Online Travel Bookings in Australia - Market Research Report (2014-2029)

Staying power: Demand for international and domestic travel to encourage revenue recovery

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.

The Online Travel Bookings industry is on the road to recovery, following the pandemic downturn. In 2019-20 and 2020-21, demand collapsed as federal and state governments imposed heavy travel restrictions. From March 2020 to February 2022 Australia's international border was closed and the number of international visitors to Australia plummeted. To generate revenue, online travel booking providers were forced to rely on the domestic tourist market, but state border closures and intermittent lockdowns heavily disrupted revenue from domestic travellers. Industry-wide revenue and profitability fell sharply. As restrictions were lifted in 2021-22, these trends reversed. Overall, revenue is anticipated to fall an annualised 3.2% over the five years through 2022-23, to $1.6 billion. This includes a surge of 61.7% in 2022-23, driven by pent-up demand to travel again among many Australian households.

Industry players provide online travel reservation and booking services, taking a percentage of the total transaction value booked through their websites to generate revenue. The industry excludes firms that also have a physical retail presence. The industry also excludes metasearch websites that do not allow travel bookings.