Online Travel Agency Affiliate ProgramAffiliate Program Online Travel Agency
Recent research company projections support the US key travel industry (i.e. airlines, accommodation/hospitality, auto hire, cruises, tours, travel agency sales) at $270-300 billion (2008).? PhoCusWright, a leader in travel research (whose estimated US travel industry volume is at the lower end of the $272 billion scale), says the US travel industry will grow at an average 2% per annum in 2009 and 2010, despite the severe downturn that has hit the US and the wider US economy...?
Even more important, from an affiliate marketer's point of view, PhoCusWright provides a much brighter image of the online travel recreation and corporate travel sector..... Specifically, this sector, which accounts for 36% of the US travel industry's overall revenue ($98.2 billion in 2008), is expected to see more than three times the overall travel sector revenue increase, growing 7% year-on-year by 2010.?
Yet another research company, eMarketer, is more aggressively forecasting that recreational and corporate travel revenue for 2008 will be $105 billion and that industry CGR will be around 11? HoCusWright estimated the turnover of the 2008 turnover of the key travel segment in Europe (the biggest local segment in the world) at 246, with 29% of overall spending, or around 71 billion euros, on online holiday and non managed travel booking.?
In the Asia-Pacific area, the online markets are still in an initial stage of development, but they are still expanding fast..... EyeForTravel's The Asia Pacific Online Travel Report 2007 expects online revenue to grow to $55 billion by 2010, from a 2007 basis of approximately $25 billion, according to EyeForTravel's The Asia Pacific Online Travel Report.... No matter what numbers you work with or what geographical area you are in to better comprehend the affiliate marketability opportunities in online travel, it is important to consider how the business is characterized.
The travel sector is mainly subdivided into two segments: Managed Travel and Freizeit. eMarketer, JupiterResearch, PhoCusWright and many other research companies have found that the online research and reservation behaviour of unadministered travellers and recreational travellers is substantially the same.
"Staff of billions of small and mid-size businesses in the U.S. use the same Web sites as recreational travellers to make travel bookings. A further significant resemblance between these two kinds of online consumer is that these travellers have little fidelity to the travel provider or the intermediary/dealer.
Thus, the purses of recreational and unadministered travellers always seem to "have", in contrast to their administered travellers. Even more striking (and of the greatest strategical importance for tour operators) are the recreational and corporate travel figures and features quoted in the previous sections, which are the most competitive in the online travel sector; both travel providers and agents such as online travel agents (OTAs), travel consolidators providers (air, hotels or cars) and comparisons of travel websites for retail purposes (e.g. kayaking, travel zoo.com) compete for the same'independent' travelers.
Here is where it will be interesting if you are a travel partner. To mitigate the impact of travelers' leisure/unmanaged corporate travel client engagement efforts, travel vendors and travel agent service providers are turning to performance-based advertising to engage and transform these "undirected" travellers. Travolution, one of the UK's top tour operators, says that "Expedia UK's young affiliate programme has pledged to recruit at least 1,000 UK staff to its programme by the end of the year.
" We believe that Expedia's campaign is only the first of many similar projects to follow. On-line travel agents (OTAs) are the online counterpart to travel agents; they offer online accessibility and reservations to the consumer for a broad variety of travel related goods, such as air travel ticketing, hotels and resorts, rental cars, cruise ships, holiday package deals and various other recreational and commercial travel related activities.
Whilst their businesses are based on the self-service approach, most of OTA' s also run a call centre filled with support staff / reservers to deal with more complicated travel enquiries or services issues on their clients' behalf. OTA' s are also able to provide a range of services to their clients. OTA' s typical affiliate level of remuneration for brokerage of lead or travel booking for a large part of their line of products (e.g. airline, hotels, car hire ) is rather low as a group; this is reflected in the raw material products they sell.
Travel partners can, however, receive higher fees for higher-value, more costly travel items (e.g. cruise, packages). OTA's US OTA is strongly focused, with four businesses, or "the big 4?" as we call them, together with their subsidiary firms holding more than 97% combined sales.
Exploedia, Inc (expedia.com, hotwire.com), Sabre Holdings (Travelocity.com, Lastminute.com), Orrbitz Worldwide (.com, cheaptickets.com) et Priceline. Of the 71 billion euros that were made online in aggregate for recreational and unadministered travel booking, 4 billion euros. Competition structures and features of the European travel sector differ from Member State to Member State and therefore generalisations about overall travel operator penetration and position are not possible.
It is enough to say that in more sophisticated countries such as the UK, almost all of OTA's have reflected their US equivalents than the top 5 online businesses - expedia, Lastminute.com, e-bookers, booking.com and Opodo.com - account for more than 75% of OTA's online revenue and have generated around 25% of overall online revenue (?5.7 billion).
Finally, and perhaps most relevant for travel partners, the bulk of OTA revenue and turnover is from recreational and unadministered travellers - the same clients you cater to! However, the MTAs we describe below have long travel affiliate programmes on offer and have a track record of affiliate/publisher achievement. Travel contents on most of these pages are generally similar, as each page usually provides practically all large airline, cruises, hotels, auto rentals and railway operators.
They all also provide an expanded capacity basis of third-party hotel contents, travel agents and wholesalers, travel packs, second and third category auto rentals and other travel-related service offerings, although this range of products may vary from OTA to OTA. Practically all OTA technologies are robust and generally comprehensive, with several vendors providing travel partners ranging from book engine to widget.
Expedia's own Web sites and associated travel subsidiaries (which includes such well-known online travel brand names as Hotels.com, Hotwire.com and TripAdvisor.com) posted 2008 revenue of more than $21 billion, almost twice as much as its nearest rival (Sabre's Travelocity.com and associated brands), with revenue in excess of $2.9 billion.
The clear leading role of Expedia Inc. also includes its stake in US OTA travel sourcing. Expedia.com (Expedia) receives 26% of all payed and unpaid queries that go into an OTA, followed by its competitors Travelocity, Orbitz and Priceline (which receive about 12.5% for contrasting). The addition of Hotels, com's and Hotwire.com's Hotwire to Expedias number puts the number of Expedia businesses on an amazing 43% overall travel seek audience by com''s number!
The Expedia provides tour operators with the ability to get the widest range of travel experiences in the OTA region; their OTA inventories include more than 70,000 items around the globe; and they have promoted the online travel package business in the U.S., of which Expedia - and many tour operators who work with Expedia - still generate much of their profit.
In addition, Expedia websites provide easy entry to many in-destination activities through Expedia! fun brand-new activities desk and other activities suppliers at the point of use. Running brand locations around the globe, among them the UK, Germany, France, Italy, the Netherlands and Australia to name just a few of its global activities, Expedia.com is the unquestioned heavy-weight in the OTA area.
Click here for more information about Expedia.com's U.S. Travel Affiliate Program. Hotwire.com - As one of Expedia's sub-brands, Hotwire is one of a kind because it runs an "opaque" travel rate and reservation scheme. Non-transparent mock-ups allow price-conscious customers to make price-conscious purchases (versus brand), while at the same times allowing vendors to simultaneously resell their surplus stock (e.g. aircraft seating, hotels, rental vehicles, etc.) via a "branded model", allowing vendors to preserve overall stock priceintegrity.
Hotwire.com has achieved the highest levels of client experience for travel websites for the third year in a row, according to the J.D. Power and Associates 2008 independent travel web siteatisfaction study....the performance as some users believe OTA's client relationship management programmes leaves a great deal to be desired. OTA's travel websites are the best in the world.
In order to judge whether the Hotwire affiliate program is right for you, take a look at the offer here. Orbitz was most recently combined with cheaptickets.com, ebookers.com, hotelclub.com, ratestogo.com and several other international online travel agencies to create Orbitz Worldwide, which was then launched on the stock market in a timely manner. Over the years, Orbitz has made significant progress and expanded its overall travel delivery capabilities and redesigned the core airline-centric travel technological platforms to compensate for the shortage of wider travel offerings.
Despite these endeavours, Orbitz's turnover remains more heavily reliant on air tickets than its rivals Expedia, Travelocity or Priceline. Orbitz, currently the 4th biggest US OTA in terms of revenue, has concentrated significant resource on developing its Orbitz TLC (Customer Service Program) to differentiate itself from its competition. In addition, they deliver privately labelled and third-party travel marketing technology enabling carriers, hotels and other online travel providers to run their own branded Web sites or to link and resell Orbitz carrier inventories, holiday packaged products and cruises inventories.
Please click on this hyperlink to find out more about Orbitz and its travel partner program. Cheaptickets.com - a subsidiary of Orbitz Worldwide and US affiliate of Orbitz.com, ebookers.com, hotelclub.com and ratestogo.com, among others, Cheaptickets is the fifth biggest Online Travel Agent in the USA, providing similar contents to Orbitz, although, as its name suggests, it focuses on airfare.
Do you think cheap tickets make a lot of difference to your travel program? Ebookers.com - This Orbitz Worldwide affiliate is a major pan-European OTA (operates domestic offices in 13 countries) that specialises in airline travel, although it offers a full line of travel related services which includes hotels, rental cars and packages, both online and over the phone through many call centres across Europe.
For more information about everything e-bookers has to offer its travel partners, visit their partner page. As one of the first online websites of any strip (travel or non-trip), Traveocity can track its legacy back to 1985 (years before the invention of Mosaic, the first browser), when it was known as Easysaver.
To date, Sabre Holdings' affiliate Sabre Holdings operates and is the second biggest overseas travel agency in the United States and worldwide. Just like its major rivals, it markets and sells a wide range of airline, hotel, rent a car, cruises, holiday and last-minute travel package and other travel-related passenger travel tolls.
Travellingocity maintains brand websites in three global marketplaces (UK, Canada and Denmark) and works closely with affiliate OEMs who are among the UK (Lastminute.com), Sweden, Norway and Denmark (Resfeber) and Asia Pacific (Zuji.com) industry champions; please be aware that we provide Lastminute and Zuji summaries below.
Travelocity's last year to report results was 2005; this year, Travelocity's travel bookings totaled $7.4 billion in total revenue, $830 million, which included both lastminute.com and Zuji's results (note: Sabre was privatized in 2006 by TPG and Silverlake Partners).
Here is the affiliate program in the USA. WCT (World Choice Travel) - WCT also has World Choice Travel, which provides scaleable, self-contained travel services that enable tour operators or travel partners to take advantage of WCT travel services while creating their own complete online travel agency using an WCT developed online travel ecosystem.
Journeyocity characterises WCT as: The WCT Group has around 2,400 subsidiaries that run more than 6,000 websites with their privately owned reservation engines in 42 different states. Find out all the features and advantages of the Travel's Partner Program under this hyperlink. Last Minute also runs a U.S. website, Lastminute.com (formerly the Website59.com), which is focused on giving users the ability to build dynamic travel plans and fast escape routes.
For more information about Lastminute's Brand Partner Program, click here; or if you are interested in Lastminute's WCT White Labels Program, click here. Zuji.com - As "Asia Pacific's most extensive online travel company" Zuji.com provides around 400 airline companies, 60,000 hotel companies, 3,000 activity and attraction companies as well as packages, cruise ships, rental cars and other travel online.
Zuji is also a Travelocity / Sabre Holdings trademark and runs trademark sites in Singapore, Hong Kong, Taiwan, Australia, Korea and New Zealand. For more information about Zuji's Travel Affiliate Program, click here. Priceline.com - Priceline runs online travel businesses in the US, Europe and Asia. Priceline.com, like its main rivals, offers a variety of travel related products such as airfare, hotels, rental cars, holiday package deals, cruise trips as well as parkings, events ticketing, floor transfer, touring and other travel related products available at various locations.
Throughout the U.S., Priceline.com provides travellers with a time-honored OTA travel plan with a price-revealed travel plan posting facility, or its renowned "Name Your Own Price" travel plan (its non-transparent travel plan version), which allows potential travellers to offer travel plans at reduced rates. In addition, Priceline.com is operating through several affiliates - Activehotels.com, Activerreservations.com, Bookings.net and priceline.co. uk - one of the most rapidly expanding European hospitality reservations companies that have been instrumental in much of the recent commercial revenue growth of the company; several travel Web properties in the United States (Travelweb.com, Lowestfare.com, RentalCars.com and BreezeNet.com); and is a significant shareholder in the company's Web properties operating in Hong Kong and Singapore.
In order to evaluate whether com's Travel Affiliate Program matches your travel program, visit their affiliate page. They can also make use of many of the affiliate programmes of the Pricline subsidiaries such as travellweb and lowestfare simply by subscribing to priceline.com's affiliate programme. The OneTravel - OneTravel offers about the same kind of contents that other ATAs offer, which makes OneTravel relatively singular is the way they present their contents to travelers.
In particular, Unlike almost all other ATAs, OneTravel does not rely on product or functionality, but uses a client segment-based approach to distinguish its offering. OneTravel frightened many experienced travel and affiliate marketers in April 2009 when the agency introduced its new affiliate payments policies - OneTravel pays the affiliate at the moment of reservation, not at the end of the journey as was common in the travel agency world.
Bringing the key ATAs in line with OneTravel's competing volley could usher in a new age in travel partner sourcing. As with its bigger rivals, OneTravel provides both a legacy travel affiliate program for advertisers who want to use OTA's reservation service to monetise their trafficking, as well as a branded program, TravelSpot, which provides an affiliate book engines that provides easy entry to OneTravel's stock and low rate content while maintaining their own brand-name.
In order to find out if one of the OneTravel Travel affiliate choices is suitable for your company, visit the affiliate's homepage. In order to underpin this, they are offering many of the same goods and many of the same service as the bigger ones and are announcing the release of OTAs: It' important to remember that the origin of these "exclusive fares " comes from an air carrier integrator - which we believe is BizTravelDeals.com, who also happens to own CheapOair.
Also, we believe that both businesses are held by Fareportal, Inc. but have not been able to review it. which is also the parent of TravelSpot, the own-brand accounting machine used by OneTravel. Whatever her pedigree, CheapOair.com was recently rated #7 US travel agency by Hitwise, on the basis of its month-to-month median travel agent rate, a remarkable achievement for an overseas air travel agent (OTA) founded just a few years ago (2005).
Your travel affiliate program is very similar to OneTravel's as they combine the classic affiliate program for publisher and, not unexpectedly given the obvious proprietary ties with Fareportal mentioned above, use TravelSpot to add the privately labeled book entry machine for you. You can find information about both programmes here.
CheapCaribbean.com - As the name suggests, this travel website is largely focused on the caribbean and aims to provide travelers with the most affordable hotels and travel arrangements available in its core countries of the world - the caribbean, Mexico and Bermuda. As online latecomers (the business was founded in 2000), they have built an excellent record among travelers and the travel market for the width, value and value of their various product offerings (including cruise), flights and even Las Vegas bundles!
And we like that they are encouraging travellers to either make online or phone bookings...many travellers still choose to make higher value trips with a "real person" rather than alone in virtual space. The good thing for an affiliate is that the commission associated with the purchases you make to CheapCaribbean will be charged regardless of which channels your client may use to make their reservations.
For more information about CheapCaribbean, the features and advantages of their travel partner program and how you can make cash with them, click here.