Europe Online Accommodation - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2020 - 2029

Europe Online Accommodation - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2020 - 2029

The Europe Online Accommodation Market has generated a revenue of USD 72 billion in the current year and is poised to achieve a CAGR more than of 3% for the forecast period

Post-pandemic, travelers with or without families want more space to live, work, and play and this has created a tremendous uptick in the use and popularity of online accommodation for leisure purposes. The market is growing rapidly due to its increased influence in the overall lodging market. Online Travel Agencies (OTA) are currently controlling the majority of the online accommodation market. Direct suppliers, such as hotels, are recognizing the need to rack up their loyalty programs and highlight experiences to respond to the OTA threat.

One of the reasons OTAs are preferred comes down to content aggregation: they allow customers to compare lots of products based on price, availability, and guest reviews all in one place. 30% of OTA bookers said they preferred OTAs because they felt they had lower rates. Leisure travelers are even more convinced of this fact.

Students and Youth shifting to Europe from the rest of the world have given preference to online accommodation. This has been taken up as opportunity by many companies and they have added a feature of hostels and students accommodations on their websites. Online accommodation has made it convenient, easy, and reliable for students to find accommodation in a completely new space. With the advancement of technology, and low internet costs it is easier for people to book hotels or homes from the comfort of their house and plan their travel. This has caused online accommodation services to become popular.

Europe Online Accommodation Market Trends

Increasing Internet Penetration is Augmenting the Market

E-commerce and Internet Banking services are growing at a rapid rate in the entire world. People from every age right from children to the old get excited to shop online from numerous e-stores. Internet accessibility to a large number of people means increased market penetration for online accommodation providers. The more people have internet access the farther the reach of the accommodation providers. During the COVID lockdown, a large number of people have shifted to online modes for shopping. Therefore, people are also more likely to go online when looking for accommodation. Online mode of shopping saves time and provides a lot of options for customers to choose from. This is the same in the case of online accommodation booking. Therefore, the industry may see a huge entry of new customers from diverse geographical regions.

The ecommerce industry along with online accommodation is expected to witness a rapid proliferation in the coming years. The rate of online shopping is growing beyond measure and this is driving e-commerce owners crazy to keep their solid place in the online race. Thus, online accommodation is gaining pace on similar lines across the entire Europe.

Easy Booking Facilities Promoting Healthy Tourism

The OTA has brought many hotels and accommodation services provided in an area on one platform. Easy comparison between two or more places located in the same region on the basis of their pictures, rates, facilities, and discount offers has made it very easy to find accommodation for travelers as per their needs. All the transactions takes place from authenticated websites ensuring safety to both customer and OTA 's. Customer's also have options like cancellation of bookings, changes to be done in bookings, switching options, installment options etc., which has made booking accommodation much more flexible for the customers. All these facilities have impressed the customers and hence promoted tourism. The companies in the industry know this and that is why technology is being integrated to create a greater in-room experience for customers. Also, the total contribution of travel and tourism to the gross domestic product (GDP) in Europe increased by 28 percent.

Europe Online Accommodation Industry Overview

The Europe Online Accommodation Market is a highly fragmented market, with the existence of many local and international players in each region across the globe. A few of the major players in Europe Online Accommodation Market are HRS, Hotelbeds Group SL, Booking.com, edreams, and InterContinental Hotels Group. The top players hold less than 40 % market share of the entire market. The market is highly competitive. The top players as well as the other players are trying to get a hold of the market by introducing new travel schemes and discounts, by offering more ease and facilities. The industry has a great scope for development because of tourist attraction towards Europe is increasing.

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