Travellers would rather click than phone
By Dan Ilett
Published: 14 November 2006 12:35 GMT
US online travel companies are to sell $128bn worth of plane tickets and hotel bookings by 2011, new research suggests.
A report from JupiterResearch predicts 38 percent of travel revenue will be booked online in 2011.
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Higher fares and an increase in the number of people flying have driven total air revenues to $138bn this year, with $49bn of that spent online.
Greater consumer purchasing power and improved online compliance in business travel will spur the growth of the industry, the report says.
Additionally, hotels will continue to see a shift to online sales as more travellers use websites in preference to making reservations on the telephone.
David Schatsky, president of JupiterKagan, said the brisk growth in revenues is accompanied by a shift of market share in favour of supplier sites.
A study carried out for the report found buyers indicated a preference for airline websites as a way to avoid service fees and gain loyalty points.
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