The Australia/New Zealand Online Travel Overview is Available: Providing Data on...

Sun Aug 17, 2008 9:00pm EDT

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The Australia/New Zealand Online Travel Overview is Available: Providing Data on Key Trends, Growth Drivers & a Market Overview

DUBLIN, Ireland--(Business Wire)--
Research and Markets
(http://www.researchandmarkets.com/research/4527e9/australianew_zeal)
has announced the addition of the "Australia/New Zealand Online Travel
Overview" report to their offering.

Despite its geographical proximity to, and inclusion in, the Asia
Pacific (APAC) region, the social and cultural ethos of the citizens
of Australia and New Zealand (ANZ) are more akin to the United Kingdom
and United States than to neighboring countries like Indonesia, Korea
or Malaysia. This affinity stems from the historical, cultural and
economic context of both countries, which are more closely tied to the
U.K. and U.S.

The context is crucial because it impacts the demand and supply
side travel structures that have evolved for both leisure/ unmanaged
and corporate travel. At a structural level, key online drivers such
as electronic fulfillment, the English language, global management
practices, comfort with online credit card purchases, 100%
e-ticketing, supplier direct strategies and an active online travel
agency mar- ket, mirror the drivers present in the U.S. and U.K.

But key differences also exist, particularly on the supply side of
domestic air where just two airlines dominate the Australian market
and one airline controls New Zealand. In addition, Australians and New
Zealanders (also referred to as Kiwis) are known for their active
lifestyles, whereby sport is an aspirational career, lifestyle choice
and travel driver.

Although ANZ's 25 million population caps the opportunity relative
to other high growth markets like China and India, the total travel
market is still a sizable US$22.2 billion. Online growth potential is
also enhanced by the fact that the entire travel opportunity is
addressable for technology-enabled disintermediation. In contrast,
despite having 93 million domestic air passengers, Japan, for example,
has a high barrier to entry due to supply side issues, and online
growth prospects are consequently hobbled.

Key Trends:

The following factors are impacting the development of the online
travel market in ANZ:

Market Readiness

- Developed and growing economy: ANZ has experienced continuous
economic growth for over 10 years. Market liberalization policies have
enabled healthy growth in the ANZ economies, and income per capita in
the region has increased from AUD$26,000 in 1995 to almost AUD$36,000
in 2005.

- Rapid uptake of broadband: The e-commerce infrastructure
consists of two building blocks: high-speed Internet access and online
fulfillment. Australia's Internet infrastructure reflects a
sophisticated and mature market. According to the Australian Bureau of
Statistics (ABS), about half (2.3 million) of all households with
Internet access had broadband connections in 2006. Overall, 34% of all
households in metropolitan areas were connected via broadband,
compared with 19% of all households in non-metropolitan areas. Through
its brand BigPond, Telstra Corp. Ltd. is Australia's largest broadband
provider with 2.9 million customers, which breaks down into 1.43
million retail customers and a market share of 45% in 2006.

- E-commerce and online shopping firmly entrenched in the region:
The maturity of the Australian online consumer is best exemplified by
the fact that one in five Australians had used eBay. All major
consumer-facing industry verticals, such as financial services,
retailing and government services, have developed compelling
applications to drive online usage.

Travel Market Structure

- Infrastructure and focused marketing support the industry:
Fundamentally, both countries offer safe, enriching travel experiences
for domestic and inbound travelers alike, thanks to world-class
tourism infrastructures. Each country is also an attractive travel
destination, with governments that recognize the economic importance
of tourism, building leading-edge destination management organizations
(DMOs) to drive the ANZ tourism industry. The DMOs are in the midst of
a four-year, $175 million effort to develop global campaigns, market
intelligence and travel trade strategies in source markets to drive
domestic and inbound tourism.

- Travel and tourism are important drivers of the ANZ economy:
Australia and New Zealand have harnessed their natural heritages,
ecological diversity, marine life, beaches, mountains and adventure
sports to offer visitors compelling travel experiences. As a result,
tourism has become a key economic driver for both the Australian and
New Zealand economy. In Australia, tourism directly employs 5.6% of
the workforce, contributes nearly $56 billion in expenditure per annum
and is worth around 11% of exports, according to the ABS. In New
Zealand, tourism directly or indirectly employs 9.8% of the workforce,
and contributes 9% of the GDP and 18.7% of New Zealand exports,
according to the New Zealand Statistics Bureau.

Key Topics Covered:

- Size of the Market

- Growth Drivers

- Key Trends

- Size of the Online Travel Market

- Suppliers

- Airlines

- Car Rental

- Other Supplier Content

- Online Intermediaries

- Traditional Travel Agencies

- Suppliers Sell Packages