Hong Kong startup, Klook has become the most-searched travel activities platform worldwide since October 2018, according to Google Trends.
Compared with its closest performing competitor, Klook showed more than double the brand search worldwide since November 2018.
Klook’s top position on Google is demonstrative of the rapid pace at which tours and activities are coming online. Just two years ago, tours and activities were widely regarded as ‘the long tail’ of travel.
Now, startups have flooded the sector, hoping to get a piece of the action. Fair enough, considering tours and activities is estimated to reach US$183 billion by 2020. However, there is still plenty of room for growth as tours and activities still lag behind at 15% online penetration, as compared to 61% across the rest of the travel industry.
While competition is growing fierce, co-founder and COO, Eric Gnock Fah commented that Klook’s edge came from being a “fast fish”, during his on-stage interview with Rod Cuthbert (former chairman and CEO, Viator) at WiT Singapore 2018,
Klook itself closed upwards of US$300 million dollars in funding so far, and has worked hard to keep its strategy as agile and reponsive to market demand as possible.
Some notable emerging patterns that is believed to be attributable to Klook’s growth are:
Travellers’ booking behaviour has shifted, according to Klook’s 2018 events survey, conducted in 12 key markets. It was found that almost two thirds (63%) of travellers search things to do in a given destination, before shopping for hotels and flights. It is believed that this might position Klook as a platform for travel inspiration, before people embark on holidays.
The survey also found that approximately half of travellers (54%) select destinations based on a seasonal activity or event – from witnessing the cherry blossoms in Japan to sports competitions, or participating in seasonal sports like skiing. Klook has responded to these growing preferences by adding products like cherry blossom tours or prioririty tickets to concerts on the platform.
Finally, the survey revealed that unsurprisingly, travellers need spontaneity. Klook’s booking data found that same-day bookings increased nine-fold between 2016 and 2018, with 85% of bookings being confirmed instantly. Experiential travel cannot be overly manufactured and planned, for fear of killing off any sense of adventure, however companies can ensure that their services are instant and available, whenever a customer commits to a plan of action.
Lead image: Getty Images.
