According to information compiled by the Turkish Tourism Encyclopedia from the Allied Market Research report, the Online Travel Agencies (OTA) market will reach $670.6 billion in 2031.

The travel market has grown significantly in the last few years due to the digitalization of travel services and the trend of interconnected growth worldwide. The proliferation of mobile devices is greatly supporting the growth of this market. The market is witnessing leading online travel agencies (OTAs) acquiring newly established companies and other small players. This situation creates a challenging competition for established direct travel suppliers and travel agencies.

The transportation segment is expected to maintain its leadership in the overall online travel services market due to the increase in online flight bookings. The increase in the number of low-cost carriers (Low-Cost) and the increase in the number of connecting flights to Tier I and II cities worldwide are driving the growth of flight bookings.

The increase in smartphone penetration and people's increasing confidence in the security of mobile payments also contribute positively to the growth of the market. Increasing digital literacy and increasing use of social media for advertising are also growing the market.

OTAs Provide Flexibility to Travelers

The OTA market is classified as ‘Accommodation Booking, Flight Booking, Car Rental, Holiday Packages, Cruise Booking, Train Travel, Events-Tours and Travel Insurance by Service Type’.

On a reservation basis, the OTA segment has a significant share in the global online travel market, and OTAs are expected to maintain their share during the market forecast period. OTAs offer travelers the flexibility to plan and book their travels as needed, when needed. OTAs are gaining popularity in the market thanks to the low-cost travel options they offer.

The OTA market is a comprehensive service industry that leverages digital platforms to facilitate and simplify travel arrangements for consumers. This market can be divided into segments according to the types of services offered, each catering to the different needs of travelers. The primary service segment is Accommodation Booking, which includes bookings for hotels, hostels, vacation rentals, and boutique guesthouses, catering to a variety of budget ranges and preferences. Flight Booking offers a platform for users to compare and book airline tickets, including both domestic and international flights. Car Rental offers car rental options that can be pre-booked to ensure availability and convenience at the destination.

Holiday Packages combine multiple travel services such as accommodation, transportation and activities, offering a holistic and often discounted travel experience. Cruise Booking facilitates the booking of cruises with various itineraries, from luxury cruises to budget-friendly cruises. Train Travel includes tickets and passes for rail journeys, which are especially attractive in regions with extensive and efficient railway networks. Activities and Tours covers the booking of local experiences, tours and excursions, allowing travelers to plan their itineraries in advance. Finally, Travel Insurance offers coverage options for travel cancellations, medical emergencies and other travel-related situations. In summary, OTAs accurately address various segments. Therefore, it can effectively attract a wide range of customers, increasing user loyalty and growth in the market.

LEADING PLAYERS IN THE OTA MARKET

Players providing services and solutions in the OTA market are fiercely competing with each other to expand their market shares and increase their profitability. In order to survive in this challenging competition, they adopt product launches and business expansion as their main development strategies. The leading players in the OTA market consist of the following companies: Expedia Group, Ebury Partners UK, Fareportal, Hostelworld.com, Hurb Co, HRS, Make MyTrip, Oracle Corporation, Priceline (Booking Holdings), SABS Travel Technologies, Tavisca Solutions, Thomas Cook India, Travelomatix.com, Trip.com Group, Tripadvisor, WEX, Expedia Group, Airbnb, Agoda, Kayak, Orbitz, Travelocity, and Hotwire.