Analyzing Top Performing Deals Categories: 3 of 7 in a series
In order to keep your deals subscribers engaged, you need to provide your audience with a healthy deals mix from seven main categories (restaurants, retail, travel, recreation, events, beauty and service). We’re writing a series of articles to breakdown these main categories to help you provide your audience the best deals. We have analyzed the restaurant, retail, beauty, recreation, service and events categories. Let’s take a closer look at the travel category.
Travel Category by Total Revenue
The travel category is made up of two subcategories: regional and national. With regional travel accounting for 94% of the revenue, it is clear which of the two is working. It basically boils down to ease of use. National travel usually requires airfare and details that complicate the deal even further. Regional travel works best when you target destinations in your market or nearby – somewhere drivable in 3-4 hours or fewer is ideal.
When looking at all of the deals from the last year, travel only represents 6% of the mix.
While regional travel deals are strong performers, they do require a bit of flexibility on the part of the site. Travel deals tend to come with more restrictions than most other deals – primarily blackout dates for certain times of the year. One of the most effective ways to counter this is by including additional perks with the deal. This can be anything from a bonus discount on services at the hotel spa to complimentary valet parking. Legitimate extras can really sweeten a deal, but be mindful of their value when adding it all up. A little research on the business’ site will help reveal if they’re placing the appropriate value on an bonus item.
Average Price Point Per Travel Deal & Average Revenue Per Deal
By looking at the bar graph below, we can see that both national and regional travel have a higher price point than most other deals. However, high price points aren’t stopping consumers from purchasing travel deals. In fact, a great deal is just what your audience needs so they can afford a getaway. As we can see from the average revenue per deal, travel brings in almost twice as much as any other deal category. Given their appeal to consumers, high price point and strong performance, they truly are a win-win for any deals site.
The key to selling a regional travel deal is to stick to places that are in your market or just a few hours driving distance away. This will provide your audience with a vacation that won’t break the bank and is ideal for a weekend getaway.