Teads elevates Travel Performance advertising with Teads Conversions

Teads, the premium omnichannel platform and pioneer in digital video advertising, is redefining travel advertising with its innovative Teads Conversions solution, transforming how travel brands achieve their business goals and engage with consumers in a post-pandemic world.

Macro Situation

As the travel industry rebounds post- COVID-19, marketing budgets are cautiously returning, driven by ambitious business objectives. According to the World Tourism Organization, international tourism is set to grow by 5% this year, showing a strong rebound four years after the pandemic broke out. 

 Travel performance advertisers are increasingly turning to Teads to support their efforts, particularly as they face saturation in traditional advertising channels. Teads audiences are itching to travel. A whopping 94% of our users plan to take vacations this year, outpacing the general population’s 89%.

At Teads, we’ve observed a significant surge in demand across major markets in the APAC region, with nearly an 80% year-on-year increase in advertising budgets within the Travel sector in 2023 and a 40% YOY* growth specifically in Performance marketing.

Surge in Media Investment

Key markets such as Singapore, Australia, and Hong Kong have seen a substantial rise in media investment. Brands across various industries, including airlines, hotel chains, tourism boards, theme parks, and zoos, are doubling down on their advertising efforts. 

Their primary goals are to boost brand awareness and, more importantly, achieve aggressive business objectives that were hindered during the pandemic. To accomplish this, they aim to make their media efforts more accountable by focusing on driving quality visits and conversions.

– Compared to pre-COVID levels, the number of individuals planning to purchase an overseas vacation in the next 3-6 months increased by 11%, from 19% in 2019 to 21% in 2023.

– Similarly, those planning to purchase travel tickets in the next 3-6 months have increased by 13%, from 24% in 2020 to 39% in 2023.

  – *Source: GlobalWebIndex, APAC, Q3-Q4 2020 vs. Q1-Q4 2023, Teads audiences interested in Travel*

Introduction of Teads Conversions:

Teads launched its Conversions solution as part of its Performance suite in 2023 . Having conducted over 260+ campaigns (measured as opportunities with won & with spend) in the past year, Teads has successfully supported clients engaged in direct e-commerce across 26 countries, optimizing for objectives such as quality leads, purchases, and subscriptions on direct-to-consumer websites. Teads’ roadmap includes plans to export support of objectives on web and mobile platforms this year, delivering stronger results and increased efficiency through automation.

AI is making a major impact in traditional advertising, revolutionizing how brands reach audiences. AI enables more efficient bidding strategies, real-time creative rotations and personalized content tailored to specific audience segments, resulting in more relevant and engaging ad experiences. The integration of AI is driving measurable outcomes, maximizing media effectiveness and improving return on ad spend across the industry. 

At Teads, our AI Creative Program showcases how AI can be leveraged to enhance various stages of the creative process, from asset diagnostics to dynamic creative optimization (DCO) at scale. As AI continues to evolve, it will not only determine the best ad placements but also identify the most fruitful media channels, making a big difference for brands navigating the traditional media landscape.”

One of the standout features of Teads is its ability to suggest creatives using generative AI. As part of our ongoing efforts to innovate and enhance our capabilities, we employed Teads Internal (Beta) tools powered by Generative AI. At Teads, our cutting-edge AI technology empowers clients to streamline their processes and deliver superior outcomes. By integrating advanced AI, we stay ahead of the curve, maintaining a competitive edge in the industry. This approach enhances creative effectiveness while continuously optimizing top-performing assets through Dynamic Creative Optimization (DCO). In addition, we provide detailed reports and insights that allow clients to track campaign performance and make data-driven decisions. Our consultative team offers exceptional support throughout the entire partnership, ensuring success every step of the way.

### **Top Travel Trends in 2024:**

In 2023, travel trends reveal a strong desire for relaxation and unique experiences, with the following statistics highlighting the key motivators and preferred types of vacations among travelers:

Top 3 Reasons for Travel:

•   Relaxation – 26%
•   Local food and beverage experiences – 21%
•   Good facilities/activities for children – 20%

Top 3 Types of Vacations:

•   Beach/Resort – 53%
•   Road Trip – 43%
•   Theme Park – 36%

– *Source: GlobalWebIndex, APAC, Q1-Q4 2023, Teads audiences interested in Travel*

Success Story: Cathay Pacific:

Despite slow post-pandemic recovery and challenging economic conditions, renowned Asia-Pacific brand Cathay Pacific have achieved significant business success with Teads’ Conversions. Cathay Pacific has credited Teads with significantly boosting flight bookings in key markets such as Hong Kong, Singapore, and Australia.

Vivian Chan, Head of marketing Communications at Cathay Pacific stated: 

“Collaborating with Teads on our digital advertising campaigns has revolutionized our business growth beyond traditional ad networks. Their expertise and strategic use of Teads Conversions have greatly enhanced our online presence and driven us to new booking heights in the highly competitive travel industry. Recently, we were proud to win a Bronze in the Best Use of Performance Marketing category at the Markies 2024 awards in Hong Kong.”

Since day one, the Teads team took precious time to understand our unique business needs, target audience, and aggressive goals. They crafted a tailored strategy that perfectly aligned with our objectives, ensuring maximum ROI while maintaining high brand safety within a quality environment.

Their in-depth knowledge of the travel vertical became evident as they developed captivating ad creatives which  captured the essence of desire for our destinations and experiences. Through their well-executed campaigns, we witnessed a significant increase in bookings attributed to Teads across multiple markets. Their data-driven approach allowed us to optimize our campaigns in real-time, ensuring we were constantly maximizing our ad spend and targeting the right audience segments.

By leveraging Teads Internal AI Creative  tools, we streamlined processes and delivered superior client outcomes. This advanced AI enhances creative effectiveness and continuously optimizes top-performing assets through Dynamic Creative Optimization (DCO). Teads also provided detailed reports, enabling informed decisions, and their consultative team offered exceptional support throughout our partnership.

We are thrilled with the results we have achieved through Teads’ Performance suite. Thanks to their expertise and dedication, we have been able to expand our reach, attract new customers in key markets, and ultimately grow our business in the highly competitive travel industry.”

Most recently, Teads won a bronze at the MARkies HK in the Best use of performance marketing category along with Digitas for Cathay Pacific’s prospecting marketing campaign utilizing Teads’ smart targeting.

Redefining Travel Advertising with Teads Conversions: A Path to Measurable Success

 Source: GlobalWebIndex, APAC, Q1-Q4 2023, Teads audiences interested in Travel