The Asian Advantage. Opening Monologue Chetan Kapoor Research Analyst, Asia Pacific Phocuswright Inc.

Transcription

1 The Asian Advantage Opening Monologue Chetan Kapoor Research Analyst, Asia Pacific Phocuswright Inc.

2 2016

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5 uncertainty

6 Influence of the Presidential Election on European Travelers Visiting the U.S. U.K. 18% 69% 12% France 20% 62% 18% Germany 32% 57% 11% Less likely to visit No influence More likely to visit Base: Travelers =500 per country Question: What influence does the recent U.S. election have on your likelihood of visiting the United Sates for leisure? Source: Phocuswright Inc.

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8 US$B APAC: World s Largest Travel Market Asia Pacific U.S. Europe Note: projected. Gross bookings (US$B) refers to the total travel spend on airlines, hotels, railways and car rentals. Source: Phocuswright s Asia Pacific Online Travel Overview Ninth Edition

9 Online Travel Penetration (%) by Region, X 55% APAC s online travel market to grow faster than the U.S. and Europe 0% Europe U.S. Asia Pacific Note: projected. Annual change represented in U.S. dollars. Source: Phocuswright s Asia Pacific Online Travel Overview Ninth Edition

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11 GDP per Capita (US$, current prices) GDP is Not the ONLY Indicator of Travel Market Potential 60,000 50,000 40,000 30,000 20,000 10,000 0 Note: 2016 projected. Source: World Economic Outlook Database, October 2016, International Monetary Fund

12 Note: Overseas Singaporean travelers primarily visited Southeast Asia. Sources: Phocuswright's The Southeast Asian Traveler; China Unbounded: The Rapid Rise of China s Outbound Millions Special Project; Australia Consumer Travel Report; Indian Holiday and Packages Market: Now Empowered Travelers Take Control

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14 APAC markets have the highest mobile travel penetration

15 China Leads the Mobile Travel Revolution Global average: 24% Note: Mobile travel gross bookings share of online leisure/unmanaged business travel gross bookings by country (%), 2016 Source: Phocuswright Inc.

16 Intermediaries Drive Mobile Bookings China Japan India Source: Phocuswright s Asia Pacific Online Travel Overview Ninth Edition

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18 APAC Attracts Half of Global Travel Startup Funding Global Funding to Travel Startups (US$M) APAC Share of Global Funding (%) 18, % % Base: 1,454 digital travel companies Note: Publicly disclosed funding from 2005 to Source: Phocuswright Inc.

19 China, India Hotbeds for Startups in APAC China India Rest of APAC Share of Startups Share of Regional Funding 0% 50% 100% Base: 403 APAC digital travel companies Note: Publicly disclosed funding from 2005 to Source: Phocuswright Inc.

20 Incumbents Startups

21 $tartup$ are Pushing into Emerging Online Travel Segments Taxi- and Ride-hailing/ sharing Vacation Rentals, Private Accommodation Tours and Activities Budget Hotel Aggregators Source: Phocuswright s Asia Pacific Online Travel Overview Ninth Edition

22 $tartup$ are Pushing into Emerging Online Travel Segments Taxi- and Ride-hailing/ sharing Vacation Rentals, Private Accommodation Tours and Activities Budget Hotel Aggregators Source: Phocuswright s Asia Pacific Online Travel Overview Ninth Edition

23 $tartup$ are Pushing into Emerging Online Travel Segments Taxi- and Ride-hailing/ sharing Vacation Rentals, Private Accommodation Tours and Activities Budget Hotel Aggregators Third largest travel segment in APAC accounts for 30% of the global tours & activities gross bookings. Source: Phocuswright s Asia Pacific Online Travel Overview Ninth Edition

24 Consolidation Looms: Eat or Be Eaten

25 APAC Online Brands Stepped Up M&A in Source: Phocuswright s Asia Pacific Online Travel Overview Ninth Edition

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27 The Asian Advantage Faster growing economies Travelers want to see more, do more Mobile leader Funding accelerates, startups explode, digital adoption rises Consolidation captures scale

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