Web Travel Group Limited · ASX:WEB
Web Travel — Investor Day (September 2022)
31 slides from Web Travel's investor day presentation, Sep 5, 2022
Slide 1: Strategy update
Webjet OTA Strategy update. Dave Galt 1
Slide 2: Unparalleled Convenience & Choice
Unparalleled Convenience & Choice. Market leader & Australia’s #1 OTA. Holiday Travel Flights Hotels Hire Cars Activities Packages Insurance Unique domestic Delivered many Layering Now more than Self driving is Integrated flight matrix enhancements, our leading ever travellers now favoured Viator co
Slide 3: Growing Webjet OTA
Growing Webjet OTA. 8.8% average market share Our goal is to deliver continued market share growth through 5 key strategic areas. across all GDS bookings FY23 YTD*. Share up 57% from 2019. Revenue Customer Product Servicing OPEX Growth Experience Expansion Automation Control Increase share of Throug
Slide 4: Leveraging our strengths to support strategy
Leveraging our strengths to support strategy. Leveraging our Webjet OTA continues to leverage • Brand strength as the #1 OTA strengths across our strong brand, scalability and Continuing to improve our value proposition for our customers and increase organic traffic strategic initiatives. superior t
Slide 5: Online shopping x pre-pandemic levels
Online shopping 2 x pre-pandemic levels. Shift to Total Online Retailing Sales - Australia eCommerce Original and seasonally adjusted continues despite easing of Covid restrictions. 4 years to grow by 1bn. Only 2 years to grow by another 2bn. Source: Australian Bureau of Statistics, Retail Trade, Au
Slide 6: Online Travel Agency penetration behind USA
Online Travel Agency penetration behind USA. The pandemic Online vs Bricks & Mortar Agencies accelerated eCommerce in AUS. Long runway for growth. Australia USA The penetration of OTA’s in the USA and accelerated eCommerce in Australia highlights the growth opportunity for Webjet OTA. Source: Phocus
Slide 7: High Touch Retail quickly shifting to No Touch Retail
High Touch Retail quickly shifting to No Touch Retail. Leisure travellers want more convenience. Business travellers want more control over their itineraries. All travellers crave self-serve. 7
Slide 8: Customer Engagement
Customer Engagement. Travellers Webjet’s customers want more than just low prices. perceive value 21% Best price available in many ways 20% Flexible booking conditions when booking. (ability to change for free, free cancellation to credit, refundable) 18% Departure times & available dates 12% Airfar
Slide 9: Payment options to suit consumers evolving habits
Payment options to suit consumers evolving habits. Increase Recently added: conversion. • AfterPay • PayPal in 4 • Google Pay • PayID (Poli) Loyalty: Members of these programs can redeem their loyalty points at Webjet for travel products : • NAB Rewards (AU) • AMEX Membership Rewards (AU + NZ) • ASB
Slide 10: Hotel innovations to suit consumers evolving habits
Hotel innovations to suit consumers evolving habits. Increaseconversion. - Mobile optimised - Mapping enhancements - Pay @ Hotel - Partial deposits - AfterPay - Refundability merchandising - Member Deals Strategy Area 10
Slide 11: Innovation propelling outperformance
Innovation propelling outperformance. During pandemic, Standalone Hotels TTV vs 2019 domestic hotels in drive markets flourished. Webjet’s hotel merchandising driving TTV. Strategy Area 11
Slide 12: International Flights
International Flights. Trip Ninja: Online solutions for complex itineraries 12
Slide 13: International flight bookings recovery
International flight bookings recovery. Bring complex itineraries online. Webjet OTA International Flight Bookings (% of Pre-Covid(1)) Grow share. Scalable solutions for business and leisure travellers. Strategy Area * 2Q23 represents actuals for 1 July 22 to 28 August 2022 1) Shows International Fl
Slide 14: Trip Ninja Recap
Trip Ninja Recap. Webjet acquired • Founded: 2015, launched in 2017 in Canada Trip Ninja 24/11/21. • Employees: 24 • FareStructure is a technology that automates the combining of fares from carriers that Integration of do not have a cooperation or codeshare agreement in order to give customers the b
Slide 15: Multi-Stop & Open-Jaw flights explained
Multi-Stop & Open-Jaw flights explained. Many travellers Open-Jaw Multi-Stop visit multiple cities on trips. Brisbane Koh Samui Leisure & business Phuket travellers alike. Mix’n’Match Airlines. Sydney Brisbane Melbourne Strategy Area 15
Slide 16: Today's Trip Ninja opportunity
Today’s Trip Ninja opportunity. ~10% of • Combining flights outside of legacy fare constructs for multi-stop domestic & international itineraries international flight searches • Many use cases are fulfilled by the Trip Ninja tech, including combining unaffiliated airlines on multi-stop domestic and
Slide 17: Trip Ninja on Webjet
Trip Ninja on Webjet. Trip Ninja International Open Jaw - Pricing Comparison Example. technology Flight 1: Brisbane->Phuket -> Car/Bus/Ferry -> Flight 2: Koh Samui->Brisbane (ex BNE 08 Sept 2022) integration enables pricing + flexibility. Skyscanner Webjet Production Webjet with Trip Ninja Cheapest:
Slide 18: Routehappy merchandising content for airlines
Routehappy merchandising content for airlines. Drives yield on cabin upsell. Ability for airlines to showcase their cabin investments. Strategy Area 18
Slide 19: Webjet's Unique Matrix Flight Display
Webjet’s Unique Matrix Flight Display. Remains the best • Airlines frequently changing route networks to optimise yield, Webjet uniquely positioned to inform travellers of their options and find the schedule/price to suit their needs in class display for comparing and • Mix’n’Match: In Aug-22 40% of
Slide 20: NDC innovation
NDC innovation. Well placed to • Airlines continue to invest in their New Distribution Capabilities (NDC) capture the shift • Airlines excited by personalisation and increasing ancillary revenue to NDC. • Webjet has built an Air-Hub to aggregate air content from multiple sources • Integration of NDC
Slide 21: Marketing
Marketing. Engaging Travelers 21
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Slide 23: Marketing strategy
Marketing strategy. The right media • Retain marketing spend at 1.5% of TTV, previously 2% of TTV channel for the • Actively reduced paid search advertising right audience segment. • Increased use of social media & online video platforms to reach target audiences • Develop campaigns to reach youth a
Slide 24: Analytical data for segmentation and optimisation
Analytical data for segmentation and optimisation. Data drives our Traveller Types decisions. 345k Followers Segmentation drives Database Breakdown performance. 25k subs Platform 493k subs 661k subs 183k subs 148k subs 537k subs 43k subs Strategy Area *Other: 115k+ subs 24
Slide 25: Webjet demographics
Webjet demographics. Gen Z and Webjet Age & ABV Millennials are the fastest growing customer groups vs pre-Covid. Under 34’s are our fastest growing customer segments Over 45’s have a higher average booking value Strategy Area 25
Slide 26: Servicing
Servicing. Empowering Travellers 26
Slide 27: Redeeming credits & changing flights
Redeeming credits & changing flights. Automation key to Cycling through complex 12 months redeeming credits. sustained scalable • Each airline has its own credit rules which require manual review growth post-Covid. • Customers often frustrated by limited availability & higher prices • Long tail of c
Slide 28: Empowering Travellers - Ticket change automation
Empowering Travellers - Ticket change automation. Real time control of flight changes. Key to servicing business travellers. Strategy Area 28
Slide 29: 80+ Webjet staff engagement score
80+ Webjet staff engagement score. Talent Acquisition Employer Brand • Position Descriptions • Employer of Choice Awards • Sourcing / Selection • Values Activation Talent Employer • Offer & Contract • Talent Events Acquisition Brand • Recruitment Toolkit • Careers Page • Videos • D&I People Experien
Slide 30: Aspiration: 1 in 10 Travelers are Webjet Customers
Aspiration: 1 in 10 Travelers are Webjet Customers. Australia’s • Australia & New Zealand travel market shift to online is accelerating #1 OTA. • Mature domestic proposition, ‘mix’n’match’ incredibly valuable in this environment of frequently changing flight schedules and route networks Leveraging o
Slide 31: Q&A
Q&A. 31