eHotel revenue up 14%

26th Sep 2006

TravelCLICK’s quarterly eMonitor results indicate continued robust health for the hotel industry based on electronic distribution performance for the second quarter of 2006. The data shows that worldwide electronic hotel revenue from the Global Distribution Systems (GDS) and key Internet sites increased 13.7 percent over the second quarter of 2005. The number of electronic room nights booked for the second quarter increased 5.7 percent over the same time last year, while the Average Daily Rate (ADR) increased by 7.6 percent. The average length of stay for the second quarter 2006 was 2.12 nights, nearly the same as last year.

TravelCLICK’s proprietary database of electronic distribution performance provides a comprehensive foundation for data analysis and trend forecasting that is used by the global hospitality industry in the development of integrated distribution strategy. Observations for the market based on this latest data include:

á Travel Agency room nights through the GDS will continue its growth trend surpassing 100MM room night by the end of 2006.

á Bookings through GDS Powered Internet sites will continue to decline as Merchant programs expand their reach globally and technology advancements make it easier for hotels to do business direct with online wholesalers.

á The GDS will continue its position as one of the highest ADR channels tracking 30+ percent higher than its Internet counterparts.


á Top markets including New York, London and Hong Kong will continue to trend with their respective economies while new fast growth markets emerge into 2007, such as Shanghai, Beijing, Delhi & Bangalore. (See TravelCLICK eMonitor regional releases.)

“The proliferation of the Internet drives the aggressive growth of brand website and key merchant sites, while GDS and travel agent related hotel bookings continue to show healthy 5-7 percent growth across global markets,” said TravelCLICK Vice President of Product Management/eMarketing Products John Hach. “Hotels that understand these trends and their impact on hotel performance can build a stronger distribution strategy and execute with confidence to maximize electronic channel presence through integrated distribution technology, marketing and intelligence capabilities.”

eMonitor results are compiled from TravelCLICK’s comprehensive proprietary database, which is the exclusive source of hotel industry electronic distribution data from the Amadeus, Galileo, Sabre and Worldspan GDS. TravelCLICK’s eMonitor also includes hotel bookings made through third-party travel Internet websites powered by Pegasus Solutions.


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