Challenge for online travel: prove pricing advantages
Online booking has become the norm in travel but why do many tourists choose not to book their travel online? There’s a variety of reasons, some of them unexpected, answers PhoCusWright in a new Consumer Travel Report, Second Edition.
Consumer behavior during the all-important purchase phase is what most travel companies aspire to influence.
According to PhoCusWright’s Consumer Travel Report Second Edition, “The top reason UD travelers give for booking offline is that they were seeking personal service."
The company says:
“On the other hand, security concerns and technology issues, once a significant deterrent of online bookings, are no longer a major factor."
Just 7 percent of offline bookers say they do not want to submit credit card information online, and roughly the same percentage do not feel the information they see online is accurate.
Only 9 percent of those who book online cite technical issues or frustration with the Internet as the reasons.
“While discomfort with technology and the Internet is no longer the main driver of offline bookings, a number of other perceptions appear to be preventing some transactions from moving to the online channel,” the report says.
The number two and three reasons for booking offline relate to perceptions — or perhaps, misperceptions — about differences between online and offline booking.
Specifically, 21 percent of travelers who book offline feel they can get a better deal when they call or visit a travel agent or supplier.
In addition, 16 percent believe they would get better customer service (when booking offline) if something goes wrong.
“Clearly, an opportunity exists for any travel company that wants to shift transactions from their call center to their web site,” the report says.
The challenge is to dispel the notion (which may or may not be accurate) that there are significant differences in pricing and/or customer service between online and offline channels.
By David Wilkening
David
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