SOURCE: Phocuswright Inc.

October 01, 2007 10:52 ET

Italian Online Travel Market Projected to Near 3.4 Billion EUR in 2008

PhoCusWright Releases Italian Online Travel Overview Second Edition

SHERMAN, CT--(Marketwire - October 1, 2007) - According to a new report from PhoCusWright Inc., while the travel market of Europe as a whole is marching relentlessly online in the footsteps of the U.S. travel market, the Italian online travel channel continues to trail its peer markets. The report, PhoCusWright's Italian Online Travel Overview, provides an in-depth look of the Italian travel market, including market size, forecasts and analysis, as well as the overall European market, for 2004-2006 and projects trends through 2008.

According to the report, online penetration in Italy was just 8% in 2006, trailing the European average (19% in 2006, expected to reach 28% by 2008). By 2008, Italian online travel gross bookings will still comprise just 12% of all Italian travel bookings. Yet the Italian travel market has seen explosive growth in the online channel over the past three years and remains red hot. The online travel market will continue its strong growth, led by online travel agencies and low-cost carriers (LCCs), and online travel revenues will show a fivefold increase between 2004 and 2008.

Additional highlights of the Italian online travel market include:

--  Growth in the Italian market has been led by online travel agencies
    and LCCs.
    
--  A highly fragmented hospitality industry, a traditional travel agency
    network that handles a large percentage of unmanaged business travel, and
    tour operators skeptical about their chances of maintaining share if they
    move business online are among the reasons Italy is still far from reaching
    the online performances of other major European countries.
    
--  Italian online travel agencies (along with airlines) remain the
    primary drivers of the online travel market.
    
--  Almost all air carriers are offering hotel reservations and other
    services.
    

The individual markets of Europe, in particular the top five (U.K., Italy, France, Germany and Spain) demonstrate the variety of paths that developing e-commerce economies can take. Hence, PhoCusWright has undertaken a country-by-country research effort covering these five markets and the European market as a whole, resulting in six new reports, including PhoCusWright's Italian Online Travel Overview.

Packed with numerous additional findings, the report is available at http://www.phocuswright.com/reports/italy for US$600 (425 EUR*).

*EUR is approximate and based on exchange rate as of September 28, 2007.

Contact Information