Criteo Insights Travel Report

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Travel

Flash Report
Winter 2018
Summary

Key Takeaways
Mobile Trends in Travel
Cross-device and Last-minute Behavior
Focus on Apps
Seasonality
Appendix

2•
Key Takeaways

Criteo’s deep dive into travel data reveals 7 key takeaways:

1. Mobile is still growing steadily, especially for Online Travel Agencies.

2. Tablet usage keeps declining across all travel categories.

3. Combining booking data can help make up for lower mobile performance.

4. Up to 80% of last-minute bookings are made on mobile devices.

5. Mobile is the majority for travel advertisers with a booking app.

6. App sees slightly more booking dollars per transaction than mobile web.

7. The conversion rate on app is 5 times higher than on mobile web.

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Share of Bookings by Device
Most travel categories generate more than one-third of bookings on mobile devices.*

Activities Air Apartments Car Cruise Ground Hotel Packages Rail

Smartphone
Tablet
Desktop
60% 56%
65% 61%
66% 67% 68%
78%
86%

7% 6%
22% 5%
9% 4%
13%
5%
33% 30% 33% 28%
25% 23% 6%
17% 20%
7%

Total Mobile 34% 22% 33% 40% 44% 35% 39% 32% 14%

YoY Variation -3pts +2pts +4pts +10pts +1pt +6pts +10pts +6pts -3pts
*Share of bookings by device among travel advertisers, worldwide, Q4 2017. Excludes apps and comparators.
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45%
Mobile accounts for 45%
of bookings for OTAs.*
*Share of bookings by device among travel advertisers, worldwide, Q4 2017. Excludes apps and comparators.
Share of Bookings by Device
Online Travel Agencies (OTAs) make the most of mobile bookings.*

OTA Supplier

Smartphone
Tablet
Desktop 55%

84%

6%

39%
6%
10%
*Share of bookings by device among travel advertisers, worldwide, Q4 2017. Excludes apps and comparators.

Key Takeaway As suppliers lag behind, OTAs get the most of mobile bookings
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Variation of the Share of Bookings by Device
Comparison between Q4 2016 and Q4 2017.*

Supplier OTA
61% 70%
Smartphone
60%
Tablet
42% 50%
Desktop
40%
Total Mobile
30%

11% 20%

10%
0%
0%
-0.5% -10%

-15% -20%
-21% -19%
-30%

*Share of bookings by device among travel advertisers, worldwide, Q4 2017. Excludes apps and comparators

• OTAs grow quicker on Mobile


Key Takeaway • Smartphone is growing steadily and tablet is declining
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WORLDWIDE

The share of mobile bookings ranges from 28 to 53% by region

Smartphone
Europe
Tablet
25%
Desktop

North America 67%


8%

22%
47% 50%
North APAC
6%
72%
55%
33% 3%
41%
Middle East
64% 3% 4%
51% 44%

Latin America
5%

South APAC
*Detailed country list provided in Appendix. Share of bookings by device among travel advertisers, worldwide, Q4 2017. Excludes apps and comparators.
North America: 2 countries. Latin America: 9 countries. Europe: 25 countries. Middle East: 6 countries. APAC: 14 countries.

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COMBINING DATA
Cross-device data lets you understand
what happens before booking*

Share of bookings preceded by a click on another device: Key Takeaway


Despite a lower share of mobile bookings,
32% suppliers have a larger share of cross-device
28% transactions, showing that data collaboration
between companies could potentially help make
up for lower mobile performance.

Online Travel Agencies Suppliers

*Share of bookings by device among travel advertisers, worldwide, Q4 2017. Excludes apps and comparators.
Bookings following a click on a Criteo ad. Excludes apps and comparators.

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Share of mobile booking by time to departure

For main travel categories, the majority of last-minute bookings


are made on mobile:

Share of Mobile Bookings, Days to Travel, By Travel Sub Category


80% Key Takeaway
72%
Up to 80% of last minute bookings are made
49% 54% on mobile devices
46%
41% 38% 37%
31% 33% 30% 30% 35%
21% 20% 23%
16% 14% 13% 16%

> 3 months 1-3 months 1-4 weeks 1-7 days <24h


Air Apartment Hotel Packages

Source : Criteo Data, worldwide, Q4 2017. Online travel agencies and suppliers.
Excludes comparators and applications.

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60%
Travel players with a booking app make
60% of transactions on mobile devices.
*Share of bookings by device, apps included, worldwide, Q4 2017.
Focus on Apps
Apps help make the difference in transactions.

Mobile Web Share of Bookings by Environment, for travel Share of Bookings by device, all travel
App players with a booking app, worldwide. players, excluding apps, worldwide.
Desktop

40% 33% 35%

65%
27%
*Criteo data, Worldwide, Travel advertisers, Q4 2017, apps included.

Travel players with a booking app make 60% of transactions on


Key Takeaway mobile devices, up from 41% one year ago.
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41%
Apps account for 41% of last-minute traffic.*
Source: For travel advertisers who generate bookings on both mobile web and in-app. Criteo, worldwide, Q4 2017.
Focus on Apps
Share of traffic by browsing environment for
last-minute bookings.

11%
Key Takeaway
Mobile Web
App 41% of last minute traffic and touchpoints
Desktop are made on apps. 89% are made on
mobile devices.

48%

41%

Source: Criteo Data, worldwide, Q4 2017. Online travel agencies and suppliers with a booking app.
Last-minute bookings are made less than 24h before check-in or departure.

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Focus on Apps
Share of traffic by browsing environment by number
of nights, for hotel players with a shopping app:

100%
Mobile Web
App 90% Key Takeaway
Desktop 80% 33% of one-night stays are
70% searched on Applications

60%

50%

40%

30%

20%

10%

0%
20 19 18 17 16 15 14 13 12 11 10 9 8 7 6 5 4 3 2 1

Source: Criteo Data, worldwide, Q4 2017. Online travel agencies and suppliers with a booking app.

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Focus on Apps
Travel Advertisers see much higher conversion rates on apps – more than in
retail* - and more than ever.

Mobile Web App Desktop

Travel, Q4 2017 4% 23% 11%

Travel, Q4 2016 7% 22% 13%

YOY -3pts +1pt -2pts

*Criteo Data, worldwide, Q4 2017 and Q4 2016. CR = Buyers / Product Page Viewers. Online travel agencies and Travel Suppliers.
Excludes comparators. In Q4 2017, the average conversion rate on app for retailers is 17% worldwide, for comparison.

The conversion rate on apps is 5x higher than on mobile web,


Key Takeaway and the difference keeps growing.
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Focus on Apps
Average Booking Value per browsing environment,
when 100 is spent on desktop (index).

100
100 Key Takeaway
90
App remains behind desktop in
80 73 77
terms of average booking value,
70 but it sees slightly more booking
60 dollars per transaction than
50 mobile web.
40

30

20

10

0
Mobile Web App Desktop

Source: Criteo Data, worldwide, Q4 2017. Online travel agencies and Travel Suppliers. Excludes comparators.

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65%
Travel generates up to +65%
daily bookings in Q1.*
*Criteo Data, US, 2016-2017. January 2017 compared to average in November 2016. Excludes comparators.
Appendix
Seasonality - Winter bookings in the US.

Key Takeaway
The booking season is just getting started.

In Q1, Travel generates


up to +65% daily
bookings compared to
average in November

Source: Criteo Data, US, 2016-2017. Excludes comparators.


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Appendix
Seasonality - Winter bookings in the UK.

Key Takeaway
The booking season is just getting started.

In Q1, Travel generates


up to +80% daily
bookings compared to
average in November

Source: Criteo Data, UK, 2016-2017. Excludes comparators.


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Appendix
Share of Bookings by Device, for select countries and regions.*
Country Desktop Smartphone Tablet Total Mobile
Japan 54% 41% 5% 46%
Canada 56% 37% 7% 44%
Sweden 59% 32% 9% 41%
France 61% 33% 6% 39%
Spain 62% 31% 6% 38%
Australia 63% 28% 9% 37%
Brazil 63% 34% 3% 37%
Denmark 64% 23% 13% 36%
United Kingdom 65% 25% 10% 35%
Netherlands 67% 22% 11% 33%
Austria 68% 25% 7% 32%
Switzerland 69% 25% 6% 31%
Italy 70% 25% 5% 30%
Belgium 72% 20% 8% 28%
United States 72% 21% 6% 28%
Germany 77% 15% 8% 23%
Region
LATAM 64% 33% 3% 36%
North America 72% 22% 6% 28%
North APAC 55% 41% 4% 45%
South APAC 51% 44% 5% 49%
Middle East 47% 50% 3% 53%
Central Europe 75% 18% 7% 25%
Northern Europe 65% 25% 10% 35%
Southern Europe 64% 30% 6% 36%
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*Share of bookings by device Among Travel Advertisers, worldwide, Q4 2017. Excludes apps and comparators.
Methodology

Individual browsing and booking data analyzed:


• Over 1,800 Travel advertisers globally.

• More than 3b bookings per year across desktop, mobile sites and applications.

• 59 countries in North America (2), Latin America (9), Europe (25), Middle East (6), Africa (4) and APAC (14).

How can marketers use this data?


Benchmark your performance on relevant KPIs for your mobile browser, mobile app and cross-device channels.

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Thank you
To learn more about how the Criteo Commerce Marketing Ecosystem
drives sales and profits for thousands of brands, retailers, and publishers
worldwide, visit criteo.com/about.

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