$10.59
$10.51
$10.26
$7.04
$6.72
$6.66
$6.01
$5.29
$3.15
$0.48
$1.37

28
Email Marketing Propels
the Purchase Process
Mid Funnel
91% of U.S. travel brands
invested in email marketing
in 2016, focusing on targeted
offers and incentives.
• Targeted emails offering an incentive,
such as priority booking passes, have
proven successful.[7]
• The most read emails from air carriers
often mention loyalty membership
status and program details.[25]
• Top promotional emails also focus on
savings and limited-time offers.[8]
Attitudes Toward Email
Marketing, March 2016
Willonlyopenanemail
from
atravelbrandifsubject
headerisrelevanttome.
Receivetoomanyemail
offersfrom
travelbrands.
Tendtoignoreemailsfrom
travelbrandswhoemail
2+timesaweek.
30% 27% 22%
Base: 1,764 internet users aged 18+ who
have booked any travel in the last 12 months.

29
Large Screens Enjoy the Top Spot Bookings
Lower Funnel
75% of travelers who shop
for hotels or flights on their
smartphone typically end up
purchasing on a PC.[4]
• Desktop and laptop bookings
exceed bookings via mobile device
(76% versus 24%, respectively).[8]
• Smartphone and tablet bookings
(13% and 11%) indicate that
functionality may be as much
of a barrier as screen size.[8]
• After shopping on a smartphone,
nearly two-out-of-three double-check
flight prices on a computer, and half
double-check hotel prices.[4]
Devices/Channels Used by
U.S. Travelers to Research
vs. Purchase Hotel Rooms
and Airline Tickets Digitally,
September 2016
% of respondents
Researched
airline options
digitally
Researched
hotel options
digitally
Bought an
airline ticket
digitally
Booked
a hotel
digitally
Desktop/Laptop 83.4% 80.7% 81.5% 79.5%
Smartphone 54.5% 57.0% 36.6% 46.5%
Tablet 27.5% 28.7% 20.6% 20.5%
Called a
Travel Agent 6.9% 6.0% 7.2% 7.8%
None of These 0.0% 0.2% 0.4% 0.3%
Note: ages 18+ who have conducted each activity.
Source: Signal, “Signal Cross-Device Traveler Survey,” Oct. 12, 2016.

30
Mobile Booking Is Rising
Lower Funnel
31% of leisure travelers and 53% of
business travelers book via smartphone.[22]
• Of travelers who researched their last trip on mobile,
38% also booked it on mobile.[14]
• Travelers who booked their last trip on mobile did so
due to convenience (52%), and time-savings (44%).[14]
• Mobile airline bookings were split almost evenly between
smartphones (53%) and tablets (47%). For hotels,
smartphones dominated with 81% of the reservations,
while tablets won out at 60% for packages.[27]
• Compared to non-mobile bookers, mobile travel-bookers
are 1.9x more likely to be frequent travelers, 1.3x more
likely to prefer personalized advertising, and 1.5x more
likely to consider booking on a mobile app.[11]
Opportunities from Implementing
a Mobile Strategy According to
U.S. Travel Managers, May 2016
% of respondents
Note: n=216.
Source: Global Business Travel Association (GBTA), “A Mobile Effect:
Setting a Clear Mobile Travel Strategy” in partnership with Carlson
Family Foundation, Aug. 25, 2016.
Increase traveler
engagement
Increased
compliance
Reduced off-
program bookings
Lower
transaction costs
Don’t see any
opportunity
Other
78%
55%
43%
34%
8%
7%

31
Mobile Travel Sales to Boom
Lower Funnel
Overall mobile travel sales were
expected to hit $65 billion—
nearly 36% of total U.S. digital
travel sales—in 2016.[27]
• Bookings from mobile devices are
anticipated to make up almost half
of total digital travel sales by 2020.[27]
• In the past year, conversion rates have
grown 88% on mobile travel sites,
and mobile’s share of travel visits has
grown by 48%.[10]
• Mobile ad spending among U.S. travel
brands reached $3.61 billion in 2016,
making up more than 63% of total digital
ad spend. This is a significant increase
over 2015’s figures, when the mobile ad
spend made up 49% of the total.[19]
U.S. Mobile Travel Sales, 2014–2020
billions USD, % change, and % of digital travel sales
Note: includes leisure and unmanaged business travel sales booked via mobile device.
Source: eMarketer, May 2016.
$31.95
21.3%
31.0%
63.0%
95.3%
24.8%
36.0%
40.0%
43.5%
46.0% 48.0%
16.7%
13.6%
10.0% 8.0%
$65.01
$75.85
$86.20
$94.80
$102.38
$52.08
2015 2016 2017 2018 2019 20202014

32
Search phrases
in local language
Ways U.S. Travelers Use
Mobile Devices After Arriving
at Their Travel Destination
% of respondents
Mobile is the Go-To Tool While on Vacation
Engagement/Advocacy
85% of leisure travelers decide on
activities only after having arrived
at the destination,[25]
and they employ
their mobiles for assistance.
• Travelers are using mobile to be spontaneous—
half of international travelers use smartphones
to look for things to do once they’ve arrived
at a destination.[25]
• More than half of travelers said they would check
in using a mobile app if they could, and use it to
purchase additional services during their stay.
Almost two-thirds (61.4%) said they would use
a mobile app to purchase a late checkout.[17]
• Since smartphones are location-aware, travelers
often search for “things to do near me.” Search
interest in queries related to “places to eat near
me” has more than doubled since 2015, offering
opportunity for hospitality advertisers.[6]
Note: ages 18+.
Source: Colloquy, “Travel and Loyalty: On a Journey Together,” Aug. 25, 2016.
Find attractions
Check hotel
reservations
Navigate a
downtown area
73%
71%
66%
54%

33
Digital Activities Conducted by U.S. Internet
Users When Traveling, August 2016
% of respondents
Social Helps Spread the Word
Engagement/Advocacy
Nearly one-in-five use
social media while traveling,
sharing snippets of their
experiences with peers.
• When Millennials travel, many
reach for their smartphones to
tweet and Instagram pictures in
real-time, and to post comments
about the restaurants they’ve
tried and experiences they’ve had.
• Half of U.S. internet users shared their
vacations with family and friends
through Facebook, and another 14%
posted on Instagram.[19]
• Advertiser interest in paid social
complements consumers’ increasing
use of social sites to share personal
travel content.
Note: n=814 ages 18+
Source: AYTM Market Research, “Travel Wifi,” Aug. 30, 2016.
Looking up directions/
navigation
Social media
Looking up
travel info
Streaming music
Gaming
Streaming videos/TV
Work
School
Other
None of these
21.0%
8.6%
15.7%
7.8%
4.3%
17.9%
8.4%
10.0%
3.5%
2.9%

2017’s
Hottest
Travel
Trends

35
Data-driven targeting gains
popularity as travel advertisers invest
in data collection and analytics.
• The use of Bluetooth beacons to deliver proximity-
based messaging to smart devices is growing quickly,
and could be mainstream in the next several years.[28]
• More granular demographic and logistical data will
enable delivery of more personalized offers, while real-
time feedback will improve product development, predict
problems, and enhance user experiences.[28]
• As travelers seek more relevant and trusted content, online
travel agencies are increasing their investment in Big Data
analytics. Robust data capabilities help identify visitors across
different channels and devices, driving personalized marketing
and customer journeys.[26]
• Programmatic is a crucial tactic for incorporating customer data
and utilizing audience intelligence. Executives in the travel category
place high importance on leveraging first-party data to power their
programmatic efforts.[19]
Data-Driven Targeting
Methods Used to Collect
Traveler Data According to
Travel/Hospitality Decision-
Makers in the U.S.
Source: eMarketer | Mindtree, “Winning in the Age of Personalization”
conducted by Vanson Bourne, Feb. 10, 2016.
Customer
Profile
Data
Loyalty Social
Media
Usage
87% 83% 80%

36
Internet-of-things (IOT) will provide a seamless
travel experience, from research to travel purchases.
• Travel companies worldwide expect to spend an average of
$109 million each on IoT initiatives in 2018.[29]
• Consumer-facing initiatives are primarily aimed at delivering more
personalized and frictionless experiences to travelers. For example,
airlines are experimenting with app projects that streamline check-in,
help passengers navigate an airport, improve baggage handling, track
pets in transit, and send other personalized alerts to travelers.[14]
• On the enterprise side, many in the travel category have IoT systems
already in place to boost efficiency and streamline operations.
Hotels manage use-and-maintenance of their heating, ventilation,
and air conditioning (HVAC), security, plumbing, elevator and other
facilities-related systems. Airlines employ sensors to gather real-
time information from aircraft parts and systems that are then
used to track flight data, optimize fuel consumption and anticipate
maintenance issues.
Source: Tata Consultancy Services, “Internet of Things: The Complete
Reimaginative Force” conducted by Research Now, July 22, 2015.
Ways in Which Their Company is Using
IOT Technologies According to Travel,
Transportation, and Hospitality
Executives Worldwide, April 2015
% of respondents
In production & distribution ops,
to track product flow to customers
Through mobile apps that
customers use on smartphones,
tablets, or other digital devices
Through digital sensors & other
devices in locations where business is
conducted (e.g. stores, offices, branches)
Through digital sensors in products
that send data to the company on
how those products are performing
Through digital devices (e.g. digital bracelets)
customers can wear, allowing the company to
track usage of products & services
Don’t currently use digital tech to monitor
products, but plan to do so by 2020
71.9%
32.8%
20.3%
14.1%
12.5%
7.8%
Internet of Things

37
The travel industry is on the cusp
of developments in the virtual
reality, virtual assistant, and
artificial intelligence space.
• Millennials are a tech-savvy generation,
and interest in using technology to
experience destinations prior to visiting
is of greater interest to them than to
vacationers in general.
• Virtual reality is beginning to be well-
utilized by hospitality, cruise, and destination
marketers to entice Millennials.[1]
• By combining big data with artificial
intelligence, the industry will employ
‘virtual travel assistants‘ to offer advice,
such as suggesting nearby restaurants
according to travelers’ personal tastes
and budget.[15]
Select Attitudes Toward Travel
Improvements, March 2016
% of respondents
Base: 1,764 internet users aged 18+ who have booked any travel in the last 12 months.
Single app to plan
the entire trip
Mobile app to
suggest activities
before & during trip
Mobile device
travel booking
improvements
Voice-assisted
technology to help
w/travel booking
21%
18%
17%
13%
VR, VA, and AI

The Smart
Way to Reach
the American
Traveler

39
With our online and targeted magazine
solutions to help travel brands reach
their consumers, we create touchpoints
at each stage of the travel purchase
funnel, for richer and smarter
advertising experiences.
Our Media Solutions

40
MNI Magazine
Networks reach
nearly half of all
travel intenders,
and influence fifty-
four cents for every
dollar spent on
vacation travel.[20]
Magazine Solutions, MNI Search
Drive Brand Awareness Through
Our magazine networks, custom packages, and
Cover Wraps drive awareness, and our search
solution provides brand visibility.
• MNI Magazine Networks reach half of all
travel decision makers, over half (57%) of
all travel influentials, and more than half
(55%) of all travel bloggers.[20]
• Over half of our readers have noted travel ads in MNI
Magazine Networks, and nearly 63% have taken action
after noting these ads, including visiting the advertiser’s
website, looking for additional information, considering
transacting with the advertiser, and actual purchases.[21]
• MNI Search works across three leading search
platforms, to execute travel campaigns that can
be optimized across any or all of these platforms.
Travel bloggers: frequent travelers AND bloggers.
Travel and travel-related ads: advertisers under the industry classes—
aviation (excluding freight), public transportation, and hotels & resorts.

41
MNIx, MNI Video Solutions
Research is a cross-channel activity—
from magazines and TV programs to
social media and online reviews.
• MNIx makes it simple for travel brands to harness
the power of programmatic, through access to open
exchanges, private marketplaces, ad networks, advanced
targeting technologies, and cross-platform capabilities.
• Ads on travel-specific sites reach defined audience profiles, and
provide content alignment for a less-intrusive ad experience.
• Campaigns across display, video, native, social, mobile/tablet, and
connected TV create cross-platform opportunities to engage the right
audience at the right time.
• Extensive targeting capabilities and data management solutions work
to zero-in on the exact audience groups.
• MNI Video Solutions work across channels and platforms, to
provide advanced targeting capabilities, extensive inventory,
and the ability to push travel video-ads to target audience
groups while they are engaged with specific, relevant content.
Trigger Brand Consideration via

42
MNI Social
Trigger Brand
Consideration via
Our social solution delivers
cross-platform social
campaigns, at scale.
• MNI Social works across all major
social media channels, using the latest
targeting capabilities, so travel brands
can engage the right audience across
their social media accounts.
• Unique targeting technologies help travel
advertisers reach specific audience groups
at the right time, on the right platform.

43
MNI Mobile Solutions
Our mobile solutions connect travel
brands directly with their audience,
wherever they go.
• MNI Mobile Solutions let travel advertisers
reach specific consumers on their trusted and
indispensable mobile devices, using advanced
targeting capabilities.
• Travel-specific mobile channels can be leveraged to get the
right message in front of the target audience engaged with
the relevant content and context.
• Location-based targeting tactics drive engagement advocacy—
eye-catching creatives, coupons, and offers can be served
to travelers when they are at the destination, or close to a
specific location.
• MNIx offers mobile-first solutions with targeted digital
inventory across both mobile web and in-app.
Drive Conversions with

44
DataMatch™
Our big data solution defines
and targets niche audiences
across platforms.
• DataMatch™ leverages proprietary first-party data
to identify adults seeking their next getaway, and
targets them on a deterministic, one-to-one level
via cross-platform campaigns.
• First-and third-party data from Omnipoint, mobile data, and offline
data are harnessed, to identify individual user-profiles who make
up the best audience for travel brands.
• This niche audience is activated on channels where they are most
likely to engage, across programmatic and list-based activations.
Drive Conversions with

46
Travel Insights Recap
• The vacation and tourism market is slated for 22% growth from
2015-20, to reach $284.5 billion, with growth aided by a strong
economy, low fuel prices, a steady U.S. dollar, and an increasing
willingness to spend more on vacations.
• U.S. consumers are keen on traveling more this year, hoping to visit
new destinations, while embracing the sharing economy.
• Millennials are a key consumer group for the travel industry, as they
prioritize gaining experiences over acquiring possessions.
• The bleisure trend is expected to rise, as Millennials seek to strike a balance
between their careers and the need to immerse themselves in experiences that
only travel can provide.
• Older Millennials are in a better position to spend more on vacations, owing to
their career achievements and their possession of more disposable income than
their younger counterparts.
• Families play a critical role in travel decision making, with children having a key role
in destination decision making.
• While travel intenders start their decision-making process on a blank page, they are quick
to fill up the spaces through prioritizing their selection criteria, which include cost, reviews,
pictures, availability, flight length, travel schedules, and activities at the destination.

47
Travel Insights Recap
• When it comes to travel decision making, travel intenders amass
information from all possible channels and media types, choosing a
media-agnostic approach by embracing print, TV, and online sources.
Digital media plays an important role at all stages of the purchase funnel.
• Magazines and search work at the top level of the purchase funnel, to build
brand awareness and inform travel intenders of the various travel options
available at their disposal.
• When at the mid-funnel level, travel intenders choose to explore various media
channels, across both mobile and desktop, to aid in their decision making. They
engage with display and video ads, emails, influencer and user generated content,
and social media sites. They are more likely to engage with ads that are retargeted
based on their previous interactions, and communications and offers that are
personalized to their tastes and preferences.
• At the lower-funnel stage, desktop bookings currently reign, while mobile bookings are
ascending the ranks, as travel intenders are becoming increasingly cross-device savvy.
• Once at the destination, travelers are more likely to use their smartphones for additional
research and travel-related purchases. They also turn to social media to share their travel
experiences real-time.
• Key trends to watch out for in 2017 include employing consumer data, IoT developments,
and advancements in the AI, VR, and Virtual Assistants space.

48
Sources
[1] Millennial Travelers – U.S. | Mintel | April 2016
[2] Worldwide Digital Travel Sales | eMarketer | July 2016
[3] Multimedia Spend Report—2015 vs. 2016
[4] New Research Shows How Brands Can Win Travel Micro-Moments |
October 2016 | think with Google
[5] American Lifestyles: Balance Or Bust—U.S. | Mintel | April 2016
[6] How Mobile Influences Travel Decision Making in Can’t-Wait-to-
Explore Moments | July 2016 | think with Google
[7] Travel Booking - U.S. | Mintel | May 2016
[8] Airlines – U.S. | Mintel | July 2016
[9] 8 Big Travel Predictions for 2017 | Booking.com | November 21, 2016
[10] Travel Trends: 4 Mobile Moments Changing the Consumer Journey |
November 2015 | think with Google
[11] Navigating the Multidevice Travel Path to Purchase | January 27,
2016 | Facebook IQ
[12] I-Want-to-Get-Away Moments:
What They Mean for Travel Marketing | July 2016 | think with Google
[13] How the Travel Research Process Plays Out in Time-to-Make-a-Plan
Moments | July 2016 | think with Google
[14] The Mobile Compass: How Smartphones Guide the U.S. Travel Path
to Purchase | September 26, 2016 | Facebook IQ
[15] 5 digital marketing trends transforming the travel industry | Smart
Insights | November 29, 2016
[16] U.S. Millennials Use Mobile for Travel Content,
but PCs Still Lead | eMarketer | January 29, 2016
[17] Most Travelers Use Search Engines When Planning
a Trip | eMarketer | March 24, 2016
[18] The U.S. Travel Industry H2 2016 Update | eMarketer |
December 2, 2016
[19] The U.S. Travel Industry 2016 | eMarketer | May 2016
[20] 2016 Spring GfK MRI; Base: U.S. Adults 18+
[21] Magazine/Advertiser Detail Report 1/1/2016–12/19/2016
[22] Travel Infographic: How Mobile Shapes the Customer
Journey | July 2016 | think with Google
[23] How Micro-Moments Are Reshaping the Travel Customer
Journey | July 2016 | think with Google
[24] 10 Digital Marketing Trends in Travel and Hospitality |
Curalate | March 2016
[25] Travel Trends 2016: Data Reveals Hot Spots and New
Consumer Insights | September 2016 | think with Google
[26] 2017 Travel Marketing Trends | Smart Insights
[27] Smartphones Lead Mobile Bookings for Hotel, Flights |
eMarketer | June 14, 2016
[28] The Internet Of Travel Things | eMarketer | January 2016
[29] Internet of Things: The Complete Reimaginative Force |
TCS Global Trend Study | July 2015

Bon
Voyage!
© 2017 MNI Targeted Media Inc. | A Time Inc. Company | 225 High Ridge Road, Stamford, CT 06905 | 800.225.3457 mni.com

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