Experiences Tech & Distribution. And Maybe Some Other Travel Industry Stuff #1
Welcome to the first edition of the Magpie Newsletter, serving the experiences sector of travel -- tours, activities, attractions, and events -- with a focus on technology and distribution.
1. Airbnb's Brian Chesky and the Travel Revolution
At the Skift Global Forum in New York, Airbnb's CEO discussed fundamental shifts in travel patterns. Extended stays of 30 or more days now represent roughly one-fifth of their room-night business. Chesky emphasized that pandemic-era data cannot reliably predict future trends and highlighted the blurring boundaries between leisure, work, and travel as a major market opportunity.
On the marketing front, Airbnb substantially reduced performance marketing spend while maintaining traffic levels -- a testament to brand strength independent of paid search.
2. Google Officially Launches Things-to-Do
Google Things-to-Do (TTD) replaces the previous "Reserve with Google" program with greater scalability. Attraction and tour listings now appear on Google My Business cards and Maps across mobile and desktop. Future expansion promises broader display opportunities, offering experience operators free direct traffic from Google's travel platform.
3. Klook Interview Highlights
The Asian OTA has experimented with a range of offerings beyond traditional tours. Key strategic developments include expansion into a full-service OTA model, an open stance toward partnerships similar to Expedia's arrangements with Viator and GetYourGuide, and a focus on increasing visit frequency through app and website engagement.
4. Expedia Product Sourcing
Expedia now sources experiences from GetYourGuide alongside existing Viator partnerships and direct operator relationships. This reflects a strategy to outsource long-tail supply to third parties, reducing operational costs.
5. Fundraising Roundup
- Headout: $12 million funding round
- Tickitto: $4.5 million raise
- Beyonk: $2.7 million seed investment
6. Tripadvisor+ Subscriptions
The program shifted from offering near-net rates to annual subscribers toward full-price models with post-check-in rebates -- a change that raises questions about consumer appeal.
7. How Travelers Choose Tours
Arival research indicates travelers are taking longer trips, spending more, and booking additional tours compared to previous years.
8. Crypto and NFTs
An industry perspective noting that cryptocurrency and NFTs had not demonstrated tangible value for travel industry recovery at the time of writing.
Events
- WTM London: November 1-3, 2021
- Tourism Innovation Summit (Seville): November 11-13, 2021
- Arival (San Diego): February 1-4, 2022