Annual Report 2015

Creating value across the global travel ecosystem

We’ve made strong progress across the entire spectrum of our business, delivering financial performance ahead of guidance and building momentum into 2016."

Douglas Steenland, Chairman
Read the Chairman’s statement and the Chief Executive’s Q&A PDF (116kb)

Our Focus

Creating long-term shareholder value

Travelport is a unique business. Our focus on travel commerce makes us fundamentally different to our competitors and we offer distinct advantages to our various stakeholders.

Our competitive strengths set us apart, our pillars focus us, and through our technological innovations and content leadership we are continually redefining the way our customers buy and sell travel.

We are, and will continue to be, the Platform that is redefining travel commerce for our customers. All of which allows us to create long-term and sustainable value for our shareholders.

Strong core
Differentiated focus
Leading technology
Truly global
Focused on the markets that need us
Compelling financials
Disciplined capital allocation

How we have evolved

Much more than a GDS

Our Travel Commerce Platform goes beyond the traditional GDS model of simple distribution for network carriers and chain hotels. We focus on driving value creation through unrivaled content and industry-leading front-end capabilities, rather than on back-end IT solutions.

Download the PDF of this section to view our travel platform diagram Discover more about our capabilities PDF (92kb)

Integral to the global travel ecosystem

Our unique Platform is redefining travel commerce

The travel industry has experienced transformational changes in the last 10 years, driven by breakthroughs in mobile technology and large-scale data and content management, as well as macroeconomic and financial pressures. This in turn has reset the expectations of travel buyers and travel providers as well as those of travelers themselves, who are increasingly seeking to book all aspects of a travel experience in one place and at one time.

Download the PDF of this section to view our travel platform diagram

Much more than simple search and book

The sheer breadth of content available within our Platform means that itineraries can be created from billions of different options, all in real-time. Our innovative technology enables access to branded fares and ancillary products from hundreds of different airlines (including LCCs), approximately 650,000 unique hotel properties, car rental products from approximately 36,000 locations, and much more – all fully bookable through our award-winning point-of-sale.

Travelport enables much more than just a simple search and book. Utilizing our point-of-sale innovations (which are browser or app-based, or available via our uAPI technology), travel buyers have the ability to shop, reserve, book, modify, cancel and rebook from our extensive and unrivaled travel content portfolio. Our ability to seamlessly support complex corporate and leisure itinerary creation is a critical feature of our technology.

There are multiple complexities in the world of air travel ticket processing, including airline partnerships, code-shares and product unbundling. A core benefit of Travelport is that it facilitates and simplifies ticketing, payment and fulfillment. As the system of record for travel bookings, we collect all related travel data and supply the traveler with the ticket for travel while facilitating the allocation of booking revenue, including payments to travel providers.

Our entire travel content portfolio is available to book within a single and integrated workflow, meaning that agents avoid switching to different travel websites or systems in order to fulfill a traveler’s requirements. This enables efficient and productive booking and itinerary creation, reduced training time for agents, and significant upsell and cross-sell revenue opportunities.

Our Platform is also fully integrated within our travel buyers’ mid and back-office systems. The sophistication of this integration ensures that our travel agency customers can manage transaction data all the way from booking (which includes all elements of the traveler’s itinerary, data about the booking, and the personal preferences of the travelers) all the way through to billing, collection, payment, reconciliation and management reporting.

Our pioneering B2B payments solution, eNett, which is fully integrated into our Platform, has a range of innovative solutions to address multiple challenges for travel agencies. eNett replaces cash and other traditional payment methods with secure, virtual and pre-funded payment cards, which eliminate credit or bankruptcy risk, lower administrative costs (due to significantly reduced time spent on reconciliation), and lower the spread for foreign currency payments.

Our innovative Platform gives corporations and corporate travel agencies the ability to administer travel policies, maintain policy compliance, preferences and travel authorization parameters. As the system of record for travelers we are able to fulfill duty of care requirements that corporations have for its employees. We also enable the integration of corporate-negotiated and tailored travel content and rates into our booking workflow, which is a clear differentiated capability compared to our competitors.

Discover more about our Platform PDF (92kb)

Airline merchandising

Enabling value creation for airlines

Travelport is answering the needs of airlines – low cost carriers and network carriers alike – to redefine the way in which their value proposition is delivered through the indirect channel.

Key statistics
>150 Airlines actively merchandising their enriched product content through Travelport including branded fares and ancillaries >60% Of our segment volume in 2015 was generated by airline customers upgraded to our merchandising capabilities $59.2bn Global airline ancillary revenue for 2015 which have grown at a compound annual rate of 21% since 20101 1 Idea Works Company 2015 survey
Key differentiators
  • Critical mass of airline participation in merchandising solutions
  • Tailored content and offers for corporations
  • Rich media and sales messaging
  • Unique omni-channel delivery of content
  • Unrivalled access to high-yield corporate and leisure customers
  • Broadest geographic coverage
Case Study

Delivering innovation for Delta Air Lines

Open case study

Travelport gets it. The reason we are as committed as we are as partners to Travelport is because of the orientation to redefine travel commerce."

Tim Mapes, Senior Vice President of Marketing, Delta Air Lines, Inc.


Redefining hospitality distribution

Hotel and car distribution is a $610bn industry and growing at around 8% each year. As the fourth largest third-party distributor of hotel room nights globally, we are a major force in hospitality distribution.

Key statistics
#4 Travelport is the fourth largest third-party distributor of hotel room nights +60% Travelport powers over 60% of US OTA car rental bookings 7bn Travelport generated 7bn ad impressions in 2015
Hotel distribution $552bn Global revenues, growing at 8% 52% Independents account for 52% in the US (approximately 80% for the rest of the world)
Car rental distribution $58bn Global revenues, growing at 7% 95% Top five providers at 95% of US demand and just 22% in Asia
B2B travel industry digital media $7.2bn Global hotel ad spend
Source: Euromonitor
Case Study

Travelport Hotelzon captures independent hotel bookings

Open case study

We have the content, we have the rates and we have built the intelligence to provide relevant choice. We’ve built the technology stack to allow our customers to sell their products the way they want to."

Niklas Andreen, Managing Director, Hospitality, Travelport


The world’s leading B2B travel payments solution

Leveraging over 40 years of domain expertise, Travelport has developed a unique and pioneering B2B payments business called eNett in order to address significant unmet needs in the travel industry. With a proven business model and revenue approaching $100m, eNett has a clear first mover advantage within an addressable market of over $800bn.

Key statistics
>$800bn Total addressable market where eNett has first mover advantage $92m eNett’s 2015 revenue which grew at 36% in 2015 and has more than doubled over the last 2 years 71 Countries where eNett is available to agencies of any size
Strategic priorities

In 2015, eNett generated revenue of $92m, an increase of 36% on 2014. eNett is already generating profits and we believe the model is highly scalable as we expand beyond the core hospitality sector into air travel, including LCCs, as well as other sectors of the travel industry.

The immediate focus of eNett is to increase penetration in the OTA space. Furthermore, eNett is looking to significantly speed up payments in scheduled air ticket payables and see a major opportunity in the LCC market (see adjacent case study). Our estimates suggest that these markets, combined, represent around half of our total addressable market.

eNett is also constantly increasing the range of currencies that it can manage its solutions around, and continues to build scale in people, systems and processes.

Case Study

eNett payment model in partnership with AirAsia

Open case study

eNett is accessible to agencies of any size, in 71 countries, where we can on-board customers in less than three days."

Anthony Hynes, Chief Executive Officer, eNett

Mobile commerce

Mobile travel consumption – a key element of digital travel commerce

Mobile is fast becoming the key channel for travel commerce and services. Our recently acquired specialist business Mobile Travel Technologies (MTT) has built a leading position in the development and running of mobile apps for the travel industry.

Mobile is front and center of the strategy of our clients. It’s vital competitively for them to offer engaging services via smartphones and tablets."

David Moran, Chief Executive Officer, MTT
Mobile apps by the end of 2017 92% of airlines will enable flight bookings via apps 72% of airlines will offer self-service tools for rebooking (up from 11% in 2014)
Mobile ancillaries by end of 2017 93% of airlines will enable retail promotions and offers via mobile
Mobile growth across corporate travel market 25% of corporate travel bookings to be made via mobile by 2017, compared to 7% in 2014
Case Study

MTT partners with easyJet to deliver award-winning mobile services

Open case study

The new combination of Travelport and MTT is going to drive unbelievable things for our TripSource mobile app, which really is the future of our business."

John Snyder, President and CEO,
BCD Travel