> For the complete documentation index, see [llms.txt](https://david-oh.gitbook.io/insta-land/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://david-oh.gitbook.io/insta-land/market/2.-structure-of-the-travel-industry.md).

# 2. Structure of the Travel industry

Tourism consumption has a complex distribution structure compared to general commodity consumption. Tourism follows a pattern of information search, reservation and purchase, and consumption (experience), with various industries interconnected in a complex manner at each stage, and interactions arising at each stage of consumption are also complex. 

The tourism market has steadily seen an increase in online-based distribution channels, with online distribution channels reaching 60% in 2017 and predicted to increase to 72% in 2025. 

The expansion of these online distribution channels has been driven by the growth of platform-based online travel reservation markets. The global platform-based online travel reservation market is expected to grow by approximately 89.8%, from approximately $51.8 billion (approximately KRW 59.5 trillion) in 2020 to approximately $98.3 billion (approximately KRW 113 trillion) in 2027. 

Global online travel agencies (OTA) are becoming increasingly large. Large global OTAs such as Expedia Group, Booking Holdings, and Ctrip are expanding their company's size and market competitiveness through the acquisition and merger of promising OTAs in each country and individual OTAs with global competitiveness. 

In summary, the tourism industry's structure has a complex distribution system with various interconnected industries, and the industry has been increasingly relying on online-based distribution channels, driven by the growth of platform-based online travel reservation markets. The survival of small and medium-sized OTAs has been challenged by the emergence of COVID-19, and large global OTAs have become dominant in the industry through acquisitions and mergers.