Tour Operator Software Market to Attain Valuation of USD 1,875.21 Million By 2032, at 12.8% CAGR: Report by Astute Analytica

Booming travel activity around world fuels tour operator software market growth. Mobile bookings surge with OTAs like Expedia leading the charge. Strong growth expected with data security a key challenge.

New Delhi, May 15, 2024 (GLOBE NEWSWIRE) — The global tour operator software market was valued at US$ 634.26 million in 2023 and is projected surpass the market size of US$ 1,875.21 million by 2032 at a CAGR of 12.8% during the forecast period 2024–2032.

In the tour operator software market, the travel app market has seen a significant uptick, with revenues soaring to $663 billion in 2023, a staggering 53.4% increase from the previous year. This surge is underpinned by the widespread adoption of travel apps, with over 800 million individuals engaging with these platforms in 2022 alone. Dominating this space, Expedia commands a 21.5% market share in the US, while Booking.com leads the pack with over 80 million downloads, making it the most downloaded travel app in 2022. The accommodation sector has been a major contributor to this growth, accounting for 73% of the travel app industry’s revenue, with Booking Holdings maintaining its position as the top revenue-generating online travel agency company.

Request Free Sample Copy @ https://www.astuteanalytica.com/request-sample/tour-operator-software-market

The online booking landscape has evolved, with 72% of employees expressing eagerness for their next trip and 45% of global travelers showing a willingness to fly for business purposes. A significant 86% of travel agents are now prioritizing the enhancement of customer experience to fuel digital sales growth. Mobile applications, offering travel notifications, are utilized by 44% of travelers, and self-service check-ins are preferred by 41%. The trend towards cashless transactions is evident, with an equal percentage of travelers adopting this method. Moreover, flexible refunds and guarantees have become important to 40% of travelers, indicating a shift towards more customer-friendly booking policies.

Market Dynamics and Economic Impact

The travel industry is experiencing a boom, and this is driving growth in the tour operator software market. Online Travel Agencies (OTAs) are a major player in this market, with a projected value of $1.091 billion in 2022. Direct bookings through OTAs were responsible for a whopping 69% of online reservations in 2019. Even after a dip in revenue due to the pandemic, OTAs have rebounded strongly. Leading brands like Expedia Group and Booking Holdings boast impressive revenue figures.

Travel agency services are also thriving, with global revenue reaching $289 billion in 2023 and expected to reach $295.7 billion in 2024. The US travel market alone saw a 51% increase in gross bookings in 2022, with OTAs capturing a significant portion of the market. Mobile bookings are a major trend, with nearly half of all OTA bookings made via mobile devices in 2022. This figure is expected to keep climbing in the global tour operator software market. The economic impact of travel and tourism is undeniable. In 2019, the sector contributed a staggering 10.5% of all jobs and 10.4% of global GDP. International visitor spending reached a high of $1.91 trillion. In 2023, the industry’s contribution to GDP grew by 23.2% compared to the previous year, with millions of new jobs created. Domestic travel spending also saw a significant increase, surpassing pre-pandemic levels.

This overall growth in travel translates to a strong demand for efficient tour operator software. These software solutions help manage bookings, customer relationships, and back-office operations, allowing travel businesses to capitalize on the booming travel market.

Key Findings in Global Tour Operator Software Market

Market Forecast (2032) US$ 1,875.21 million
CAGR 12.8%
Largest Region (2023) Europe (30.4%)
By Offering Software (64.0%)
By Module Booking/Reservation Management (35.1%)
By Deployment Mode Software-as-a-Service (SaaS) (57.2%)
By End User Domestic tour operators (70%)
By Enterprise Size Large Enterprises (71.8%)
Top Trends
  • Mobile Booking: Growth in mobile travel bookings, requiring software with mobile-friendly interfaces and functionalities.
  • Personalization: Focus on personalized travel experiences, necessitating software with customer relationship management (CRM) and data analytics capabilities.
  • API Integration: Integration with third-party platforms (e.g., payment gateways, OTAs) for seamless booking and travel management.
Top Drivers
  • Travel Industry Growth: Overall growth in travel and tourism, leading to increased demand for efficient tour operator software.
  • Competition: Need for tour operators to differentiate themselves and offer efficient booking processes to compete in a crowded market.
  • Evolving Customer Demands: Shifting traveler preferences towards unique and customized experiences.
Top Challenges
  • Data Security: Securing sensitive customer data and complying with data privacy regulations.
  • Cost of Implementation: High costs associated with software implementation, training, and ongoing maintenance, particularly for smaller businesses.
  • Integration Complexity: Difficulty in integrating tour operator software with various third-party systems and platforms.

Dominance of Booking/Reservation Management Software is A Lucrative Frontier in the Tour Operator Software Market, Controls over 35% Market Share

The booking and reservation management software market has become a cornerstone of the travel industry, with its dominance underscored by impressive growth and adoption rates. In 2023, the online travel industry’s revenue reached a remarkable $667.55 billion, a figure projected to expand to approximately $1,589.6 billion by 2032, growing at a CAGR of 12.6%. This growth trajectory is particularly pronounced in China, which is leading the charge in the market’s expansion. The industry has shown resilience and adaptability, bouncing back from the pandemic with flight demand nearing 95% of pre-pandemic levels in 2023.

Consumer behavior has shifted significantly, with a surge in travel intentions noted across various regions. For instance, half of the travelers in six surveyed countries planned to increase their travel frequency compared to the previous year. Despite economic pressures, the demand for tour operator software market remains robust, with 80% of travelers emphasizing the importance of complete online booking capabilities. This preference is particularly strong among younger generations, who are leading the digital charge in travel planning.

The influence of technology on travel planning is undeniable, with 76% of travelers seeking apps that streamline the booking process and reduce stress. Online Travel Agencies (OTAs) remain the top resource for travelers, followed by search engines and social media, which have a significant impact on destination choices. In fact, 75% of leisure travelers in 2023 were inspired by social media to visit specific destinations.

The American tour operator software market reflects a cost-conscious approach to travel, with 92% of travelers looking for ways to save on trips. The convenience and cost-effectiveness of online booking are key drivers, with 72% of travelers preferring this method over traditional agencies. The trend towards online booking is further evidenced by the forecast that by 2028, 76% of total revenue in the tourism and travel sector will be generated through online sales.

Empowering Domestic Tour Operators: The Dominance of Tour Operator Software in Revolutionizing Travel Experiences with over 70% Market Share

In the ever-evolving travel industry, domestic tour operators have emerged as the driving force behind the adoption of tour operator software. These operators are increasingly leveraging specialized software solutions to enhance their operations, improve customer engagement, and stay ahead in a highly competitive market. One prominent example of tour operator software is Travefy, which offers a comprehensive travel itinerary management application. This software enables domestic operators to streamline the creation and distribution of detailed travel plans, resulting in a more organized and efficient process for both operators and travelers.

  • Another notable player in the tour operator software market is Ezus, a software provider that assists travel agents, Destination Management Companies (DMCs), and tour operators in selling more efficiently. This feature is particularly crucial for domestic operators, as it allows them to offer personalized and competitive travel packages to their customers.
  • WeTravel is another popular software platform that serves as a payment gateway and booking system. This solution simplifies financial transactions and the booking process for domestic operators, enabling them to provide a seamless and convenient experience for their customers.
  • Checkfront, on the other hand, specializes in appointment scheduling and booking software. This tool is highly valued by domestic operators as it enables them to manage bookings and schedules in real-time, ensuring a smooth and well-organized operation.
  • Moonstride is a software provider that offers a comprehensive suite of applications, including CRM, Back Office, and Booking Engine capabilities. This all-in-one platform is particularly beneficial for domestic operators, as it allows them to effectively manage customer relationships and streamline back-end operations.

The tour operator software market also includes established players like ISO Travel Solutions and Travel Booster by Galor. These companies offer a range of software solutions tailored to the specific needs of tour operators and travel agencies, including those operating within domestic markets. These examples of tour operator software highlight the dominant role that domestic tour operators play in the industry. By embracing these software solutions, domestic operators gain access to a wide range of features and functionalities that enhance their operations and enable them to offer personalized and competitive services.

Inquire more about this report before purchase @ https://www.astuteanalytica.com/inquire-before-purchase/tour-operator-software-market

Asia Pacific’s Tour Operator Software Market Set to Flourish, Offering a Revenue Opportunity of Over US$ 330 Million from 2024-2032

The Asia Pacific region stands on the cusp of a significant transformation within the tour operator software market, with an anticipated revenue opportunity of over US$ 330 million during the period of 2024-2032. This optimistic projection is underpinned by a robust growth trajectory in the region’s tourism sector, fueled by a combination of economic, technological, and infrastructural developments.

India, a key player in the region, has seen its travel and tourism industries contribute an impressive US$ 178 billion to the national GDP. The sector is not only a major economic driver but also a significant source of employment, providing 39 million jobs in FY’20, a number that is expected to swell to 53 million by 2029. The travel market in India alone is projected to reach a staggering US$ 125 billion by FY 2027, with international tourist arrivals expected to hit 30.5 million by 2028 in the India’s tour operator software market. As of September 2023, India had already welcomed 6.43 million foreign tourists, while domestic tourist visits stood at 1.73 billion in 2022. The foreign exchange earnings from tourism in India amounted to $16.92 billion in 2022, and the sector is projected to contribute $250 billion to the country’s GDP by 2030. The burgeoning medical tourism market in India is also expected to grow at a CAGR of 21.1% from 2020 to 2027, with revenue projections for 2023 standing at $7.66 billion. The cruise passenger traffic in India is set to increase from 0.4 million to 4 million by 2032, and the Indian MICE market is projected to double in the next five years. With over 1,500 DPIIT recognized startups in the tourism sector and 80% of the industry comprised of SMEs, the Government of India has allocated US$ 2.1 billion to the Ministry of Tourism, signaling strong support for the industry.

Globally, international tourism ended 2023 at 88% of pre-pandemic levels with an estimated 1.3 billion international arrivals. Specifically, in the Asia Pacific tour operator software market, tourism reached 65% of pre-pandemic levels, with South Asia recovering 87% of 2019 levels. International tourism receipts reached USD 1.4 trillion in 2023. The global tourism market is expected to reach USD 16.9 trillion by 2030, with Asia Pacific projected to grow the fastest. Leisure travelers in industrialized countries are anticipated to spend almost 74% more on travel in 2022 than in the previous five years, and Asia Pacific is expected to have the largest tourism market share. The business spending segment held the largest market share in 2022 and is expected to continue during the forecast period. China is projected to overtake the US as the world’s biggest travel and tourism market by 2032. The contribution of travel and tourism to global GDP is expected to grow at an average annual rate of 5.8% between 2022 and 2032, with the sector expected to generate 126 million additional jobs during the period.

The Asia-Pacific tour operator software market is expected to experience a faster recovery in business travel. In 2021, the travel and tourism sector’s contribution to GDP increased by 21.7% to $5.8 trillion, and the sector is estimated to hasten its pace of recovery in 2022 to 43.7% compared with 2021. Tourists are expected to increasingly seek value for money and travel closer to home, and the global tourism sector is expanding due to rising per capita income, fueling the ongoing rise in international travel, particularly in South America and Asia.

Global Tour Operator Software Market Key Players

  • Adventure Bucket List
  • Centaur Systems
  • Checkfront Inc
  • Dolphin Dynamics
  • eMinds
  • GP Solutions GmbH
  • IT Web Services,
  • Qtech Software
  • Retreat Guru
  • Rezdy
  • Tourplan
  • TechnoHeaven Consultancy
  • Travefy, Inc
  • TraveloPro
  • Trawex Technologies Pvt Ltd
  • TrekkSoft (TrekkSoft Group)
  • TRYTN, Inc
  • Xola, Inc.
  • Other Prominent Players

Market Segmentation:

By Offering

  • Software
  • Services

By Module

  • Booking/Reservation Management
  • Inventory Management
  • Payment Processing
  • CRM (Customer Relationship Management)
  • Back-office Management
  • Accounting Management

By Deployment Mode

  • SaaS
  • Web Based

By Enterprise Size

  • SMEs
  • Large Enterprises

By End User

  • International Tour Operators
  • Domestic Tour Operators

By Region

  • North America
  • Europe
  • Asia Pacific
  • Middle East & Africa (MEA)
  • South Africa

Purchase a Full Copy of the Report @ https://www.astuteanalytica.com/industry-report/tour-operator-software-market?buy_now=true&license_type=single

About Astute Analytica

Astute Analytica is a global analytics and advisory company which has built a solid reputation in a short period, thanks to the tangible outcomes we have delivered to our clients. We pride ourselves in generating unparalleled, in depth and uncannily accurate estimates and projections for our very demanding clients spread across different verticals. We have a long list of satisfied and repeat clients from a wide spectrum including technology, healthcare, chemicals, semiconductors, FMCG, and many more. These happy customers come to us from all across the Globe. They are able to make well calibrated decisions and leverage highly lucrative opportunities while surmounting the fierce challenges all because we analyze for them the complex business environment, segment wise existing and emerging possibilities, technology formations, growth estimates, and even the strategic choices available. In short, a complete package. All this is possible because we have a highly qualified, competent, and experienced team of professionals comprising of business analysts, economists, consultants, and technology experts. In our list of priorities, you-our patron-come at the top. You can be sure of best cost-effective, value-added package from us, should you decide to engage with us.

Contact Us:
Astute Analytica
Phone: +1-888 429 6757 (US Toll Free); +91-0120- 4483891 (Rest of the World)
For Sales Enquiries: sales@astuteanalytica.com
Website: https://www.astuteanalytica.com/
LinkedIn Twitter YouTube

CONTACT: Astute Analytica Phone: +1-888 429 6757 (US Toll Free); +91-0120- 4483891 (Rest of the World) For Sales Enquiries: sales@astuteanalytica.com Website: https://www.astuteanalytica.com/ LinkedIn | Twitter | YouTube

Disclaimer: The above press release comes to you under an arrangement with GlobeNewswire. SingaporeOutlook.com takes no editorial responsibility for the same.