From flash sales firms to big OTAs, dynamic packages open up a whole new avenue of growth in 2017
Whether it’s big travel companies getting bigger and better through acquisition, tech entrepreneurs carving out new markets to change consumer behaviour or more spontaneous, digitally savvy consumers driving innovation in travel, it’s hard to keep up.
In the fast-growing niche of travel flash sales, for example, demand seems to be driving innovation for travel hungry consumers. In the market for luxury hotels, a whole raft of players including Secret Escapes, Voyage Prive and Jetsetter have sprung up in recent years offering savings of as much as 70%.
Meanwhile, a broader range of national and international deals comes from players such as Groupon Getaways and Living Social. And with the growing popularity of alternative lodgings, in the vacation rentals, space flash sales have been identified as a gap by firms such as UK-based Snaptrip.
So how do companies differentiate?
One of the opportunities that travel brands – and not just flash sales players – have identified for 2017 is dynamic packages. The common view is that what is needed is a shift towards more flexible packages with, possibly, flights and other forms of travel included.
According to Sebastian Fallert, UK managing director for Secret Escapes, its data shows that consumers are on the hunt for “the best-in-market product and to book when it suits them”.
In other words, they don’t want to be restricted by defined date parameters, and they want to choose when and how they want to travel.
Being able to deliver this is good for consumers but it also has business benefits. “From our point of view, dynamic packages open up a whole new avenue of growth and allows us to broaden our offerings,” he says.