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Travelier and Skift Publish Ground and Sea Transportation Market Sizing Report

In a groundbreaking move for the travel industry, Travelier, a prominent tech company reshaping intercity transportation, has teamed up with Skift to introduce the first official global market sizing report for ground and sea transportation. This significant research identifies a sprawling $198 billion sector embedded within the $3 trillion global travel market, shining a spotlight on a segment that has long been overlooked.

Defining the Industry

The realm of ground and sea transportation encompasses a variety of services, including buses, ferries, and trains, specifically for intercity travel. It’s crucial to note that this does not involve urban metro systems or ride-hailing services. Instead, this sector plays a vital role in linking destinations, providing access to regions that are often unreachable by air travel.

Unveiling an Untapped Market

Many travelers can recount the frustration of navigating schedules and booking tickets when opting for buses or ferries in foreign lands. This highlights the significant fragmentation that characterizes this industry. With over 170,000 bus, ferry, and train stations worldwide—far exceeding the number of airports—ground and sea transportation is integral to the broader travel landscape. However, it has not received the necessary media coverage or industry dialogue it deserves.

Travelier’s CEO and co-founder, Noam Toister, commented, "Ground and sea transportation is essential to the connected trip. It bridges the gap between flights and destinations, unlocking hidden gems that are otherwise inaccessible. This report provides much-needed data to support the sector's digital transformation."

Key Findings from the Report

The report reveals several enlightening insights:

• - Global Market Size: Ground and sea transportation constitutes a hefty $198 billion, overtaking sectors such as short-term rentals ($124 billion), car rentals ($104 billion), and cruises ($66 billion).
• - Digital Opportunity: A striking 82% of travelers prefer planning their trips online; however, the industry remains chiefly offline, with only 24% of bookings conducted digitally. This presents a golden opportunity for digital platforms to gain market share and streamline the booking procedure.
• - Regional Spotlight: Asia has emerged as the fastest-growing region for ground and sea travel, with nearly all Chinese travelers familiar with online booking systems. There are also substantial opportunities for digitization in South America, Africa, and the Middle East.
• - Segment Insights: Train travel, valued at $102.2 billion, leads the segment, followed by bus services at $77.4 billion and ferry rides at $18.4 billion. Regional differences are notable, particularly where bus services dominate in areas with underdeveloped train infrastructure, such as Africa and parts of Asia (excluding China and Japan).

Advocating for Digital Transformation

Highlighting rapid advancements in digital adoption, the report notes that online booking growth is outpacing overall market development. This signals that operators are becoming increasingly aware of the need for digital solutions, mirroring trends observed across other travel verticals, including airlines and hotels.

"This research provides the foundation for the sector's transformation," Toister elaborated. "We are witnessing the onset of a digital revolution in ground and sea transportation, supported by platforms like Travelier Connect, which facilitate seamless integration for operators and partners on a global scale."

About the Research

The insights presented in the report are the result of proprietary research conducted by Skift Advisory in May 2024, incorporating data from over 2,500 travelers across five nations: the United States, the United Kingdom, Germany, India, and China. The metrics gathered encompass tourism volume, intercity expenditure, travel preferences, and trends in online booking, delivering a comprehensive and credible global estimate.

About Travelier

Travelier is dedicated to connecting modern travelers with local transportation providers through various digital platforms, including 12Go, Bookaway.com, Plataforma10, DeOnibus, and Getbybus. Their groundbreaking Travelier Connect platform allows partners to unify intercity ticket sales with a single API, creating new revenue opportunities and enhancing customer experiences.

To discover more about Travelier, visit travelier.com.