Air Plane Tickets Category Overview

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1 Air Plane Tickets Category Overview Yandex International Business Development

2 Segment Volumes Ø Query dynamics Ø User interest growth in plane tickets Ø User interest in plan tickets by regions

3 Search Seasonality in Travel Category Queries related to traveling varies from,5 to 1,7% of total Yandex queries. The July seasonal peak for traveling queries was less pronounced in 213, although the total share of queries for the year stayed the same. 1.8% Travel Query Market Share by Month 1.6% 1.4% Growth in Queries 1.2% 1.%.8%.6%.4%.2%.% 3 Yandex, Apr 214 wordstat.yandex.ru

4 Distribution of Queries in Travel Category Queries on plane tickets made approximately 17% of total amount queries related to traveling in % 35% Hotels Air tickets 43% Package tours Other 17% 4 Yandex, Apr 214 wordstat.yandex.ru

5 Growth of Queries in Plane Ticket Category Generic Queries on Plane Tickets Mar 212 Feb 213 Mar 213 Feb 214 4,5, 4,, +3% 3,5, 3,, Impressions 2,5, 2,, 39,411,29 1,5, 3,288,75 1,, 5, Mar Apr May Jun Jul Aug Sep Oct Nov Dec 213 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 214 Feb 5 wordstat.yandex.ru Geo: Russia+CIS

6 Search Volume for Plane Tickets by Region In 213, the number of queries on plane tickets increased the most in Russian regions: +31% (compared to 212). Interest growth in central regions made up +18% growth and +5% growth in CIS. 25% Plane Ticket Search Volume by Region Plane Ticket Query Growth, % 2% 15% 1% 5% Russia (except Moscow and St- Petersburg) Moscow and St- Petersburg CIS (except Russia) % 6

7 Regional Interest in Plane Ticket Category The total share of Moscow and St. Petersburg has dropped from 58% to 49%. The audience is gradually picking up more momentum in the regions. 1% Plane Ticket Queries Split by Region 9% 8% 42% 44% 44% 43% 43% 44% 47% 5% 5% 51% Queries 7% 6% 5% 4% Russia (except Moscow and St- Petersburg) Moscow and St- Petersburg 3% 2% 58% 56% 56% 57% 57% 56% 53% 5% 5% 49% 1% % Autumn 211 Winter Spring 212 Summer 212 Autumn 212 Winter Spring 213 Summer 213 Autumn 213 Winter

8 Regional Popularity for Plane Tickets Saint-Petersburg, 1% of queries, Reg.popularity 17% Moscow, 33% of queries, Reg.popularity 177%; South region, 5% of queries, Reg.popularity 96%; Ural region, 8% of queries, Reg.popularity 12%; Volga region, 9% of queries, Reg.popularity 63%; North Caucasus, 2% of queries, Reg.popularity 87%; Siberia, 1% of queries, Reg.popularity 114%; Far East, 4% of queries, Reg.popularity 221%; CIS, 8% of queries, Reg.popularity 41%; 8 Moscow and Saint-Petersburg remain the leaders in terms of share of queries, although the regional popularity of queries on air tickets in other regions has grown.

9 Brand popularity dynamics Ø Queries dynamics Ø Variation of interest in brands

10 Most Popular Plane Ticket Brands 1 Impressions 2, 18, 16, 14, 12, 1, 8, 6, 4, 2, Search Queries by Brand Per Month Mar May Jul Sep Nov 213 Mar May Jul Sep Nov 214 Skyscanner Aviasales Ozon.travel Momondo Anywayanyday Onetwotrip Davs Svyaznoy.travel Trip.ru Kayak Aviacassa Senturia Biletix Bravoavia Nabortu Jizo Amargo Skyscanner and Aviasales respectively place as the top two brands in terms of user interest. wordstat.yandex.ru Geo: Russia

11 Variation in User Interest Towards Brands Change in Search Volume Per Brand 1,8, 1,6, % Mar 213 Feb 214 1,4, 59% 15% Mar 212 Feb 213 Queries 1,2, 1,, 79% -2% 8, 6, 14% -27% 4, 2, 223% 16% 223% 6% 1% 99% 56% 16% -35% -5% 11 Wordstat.yandex.ru, July 211 June 213

12 Destination popularity Ø Destination rating Ø Seasonal variations Ø Seasonal fluctuations structure Ø Leading destinations Ø International and domestic flights

13 Most Popular Destination Countries Top 2 Throughout the Year Russia and CIS make up the main part of queries on destinations. 12,, Queries per Destination Country for Plane Tickets Queries 1,, 8,, 6,, 4,, «Resort» destinations Other countries 2,, 13

14 Seasonal Popularity of Destinations User interest in plane tickets undergoes significant seasonal changes in volume and structure of queries. 3,5, Seasonal Destinations by Country 5, 3,, Russia Ukraine 45, 4, 2,5, 35, Queries 2,, 1,5, 3, 25, 2, 1,, 15, 5, 1, 5, Spring 212 Summer 212 Autumn 212 Winter Spring 213 Summer 213 Autumn 213 Winter

15 Seasonal Popularity of Destinations 7, Seasonal Destinations by Country 6, 5, Spain Turkey Bulgaria Montenegro Queries 4, 3, 2, 1, Spring 212 Summer 212 Autumn 212 Winter Spring 213 Summer 213 Autumn 213 Winter

16 Seasonal Popularity of Destinations 6, Seasonal Destinations by Country 5, 4, Queries 16 3, 2, 1, Armenia Germany Uzbekistan Italy Czech Republic Tajikistan USA Spring 212 Summer 212 Autumn 212 Winter Spring 213 Summer 213 Autumn 213 Winter

17 Seasonal Popularity of Destinations 7, Seasonal Destinations by Country 6, Thailand India 5, Queries 4, 3, 2, 1, 17 Spring 212 Summer 212 Autumn 212 Winter Spring 213 Summer 213 Autumn 213 Winter

18 Seasonal Popularity of Destinations Spring 213 Summer 213 Autumn 213 Winter Russia Russia Russia Russia Ukraine Ukraine Ukraine Ukraine Spain Spain Thailand Thailand Bulgaria Bulgaria Germany Spain Italy Kazakhstan Uzbekistan Italy Turkey Uzbekistan Armenia Armenia Armenia Armenia Spain Kazakhstan Germany Italy Italy Germany Kazakhstan Thailand Turkey Uzbekistan Uzbekistan Germany Kazakhstan Turkey Thailand Turkey Czech Republic Belarus Montenegro Belarus Tajikistan Bulgaria Belarus Montenegro Belarus Czech Republic France Azerbaijan France USA Azerbaijan Tajikistan Israel Tajikistan Israel Kyrgyzstan USA Israel USA USA China France China France Bulgaria Kyrgyzstan Tajikistan Georgia Azerbaijan Azerbaijan Kyrgyzstan Israel Kyrgyzstan China

19 User Interest in Plane Tickets: Autumn In autumn, significant growth is seen in user interests in Asia and some European countries. 2, Autumn Queries 18, 16, 14, Queries 12, 1, 8, 6, 4, 2, 19

20 User Interest in Plane Tickets: Autumn Most queries on plane tickets to resorts and CIS countries decrease during autumn months. Autumn Query Decrease Compared to Summer Months -1, -2, -3, Queries -4, -5, -6, -7, -8, 2-9,

21 User Interest in Plane Tickets: Winter In the winter time, user interest in plane tickets increases for flights to European and some Asian winter resorts. 8, Winter Query Growth in Comparison to Autumn Months 7, 6, Queries 5, 4, 3, 2, 1, 21

22 User Interest in Plane Tickets: Winter In autumn, users interest in flights to most CIS destinations continues to drop Winter Query Loss in Comparison to Autumn Months -2, -4, -6, Queries -8, -1, -12, -14, -16, -18, 22-2,

23 User Interest in Plane Tickets: Spring During the spring time, users interest in summer destinations starts to grow. 9, Spring Query Growth in Comparison to Winter Months 8, 7, Queries 6, 5, 4, 3, 2, 1, 23

24 User Interest in Plane Tickets: Spring The number of queries on plane tickets to autumn and winter resort countries reduces during the Spring. Spring Query Loss in Comparison to Winter Months -2, -4, -6, -8, Queries -1, -12, -14, -16, 24-18,

25 User Interest in Plane Tickets: Summer During the summer months, search statistics on flight tickets to resort areas and CIS countries grows. 7, Summer Query Growth in Comparison to Spring Months 6, 5, Queries 4, 3, 2, 1, 25

26 User Interest in Plane Tickets: Summer In the summer time, query volumes on most destinations increases however certain areas like Egypt, UK, Israel and Turkey decrease during the summer. Summer Query Loss in Comparison to Spring Months Egypt United Kingdom Israel Turkey France China Croatia UAE -5-1, Queries -1,5-2, -2,5-3, -3,5 26-4,

27 Seasonal Interest Growth Structure Interest growth in flights usually comes before the main wave of travel search queries. Often these searches consist of 2 waves: First wave that precedes tourist season and general interest in the country by 1-2 months Second wave coincides with a peak of interest in tourism in the country Generic queries on the travel to the country Queries on air tickets to the country 27

28 Seasonal Interest Growth Structure Examples of 2 search waves for flight tickets vs generic travel queries. 3, Bulgaria 3, 25, Montenegro 25, 25, 25, 2, 2, 2, 2, 15, 15, 15, 15, 1, 1, 1, 1, 5, 5, 5, 5, Generic qieries on travel Queries on air tickets 28

29 Growth of Domestic Flight Queries Most air plane ticket destinations among city users are for domestic and CIS flights. 29 Moscow St-Petersburg Ekaterinburg Novosibirsk Krasnodar Krasnoyarsk Sochi Kiev Vladivostok Irkutsk Rostov Ufa Khabarovsk Simferopol Yerevan Samara Anapa Kaliningrad Surgut Chelyabinsk Omsk Minsk Kazan Tashkent Tyumen Perm Istanbul Prague Mineralnye Vody Queries for Flights by Destination City Domestic destinations CIS destinations Other countries 5, 1,, 1,5, 2,, 2,5, 3,, 3,5, 4,,

30 Main Non-domestic Destinations Queries for Flights by Non-Russian Destination City 3 Kiev Yerevan Minsk Tashkent Istanbul Prague Bishkek Barcelona Paris Donetsk Baku Odessa Bangkok Burgas Almaty Dushanbe Tel Aviv Rome Tbilisi NY Astana Kishinev Phuket Khujand London Kharkiv Munich Peking Berlin Tenerife 5, 1, 15, 2, 25,

31 Most Popular City-Pairs Most of users who include city-pairs into their queries, are generally looking for domestic flights (or flights within CIS). 31 Moscow Sochi Moscow Krasnodar Moscow Yerevan Moscow Novosibirsk Moscow Vladivostok Moscow Simferopol Moscow Ekaterinburg Moscow Krasnoyarsk Moscow Ufa Moscow Makhachkala Moscow Irkutsk Moscow Khabarovsk Moscow Kaliningrad Moscow Rostov Moscow Petersburg Moscow Tashkent Moscow Chelyabinsk Moscow Bishkek Moscow Osh Moscow Anapa Moscow Mineral Waters Moscow Kiev Moscow Barcelona Moscow Paris Moscow Prague Moscow Omsk Moscow Dushanbe Moscow Adler Moscow Barnaul Moscow Burgas Queries for Flights by City Pair Russian cities Other cities

32 Most Popular Airlines 7,, Queries by Airline Brand 6,, 5,, 4,, 3,, 2,, 1,, Aeroflot S7 Transaero Utair Ural Airlines Rossiya Airlines Lufthansa Nord Wind Emirates Airlines Turkish Airlines Ryanair Vim Avia KLM Air Berlin Red Wings Yakutia EasyJet Air France Iberia Alitalia Rusline Swiss Ifly Yamal Aero Air Astana Finnair Czech Airlines AirBaltic Orenair Nordstar

33 Most Popular Russian Airlines The number of queries on airlines increase during the summer. Queries on airlines don t undergo as much of a significant seasonal changes as generic queries do. Aeroflot keeps the leadership in category. Transaero shifted from 3 rd place to 2 nd. 7, Monthly Queries by Airline Brand 6, 5, 4, 3, 2, 1, Aeroflot Transaero S7 Utair Ural Airlines Rossiya Airlines Orenair Nord Wind Vim Avia Red Wings Rusline Yakutia Yamal Aero Nordstar Ifly

34 Most Popular International Airlines Iberia overtook all international airlines in February , Monthly Queries by International Airline Brand 1, 8, 6, 4, 2, Lufthansa Iberia Emirates Airlines Turkish Airlines KLM Ryanair Air Berlin Air France Alitalia EasyJet AirBaltic Finnair Uzbekistan Airways Etihad Austrian Airlines

35 Conclusions User interest in category has increased by 3% during the last year. Interest growth for recent years is accounted for non-capital regions (Russia except for Moscow and St. Petersburg). Interest in online booking is higher in capital areas than in regions. Domestic and CIS destinations are most popular Typically, the first wave of interest in air tickets to a particular country precedes tourist season and general interest to the country by 1-2 months. 35

36 Yandex International Business Development Thank you! 36

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