Travel Services Market in India by Service and Mode of Booking - Forecast and Analysis 2020-2024
Travel Services Market in India: About this market
Technavio’s travel services market in India analysis considers sales from both online and offline mode of booking. In 2019, the online segment had a significant market share, and this trend is expected to continue over the forecast period. Factors such as secured transactions and easy and convenient return policies will play a significant role in the online segment to maintain its market position. Also, our travel services market in India report looks at factors such as the increase in the number of M&A, partnerships, and strategic alliances, increasing international tourist footfall, and rising number of marketing and promotional activities. However, huge competition among players leading to a price war, expansion of services in remote locations, and operational challenges for tour and holiday package service providers may hamper the growth of the travel services market in India industry over the forecast period.
Travel Services Market in India: Overview
Increasing international tourist footfall
The number of international tourists in India has been witnessing a considerable rise in recent years. The growth in inbound tourism can be attributed to the rising number of travelers visiting India for international and domestic businesses, leisure, and sports trips. A substantial number of multinational companies in the country has a positive impact on the number of business visits of corporates in India from across the globe. Apart from business travels, the tourism industry in India is also growing at a rapid pace, led by the improving infrastructure for air, rail, and road connectivity to cities in India and the growing number of government initiatives to promote tourism in the country. Such augmenting growth of the tourism industry will lead to the expansion of the travel services market in India at a CAGR of almost 19% during the forecast period.
Introduction of low-cost airlines
Airlines are one of the most preferred modes of travel among tourists and travelers owing to their comfort and short duration of travel. Bulk booking of airline tickets often turns out to be quite heavy on the customers’ pocket. Hence, travelers are increasingly looking for cheap or economic airfares to fulfill their requirements without needing them to incur the extra cost burden. The introduction of low-cost airlines has been a relief for travelers and holiday and tour package service providers. This has also encouraged companies from the SME business sector to opt for air travel for business trips. This development is expected to have a positive impact on the overall market growth.
For the detailed list of factors that will drive the travel services market in India during the forecast period 2020-2024, click here.
With the presence of several major players, the travel services market in India is fragmented. Technavio’s robust vendor analysis is designed to help clients improve their market position, and in line with this, this report provides a detailed analysis of several leading manufacturers, that include Airbnb Inc., Cleartrip Pvt. Ltd., Cox & Kings Ltd., Indian Railway Catering and Tourism Corp. Ltd., ITC Ltd., MakeMyTrip Ltd., Oravel Stays Pvt. Ltd., Thomas Cook (India) Ltd., TripAdvisor Inc., and Yatra Online Inc.
Also, the travel services market in India analysis report includes information on upcoming trends and challenges that will influence market growth. This is to help companies strategize and leverage on all forthcoming growth opportunities.
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