market research report : online travel market in india 2014 - sample
DESCRIPTION
For the complete report, get in touch with us at: [email protected] Abstract : Global market intelligence firm, Netscribes, Inc. released its latest report on the ‘Online Travel Market in India 2014’. The increasing number of internet users across the population base in India is helping to catapult online travel market to soaring heights in the industry landscape. Ease of accessing different facets of traveling aided with convenience of having everything at the tip of one’s hand makes online travel a successful proposition in today’s netizen perspective. With such companies having provisions for consumers of air, rail, bus and even car ticket booking in addition to hotel booking and other related services, online travel stands as a convenient, time saving and easy proposition for the current generation of consumers. Netscribes’ latest market research report titled Online Travel Market in India 2014 states that with the increasing e-commerce penetration in India, where people are resorting to online medium for making purchases, online travel occupies a major proportion in the total segment. Growth in tourism, ease and convenience in making online bookings, and altered consumer perception has played as growth factors for this particular segment. With the needed thrust received from the government, tourism is only poised to grow in future. Additionally, with the exponential amplification of online audience, online variant of travel is slated to grow manifold. Recent transactions also suggest that the sector is considered to be one of multitudinous growth, with more number of foreign concerns showing interest in our domestic companies. Table of Contents : Slide 1: Executive Summary Macroeconomic Indicators Slide 2: GDP at Factor Cost: Quarterly (2010-11, 2011-12, 2012-13, 2013-14), Inflation Rate: Monthly (Jul 2013 – Dec 2013) Slide 3: Gross Fiscal Deficit: Monthly (Feb 2013 – Jul 2013), Exchange Rate: Half Yearly (Oct 2013 – Mar 2014) Slide 4: Lending Rate: Annual (2008-09, 2009-10, 2010-11, 2011-12), Trade Balance: Annual (2010-11, 2011-12, 2012-13, 2013-14), FDI: Annual (2009-10, 2010-11, 2011-12, 2012-13) Introduction Slide 5: e-commerce – Classification Slide 6: e-commerce – Market Overview, Market Size & Growth (Value-wise, 2013 – 2018e), Market Split (2013) Market Overview Slide 7: Online Travel – Market Overview, Market Size & Growth (Value-Wise, 2013 – 2018e) Slide 8-9: Online Travel Agent – India Snapshot (2013) Slide 10: Online Travel – Demand – Supply Scenario Business Model Slide 11-13: Business Model adopted by Companies Online Travel Portal Slide 14: Design Slide 15: Development Phases Drivers & Challenges Slide 16: Drivers & Challenges – Summary Slide 17-24: Drivers Slide 25-26: Challenges Competitive Landscape Slide 27: Porter’s Five Forces Analysis Slide 28-32: Competitive Benchmarking Slide 33-75: Major Online Travel Players Market OpportunTRANSCRIPT
Online Travel Market – India
October 2014
2
Executive Summary
Market
Drivers & Challenges
Competitive Landscape
Drivers
Increasing Internet Penetration and PC users
Increased Spending Power
Indian Railways Online Portal
Growth in Aviation Industry
Rise of Medical Tourism
Ease of Transaction
Market Opportunity
Challenges
Nullification of Commission on Air Tickets
High Operating Costs
Key Players
Company 1 Company 2 Company 3
Company 4 Company 5 Company 6
Online travel segment is considered to be occupying a share of ~80% in the total e-commerce pie in India
MakeMyTrip, Cleartrip and Yatra hold a market share of 85% in the online travel market in the country
Tier II cities
Social network domain
Mobile platforms
ONLINE TRAVEL MARKET IN INDIA 2014.PPT
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•Macroeconomic Indicators
•Introduction
•Market Overview
•Business Model
•Online Travel Portal
•Drivers and Challenges
•Competitive Landscape
•Market Opportunity
•Strategic Recommendations
•Appendix
ONLINE TRAVEL MARKET IN INDIA 2014.PPT
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Macroeconomic Indicators (1/3)
11
12
13
14
15
INR tn
Q4
c4
b4
a4
Q3
c3
b3
a3
Q2
d2
c2
b2
a2
Q1
d1
c1
b1
a1
2013-14 2012-13 2011-12 2010-11
GDP at Factor Cost: Quarterly
Inflation Rate: Monthly
-2
-1
0
1
2
Aug 2013 - Sep 2013
q p
%
Nov 2013 - Dec 2013 Sep 2013 - Oct 2013
-t
Oct 2013 - Nov 2013
s
Jul 2013 - Aug 2013
r
ONLINE TRAVEL MARKET IN INDIA 2014.PPT
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•Macroeconomic Indicators
•Introduction
•Market Overview
•Business Model
•Online Travel Portal
•Drivers and Challenges
•Competitive Landscape
•Market Opportunity
•Strategic Recommendations
•Appendix
6
Owing to its business nature, online travel segment has some major advantages over other e-commerce segments
• Commanding a market share of about , the online travel segment drives the e-Commerce market and mainly
comprises of ticket booking, hotel accommodation and packaged tours
• It is anticipated that the market will cross the ball park figure of INR by the end of 2014
• Currently, the market in India has immense potential to offer vendors, splendid opportunities to generate a larger
revenue share
As of now, one of the most successful online travel website is being managed by the Indian Railways, wherein it caters to an average of
around transactions per day
Online Travel Market – India Overview (1/3)
0
INR bn
b
2018e
a6
2017e
a5
2016e
a4
2015e
a3
2014e
a2
2013
a1
Online Travel Market Size & Growth – India
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SAMPLE Online Travel Agent – India Snapshot (1/2)
Online Travel Market – India Overview (2/3)
c1
c2
c3
c4
c11 c10 c9
c8
2013
0
Global
c6
India
c5 Unit %
c7 Mode of domestic flight tickets sold
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Website development is carried out in phases so as to ensure proper and efficient functioning
Developing an online travel website is a step by step approach, consisting of various phases, so as to ensure proper and efficient transaction over the internet
Online Travel – Website Development Phases
z1 •text
z2
z3
z4
z5 • text
• text
• text
• text
ONLINE TRAVEL MARKET IN INDIA 2014.PPT
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Drivers & Challenges – Summary
Drivers
Increasing Internet Penetration and PC users
Increased Spending Power
Indian Railways Online Portal
Growth in Aviation Industry
Rise of Medical Tourism
Ease of Transaction
Challenges
Nullification of Commission on Air Tickets
High Operating Costs
ONLINE TRAVEL MARKET IN INDIA 2014.PPT
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Competitive Rivalry
Bargaining Power of Suppliers
Bargaining Power of Buyers
Threat of Substitutes
Threat of New Entrants
Impact XX
Impact XX
Impact XX
Impact XX
Impact XX
Market Competition – Porter’s Five Forces Analysis
ONLINE TRAVEL MARKET IN INDIA 2014.PPT
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Key Ratios of Top 3 Companies – Operational Basis (FY 2013) (1/3)
Competitive Benchmarking (2/5)
0
%
d2 d1
Yatra Online Pvt. Ltd.
d6 d5
MakeMyTrip India Pvt. Ltd.
d4 d3
Kuoni Travel (India) Pvt. Ltd.
Operating Margin Net Margin
• text
• text
ONLINE TRAVEL MARKET IN INDIA 2014.PPT
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Public: Domestic Company – Player 1 (1/6)
Key People
Products and Services
City
Company Information Offices and Centres – India
Corporate Address
Tel No.
Fax No.
Website
Year of Incorporation
Ticker Symbol
Stock Exchange
Category Products/Services
Tickets P1, p2
Bookings P3, p4
Others P5, p6
Name Designation
Person 1 Chairman
Person 2 CFO
Person 3 Executive Director
Head Office
ONLINE TRAVEL MARKET IN INDIA 2014.PPT
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SAMPLE Financial Snapshot Key Ratios
Financial Summary
Public: Domestic Company – Player 1 (2/6)
Financial Summary
Indicators Value (18/06/2014) Market Capitalization (INR)
Total Enterprise Value (INR)
EPS (INR)
PE Ratio (Absolute)
Particulars y-o-y change
(2014-13) 2014 2013 2012 2011
Profitability Ratios Operating Margin
Net Margin
Profit Before Tax Margin
Return on Equity
Return on Capital Employed
Return on Working Capital
Return on Assets
Return on Fixed Assets
Cost Ratios Operating costs (% of Sales)
Administration costs (% of Sales)
Interest costs (% of Sales)
Liquidity Ratios Current Ratio
Cash Ratio
Leverage Ratios Debt to Equity Ratio
Debt to Capital Ratio
Interest Coverage Ratio
Efficiency Ratios Fixed Asset Turnover
Asset Turnover
Current Asset Turnover
Working Capital Turnover
Capital Employed Turnover
Improved Decline
• The company earned a net profit of INR- mn in FY 2014, as compared to net profit of INR - mn in FY 2013
• The company reported total income of INR - mn in FY 2014, registering an increase of u9% over FY 2013
• The company earned an operating margin of u10% in FY 2014, a decrease of u11 percentage points over FY 2013
• The company reported debt to equity ratio of u12 in FY 2014, an increase of u13% over FY 2013
0 0
INR mn
2014 2012
u3
u4
2011
INR mn
u1
u2 u6
u5
u7
2013
u8
Total Income Net Profit/Loss
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Key Business Segments Key Geographic Segments
Public: Domestic Company – Player 1 (3/6)
Key Recent Developments
Description News
Overview • text
100%
50%
0%
2014
v1
0%
2013 2012
v4
2011
v3
2010
v2 v5
India Others
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Key Recent Developments
Public: Domestic Company – Player 1 (4/6)
Description News
Business • text
M&A • text
Recognition • text
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Public: Domestic Company – Player 1 (5/6)
Traffic Statistics – text
Ranks Audience Geography
Site Engagement Technical Details
Global Rank o1
India Rank o2
Browsing Location o3
Bounce Rate
Daily Page Views per Visitor
Daily Time on Site
o4
o5
o6
Total Sites Linking In
Search Traffic (%)
o7
o8
Average Load Time (Secs)
o9
o11
o10
o13
o12
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SAMPLE Public: Domestic Company – Player 1 – SWOT Analysis (6/6)
• text
• text
• text
• text
T O
W S
ONLINE TRAVEL MARKET IN INDIA 2014.PPT
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Private: Domestic Company – Player 2 (1/7)
Key People
Products and Services
Company Information Offices and Centres – India
Name Designation
Person 1 Co-Founder and CEO
Person 2 Co-Founder and Advisor
Person 3 Co-founder and Chief Operating Officer
Person 4 Co-Founder and Chief Financial Officer
Corporate Address
Tel No.
Fax No.
Website
Year of Incorporation
Category Products/Services
Online Travel P1, p2, p3
Bookings P4, p5, p6
Other Services P7, p8, p9
Head Office
City
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Private: Domestic Company – Player 2 (2/7)
Shareholders of the Company Ownership Structure
Name No. of Shares held
Shareholder 1
Shareholder 2
Total
s2
s1
s4 s3
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Financial Snapshot Key Ratios
Particulars y-o-y change
(2013-12) 2013 2012 2011 2010
Profitability Ratios Operating Margin -8.78 -6.62% 2.16% 4.03% -5.81%
Net Margin -9.18 -7.04% 2.13% 4.03% -5.81%
Profit Before Tax Margin -8.78 -6.62% 2.16% 4.03% -5.81%
Return on Equity -57.82 -49.80% 8.02% 37.26% -10.44%
Return on Capital Employed -54.62 -46.52% 8.10% 28.82% -9.61%
Return on Working Capital -64.69 -54.13% 10.56% 74.30% -72.00%
Return on Assets -15.38 -11.83% 3.55% 7.64% -9.61%
Return on Fixed Assets -119.97 -88.83% 31.15% 77.31% -89.20%
Cost Ratios
Operating costs (% of Sales) 8.78 106.62% 97.84% 95.97% 105.81%
Administration costs (% of Sales)
N.A. N.A. N.A. N.A. N.A.
Interest costs (% of Sales) N.A. N.A. N.A. N.A. N.A.
Liquidity Ratios
Current Ratio -19.27% 1.38 1.71 1.18 1.18
Cash Ratio -8.61% 0.71 0.78 0.36 0.50
Leverage Ratios
Debt to Equity Ratio 227.42% 0.00614 0.0019 0.29 0.09
Debt to Capital Ratio 226.03% 0.00610 0.0019 0.23 0.08
Interest Coverage Ratio N.A. N.A. N.A. N.A. N.A.
Efficiency Ratios
Fixed Asset Turnover -7.15% 13.42 14.45 19.18 15.34
Asset Turnover 8.62% 1.79 1.65 1.90 1.65
Current Asset Turnover 11.17% 2.27 2.04 2.76 1.85
Working Capital Turnover 66.91% 8.18 4.90 18.44 12.38
Capital Employed Turnover 87.76% 7.07 3.77 9.25 1.79
Private: Domestic Company – Player 2 (3/7)
Improved Decline
Financial Summary
• The company incurred a net loss of INR - mn in FY 2013,
compared to a net profit of INR - mn in FY 2012
• The company reported total income of INR - mn in FY 2013,
registering an increase of t9% over FY 2012
• The company earned an operating margin of t10% in FY 2013,
a decrease of t11 percentage points over FY 2012
• The company reported a debt to equity ratio of - in FY 2013, an
increase of t12% over FY 2012
0
INR mn
2013
t7
t8
2012
t5
t6
2011
t3
t4
2010
t1
t2
INR mn
Net Profit/Loss Total Income
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SAMPLE
Key Recent Developments (1/2)
Description News
Overview • text
Current and Pending Investors
• text
Prior Investors • text
Private: Domestic Company – Player 2 (4/7)
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Key Recent Developments (2/2)
Description News
Corporate Activity • text
Private: Domestic Company – Player 2 (5/7)
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Private: Domestic Company – Player 2 (6/7)
Traffic Statistics – text
Ranks Audience Geography
Site Engagement Technical Details
Global Rank p1
India Rank p2
Browsing Location p3
Bounce Rate
Daily Page Views per Visitor
Daily Time on Site
p4
p5
p6
Search Traffic (%) p8
Average Load Time (Secs)
p9
q1
q3 q2
q4
q7
q8
q6
q5
Total Sites Linking In p7
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SAMPLE Private: Domestic Company – Player 2 – SWOT Analysis (7/7)
• text • text
• text
• text
T O
W S
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SAMPLE e-Commerce Vendor – Opportunity
Target Tier II Cities
Mobile Platforms Social Media Domain
Online Travel Market – India
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Thank you for the attention
About Netscribes, Inc. Netscribes, Inc. is a knowledge-consulting and solutions firm with clientele across the globe. The company’s expertise spans areas of investment & business research, business & corporate intelligence, content-management services, and knowledge-software services. At its core lies a true value proposition that draws upon a vast knowledge base. Netscribes, Inc. is a one-stop shop designed to fulfil clients’ profitability and growth objectives.
Online Travel Market – India report is part of Netscribes’ Retail and Services Series. For any queries or customized research requirements, contact us at:
Disclaimer: This report is published for general information only. Although high standards have been used in the preparation, “Netscribes” is not responsible for any loss or damage arising from use of this document. This document is the sole property of Netscribes and prior permission is required for guidelines on reproduction.
Phone: +91 22 4098 7600 E-Mail: [email protected]
ONLINE TRAVEL MARKET IN INDIA 2014.PPT