What’s the Secret to Profitability?

The latest report from Arival and GetYourGuide examines the most profitable operators to see what they’re doing differently, and what other operators can learn

PARTNER POST | SPONSORED BY GetYourGuide

No two operators are created equal, and within the travel experiences sector the types of businesses vary widely, as do the profit margins.

In our latest report, based on the findings of Arival’s Global Operator Landscape (3rd Ed.) research and developed in partnership with GetYourGuide, we take a closer look at profitability in the tours, activities and attractions sector, and what sets the most profitable operators apart.  

By identifying the common traits and best practices among the most profitable operators, we’ve packed this report with actionable insights to help you maximize your profits and grow your bottom line. Here’s a sneak peek at the state of profitability among operators and what profitable operators do differently.

Most Operators are Profitable — But Margins Vary Widely

Among the 7000+ tour, activity and attraction operators surveyed, two in three operators said they are profitable. One in five are not, or are not sure. 

Among small operators specifically, just half said they are profitable, and 30% said they are not. Tour operators are slightly more likely to report profitability compared to activity or attraction operators.

Profit margins reported by operators vary widely, however. One in three (34%) report profit margins in excess of 10%, and half of those operators say their margins are above 20%. We took a closer look at the operators who reported the highest profitability in order to determine what they were doing differently (and what other operators could learn!).

What Profitable Operators Do Differently

In a sector with so many different types of businesses, each operator will have their own processes and ways of operating. So what is the secret formula to improved profitability?

This is the driving question with which we approached the data as we put together this report. What we found is that there is no silver bullet, no simple trick or switch to flip to get from breaking even to raking it in. Instead, in looking closer at the most profitable operators, what we did uncover is a set of common traits from which we can glean some best practices. 

So what do profitable operators have in common? Three factors stand out:

  • They are more tech-forward.
  • They sell more through resellers.
  • They have more aggressive marketing strategies. 

In each of these key business areas — technology, distribution and marketing — we found the most profitable operators were more intentional on a number of levels. 

Dig Deeper with the Full Report & Webinar

The latest Arival report delves into the details of what profitable operators do differently and is packed with actionable takeaways you can implement in your own business today. Learn more by downloading the full Profitable Operator report, available at no cost thanks to report sponsor GetYourGuide.

Also, join us for an exclusive online event on Tuesday, 18 February 2025, to dig into the report results and key takeaways alongside Douglas Quinby, CEO and Co-founder of Arival, and Anna Cashman, B2B Brand & Insights Lead at GetYourGuide, plus some leading tour and activity operators. 

Learn More with Arival Research

The Global Operator Landscape (3rd Ed.) Research Series

Arival’s annual survey of the global operator industry is the most comprehensive and in-depth study on travel’s third-largest sector: experiences. Based on a survey of more than 7,000 operators worldwide, the third edition of Arival’s Global Operator Landscape research study  informs a series of reports on different sub-segments and geographic regions within the tours, activities and attractions sector.

  1. Global Operator Landscape: The State of Experiences
  2. Getting Direct: The State of Digital Marketing
  3. Global Operator Landscape: The State of Visitor Attractions (coming soon!)
  4. Global Operator Landscape: The Profitable Operator
  5. Global Operator Landscape: The State of OTAs & Operators (coming soon!)
  6. Global Operator Landscape: Culinary Experiences (coming soon!)
  7. Global Operator Landscape: The State of Booking Tech (coming soon!)
  8. More reports to come: stay tuned!

Arival thanks our study sponsors: Launch Partner GetYourGuide, and Strategic Insights Partners Catalunya, Expian, Rezgo, Tripworks and Viator, as well as the many Fielding Partners that helped distribute the survey — see the full list here

Get the full Arival experience by joining us at an upcoming Arival event, and hear the latest research insights and tips on digital marketing for the experiences sector directly from tours, activities and attractions industry leaders and experts. 

Become an Insider Pro Access member today and get access to the full library of Arival research, plus many other benefits such as free consulting sessions, special discounts and 20% off in-person events, starting from $179 per year.

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The Profitable Operator
Grow your bottom line with best practices from the most profitable operators: a free snapshot report developed in partnership with GetYourGuide Authors: Anne Failing, Douglas Quinby and Janelle Visser

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