Retail media networks have become a key opportunity for brands to reach consumers through retail giants like Target, Kroger, and CVS. Now, travel and hospitality companies are perfectly positioned to take off with media network growth – capturing ad dollars and connecting brands to travelers at just the right time in their journeys.
Travel media networks have arrived
Media networks in the travel sector are growing fast. Travel media network ad spending is projected to top $2 billion in 2024, and with good reason. Major players like United Airlines, Marriott, and Expedia have all launched networks, offering new channels for brands to reach customers. Here are a few examples of how leading travel brands are building their own media networks:
- Kinective Media by United Airlines made a splash in June with the airline industry’s first media network, which features ads in airports, on its mobile app, and even on seatback screens.
- Expedia was the number one digital travel site in July 2024, attracting over 48 million unique visitors. Its network offers on-site ads, plus off-site ads on YouTube and connected TV (CTV).
- Marriott partnered with Yahoo to create its media network, allowing advertisers to reach travelers across displays, mobile, video, email, and even in-room TV screens.
Meanwhile, online travel agents (OTAs) like Kayak, Priceline, and TripAdvisor have been generating revenue from digital ads for years. With digital ad spend in the travel industry expected to reach more than $7 billion this year, it’s clear that travel media networks are more than just a trend – they’re here to stay.
Why media networks are a perfect fit for travel brands
Just like retail, travel brands sit on a goldmine of data. Thanks to loyalty programs and frequent log-ins, they have access to first-party data that shows who their customers are and what they’re interested in. This data is powerful because it allows brands to deliver targeted ads based on detailed customer insights. Here’s a look at some key insights travel brands can offer marketers:
- Customer preferences: Data like preferred destinations, travel dates, and activities can help companies tailor products and services to what customers want.
- Demographics: Due to booking requirements, airlines in particular have some of the most accurate and up-to-date demographic data. Travel data can reveal details like age, gender, income, and family size, which brands can use to refine their ad targeting and improve customer journeys – no matter where they are and where they’re going.
- Behavior patterns: Insights into booking habits, spending trends, and travel frequency help brands understand customer motivations and adjust their messaging.
- Market trends: Travel data shows emerging trends, popular destinations, and consumer preferences, allowing brands to stay competitive with right-timed campaigns.
Strategies for building your travel media network
Retail media networks started with a simple concept – make it easy for brands to reach their customers at the point-of-sale. Travel media networks are still in the early stages, but can follow a similar path to drive brand value and revenue. Here are a few key strategies:
Activate precise identity resolution
Employ a consistent identity framework to help break data silos and provide a complete and accurate view of your audience. For example, a notable hotel chain might notice a large number of guests order pizza for room service. By safely enriching the hotel’s first-party data with third-party data, the hotel learns that most of the pizza lovers have kids between the ages of five to 12. By creating a more vivid view of its customers, the hotel chain can use this insight to attract advertising dollars from quick-serve restaurants, toy stores, and amusement parks.
Audience insights
Use audience data to create audience segments based on demographics, interests, and behavior, which can refine ad targeting and deliver higher engagement. For example, an airline packages its first-party data to target specific customers and segments based on key attributes, such as the first class fliers that luxury brands want to reach and engage with.
Platform monetization
Start by leveraging owned and operated properties (like websites and apps) to place ads. Then, extend audience reach through off-site ads on platforms like YouTube or CTV. For example, brands can purchase ad inventory on seatback screens, and leverage the airline’s first-party audience data to better understand how to target travelers on mobile, social, and other platforms when their journey is over.
Measurement and optimization
Measure performance through metrics like conversions and incremental reach to understand what’s working and how to improve. For example, a luxury brand targeting first class fliers can measure the performance of the ad campaign that aired from the seatback screens and see what incremental conversions occurred based on the exposure.
As travel media networks evolve, they will continue to add more advanced features. For example, LiveRamp is committed to expanding our off-the-shelf insights and developing pre-set insights and question libraries that will allow travel brands to access insights faster and engage advertisers right out of the gate. By scaling these capabilities, travel brands can deliver more proven value to brand partners.
The future of travel media networks
LiveRamp has helped fuel the growth of top media networks, including Albertsons Media Collective and Sam’s Club Member Access Platform, with data collaboration solutions that make it possible for brands to activate data and measure campaign results with their network partners.
Just as retail media networks have become a staple for advertisers, travel media networks will have an increasingly central role in the ad ecosystem. With an abundance of demographic data and unique customer insights, travel media networks are primed for growth. As the data collaboration platform of choice for the world’s most innovative companies, LiveRamp will continue to develop tailored solutions that help travel brands unlock more revenue and deliver more value to their partners and travelers everywhere.
