VIDEO: Investors optimistic about growth opportunities across travel

Despite the ongoing stagnation in much of the travel industry, investors voiced optimism about startup activity and the potential for robust growth in the years ahead during a panel discussion at The Phocuswright Conference 2020.

With Airbnb expected to go public in the coming days, RBC Capital Markets managing director Mark Mahaney says as markets are performing so strongly, he expects to see more high-profile IPOs into the first quarter of 2021.

“Companies that want to go public, this is close to an ideal time to do that. You want to go when equity markets are relatively robust and investors over the years have become increasingly... coming back to growth,” he says.

“I think it’s a smart decision on the part of a lot of these companies.”

Mahaney was joined on the panel by Amy Burr, managing director for operations and partnerships at JetBlue Technology Ventures and Chris Hemmeter, managing director for Thayer Ventures, with BTIG managing director and digital services analyst Jake Fuller serving as moderator.

Hemmeter shared insights on Thayer Ventures’ new travel-focused investment subsidiary and why he continues to be interested in startups in the accommodation space and related to the digitization of tours and activities. And Burr says JTV sees potential in contactless technology, personalization and sustainability. 

The discussion concludes with an analysis of the outlook for large online travel agencies such as Booking.com and Expedia and the impact of regulatory pressure on brands such as Google, which Mahaney characterizes as a “bipartisan can of whoop-ass that Congress opened up on Big Tech.” 

Watch the full discussion below.