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Digital Marketing Spend in Travel Industry up by 280% since 2017

digital marekting adspend in singapore increases for travel industry

Programmatic marketing is consistently on the rise in Singapore as well as throughout the world. Digital marketing spend in the travel industry is consistently the highest of any other industry. Programmatic campaigns targeted to travel audiences have reported a 280% increase in expenditure since just last year (2017.)

According to reports, advertisers have optimized their strategies in 2017, with half of all campaigns using very niche audience segments to reach their preferred audiences.

With more consumers booking their travels online, we can expect to see continuous growth in the travel and hospitality sectors. This audience data will continue to shape the future of digital marketing within the travel industry.

Eyota Asia’s General Manager, Priya Khatri says “Understanding [the consumer’s] interests and purchase motivations will help marketers successfully engage with their target audiences.”


Digital Marketing Data in the Travel Industry

Different types of travelers have different online behavior when it comes to booking travel plans.

Family travel planners are more likely to choose destinations where the whole family can spend time together. This may include destinations such as theme parks or nature parks. Family travelers will be strongly influenced by seasonal events, such as summer or national holidays, and will usually book their travels within three months of departure. They are also likely to be driven by price, while also taking convenience of travel into consideration.

Budget travellers are 77% more likely to consider personal recommendations and reviews when planning their travels. With price playing a large portion of the deciding factor, holidays may be planned around deals or sales, and may even include off-peak seasons. Budget travelers tend to prefer beach vacations or exotic destinations, and are 1.2x more likely to seek adventure experiences.

online hotel reservations increasing

Business travellers are 98% per cent more likely to opt for frequent flyer or loyalty programs. As frequent travellers, they prioritise convenience and experience, while also weighing the importance of value and quality. Business travellers will likely book flights and accommodations within seven days of their departure.

Luxury travellers are 40% more likely to be heavily influenced by ethical considerations, and prefer outdoor vacations such as beach, mountain, and nature destinations. Luxury travelers tend to stick to routines and may visit the same destinations repeatedly. They are brand loyal and make an effort to purchase flights from airlines with which they have loyalty programs.

Growth of Programmatic Advertising in Singapore

Singapore is the top market for growth in programmatic expenditure for travel audiences at 2.8x YOY. Within the travel audience, the highest demand were from the areas of luxury travel and business travel. Airlines increased in spend by 25% since 2017, while hotels and resorts have accelerated spending by over 540%.

Around the world, audience targeting in lifestyle segments is on the increase. Travel brands are now also looking to reach customers based on lifestyle interests as well as general interests.