The travel industry is seeing a shift towards valuing experiences over possessions, leading to significant opportunities for selling travel experiences online. While the playbook for selling flights and hotels is well-known, the market for selling experiences is still being developed. Companies like GetYourGuide are focusing on innovating the search process for experiences, as it differs greatly from traditional travel bookings. With a fragmented market dominated by small businesses, GetYourGuide is working to add listings in under-indexed categories and develop tools to streamline supplier onboarding and management.
Despite the challenges, the growth potential for selling travel experiences is substantial. Sales across various platforms, including GetYourGuide, Viator, Tiqets, and Klook, have seen significant growth in the past year. Spending on travel experiences has increased by a third since 2019, outpacing consumer goods. This trend aligns with a recent analysis by McKinsey and Skift Research on the evolving role of experiences in travel. The market for travel experiences is expanding, presenting opportunities for companies like GetYourGuide to capitalize on this growth.
Marketing plays a crucial role in promoting travel experiences, with companies like GetYourGuide focusing on cost-effective strategies to reach target audiences. In the U.S., GetYourGuide is ramping up marketing efforts to compete with established brands like Viator, Airbnb, and Expedia. The company is exploring partnerships with sports teams and running ads during major events like the March Madness basketball tournament and the Academy Awards. By associating its brand with live entertainment and activities, GetYourGuide aims to attract more customers and increase sales.
While many tech startups are feeling pressure to seek exits, GetYourGuide is taking a patient approach to potential IPO plans. Founded 15 years ago, the company remains focused on growth and innovation, with no immediate need for new capital. A recent secondary transaction saw strong investor confidence in the company’s trajectory, indicating a solid foundation for future growth. Despite previous speculation about a potential IPO in 2024, GetYourGuide is in no hurry to go public, allowing the company to continue expanding and adapting to the evolving travel market.
Overall, the travel experiences market presents significant opportunities for growth and innovation. Companies like GetYourGuide are at the forefront of this shift towards selling experiences online, leveraging technology and partnerships to streamline the booking process and reach a wider audience. With continued market expansion and increasing consumer interest in unique travel experiences, the future looks promising for companies in the travel industry. By focusing on product development, marketing strategies, and long-term growth, companies like GetYourGuide are well-positioned to succeed in this evolving market.
