Literary Holidays

Posts Tagged ‘holiday bargains’

Nine out of 10 online travelers now have some history of shopping for travel online, and nearly 15 of all Americans purchased travel online last year thats five times the penetration rate of 1998. PhoCusWright Consumer Travel Trends Survey Nearly one third of online travel buyers say the Internet was responsible for their travel purchases last year. In 1998, six million consumers bought travel online in the U.S.

What is the Future Online travel growth will continue to grow in 2003 2005, but it will slow down year by year compared to the record gains see so far. However millions of travelers haven t yet made their first purchase so the market is not near saturation. Technological improvements will soon make it possible to more easily dynamically package vacation deals including air, hotel and car leading to even lower prices but higher average sales. So growth is projected to come from customers buying more, higher ticketed products online.

As technology becomes mature in the online distribution sector, it will become more effective and user friendly for the Buyers and thus will attract more Suppliers. Due to its low cost of distribution and emerging ability to package and cross sell inventory, prices will be attractive for years to come, until this channel eventually becomes a commodity.