How Will Viator, GetYourGuide, and Klook Grow and Compete in 2024?
The largest tours-and-activities marketplaces, Viator, GetYourGuide, and Klook, have made significant moves in the past year. With offline bookings being their biggest competitor, as only 30% of the $1 trillion tours and activities market is sold online, according to Skift Research.
As these companies continue to see their valuations and bookings soar, let’s take a look at their milestones in 2023 and what developments we can expect from them in 2024.
Viator Bets on Profit
Tripadvisor’s experiences brand, Viator, is expected to achieve full-year profitability on an adjusted EBITDA basis in 2024. Viator’s growth in experience sales and Tripadvisor’s AI-based experiences and dining planner have contributed to this success. In fact, Viator saw a 41% increase in revenue between June and September, accounting for nearly half of Tripadvisor’s quarterly revenue.
The launch of Tripadvisor’s AI-based trip planner Trips has also led to higher customer engagement and revenue. Users who create “Trips itineraries” generate three times more revenue than those who don’t. Viator and Tripadvisor together offer 300,000 bookable experiences in 250,000 destinations, with most of these experiences coming from Viator.
Viator’s listings-management program, Accelerate, has played a critical role in the company’s record-breaking growth. The upgraded Accelerate tool provides operators with a clearer view of what they get for their commission, showing them the ad impressions they can expect to receive. The majority of the revenue generated goes back to operators, with the remainder invested in marketing efforts to drive demand and improve the traveler experience.
GetYourGuide Taps Into AI
GetYourGuide, the most heavily funded travel experiences platform, raised an additional $194 million in June 2023, pushing its total investment over $1 billion. Offering 118,000 experiences in 150 countries, GetYourGuide focuses on spotlighting rare experiences. The company plans to use generative AI tools to improve the discoverability of these tours and attractions for its customers.
CEO Johannes Reck envisions search evolving beyond boring text search boxes and expects his team to find savvier ways to gather customer data. GetYourGuide will train its AI models on this enhanced customer data to pinpoint traveler preferences. The company also plans to feed this data back to tour operators to shape future experiences. While GetYourGuide’s prototype AI-generated itinerary is still a work in progress, we can expect more testing in 2024.
Although investors are curious about GetYourGuide’s plans to go public, an IPO is unlikely to happen in 2024. The company believes it can fulfill its vision and long-term goal of becoming the undisputed global market leader while remaining a private company.
Klook Looks to Gen-Z
Klook closed the year with a $210 million raise and over $3 billion in annualized bookings. As Southeast Asia’s largest experiences marketplace, the company also achieved profitability in 2023. Klook aims to continue investing in tech and AI-driven travel planning tools in 2024.
Klook caters explicitly to its younger demographic, with an average customer age of 27 years. The company’s AI chatbot, Kai, and the Klook Kreator program for social media influence and connection are designed to meet the preferences of Gen Z travelers. Klook expects tours and experiences to evolve to match the adventure-driven, fast-paced preferences of its customers.
Klook stands out by offering a broader array of inventory beyond day tours, such as food-themed walking tours and mega events and festivals. The company has also tapped into the demand for travel experiences linked to entertainment and pop culture, securing partnerships with theme parks and attractions.
While an IPO is considered a future milestone for Klook, the company’s current focus is on strengthening its market position and being ready for favorable market conditions.
Author’s Quote
“We are excited to see how Viator, GetYourGuide, and Klook will continue to innovate and compete in the tours-and-activities market in 2024. With their focus on profitability, AI-driven tools, and catering to the preferences of Gen Z travelers, these companies are poised for further growth and success.” – Website Author
Conclusion
Viator, GetYourGuide, and Klook have made significant strides in the tours-and-activities market in 2023. Viator aims to achieve full-year profitability in 2024, while GetYourGuide focuses on tapping into AI to enhance customer experiences. Klook continues to cater to its younger demographic and invest in tech-driven travel planning tools. As these companies continue to innovate and compete, we can expect exciting developments in the tours-and-activities market in 2024.
George Barham, an accomplished journalist and avid gambling enthusiast, serves as the esteemed Editor-in-Chief at fly-to-australia.com, Australia’s leading source for comprehensive gambling news and insights. With an unwavering passion for both the written word and the ever-evolving world of betting and gaming, George brings a wealth of knowledge and expertise to the helm of our editorial team.
