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  • Stayzilla.com identifies interesting travel trends in the ‘value & budget’ segment

    Published on May 29, 2014

    Chennai: Stayzilla.com, India’s premier online portal focussed on hotel accommodation booking in the ‘value & budget’ segment has today unveiled emerging travel trends in 2014. Recently crossing another milestone, Stayzilla.com now has over 12,000 hotels and across 1000+ towns and cities in India.

    stayzilla_logoThese findings are a reflective analysis of travel patterns of over 80,000 travellers from Delhi, Mumbai, Bangalore, Chennai, Ahmedabad, Hyderabad and Pune choosing to book with Stayzilla’s enormous network.

    The analysis covers the segment of travellers making ‘value & budget’ accommodation decisions for leisure and business purposes. These findings are an analysis of bookings received on Stayzilla.com during the last financial year (April 2013 – March 2014).


    Trend 1: Flight travellers opt for budget hotels

    Flight-budget travellersConsidering the significant amount spent of booking flight tickets, the existing flight traveller is considering “value for money” accommodation options. Additionally, since they are online booking flight tickets, they find it convenient to book “value for money” hotel stay options online as well.

    Key highlights

    ·         The contribution of flight travellers to overall transaction volumes on Stayzilla.com has grown over 300% over the last one year

    ·         90% of the flight travelling population originates from tier 1 cities and 80% of the population are travelling to tier1 cities

    ·         The top reason for travel is “Business”, contributing 40% followed by leisure travel at 25%

    Trend 2: Word-of-mouth is the strongest marketing tool to influence budget travel decisions

    Stayzilla.com has identified that Indians today are more open, to the idea of booking a lesser known budget hotel rather than a star hotel.

    Word-of-mouth-Travel descisionsWith no standardisation of budget hotels in India, there is a constant challenge of customer confidence on both the Online Travel Agent & the hotel, here, word-of-mouth plays a strong role in validating the service offered influencing the customer’s decision making process. Reinforcing this is the significant increase in customer volumes and repeat customer engagement frequency over the last one year.

    Key highlights:

    ·         Contribution of repeat customers to the overall transaction volume has increased by 50% year-on-year

    ·         Average value of revenue from repeat customers has undergone a 20% increase year-on-year

    ·         The “look to book” time window for repeat customers has reduced by 50%


    The leisure traveller does not like to spend too much of time on travel, giving rise to the trend of Staycations.

    Short stay+ vacation= ‘Staycation’

    Staycations are a new concept that involves short stays within a 200km radius of the originating city. These short stays at a quiet and tranquil location provides travellers with complete rejuvenation from stressful city lives.

    Key highlights:

    ·         The frequency of taking a minimum of two family vacations a year has been replaced with an average of 3-4 Staycations a year.

    ·         The average amount of money spent for a staycation for a family of four is Rs. 12,000-15,000

    ·         Staycations are done spontaneously with an average advance booking of 2-3 days

    ·         Staycations are more prominent in the metro regions of the country, namely, Delhi, Mumbai, Chennai, Bangalore.

    Commenting on the study, Yogendra Vasupal, CEO & Founder, Stayzilla.com, said, “The increase in business travel is contributing significantly to the travel industry, and we are glad to be spearheading the growth of ‘value & budget’ hotels. There is a strong need for a trusted partner in this segment. Once customers get to make a booking with a trusted brand and go through a seamless stay experience, they channelize their latent budget stay needs through the same player. This has been reinforced with the significant increase in our repeat customers. We look forward to unprecedented growth of the ‘value & budget’ segment and will continue to offer the best experience to our customers.”


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