3 Lessons Learned from Hopper (Montréal-based Travel App) That Has Raised $100M in Funding, Valued at $780M

This blog includes information for the travel tech startups and entrepreneurs. Read on important lessons that can be learned from Hopper, AI-based travel app. Let’s see what’s inside?

Whenever it is about “traveling”, the first thing, which usually strikes in our mind is – Airbnb. The company has already set the standards, and become a million-dollar company. Well, travel apps do not only claim to save huge money and time, but it also claims to show the results of the lowest airfares in order to maximize the savings.

As we’re talking about the lowest airfare prediction apps, then we can’t forget to mention about the mobile-only travel booking app, which is named as Hopper. As per the latest report from TechCrunch, “The travel booking startup, Hopper has raised $100 million in Series D round of funding that led by OMERS.” According to the same source, it is also said that this startup is close to 1 billion Canadian dollars (780 million in U.S. dollars).

Hopper-flight-booking-appImage Source: techcrunch

Before knowing some more interesting facts about AI-based travel app – Hopper, let us quickly go through with the market size of travel and tourism industry.

The Market Size, Stats & Trends of Travel & Tourism Industry

  • The growth of the online travel marketplace is majorly driven by the increment in the interest penetration, plus ease of comparing a wide variety of travel options online.
  • According to the latest report from CB Insights, “The travel tech industry is thriving, and the investors have also poured over $10 billion into travel tech across over 1,000 deals since 2013.”
  • The Travel Tech Market Map: According to the latest report from CB Insights, the current travel and tourism market players, which are booming in the industry.travel-tech-market-map
  • The Forecast: The online travel market is estimated to generate US$1,091 billion, globally, by 2022, according to the report from Allied Market Research.
  • Top categories: The top categories are flights and hotel bookings that are anticipated to grow at the fastest rate in the upcoming years.
  • Latest Technologies in Travel Tech: Moreover, the new technologies, which have already impacting travel booking and pricing are:
  •      AI (Artificial Intelligence)
  •      Blockchain Technology

Hopper: The Travel App

  • Hopper is an app, which uses data to predict and analyze airfare. This travel startup company, Hopper is also planning to make nearly $1B in sales this year.
  • The travel app uses AI algorithms and has now passed 30 million installs and 75 million trips planned.
  • Founded in 2007, Hooper is based on Montréal, Canada, that offers the online platform in terms of mobile-only travel booking app. It is the only travel app that secured the place in the Best of 2015 list from Apple App Store. Plus, it is currently ranked #7 overall, according to the official Apple App Store of Hopper.
  • Furthermore, Hopper app is featured in various reputed magazines and websites like TIME, BuzzFeed, WSJ, and Paste Magazine due to providing unparalleled travel app solutions.
  • An award-winning travel app, Hopper, has continuously secured a place in the list of top-10 travel apps in the United States, according to the statistics report from App Annie.
  • According to the report from SimilarWeb, the Google Play rank of Hopper is #8 in travel and Local category.

Hopper-App-SimilarWeb

3 Lessons That can be Learned from Hopper Before Developing Successful Travel Apps

1. A Set of Key Features That Help User to Shape The Travel Plan

The travel tech giants have already transformed the travel industry. However, the main reason behind the success of all the tech giants is providing their customers with a set of key features via travel app. It is important not to neglect the key features if you are planning to create an app like flight Hopper app. So, here are the features, which can help your app users to shape their travel plans:

  • User Profile
  • Allows Users to Book Now or Wait till the price drops
  • Search & Buy Cheap flights
  • Push Notifications
  • Reminders
  • Secure Online Payments
  • Smart Travel Tips
  • Price Tracker
  • Online Support

Travel-App-DevelopmentImage Source: hooper

If you as a travel tech startup are planning to create an airfare prediction app, then you need to focus on the key features, which can be considered while developing a travel app like Hopper.

2. The Pain Points & Its Solutions

AI-based travel app like Hopper has big records of spontaneous growth. The travel app has provided some hefty competition when it comes to the mobile-only platform for airfare price prediction and compares the airfare prices. The Hopper company has also analyzed the pain points of its consumers like not getting right and affordable airfare as what they expect, not getting notifications when the airfares are low, and predictions of flights with the lowest money possible.

Hopper-App-ReviewImage Source: hopper

However, the application has analyzed the pain points of their app users and provided solutions for the same. Travel app like Hopper has also predicted future flight price with up to 95% accuracy a year in advance. This is something a unique and valuable solution by Hopper, which is worth considering while developing flight booking app like Hopper.

3. A Radical Business Model

Hooper has a unique approach and a radical business model and there is no room for doubt in that every travel tech startup replicates Hopper’s business model. To get Hopper-like success, it is important to have a radical business model. Above all, you need to stick to a simpler business model, which would help you to grow your Hopper-like business at a fast pace.

flight-booking-apps-developmentImage Source: inc

So, to develop travel app like Hopper, you can give your customers the simplest ways to search and books flights in advance at affordable costs as what they have been not getting so far.

Furthermore, you just need to keep in mind that a radical business model is a key to success. According to Hopper, the company’s core strength is to focus on only one platform i.e mobile only. By doing so, it helps Hopper to grow in the usage of Smartphones across App Stores.

Are You Ready With Your Travel App Idea That Can Create a Buzz in the Travel Industry?

Currently, the travel industry is valued at $1.3 trillion, and out of which the online reports for $662 billion, and the mobile is $264 billion.

Here, the important thing to notice is that the mobile has become the dominant platform for the wider platform. In addition, the mobile travel is also growing 20% year over year.

Thus, it’s safe to say that the travel sector is majorly dominated by the smartphones.

So, if you are ready with your travel app idea, which you want to cross-verify, then you can discuss it with us we are a leading Android app development company. And, we’ve already developed over 3500 mobile apps with different features and functionalities like real-time GPS tracking, cross-platform ability, multi-lingual support, payment gateway integration, social media integration, and visual calendar.

In case, if you still have any query or confusion regarding travel apps development or how much does it cost to develop a flight booking app like Hopper, then you can get in touch with us through our contact us form. One of our sales representatives will revert to you within 48 hours. The consultation is absolutely free of cost.

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This page was last edited on October 4th, 2018, at 9:01.
 
 

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