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Online Travel Agencies See Surge in Bookings to Latin AmericaApril 7, 2011 By: George Dooley Travel Agent
|Peru is one of many countries in Latin America that is seeing increased bookings via online travel agencies.|
Despite the global economic slowdown, the online market for travel to Latin America is bursting with potential, and is poised for strong double-digit growth for the next several years according to a new study by PhoCusWright.
Online travel agencies (OTAs) are expected to double their gross bookings to approximately $5 billion in the next two years, the research firm said in its report.
“Until recently, regional and local online travel agencies have dominated the space, and global OTAs found it challenging to unlock the potential of this complex, unique market,” said Patricia Rasore, director, Latin America, at PhoCusWright.
“But in 2010, big global players really stepped up their efforts in the region, specifically by targeting the highly fragmented hotel space,” Rasore continued. “And they’ve had some remarkable results. However, it remains to be seen whether, in the long term, they have what it takes to understand and leverage the similarities and differences among the extremely diverse countries that together comprise the Latin American market.”
PhoCusWright’s Latin America Online Travel Overview explores the characteristics and key dynamics that drive this diverse market, including recent efforts by global OTAs to carve a niche for themselves in the region. The results of the study were based on nearly 100 interviews with travel suppliers, intermediaries, technology providers and media sites.