US $800.00

PhoCusWright's German Online Travel Overview Second Edition

July 2007
US $800 CA $944 £459 €590

Germany hit the international stage in the summer of 2006 as host of the World Cup soccer championship, and the travel industry came through the onslaught of visitors and attention with flying colors. Of those visiting the country during this event, 88% said they would recommend Germany as a holiday destination, and the travel infrastructure carried the load well.

And the load was substantial. The German hotel and restaurant alliance (DEHOGA) estimated an increase of €500 million in catering business revenue during the tournament. The German railroad, Deutsche Bahn, carried approximately 600,000 more passengers each day during the games without any problems and Lufthansa saw its highest passenger traffic ever on the Monday following the final match.

Yet all was not running at capacity. Although the hospitality industry had high expectations, the hopes of all market participants were not completely fulfilled – only 41.3% of the hotels were satisfied with the results of the World Championship, according to DEHOGA. However, the industry is convinced that the positive reactions of visitors will result in more people considering Germany as a holiday destination, boosting revenues over the next two years.

Report Overview Table of Contents Methodology

REPORT OVERVIEW ^top

Providing guidance in the highly fragmented European market.
PhoCusWright’s latest in-depth look at market size, forecasts and analysis for the European market as a whole along with the German travel market and online travel markets for the years 2004-2006 (actual) and 2007-2008 (projected), by segment and channel.

Get informed about the local players and their importance in each of the market segments.
Along with channel analysis of European and German online travel agency, tour operator and supplier direct sales, PhoCusWright’s German Online Travel Overview provides segment analyses (including historical and projected segment gross bookings and growth, both online and offline) for:

Airline
Hotel
Car Rental
Rail
Packaging

TABLE OF CONTENTS ^top

The European Online Travel Marketplace
Introduction
Europe Market Assumptions
Growth Factors
Trends in European Online Corporate Travel
Conclusions
The German Online Travel Marketplace
Overview
Key Characteristics of the German Market
Internet Usage and E-Commerce
Size of the German Online Travel Market
Key Factors Shaping the Market
Online Travel Agencies
Suppliers
Conclusion

METHODOLOGY ^top

PhoCusWright's German Online Travel Overview Second Edition presents the findings from PhoCusWright research on the European online travel markets in 2006 and 2007. This effort was undertaken as a multi-part project to assess the European travel market as a whole with in-depth analyses of five individual European markets: France, Germany, the U.K., Italy and Spain. These comprise the third edition of PhoCusWright's European market research, and this report covers overall European market trends.

To evaluate the markets, PhoCusWright interviewed executives from over 100 European-based airlines, hotels, tour operators, rail companies, online travel agencies, traditional travel agencies and travel technology companies. European estimates and projections include the first 15 European Union (EU) countries as well as Norway and Switzerland.

Internet sales are based on gross bookings – that is, the total transaction value of the products sold online – for leisure and unmanaged business travel sites (i.e., consumer-facing Web sites that sell to individuals, including unmanaged business travelers purchasing outside of corporate travel policies). PhoCusWright includes in these figures bookings that are researched online but may have been completed offline as a direct result.

All financial information is based on data obtained from interviews with company executives or publicly available financial reports. Estimates and projections are based on executive interviews, third party information, Web traffic results, economic indicators, market trends and PhoCusWright analysis.

PhoCusWright market size estimates and projections are based on the local market results of pan-European online travel agencies, the results of local online travel agencies, and total gross sales reported by local suppliers. Data is actual for 2004-2006 and projected for 2007-2008.

Non-hospitality suppliers’ online sales are assigned to the market in which the supplier is headquartered. For example, all online business generated by Lufthansa worldwide is associated with Germany, while all Air France online revenue is associated with France. Hospitality suppliers' gross bookings are based on revenues generated by properties in the country source market. Room revenue for hotels and guesthouse/bed and breakfast establishments are included.

All currencies are in European euros (€) converted at the average rate for the period they represent. References to the “travel market” are understood to cover the total travel market, and “traditional travel agency” refers to principally offline travel agencies.