Surprising Shifts in Travel Industry Booking Trends and Travel Habits

WE INSPIRE PEOPLE
TO GO PLACES
©2015, MMGY Global. All rights reserved.

THE NEAR TERM OUTLOOK
• 2,300 respondents
• >18 years of age
• Conducted every 90 days since Q1‘07
The only predictive survey of the
travel intentions of Americans.

THE TRAVELER SENTIMENT INDEX
70
80
90
100
110
120
(2007 – 2015)
TM
111
Source: travelhorizonsTM

53%
56%
53%
59%
62%
61%
Wave III 2010 Wave III 2011 Wave III 2012 Wave III 2013 Wave III 2014 Wave III 2015
VACATION INTENTIONS
Plan to Take at Least One Vacation during the Next Six Months

16% 16% 14%
21%
28% 28%
Wave III 2010 Wave III 2011 Wave III 2012 Wave III 2013 Wave III 2014 Wave III 2015
BUSINESS TRAVEL INTENTIONS
Plan to Take at Least One Business Trip during the Next Six Months

GROWING OPTIMISM
Very/Extremely Optimistic About:
%
2011
%
2012
%
2013
%
2014
Future of my children 69 72 73 71
My future 71 76 73 70
Future of my job 56 61 62 63
Future of my company 58 62 61 60
Future of America 39 39 41 39
Future of the world 33 37 35 35

THE LONGER TERM OUTLOOK
• 2,832 respondents
• >18 years of age
• Annual HHI >$50K (n=810 >$125K)
• 25th year
The most comprehensive analysis of the
emerging travel habits, preferences and
intentions of Americans.

SHIFTS IN MARKET DYNAMICS
 Brand.com now trumps OTAs for best prices/most convenient;
 Interest in cruising at an all-time high;
 Millennials: the new market makers;
 Social media influence greatest on affluent travelers.

MORE DISCERNING
CONSUMERS
53
Although the recession is over,
I still don’t feel or act like it is.
(Down from 61% in July 2012)
%

822013 2015
58% %
Source: 2015 MMGY Global Portrait of American Travelers®
Obtained travel information from at least one OTA on a regular
basis for vacation planning during the past 12 months.
DECLINING USE OF OTAs
AS RESEARCH TOOL

WEBSITES REGULARLY VISITED TO OBTAIN
TRAVEL PRICES & INFORMATION
Top 10
2013
%
2015
%
Expedia 42 32
TripAdvisor 27
Google NA 26
Travelocity 37 24
Hotels.com 26 22
Orbitz 31 20
Specific hotel brand website 27 19
Specific airline brand website 27 18
Kayak 27 18
Priceline 25 17
29

THE ASCENT OF BRAND.COM:
BEST PRICES & MOST CONVENIENT
64%
15% 13%
8%
67%
14% 12%
7%
Through a travel service
provider website
Through an OTA Through a traditional
travel agent
Over the phone, through
a travel service provider
Best prices for travel services Most convenient way to arrange my travel plan

IDEAS/INSPIRATION ADVICE/RATINGS
COMPARE
FEATURES/PRICING
MAKING RESERVATIONS
Family/friends
39%
Travel review websites
34%
Search engines
39%
Travel service
provider websites
24%
Search engines
35%
Family/friends
34%
Hotel/resort promotions
34%
Search engines
20%
Magazine articles
31%
Search engines
33%
Airline promotions
34%
OTAs
16%
Destination websites
31%
Travel service
provider websites
24%
Travel service
provider websites
33%
Hotel/resort promotions
15%
Printed visitor guides
31%
Online visitor guides
22%
OTAs
26%
Destination websites
14%
MEDIA SOURCES AND TRAVEL DECISIONS
1 2 3 4

ALL TIME HIGH.
Interest in cruising at an

INTERESTED IN A CRUISE VACATION
Total
%
Millennials
%
Xers
%
Boomers
%
Matures
%
Took a cruise past
12 months
11 12 10 11 16
Interested in cruising
next 12 months
48 51 46 47 51
 Interest up from 40% in 2014!

NEW MARKET MAKERS
Millennials, the

MILLENNIALS OR BOOMERS?
DIVERGENT MARKET MAKERS
~ 84,000,000
(18-35)
~ 78,000,000
(50-68)

Expected leisure trips this year versus last year.
MILLENNIALS LEADING THE WAY
Total
%
Millennials
%
Xers
%
Boomers
%
Matures
%
More trips 24 34 21 18 17
The same 58 50 62 62 62
Fewer trips 18 17 17 20 21
Net ∆ +6 +17 +4 -2 -4

69
I am more likely to try new
things while on vacation.
Taking a vacation is the event I
look forward to most each year.
57
%
%
MILLENNIALS:
ACQUIRING EXPERIENCES

27
Millennial Couples
43% %
Intend to take more vacations during the next 12 months.
Millennial Families

1
Millennial Couples
19% %
Plan to spend more on vacations next year than last.
Millennial Families

AND STRANGERS
EVEN CLOSER.
Keep your friends close

332013 2015
35% %
Visited an online community, travel review website or blog to seek/review information
about a destination or travel service supplier during past 12 months.
ONLINE ENGAGEMENT

Travel Review Website/Online
Community/Blog Use
Affluent Travelers
2014
%
Affluent Travelers
2015
%
Visited to seek/review information about a travel
destination/service provider during the past 12
months
34
Posted travel-related photos during the past 12
months
30 26
Written/commented/posted travel-related content
during the past 12 months
21 25
TRAVEL REVIEW WEBSITE USAGE
41

ONLINE ENGAGEMENT
42%
32% 32% 31%
Millennials Xers Boomers Matures
33%
40%
47%
$50,000-$124,999 $125,000-$249,999 $250,000 or more
By Generational Group By Annual HH Income
Visited an online community, travel review website or blog to seek/review information
about a destination or travel service supplier during past 12 months.

20 31% %
I trust online reviews more than the opinions of my friends & family.
Affluent Travelers in 2014 Affluent Travelers in 2015

NOT JUST IN HOTELS.
Where you sleep…

SHIFTING LODGING PREFERENCES
2013
%
2015
%
Hotel 83
Someone else's private residence 38
Resort 24 22
Rented vacation home 10 12
Cruise ship 11 11
Bed & breakfast 15
Cabin/cottage NA 10
Rented vacation condominium 3
Tent NA 7
Owned timeshare 7 7
Owned vacation home 6 7
Rented timeshare 6 5
RV/camper 4 5
Owned vacation condominium 8 4
74
29
11
9

SHIFTING LODGING PREFERENCES
Top 10
Millennials
%
Xers
%
Boomers
%
Matures
%
Hotel 72 74 74
Someone else's private residence 30 28 31 25
Resort 18 13
Rented vacation home 8 7
Bed & breakfast 13 11 10 10
Cabin/cottage 7 4
Rented vacation condominium 8 7 10
Owned timeshare 8 5 9 8
Tent 3 1
Owned vacation home 4 6 8
28
17
15
11
12
10
77
22
11
10
8

Stayed in a condominium resort as an
alternative to traditional hotel/resort
during past two years.
Interested in staying in a condominium
resort as an alternative to a traditional
hotel/resort during next two years.
21 35% %

23
Stayed in a vacation home rental as an
alternative to a traditional hotel/resort
during past two years.
Interested in staying in a vacation home rental
as an alternative to a traditional hotel/resort
during next two years.
39
%
%

FINALLY, WHAT YOU
ALWAYS WANTED TO KNOW…

DO MORE ON VACATION?
Behavior
%
2015
Eat 51
Drink alcoholic beverages 40
Have sex 31
Sleep 31
Exercise 18

FOR
MORE INFORMATION
research@mmgyglobal.com

Surprising Shifts in Travel Industry Booking Trends and Travel Habits

Recommended

Recommended

More Related Content

Similar to Surprising Shifts in Travel Industry Booking Trends and Travel Habits

Similar to Surprising Shifts in Travel Industry Booking Trends and Travel Habits (20)

More from Destination Marketing Association International (DMAI)

More from Destination Marketing Association International (DMAI) (20)

Recently uploaded

Recently uploaded (7)

Surprising Shifts in Travel Industry Booking Trends and Travel Habits