TRAVEL demand has remained robust for online travel retailer Zuji in the face of higher fuel prices and inflation, although the company has noticed that more people are travelling to the United States due to the weaker greenback, as well as to markets that are pegged to the US dollar, such as Hong Kong.
"Travel to the US has risen 90 per cent year on year," Philip Ho, general manager of Zuji (Singapore and Taiwan), told BT. Customers are also travelling in greater proportion to regional destinations such as Bangkok while travel to Europe has softened.
Over the last three years, Zuji has seen an average growth of 50 per cent year on year for total revenue.
Zuji declined to reveal actual revenue figures. Citing a study from Pho- CusWright, Mr Ho said that 20 per cent of bookings in Asia-Pacific this year is expected to take place online.
Zuji also said its new tool Package Guru, which was launched on June 25, has seen a doubling in bookings week on week. Package Guru allows customers to bundle flights with hotels for greater cost savings.
For instance, booking a combined package for a three-day two-night trip for two people to Hong Kong can translate to savings of about $80 a person.
"We help airlines and hotels' fill up 'during the low season' which allows us special rates", added Mr Ho.
Its target market are those in the 25-40 age group, who are either single or recently married, and affluent. A survey
showed that 30 per cent of Zuji's customers here have a household income of over $100,000 annually.
New additions to Zuji's services in time to come will include travel insurance and possibly even a choice of budget carriers.
"We have already spoken to budget carriers regarding this," said Mr Ho,although there is no timeline currently as to when this might take place.
This article was first published in The Business Times on July 23, 2008.
