the future of e-commerce in travel and hotel sector in the middle east in 2014
DESCRIPTION
The future of ecommerce status for the travel and hospitality industry in the Middle East.TRANSCRIPT
TRAVEL & HOTELSECTOR IN DEPTH
ONLINE PURCHASINGBEHAVIOR IN THEARAB WORLD
AIRLINEGLOBALNUMBERS
3.2 BILLIONPASSENGERSIN 2013
4.4 TRILLIONREVENUES
AIRLINENUMBERS IN THE ARABWORLD
INCREASE FROM 2% TO 11% OF THE OVERALL TRAVEL MARKET
3.2 BILLIONPASSENGERSIN 2013IN 2002
GULF BASED AIRLINES GREW SIX FOLDS IN THE LAST 10 YEARS
GROWTH OF AIRLINE COMPANIES
15%5%
GCCGLOBAL
352 MILLIONTRAVELING WITH AIRLINES IN ARAB WORLD
484 BILLION REVENUES
Overall online travel ticketing market in the Arab World in 2014:$50 Billion
ONLINE OFFLINE
ONLINE OFFLINE
Less than 50% come from online purchases
BOOKING VOLUMES LCC AIRLINES:
BOOKING VOLUMES TRADITIONAL AIRLINES:
Less than 10% come from online purchases
161,920,000 GLOBAL PASSENGERS BOOKED THROUGH AIRLINES IN THE ARAB WORLD
HOTELS GLOBAL NUMBERS
156,00014.5M
ROOMS 64.4%OCCUPANCY
REV PERROOM $117
TOTAL REV $593 BILLION
IN 2013
HOTELS NUMBERS IN THE ARAB WORLD
1,514201,000ROOMS 76.1%
OCCUPANCYREV PER
ROOM $167(HIGHEST REV AFTER CARRABIN)
TOTAL REV $593 BILLION
IN 2013
BEHAVIOR & TRANSACTIONVOLUME IN THE ONLINE THE ARAB WORLD
74 %
74.8 %55%
24%
18%
TRAVEL & HOTELARAB POPULATION BANKED VS. 50% OF WORLD AVERAGE
ACCEPTANCE RATIOAIRLINEHOTELS
BEH
AVIO
R &
TR
ANSA
CTI
ON
VOLU
ME
IN T
HE
ARAB
WO
RLD
% O
NLI
NE
AIR
LIN
EBO
OK
ING
/CO
UN
TRY
18%
60%34%
23%
12%
QATAREGYPT
UAEKUWAIT
SAUDI ARABIA
% O
NLI
NE
HO
TEL
BOO
KIN
G /C
OU
NTR
Y
6%
9% 5%
12%
9%
QATAREGYPT
UAEKUWAIT
SAUDI ARABIA
INTE
RN
ET U
SER
SC
OU
NTR
Y 1.2 MILLION
5.6 MILLION 2 MILLION
12 MILLION
38 MILLION
QATAREGYPT
UAEKUWAIT
SAUDI ARABIA
45%
89%97%
46%
9%
QATAREGYPT
UAEKUWAIT
SAUDI ARABIA
CAR
DS
PER
CAP
ITA/
CO
UN
TRY
BASE
D O
N T
HE
TOP
50 IS
SUER
S
33%
46%35%
25%
8%
QATAREGYPT
UAEKUWAIT
SAUDI ARABIA
% O
F O
NLI
NE
SHO
PPER
S
MOBILE TRENDS
OF AIRLINES SAY THE FUTUREOF PAYMENTS IS MOBILE71%
OF THE ME POPULATIONUSE SMARTPHONES
OF SMARTPHONE USERS HAVE MADEA PURCHASE USING MOBILE PHONES
47% 71%
OF AIRLINES HAVEMOBILE CHECK-IN
HAVE MOBILEFLIGHT BOOKINGS
67% 49%
LET PASSENGERS RESERVESEATS WITH MOBILE
28%
OFF
ER M
OB
ILE
PUR
CH
ASE
SO
N IN
-FLI
GH
T D
UTY
FR
EE
HAV
E M
OB
ILE
FLIG
HT
BO
OK
ING
S
LET
PASS
ENG
ERS
RES
ERVE
SEAT
S W
ITH
MO
BIL
E
5% 2%
17%
In the next two years, number of airlines offering on-board mobile payments will increase from 5% to 36%
Airlines are moving away from kiosks to mobile. 29% investing in mobile payments, 17% investing in kiosks.
70% of airlines cite the cost of maintaining kiosks as major challenges.
29% of airlines plan to enable sales via social media in the next 12 months.