News Story

European online travel agencies lag behind US counterparts

Online travel agencies in Europe are missing out on sales by focussing too much on flights, according to a study released today (August 24).

The research, carried out by Hermes Management and commissioned by Amadeus, shows that for European online agents, sales of non-air products accounts for 14% of their gross sales, compared to 50% in the US.

Selling other travel products, such as hotels and car rental, also has the potential for higher margins - 12.8% compared to 6.6% on air bookings, according to the findings.

The study also suggested European online travel agents could improve travellers' overall shopping experience, by providing more relevant content to cover all elements of a trip.

Another aspect where European agents lagged behind was in automation.

Stéphane Durand, director of online and leisure at Amadeus, said: "European online agents have shown resilience in the last couple of years, increasing thei revenues year-on-year despite the tough economic downturn.

"They now need to move a step forward to transform this positive trend into revenue opportunities."

The study looked at five medium-sized online travel agencies in France, Germany, Sweden, Norway and the Netherlands.

www.amadeus.com

 

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Anonymous's picture

Turn it other way around USA online agencies bookings - only 50% are for flights! compared to European agencies where flights consist approx 86% of their bookings.

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