(Originally published in TOURISM)
Companies seeking the next big travel opportunity need to explore the groups and meetings arena, according to a new report published by PhoCusWright Inc. This complex but steady marketplace, valued at over US$164 billion in the US alone, is one of the next frontiers and key competitive areas for e-commerce and one of the last major revenue streams to move online.
The US groups and meetings marketplace is projected to reach $175 billion by 2008, with travel (air, hotel, car rental, ground transportation, cruise and tour) representing 54% of the total, according to PhoCusWright’s Groups and Meetings: Market Opportunity Redefined. Non‑travel expenses (e.g., meeting rooms, catering, audio/visual equipment) represent the remaining 46%. By 2008, 41% of all groups and meetings travel revenue, or $39 billion, will be booked online. But the online opportunity will be even greater for small leisure gatherings (under nine rooms), a segment which has fallen outside of
the traditional "group" definition. This segment, which includes family reunions, weddings and religious groups, will have online penetration of 53% by 2008, nearly three times the rate of larger leisure groups.
PhoCusWright Inc. is an independent travel, tourism and hospitality research firm specializing in consumer, business and competitive intelligence. This article comes from Hotel News Resource and is available at www.hotelnewsresource.com/article25926.html
Companies seeking the next big travel opportunity need to explore the groups and meetings arena, according to a new report published by PhoCusWright Inc. This complex but steady marketplace, valued at over US$164 billion in the US alone, is one of the next frontiers and key competitive areas for e-commerce and one of the last major revenue streams to move online.
The US groups and meetings marketplace is projected to reach $175 billion by 2008, with travel (air, hotel, car rental, ground transportation, cruise and tour) representing 54% of the total, according to PhoCusWright’s Groups and Meetings: Market Opportunity Redefined. Non‑travel expenses (e.g., meeting rooms, catering, audio/visual equipment) represent the remaining 46%. By 2008, 41% of all groups and meetings travel revenue, or $39 billion, will be booked online. But the online opportunity will be even greater for small leisure gatherings (under nine rooms), a segment which has fallen outside of
the traditional "group" definition. This segment, which includes family reunions, weddings and religious groups, will have online penetration of 53% by 2008, nearly three times the rate of larger leisure groups.
PhoCusWright Inc. is an independent travel, tourism and hospitality research firm specializing in consumer, business and competitive intelligence. This article comes from Hotel News Resource and is available at www.hotelnewsresource.com/article25926.html
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