There are many lessons that small businesses can learn from big businesses. The same laws of economics apply. Let’s case study the biggest players in travel and look at which ones are thriving, which ones are surviving, which ones are dying, and why. Let’s see what lessons the most successful companies can teach us about business strategy.
Two behemoths (Expedia and Booking Holdings) now control most of the third party brands that consumers use to book their travel. Google is now playing god in the travel industry, and these brands are being squeezed from both ends. They rely heavily on their suppliers. They can’t control the cost of Google Ads exposure, which (to varying extents) supplies them with an audience, whilst they are also (to varying extents) losing their grip on the smaller businesses that provide them products and services to re-sell.
Weather you’re big or small, the fundamentals are the same. You need to know your customer, offer something special, have a strong and identifiable brand, and exert influence in your marketplace. You can rely on these principles to remain consistent throughout time. You can learn from your big brothers and sisters, and you can learn from each other.
The right kinds of investments can never be undermined by OTAs and big tech in the long term. Small business is here to stay.