Recent reports suggest that Uber is considering a bid for Expedia. We leveraged our travel dataset to examine how income levels impact travel transaction behaviors on these two major platforms. By analyzing these dynamics, travel companies can enhance their strategies to adapt to shifts in consumer engagement.
Both Expedia and Uber boast sizeable customer bases and share similar customer personas across demographics and behavioral patterns. By analyzing these dynamics, travel companies can enhance their strategies to adapt to shifts in consumer engagement. As Uber seeks to expand its influence as a “super app,” understanding spending habits across various income demographics will be vital for both companies to maximize growth in the changing travel market.
Both Expedia and Uber see their highest usage among individuals earning between $20,000 and $49,999, with Uber leading at 37.15% and Expedia following closely at 33.14%. However, where these platforms diverge is in their appeal to affluent users. Expedia attracts a significant portion of its audience from those earning $90,000 or more, accounting for 25% of its users. This is likely due to the nature of Expedia’s offerings—flights, hotels, and vacation packages—which often involve substantial transactions and require longer planning horizons.
In contrast, Uber primarily appeals to lower-income users, particularly those making below $50,000. Its service is predominantly utilized for on-demand local transportation, characterized by smaller and more frequent transactions. Notably, Uber's presence drops significantly to just 5.42% among users in the $150,000+ income bracket, while Expedia retains a steadier 9.75%.
These findings highlight an opportunity for Uber to expand its market share among affluent users and enhance engagement with the overlapping demographic. By exploring product integrations and improvements, Uber could increase its lifetime value among users who may benefit from its services.
To dive deeper into these insights, get in touch with our team at sales@anthology.ai.
