Europe Online Travel Market Size (2024 - 2029)

The Europe Online Travel Market is projected to experience substantial growth over the forecast period, driven by the rapid advancement of online bookings, particularly through mobile platforms. The market's expansion is supported by the strategic use of social media for marketing, allowing travel companies to effectively track consumer preferences and target potential travelers. Despite a significant downturn due to the COVID-19 pandemic, which led to widespread lockdowns and reduced travel, the market has shown a robust recovery and is expected to continue its upward trajectory.

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Market Size of Europe Online Travel Industry

Europe Online Travel Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
Market Size (2024) USD 89.22 Billion
Market Size (2029) USD 131.94 Billion
CAGR (2024 - 2029) 8.14 %
Market Concentration Medium

Major Players

Europe Online Travel Market Major Players

*Disclaimer: Major Players sorted in no particular order

Europe Online Travel Market Analysis

The Europe Online Travel Market size is estimated at USD 89.22 billion in 2024, and is expected to reach USD 131.94 billion by 2029, growing at a CAGR of 8.14% during the forecast period (2024-2029).

Online bookings are advancing faster than the overall market, with most of the growth coming from suppliers' and OTAs' mobile platforms. In Europe, a focus on tourism is seen as one of the key pillars for job growth and inclusive growth. Social media platforms have emerged as a prominent marketing opportunity for online travel companies in recent years. Given the large-scale use of social media by consumers, their preferences and interests are easily tracked, which helps travel companies target those that are likely to opt for travel experiences and who can also afford travel packages. These factors offer online travel companies highly comprehensive insights into customer wants and behaviours.

With the emergence of the COVID-19 pandemic, Europe's online travel industry experienced a sharp fall in demand, especially in 2020. The worldwide spread of the coronavirus resulted in complete lockdown and border closures in a number of countries. Moreover, the shutdown of the airline industry and the increasing fear of catching the coronavirus while traveling pushed people to stay at home. All these factors negatively impacted the growth of the market. However, the market bounced back in 2021 while growing at a significant rate from 2022 onward.

Europe Online Travel Industry Segmentation

Online travel is the type of travel that is booked online through a website or a mobile application that has a specialty in making the travel arrangements, such as flight tickets, car rentals, and packages. A complete background analysis of the market, including the analysis of market size and forecast, industry trends, growth drivers, and leading players, is provided in the report. Additionally, the report features qualitative and quantitative assessments by analyzing the data gathered from industry analysts and market participants across key stakeholders in the industry's value chain. 

The market is segmented by service type, by booking type, by platform, and by country. By service type, the market is segmented into transportation, travel accommodations, vacation packages, and others. By booking type, the market is segmented into online travel agencies, direct travel suppliers. By platform, the market is segmented into desktop, mobile, and by country, the market is segmented into United Kingdom, Germany, France, Italy, and Rest of Europe. The report offers market size and forecast values for the European Online Travel Market in USD for the above segments.

Service Type
Transportation
Travel Accommodation
Vacation Packages
Other Service Types
Booking Type
Online Travel Agencies
Direct Travel Suppliers
Platform
Desktop
Mobile
Country
United Kingdom
Germany
France
Italy
Rest of Europe
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Europe Online Travel Market Size Summary

The European online travel market is experiencing a robust expansion, driven by the increasing shift towards mobile platforms for bookings. This transition is largely attributed to the widespread adoption of smartphones and the growing comfort among consumers with online payment systems. The market, which faced significant challenges during the COVID-19 pandemic due to lockdowns and travel restrictions, has shown a strong recovery, with online bookings advancing at a pace that surpasses the overall market growth. Social media has become a crucial marketing tool for online travel companies, enabling them to leverage consumer data to tailor travel experiences and packages effectively. This strategic use of social media, combined with technological advancements, has provided travel companies with deep insights into customer preferences and behaviors, facilitating targeted marketing efforts.

Germany stands out as the largest travel market in Europe, with a strong economy and high consumer confidence. Although traditional offline booking methods remain popular, there is a notable shift towards online and mobile bookings, driven by high smartphone penetration and the availability of 5G technology. This shift is expected to continue, with mobile technology enhancing customer interactions through features like voice-based services and augmented reality. The market is dominated by major players such as Booking.com, eDreams, Lastminute.com, Expedia, and HRS, although technological advancements and product innovations are enabling smaller companies to expand their presence. These developments underscore the dynamic nature of the European online travel market, which is poised for continued growth and transformation.

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Europe Online Travel Market Size - Table of Contents

  1. 1. MARKET INSIGHTS AND DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 Market Drivers

    3. 1.3 Market Restraints

    4. 1.4 Insights on impact of technology in the Market

    5. 1.5 Porters Five Forces Analysis

      1. 1.5.1 Threat of New Entrants

      2. 1.5.2 Bargaining Power of Buyers/Consumers

      3. 1.5.3 Bargaining Power of Suppliers

      4. 1.5.4 Threat of Substitute Products

      5. 1.5.5 Intensity of Competitive Rivalry

    6. 1.6 Impact of COVID-19 on the Market

  2. 2. MARKET SEGMENTATION

    1. 2.1 Service Type

      1. 2.1.1 Transportation

      2. 2.1.2 Travel Accommodation

      3. 2.1.3 Vacation Packages

      4. 2.1.4 Other Service Types

    2. 2.2 Booking Type

      1. 2.2.1 Online Travel Agencies

      2. 2.2.2 Direct Travel Suppliers

    3. 2.3 Platform

      1. 2.3.1 Desktop

      2. 2.3.2 Mobile

    4. 2.4 Country

      1. 2.4.1 United Kingdom

      2. 2.4.2 Germany

      3. 2.4.3 France

      4. 2.4.4 Italy

      5. 2.4.5 Rest of Europe

Europe Online Travel Market Size FAQs

The Europe Online Travel Market size is expected to reach USD 89.22 billion in 2024 and grow at a CAGR of 8.14% to reach USD 131.94 billion by 2029.

In 2024, the Europe Online Travel Market size is expected to reach USD 89.22 billion.

Europe Online Travel Market Report Snapshots

Europe Online Travel Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)