Brand Landscape March 2019 - caytoo
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Brand Landscape
March 2019
ONLINE
TRAVEL
BOOKING
ONLINE TRAVEL BOOKING
2
Sport and travel share a number of characteristics
that make them compatible and impactful
marketing collaborations. Both transcend borders,
evoke passion and inspire investment from
people looking for experiences. Airbnb, Expedia,
Tripadvisor and Booking Holidays are four key
players at the forefront of online travel, with
Expedia and Booking Holidays Inc holding 80% of
the market alone.
Sport partnerships are a largely untapped strategy in travel, predominantly the mix documenting snowboarder, Jeremy Jones, planning and following
limited to football and large traditional events including the Olympics. his adventure to the mountains. The character-focus of its narrated, mini
Considering sports fans are a group likely to travel to follow their teams, documentary style advert highlights the potential opportunities for rights-
this is surprising. But with emerging and extreme sports lending themselves holders to utilise the power of athletes as ambassadors to promote the sport as
seamlessly to being marketable as experiences, there are considerable a reason to travel.
opportunities for rights holders and travel companies to capitalise on those
sports with a growing, global profile. There is a sustainable element to this kind of partnership. Those travelling for
sport are investing in a passion and are likely doing so in the future. There is
Content marketing in travel is all about experiential escapism. The aesthetic scope for rights holders to align themselves with travel organisations based on
nature of sports like surfing and sailing lends them well to creative campaigns. shared values, enabling a connection via a brand message that resonates with
Airbnb’s 2018 collaboration with the World Surf League made it one of the first audiences on both sides. Both would benefit from the exposure whilst working
top players to align as an active supporter of alternative sport related travel. to improve the user experience. There’s a lot to explore.
Their recent redevelopment of services to allow for greater personalisation is
proof there is demand for something unique and different by consumers.
Kayak’s Travel Pros campaign in 2018 then brought extreme adventure into
ONLINE TRAVEL BOOKING KEY PLAYERS
3
The travel booking sites landscape is vast, with many competitors. The four companies
below are the key players in the online travel booking market. There are many
subsidiary brands under these companies. For the purposes of this document, only
subsidiaries with an active involvement in sports marketing have been referenced.
Airbnb Expedia Group Tripadvisor Booking Holidays inc.
Founded: 2008 Founded: 1998 Founded: 2000 Founded: 1997
Headquarters: San Francisco, California, US Headquarters: Washington, US, London, UK Headquarters: Massachusetts, US. Headquarters: Connecticut, US
European headquarters: Dublin, Ireland Market Cap: 17.5 billion USD Market Cap: 7 billion USD Market Cap: 77.8 billion USD
Market Cap: 2.6 billion USD Subsidiaries: 21 companies Subsidiaries: 21 companies Subsidiaries: 8 companies
Subsidiaries: 19 companies
Founded: 2000 Acquired: 2013
Founded: 1998 Headquarters: Amsterdam, Headquarters:
Headquarters: Washington, US Netherlands Connecticut, US
Acquired: 2012 Acquired: 2001
Headquarters: Dusseldorf, Headquarters: Texas, US
Germany
ONLINE TRAVEL BOOKING SPORTS MARKETING BEHAVIOUR
4
There is limited sports marketing activity
Total
amongst online travel booking brands. Airbnb
Equestrian 0 have been the most active in recent years
Archery 0
Fencing 0
with involvement with the World Surf League,
TRADITIONAL
Golf 0 Winter Olympics and football’s Audi Cup.
Tennis 0
Horse Racing 0 Expedia and Hotels.com have also had major
Football 4 partnerships with UEFA, supporting Champions
Rugby 1
Gaelic Football 0 League Football. Hotels.com are also now the
Cricket 1
Badminton 0
official accommodation partner to Tottenham
Sailing/Yacht 0 FC. Booking.com recently signed a five-
Rowing 0
Baseball 0 year partnership deal with the International
Field Hockey 0
Cricket Council, having also signed a long
Cycling 0
Multi-Sport 1 term sponsorship deal with UEFA National
Swimming 0
Squash 0
Team Football until 2022 which includes major
Table Tennis 0 tournaments Euro 2020 and the UEFA Nations
Gymnastics 0
Figure Skating 0 League Finals. Lastly, they have also recently
Athletics 0
Running 0
become official partners of Edinburgh Rugby.
Triathlons 0 There was no identified sponsorship / partnership
Basketball 0
Netball 0 deals for Tripadvisor within sport.
Australian Rules 0
American Football 0
Skiing 0 In comparison to traditional hotel brands there
Motorsports 0
Beach Volleyball 0
is less sports marketing activity and room to
Diving 0 incentivise travel with sporting experiences whilst
Ice Hockey 0
Combat 0 improving the overall experience for sports fans
Surfing
Snowboarding
1
through the travel market.
1
Bobsleigh 0
Skateboarding 0
NON-TRADITIONAL
Paddle Boarding 0
Wrestling 0
Freeski 0
Alpine Skiing 0
Speed Skating 0
Sled Hockey 0
Crossfit 0
Drone Racing 0
Bike - Extreme 0
Extreme Multi-Sport 0
Adventure /Expedition 1
Skydiving 0
Freeriding /Base Jumping 0
Esports 0
ONLINE TRAVEL BOOKING KEY SPORTS MARKETING ACTIVITY
5
Examples of key sports marketing activity provides insight to the types of rights holders clubs. Alongside their marketing in football Booking.com have activated in rugby and
online travel booking brands partner with. Online travel booking brands are involved worked with musician DJ Khaled. Kayak differs in having limited sports marketing with
more with event/competition partnerships than individual athlete endorsements. Airbnb no apparent direct partnerships with competitions or clubs - the only notable sport
have partnered with the Winter Olympic Games, World Surf League and had a small inclusion was in a campaign that included snowboarder Jeremy Jones to create an
media involvement with the Audi Cup. Football is also dominant with Expedia, Hotels. adventure fuelled advert.
com, Trivago and Booking.com all having major partnerships with competitions or
Brand Major Global Regional Events Governance Body Clubs Athlete Ambassadors Other Ambassadors
Competition
Winter Olympic Games Audi Cup (football) World Surf League
UEFA Champions League
VFI Bochum Football Club
UEFA Champions League Tottenham Hotspur F.C. Jonathan Van Ness
UEFA National International Cricket Edinburgh Rugby DJ Khaled
Team Football Council
Jeremy Jones
ONLINE TRAVEL BOOKING USE OF SOCIAL MEDIA
6
Brands focus their social media efforts on visually engaging platforms - YouTube, Every travel brand has over 2 million followers on Facebook, the dominant platform
Instagram & Facebook - enabling product and content marketing to be showcased contributing the most followers to each brand’s overall total. Some brands have
creatively. Airbnb lead the way with total following (considering primary brand multiple accounts designed to target specific markets, whereas some had just one
accounts only) with 4m followers on Instagram and close to 15.5m on Facebook. verified account.
However, this does not consider following from other accounts. Booking.com came in
second with Trivago in third. Not only are these platforms visually creative, they also engage a contemporary
audience - the travel consumers of tomorrow - who are receptive to new experiences
and potentially open to trying sports. Therefore there is scope for both rights
holders and travel brands to benefit from collaborations via social media.
20
FACEBOOK
Brand Total Social Following
(Instagram & Facebook) INSTAGRAM
15
FOLLOWERS (MILLIONS) 10
5
0
BRANDS
ONLINE TRAVEL BOOKING USE OF SOCIAL MEDIA
7
YouTube as a platform offers the opportunity to gather more audience through Out of the top 10 most viewed videos by brands Expedia and Trivago come out on top
engaging video content. The video with the most views on YouTube was the 2018 Add with 248.3m and 195.1m views respectively. Hotels.com came in third with 131m views.
Advantage by Expedia with 65 million views, a part of their 248.3 million views across The majority of videos within the top 10 were ads / campaigns from over the last few
the top 10 videos. Sports rights holders should consider how they can contribute years. There is certainly room for rights holders to find creative ways to collaborate with
engaging video content in collaboration with online travel booking brands, with limited online travel booking brands that incorporates the same message whilst bringing in sport.
sport collaborations noticed across all the brands top 10 videos.
250
TOP 10 MOST VIEWED VIDEOS
Youtube Views
(Top 10 Most Viewed and Highest Ever Viewed) HIGHEST EVER VIEWED VIDEO
200
150
VIEWS (MILLIONS)
100
50
0
BRANDS
ONLINE TRAVEL BOOKING CONTENT MARKETING
8
Let’s Keep Travelling Forward (2018) Travel Like a Champion (2019) A First Person Experience (2018)
A campaign in response to President Trump’s travel ban in America, In its capacity as official UEFA partner, Expedia published an advert A ‘first person’ view showcasing Trivago’s ability to help you tailor
with the message that travel facilitates progress. We must continue relating the joys of travel and adventure with that of sport featuring every experience to your own requirements. Among the categories
to strive forwards. three friends enjoying every part. are sports including sailing, surfing and hiking.
ONLINE TRAVEL BOOKINGL CONTENT MARKETING
9
Captain Obvious Campaign (2018) Experiences Campaign (2018) ‘Let’s make it happen’ (2019) ‘Kayak Travel Pros’ (2018)
Comical character Captain Obvious explains why This campaign demonstrates Tripadvisor’s Booking.com’s 2019 advert ties in with their UEFA A campaign focussing on individuals. Shot like
booking your holiday with hotels.com is the no- experience tool. national team partnership and showcases the a mini documentary, the video is narrated by
brainer. element of experience that comes from travelling snowboarder, Jeremy Jones and transports the
and live sport. viewer on a snowboarding adventure.
ONLINE TRAVEL BOOKING HOW CAN SPORTS FIT IN?
10
The aims and goals of the brands offers real insight into how innovative and unique online travel booking brands as part of their trip planning for major sports events.
partnerships can be formed with sport rights holders. By developing a way of It is perhaps surprising that on this basis the major brands are not leveraging more
activating brand goals through the means of partnership / sponsorship it can bring sports marketing to reach sports fan consumers.
new audiences to both the sport and the brand. There is a natural congruence
between online travel booking and sports fans who probably utilise many of the
As part of a bigger plan to reach 1bn guests a year by 2028, it is rumoured The group is currently the world’s leading travel provider covering 75 Trivago, a part of the Expedia Group, has a strong message for culture and
that Airbnb looks to public list the company onto the stock market. countries across all segments of travel; a status to match its main brand values. There are six core values for working together are Trust, Authenticity,
message to “bring the world within reach.” Entrepreneurial Passion, Power of Proof, Unwavering Focus & Fanatic Learning.
A recent acquisition of HotelTonight is another strategic move by Airbnb
towards holding a larger stake in the hotel market. Since Mark Okerstrom became the new CEO of Expedia in 2017 the global The brand wants to promote passion and curiosity whilst upholding diversity
expansion has taken a new direction. He believes improving current markets and authenticity.
There has also been a big redevelopment of services: with its existing products will bring brand loyalty and lure new customers,
• Four new property types - Vacation Home, Unique, B&B and Boutiques rather than looking for other entities without fully understanding that market. Sports rights holders that can hook into these values with creative marketing
(in addition to existing Entire Home, Private Room and Shared Space) campaigns could help to elevate the Trivago brand.
A sport rights holder can potentially offer a way of bringing more attention
• New tiers - Airbnb Plus and Beyond by Airbnb to existing markets and attention to the current products in offer. There is
certainly a opportunity for being creative in a shared marketing campaign.
• Airbnb Collections - Homes perfectly suited to every occasion
• Investing back in its community with a revamped Superhost programme
and a new guest membership programme launching later this year
Booking Holidays inc are looking to “empower people to experience the world”. Kayak focuses on providing tools to give best value for flights and hotels.
This is a good opportunity for sport rights holders.
Much like the Expedia Group they aim to bring travel to everyone globally. With
Booking Holidays Inc being a large player in the online travel market this is a good A partnership can be made that promotes Kayak’s product whilst also bringing
opportunity for sport rights holders to develop ways to match aims and objectives. new opportunities to the sport fans. Much like what Airbnb’s partnership with
the World Surf League.
A partnership can help both the sport gain new audiences but offer the brand a way
of promoting travel via the sport narrative, which so often share a relationship.ONLINE TRAVEL BOOKING REPUTATIONAL ISSUES
11
• CMA Investigation • Airbnb and user security
Hotel booking sites have come under criticism from the Competition and Markets There has been recent public criticism by users of Airbnb over their security issues.
Authority. Investigations showed that the sites had broken consumer protection law Several cases have been investigated and proven that hosts on the website are
with some of their actions, including the way search results were displayed. using hidden cameras in rooms of Airbnb accommodations.
Using the investigative results the CMA stipulated that companies will now have to Airbnb classifies that company policy allows hosts to install cameras in communal
make it clear if a hotel’s ranking has been affected by how much commission it has areas and outside the house for home security - guests are informed about this
agreed to pay. before booking and must give permission.
The watchdog is also clamping down on pressure selling tactics, such as site alerts However, many guests have come forward publicly claiming this is not the case, with
showing how many users are looking at the same hotel. They must now make clear if Airbnb reportedly doing little to help resolve the issue.
other users may be looking at different dates. Websites have also been banned from
strategically showing sold out hotels within search results to encourage people to
book more quickly. • Tripadvisor - promoting hotels under investigation
Tripadvisor has recently been criticised for promoting hotels at the centre of sexual
Companies have agreed to make their discount claims more transparent and only assault allegations.
promote deals that are that are available on the selected dates.
Sites will have to display all hidden charges – the bane of every traveller – such as Victims have publicly come forward claiming that the site gives no indication of
taxes and booking or resort fees alongside the headline price. the incidents and the response to their claims are insufficient.
• ‘Brandjacking’ Several victims claimed that the site responded to their allegations by
Recent reports claim that travel booking sites are leading to price rises for the recommending them to write a review of the hotel on the site, leaving the victim
customer. According to hotel and B&B owners due to the administration charges having to publicly explain the experience of their sexual assault.
placed by booking sites prices are steadily rising which fall back on the customer.
Tripadvisor had similar issues back in 2017. The response was to develop a flagged
Many small hotel or B&B owners believe their monopoly over online advertising system against the hotels that had cases occur in the recent months.
space has led to “brandjacking” the UK landscape. These actions are apparently
already illegal in France, Germany and Italy.
Therefore, businesses are forced to register onto the travel sites to gain custom.
Due to many of the sites placing a 20% commission hotels are having to put prices
up, this then leads to increased fares on the consumer.ONLINE TRAVEL BOOKING OPPORTUNITIES AND TRENDS
12
Trends
• Little activity and variety in sport involvement from online travel booking brands but
huge potential.
• The brands are all marketplace providers and their business models involve other
brands listing on their sites - this may have prevented them from taking bold marketing
moves in the past. However as the market grows and becomes more crowded there
is an opportunity for these brands to leverage sports to drive a more targeted and
ambitious marketing message and thus distinguish themselves from their competitors.
• Football appears to be the dominant sport within the landscape of current sponsorship
• Major competitions or rights holders are the common type of partnerships versus
athlete or influencer led campaigns.
Opportunities
• When sports fans travel to sporting events they likely use the companies mentioned
in this pack to organise their travel - there is an opportunity for rights holders to work
more closely with “prefered providers”, such as Hotels.com with Tottenham Hotspur FC.
• In addition if travel bookers extended their offering to cover sporting event ticket sales,
they would complete the customer lifecycle, booking tickets->travel->accommodation
and could see a direct revenue uplift as a result.
• Matching values and brand aims to build a strong and innovative marketing campaign.
• Co-create products & services - create brand and rights holder partnerships that directly
deliver products to clients, such as Airbnb and World Surf Leagues surfing experiences.REFERENCES
13
• https://press.airbnb.com/about-us/
• https://www.owler.com/company/airbnb#acquisitions
• https://www.expediagroup.com/expedia-brands/
• https://www.expedia.co.uk/g/rf/about-us
• https://www.owler.com/company/tripadvisor
• https://tripadvisor.mediaroom.com/UK-about-us
• https://www.kayak.co.uk/about
• https://company.trivago.com/about/
• https://uk.hotels.com/hotel-deals/about_us/
• https://www.booking.com/content/about.en-gb.html
• https://www.business-standard.com/article/news-ians/icc-booking-com-join-hands-for-5-years-119032500480_1.html
• https://www.tottenhamhotspur.com/news/2018/june/club-signs-hotels-com-as-accommodation-partner/
• http://www.worldsurfleague.com/posts/324187/airbnb-and-the-world-surf-league-team-up
• https://www.youtube.com/watch?v=wuF2nI1Ugcc
• https://www.youtube.com/watch?v=26yMWX9e0O4
• https://www.youtube.com/watch?time_continue=2&v=vzxVUav1vWY
• https://www.youtube.com/watch?v=Am3FjwsNqXc
• https://www.traveldailymedia.com/tripadvisor-tv-ad-campaign-2018/
• https://www.youtube.com/watch?v=xSC6x-qpdJA
• https://www.youtube.com/watch?v=2wZNIPymCFU&t=5s
• https://www.theatlantic.com/technology/archive/2019/03/what-happens-when-you-find-cameras-your-airbnb/585007/
• https://abc13.com/couple-finds-hidden-camera-in-airbnb-rental-/5224293/
• https://www.proactiveinvestors.co.uk/companies/news/214075/hotel-booking-sites-agree-to-change-their-ways-as-uk-investigation-identifies-serious-concerns-214075.html
• https://www.theguardian.com/world/2019/mar/05/hotels-at-centre-of-allegations-promoted-on-tripadvisor
• https://www.telegraph.co.uk/technology/2019/03/07/airbnb-acquires-last-minute-hotel-booking-service-hoteltonight/
• https://www.youtube.com/watch?v=pBAc4Fo0b2g
• https://www.bizcommunity.com/Article/1/580/174006.html
• https://www.webintravel.com/expedia-closing-in-on-100b-as-it-aims-to-be-worlds-largest-travel-platform/
• https://www.thetimes.co.uk/article/travel-websites-are-brandjacking-our-hotels-and-b-bs-rn0z028bs
• https://www.booking.com/content/about.en-gb.htmlfor more information about caytoo
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