Recent Release | 27 Oct 2022
The Economic Impact of Online Travel Agencies in APAC 2019 – 2021
Tourism Consulting Team
Tourism Economics
OTAs generate additional travel demand for accommodation in APAC boosting GDP and job creation. Consumers in APAC also benefit from OTAs through more affordable rates offered to travellers.
Online travel agencies (OTAs) in the Asia-pacific region play an important function in the accommodation market and for destinations. OTAs increase choice and transparency within the market, making it easier for consumers to compare the costs and quality of the accommodation facilities and services offered by providers. They also make it easier for customers to search and book online. This is particularly important for booking travel in unfamiliar destinations. As a result, OTAs generate more bookings from international travelers than the market average.
This study quantifies the incremental impact of OTAs on the tourism industry and broader economy of APAC. The number of travellers organising travel through OTAs increased steadily from 2012 to 2019 to 705 million nights which represented more than 1 in 10 nights booked in APAC. A proportion of these nights and associated economic benefits would not have happened without the trusted information, transparency and choice provided by OTAs. All travel bookings fell sharply during the pandemic, including some shifts in OTA use resulting in a lower impact on the tourism market and the broader economy in 2020 and 2021. OTAs still play an important role in matching evolving consumer demand with available supply.
Key points:
- OTAs generated 169,000 additional jobs in APAC in 2021, in comparison to 202,000 jobs in 2020 and 975,000 in 2019
- OTA generated $4.0 BILLION in APAC in 2021, in contrast to $4.3 BILLION in 2020 and $15.5 BILLION in 2019
- Of the 705 million nights booked through OTAs in 2019, 10% would not have taken place without the benefits OTAs provide. 70.2 million additional nights were generated through the increase in choice, transparency, and trust by OTAs.
Watch here to find out more about The Economic Impact of Online Travel Agencies in APAC.
About the team
Our consulting team at Tourism Economics are the world’s leading analysts of the global tourism and travel sector. They combine their expert insight with our state-of-the-art economic models and tools to answer the crucial questions facing our clients. Lead consultants on the project were:
Matthew Dass
Associate Director, Tourism Economics
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