Online bookings in Japan to grow, steals share from offline
With the financial jury still out on the recovery of Japan’s economy, Euromonitor International reports that online travel is set for eye-watering levels of growth over next five years, at the expense of offline channels.
The key headline finding from the executive summary of the Travel Retail in Japan 2014 report is that:
Travel retail is expected to post a 1% CAGR in terms of value sales at constant 2013 prices to reach ¥8.1 trillion (£47 billion) in 2018. Travel retail online sales are expected to grow by an 18% CAGR to take share from travel retail offline sales.
An 18% growth for online compared with 1% for the overall market over the next five years is impressive. In terms of share, however, it is lagging – online sales in Japan in 2013 were worth ¥1.5 trillion (£8.7 billion), equivalent to around 19% of the total market worth ¥7.7 trillion (£44.7 billion).