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OTA  Online Travel Agency 

A golden opportunity for anyone with large consumer footprints.

What Is an OTA?

OTA, online travel agency, is a travel agency that sells products online only, without a physical presence. Globally dominant players include Booking Holdings (Priceline, Booking.com, Agoda and so on), Expedia Inc (Expedia, Hotels.com, Trivago and so on), and Ctrip (China).

OTA Components

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What Makes OTA Attractive?

  • Asset-light, asset-right: You don't need to hold any inventory; servers constitute the ONLY cost of goods sold.
  • Highly profitable: Take Booking Holdings for example. This leading OTA generates revenue of US$12 billion at a 98% gross margin and 20%+ operating margin.
  • Scalable profits: The higher the traffic, the more profit is generated.

Realize the Full Value of Existing Customer Base

Anyone with a large volume of consumer footprints should take advantage of the OTA business.
  • Amazon could disrupt online travel industry next, Morgan Stanley Says, CNBC
“Amazon's ability to drive traffic…as its estimated $0.75 ad spend/ transaction is a fraction of what Booking/Expedia spends.”
"Nowak estimates Amazon could make $600 million of profits a year if it builds an online hotel business roughly half of Expedia’s size."
  • Amazon’s multifaceted – and likely inevitable – path into travel
"A bigger play or more efficient advertising spending could boost that figure to more than $1.5 billion annually (while the  travel represents an annual market of  $480 billion in the U.S. alone.)"
TravelSkope All-in-One OTA Solution
  • OTA by TravelSkope
  • Software Infrastructure
    • Core Framework
    • Booking Engines
      • Flight Booking
      • Hotel Booking
      • Dynamic Packaging Booking
      • Car Rental Booking
      • Group Tour Booking
      • Cruise Booking
      • Attraction, Activity, Tour Booking
      • Transportation Booking
      • WIFI & SIM Card Booking
    • Dynamic Pricing Module
  • Consulting
    • Operations Knowledge
    • Supplier Connections

Case Study: CostcoTravel.com

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Costco Travel is one of the best examples of a wholesaler growing into an OTA player by utilizing its high volume of traffic and large consumer footprint.
For the past two years, CostcoTravel.com has received 98% of its referral traffic from Costco.com. In 2017, 890,000 visitors were directed to CostcoTravel.com every month.​

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  • Home
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    • OTA Solutions
  • Company
    • About Us
    • Portfolio
    • Media Exposure
    • Press Release
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  • Careers