DRAFT - A Market Opportunity Report for Rakesh from David - Monday 10/30/2023

SUMMARY:

Unlocking Carbon Tracking in the Hospitality and Travel Industry

We have a new market opportunity for incorporating carbon usage tracking in the hospitality and travel industries, particularly for companies with ESG sustainability goals. 

We are discussing this with a potential partner https://www.mondee.com/                                                     https://www.linkedin.com/company/mondeetravel/ 

In an era where ESG (Environmental, Social, and Governance) sustainability has become a core focus for many businesses, including those in the hospitality and travel industries, the need to track and disclose carbon usage is of paramount importance. Impact Chain, with its blockchain-based software, is poised to revolutionize this sector by offering transparency and traceability in carbon tracking.

The Impact Chain platform can help businesses accurately demonstrate their commitment to sustainability across their company, supply chain, and partner ecosystem. The goal is to reduce their carbon footprint, improve their reputation, and attract more customers.

A few features:

• Track and trace the carbon footprint of travel itineraries, providing travelers with transparency and accountability. 

• Create sustainable incentives for travelers, such as discounts for choosing low-carbon travel options.

• Collect and analyze data on travel emissions, helping businesses to make more sustainable decisions

Overview of the market:

• Total addressable market (TAM) for the travel industry is estimated to be around US$3.4 trillion. (Source: Research and Markets, "Global Travel and Tourism Market Size, Share & Trends Analysis Report By Type, By Region, By Segment, And Segment Forecasts, 2022 - 2027", 2022)

• Corporate travel spending is expected to reach US$1.7 trillion by 2025. (Source: Global Business Travel Association 2023 Global Business Travel Spend Forecast)

• 72% of business travelers are willing to pay more for sustainable travel options. (Source: Global Business Travel Association Business Travel Sustainability Survey 2022)

• 83% of special interest travelers are interested in sustainable travel options. (Source: Adventure Travel Trade Association 2022 Adventure Travel Trends Report)

• The global special interest travel market is expected to reach US$1.8 trillion by 2027. (Source: Research and Markets Global Special Interest Tourism Market Size, Share & Trends Analysis Report By Type (Adventure Tourism, Ecotourism, Cultural Tourism, Religious Tourism, Sports Tourism, Medical Tourism, Culinary Tourism, etc.), By Region (North America, Europe, Asia Pacific, Latin America, Middle East & Africa), And Segment Forecasts, 2022 - 2027)

• 65% of consumers say sustainability is important to their travel decisions. (Source: Booking.com Sustainable Travel Report 2022)

2 Reports for understanding the market opportunity:

• Allied - The global sustainable tourism market was valued at $3.3 trillion in 2022. It's projected to reach $11.4 trillion by 2032, growing at a CAGR of 14% from 2023 to 2032

Full Report = $3500 - Overview at: https://www.alliedmarketresearch.com/sustainable-tourism-market-A06549#:~:text=Sustainable%20Tourism%20Market%20Research%2C%202032.%20The%20global,CAGR%20of%2014%%20from%202023%20to%202032

• McKinsey- Travel industry accelerating Transitions to Net-Zero Travel:

https://www.mckinsey.com/~/media/mckinsey/industries/travel%20logistics%20and%20infrastructure/our%20insights/accelerating%20the%20transition%20to%20net%20zero%20travel/accelerating-the-transition-to-net-zero-travel-strategies-for-action.pdf

• The travel industry accounts for 8-11% of global emissions.

• Business travel accounts for 30% of all travel spend.

• 70% of travel revenues come from leisure travelers.

• 40% of global travelers are willing to pay more for carbon-neutral flights.

• Only 14% of travelers have actually paid more for sustainable options.

• The global travel and tourism market is expected to reach US$1.016 trillion by 2027, growing at a CAGR of 4.42%.

• The largest segment of the travel and tourism market is the hotels market, which is expected to reach US$410 billion in 2023.

• 74% of total revenue in the travel and tourism market will be generated through online sales by 2027.

The report also discusses the challenges and opportunities that the travel industry faces in its transition to net-zero emissions. It argues that the industry needs to make significant changes to its operations and business models in order to reduce its environmental impact. However, the report also highlights the opportunities for businesses to profit from this transition, such as by developing new sustainable products and services.