OTAs showed welcome recovery in 2021, buoyed by continued strength in domestic travel. After ending 2020 down 58%,
Three key developments in the
Full-service stands alone no more
Expedia has long offered a near-full spectrum of travel products via its flagship
Money talks: sales, acquisitions and investments
2021 was a year for OTAs to examine portfolios and either slim down or supplement their offerings. For
Conversely,
Hopper, which plays on a much smaller scale compared to Expedia and Booking but has big ambitions, also joined in the acquisition game, while raising
Tours, activities & attractions: the remix
Not long ago, the tours, activities and attractions segment was dubbed the next big source of growthin the travel industry. The category flourished in 2018, and OTA giants, including Booking and Expedia, were vying to position themselves as leaders.
Since then, both OTAs have changed their approach to offering activities. Rather than sourcing all supply directly, Expedia and Booking have largely turned to partnerships with activities-focused travel companies. While changes had already been in play pre-pandemic, the OTAs have further enforced the partnership approach in 2021.
Hopper, in contrast, entered into the space with its PlacePass acquisition. PlacePass was most notable as the supply source of Marriott's tours and activities booking platform, which Hopper will now power.
OTAs continue to regain share of the total online market during travel's recovery in 2021. However, it's important for travel companies to know that supplier websites maintained their majority stake in the
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