Apps Offer a Superlative User Experience
Mobile Browsers Drive Convenience & Discoverability
|Mobile browser traffic vs. app traffic for top 50 mobile sites|
Indexed Travel App Ratings
- The Rating range for OTA and Meta is quite small indicating 1) inherent value through scope/choice and 2) e-commerce businesses: they get it (strategy, management, culture, resource allocation, etc.)
- Scale Advantage -- In the travel vertical, users find much more utility with OTAs and Meta apps due to the scope of services offered versus hotel or flight only apps. Not surprisingly, TripAdvisor, offering the most choice, content and reviews, is the download king with an estimated 100 million downloads
- DMW Takeaway: How you market the App will also determine how quickly you can scale downloads. There are organic (free) and paid (sponsored) methods that are emerging be best practices.
- DMW Takeaway #2: We expect PCLN to leverage the OPENTABLE app downloads with Kayak, Priceline and Booking apps to gain further scale advantages. It will be interesting to watch this potential synergy unfold over the next few years.
Highlights - Suppliers:
- Among the supplier brands, the range in index scores, from 77 to 109, is much greater than the OTAs and Metas.
- Kudos to Starwood SPG for their 109 Index (4.3 stars) and the booby prize goes to Hyatt (77 Index, 3 stars).
- DMW Takeaway: The enormous variance in app ratings for hotel brands is due neither to the strength nor size of their loyalty programs. Example: Marriott ranks towards the bottom but has the largest loyalty program. What drives better ratings is a combination of better strategy and resource allocation, along with the expertise to design, build and market a superior app experience.