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Summer 2004
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Q1-2004 Performance Review: Worldwide Electronic
Hotel Room Nights Jump 9.5%
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Worldwide hotel room nights booked electronically through the Global Distribution Systems (GDS) and key Internet sites grew 9.5%. Revenue jumped 15.4%, as average daily rate (ADR) rose 5.3% compared to the first quarter of 2003.
Importantly, hotel revenue from travel agents increased
by 13.3% year-over-year, the greatest jump in well over
two years.
This supports the ongoing recovery of business travel
within the hotel industry. Travel agent bookings remained
the leading component of hotel GDS e-commerce for the first quarter of 2004, representing 83% of the total GDS room nights. Travel agents also produced more profitable bookings, with an ADR that is $34.32 higher than those which originate from Internet sites.
First Quarter, 2004
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Performance by Market Segment
Compared against the first quarter of 2003, all hotel
segments posted increases in room nights and average
rate. The greatest increase, however, was experienced
in the luxury category, where hotel revenues booked
electronically rose by over 22% versus the same period
in 2003.
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eMonitor results are compiled from TravelCLICK's comprehensive database, which is the exclusive source of hotel industry electronic distribution data from the Amadeus, Galileo, SABRE, and Worldspan GDS. TravelCLICK's eMonitor data also includes hotel bookings made through third-party Internet Web sites powered by Pegasus Solutions.
Travel Agent Component
Travel agents remained the dominant source of hotel
e-commerce. Viewed against the first quarter of 2003,
the travel agent component of GDS bookings increased
at a 6.9% rate in room nights and 6.0% in ADR.
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New iHotelier Customers Report up to $54K in Incremental Revenue in First Month
Marketing and distribution capabilities are two major points
of differentiation in the competition for online and GDS hotel business. Recognizing this fact, in fall 2003, TravelCLICK introduced its new iHotelier service offering. This approach encompasses the patent-pending OneScreen Web booking capability, design and hosting services, GDS connectivity, search engine optimization, and search marketing.
After an iHotelier upgrade, a guest of an historic boutique hotel in the LA area wrote, "As a programmer that has done a few Web sites, my congratulations on the Flash booking service. Best one I've ever seen."
This hotel more than doubled its reservations in the first month after converting to the iHotelier system, compared
to the same period the year prior. This translated into $49K
of incremental revenue for the hotel.
A New York City upper west side hotel brought in $50k more revenue in the first 21 days after conversion, compared to
the same time period a year prior. Three other New York
hotels showed increases of $13K, $20K, and $54K - all
in the first month after conversion to the iHotelier OneScreen
booking technology.
TravelCLICK offers a full-service approach to hoteliers
for increasing business via direct distribution to consumers.
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At our clients' request, names have been withheld from this publication to protect their competitive advantage.
This approach includes the following reservations and web marketing services:
- Hotel Web Site Booking Capability
- GDS Connectivity
- Search Engine Optimization and Search Marketing
- Web Site Development
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