Mobile travel purchases saw a 35% surge between 2011 and 2016, a trend predicted to continue its upward trajectory. Accessibility (74%) and convenience (69%) are the primary motivators for respondents’ preference to browse travel products online. A significant 78% choose smartphones over desktops/laptops for browsing due to their on-the-go functionality.

Criteo, a performance marketing technology firm, highlights the continuous growth of mobile travel sales, emphasizing it as a prime growth avenue. Their findings stem from a Euromonitor International study commissioned by Criteo. This study involved surveying 150 Singaporeans to dissect the online travel landscape, examining browsing and purchase habits within Singapore. This analysis aims to equip travel agencies and online travel agents (OTAs) with insights to develop effective digital strategies for engaging travelers throughout their purchasing journey.

The research underscores travel as a key interest for Singaporeans. 2016 witnessed Singaporeans embarking on 21.9 million outbound trips. Projections indicate a 3.2% compound annual growth rate (CAGR) for leisure and recreation expenditure from 2017 to 2020. Online travel sales have experienced a 7.1% CAGR between 2011 and 2016, reaching S$6 billion in 2016. Mobile travel sales have outpaced this growth, set to achieve a 19.6% CAGR from 2017 to 2020.

“Singaporean travelers are tech-savvy, seamlessly navigating multiple devices to secure the best deals before committing to a purchase. Travel websites and OTAs must prioritize a mobile-first approach—one that is user-friendly, easy to navigate, incorporates value-added features, and offers secure payment options. To stimulate transactions, engagement with shoppers is crucial during the discovery, search, and booking phases,” states Alban Villani, GM of Criteo Southeast Asia, Hong Kong, and Taiwan.

During online browsing, shoppers consistently utilized a mix of OTAs, vendor websites/apps, and online travel price aggregators. Across all age demographics, laptops emerged as the preferred device for online travel product and service browsing (42%), followed by smartphones (33%) and desktops (18%). Among those who favor smartphones over laptops/desktops, convenience is the dominant factor, with 78% attributing their preference to the on-the-go accessibility smartphones afford. Other notable online booking habits include:

Laptops retain their dominance in the booking phase, accounting for half of all online travel sales, contrasted with 21% on smartphones and 23% on desktops.

The preference for laptops during booking stems from users “favoring a larger screen for purchases” (57%) and finding “inputting extensive personal details cumbersome on a smaller screen” (43%).

Conversely, the ability to book from anywhere (58%) and enhanced convenience compared to laptops/desktops (33%) are cited as primary drivers for booking via smartphones.

Criteo’s commissioned research reveals that Singaporeans took an average of 5.2 trips within the past year, with 63% embarking on five or fewer journeys. Nearly half of these were mid-length trips lasting between three to six days. More than half (52%) of Singaporeans secured their bookings one to four months prior to departure, typically doing so from home (79%) on weekends, despite having browsed options during weekdays (56%). Additional key findings influencing purchase decisions encompass:

Convenience reigns supreme as the primary online booking motivator - 88% prioritized a blend of time-saving (54%) and enhanced convenience over phone or in-person bookings (54%).

Price significantly influences the shift towards online travel purchases, with 44% of respondents perceiving online travel providers and OTAs as offering superior deals.

Accommodation and air travel constitute half of all online travel purchases.

When purchasing online, Singaporeans lean towards direct bookings through airline and/or lodging websites or apps (52%), driven by the perceived ease of modifying or canceling bookings (47%).

Direct purchases through OTAs (37%) are also prevalent, attributed to user-friendly website experiences (45%).

Online and mobile strategies are paramount for retailers and OTAs aiming to engage shoppers during browsing and booking travel and associated services—85% of shoppers have encountered retargeted ads, with a 52% click-through rate.

“As online and mobile purchases gain traction, travel businesses and OTAs must elevate their investment in personalized marketing. This entails presenting shoppers with ads tailored to their browsing history and displaying recommendations that complement their past purchases. This fosters a sense of discovery, evidenced by 70% of online shoppers presented with such ads subsequently exploring previously unconsidered products. Retailers who master this strategy will be well-positioned to drive online conversions effectively,” adds Villani.

Interested?

Delve into the WorkSmart Asia blog post focusing on travel preferences within the Asia Pacific region

* This study employed a top-down central research model augmented with bottom-up intelligence. This approach ensures a comprehensive and accurate depiction of the macroeconomic landscape and the travel industry across Australia, mainland China, India, Indonesia, Japan, Singapore, South Korea, Taiwan, and Vietnam. Both secondary and primary research methodologies were utilized. Secondary research encompassed desk research analyzing publicly available data such as official statistics and trade press. Primary research consisted of online consumer surveys and trade interview discussions with industry stakeholders, including travel agencies and trade associations. Collected trade data and information underwent validation and cross-checking using both primary and secondary sources, minimizing reliance on any single source to ensure reliability and mitigate bias. The consumer survey was administered in February 2017, spanning all nine markets.