Company: NUTR
Filing Date: 2025-03-25
Form Type: CORRESP
Source: 0001641172-25-000449
Chunk: 108

Company: NUSATRIP Inc
Filing Date: 2025-03-25
Form: CORRESP
Chunk 108
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omy SEA 2024.

Ibid.

| 59 |

The aviation sector has outperformed expectations
with a stronger than expected rebound, to now exceed pre-pandemic levels. While this is true across the region, a significant proportion
of gross travel bookings (GTB) growth is coming from increased airfares for flights originating out of Singapore. Fuelled by expanding
flight capacity within the region in recent years, over 70% of SEA travel spending now remains within APAC, including SEA itself, highlighting
the increasing allure and accessibility of destinations closer to home. Overall revenue growth remains robust at 18%, with 1P channels
still the majority contributor. However, online travel agencies (OTA) have been successful at monetising both their core business as well
as travel-adjacent offerings such as financing and insurance. However, international travel is taking longer
to rebound as airlines struggle to cope with demand after years of downsizing. In addition, skyrocketing prices in the international segment
are also deterring travelers. Hotel occupancy rates in SEA are back to approximately 80% of pre-COVID GMV. Travellers are
taking advantage of the relative weakness of the Japanese yen to experience Japan’s iconic landmarks, rich culture, and culinary
delights. Japan saw a +5ppt year-on-year increase in consumer spend share, the highest among all destination countries. NusaTrip expects
significant increases in inbound travel from China, Japan and Korea to drive travel GMV going forward. As evidence of these trends, travel-related
search interest reaches or exceeds pre-pandemic levels, indicating impending demand.

Source: Google, Temasek and Bain & Company (2024). e-Conomy SEA 2024.

Online travel agencies are gaining market share over
traditional channels, and mobile bookings are growing rapidly as technology innovations regarding travel and lifestyle services increasingly
cater to the local needs and preferences of the customers.

Ibid.

Ibid.

| 60 |

The Company anticipates benefiting from five key favorable
market dynamics in travel:

(1) The travel market in SEA is emerging as a fascinating
player in the broader APAC region, with a focus on the key markets of Indonesia, Vietnam, Malaysia and Singapore;

(2) New markets such as India, Southeast Asia, and
Eastern Europe are growing sources of outbound tourism. Indians’ travel spending is expected to grow 9% per year between now and
2030; annual growth projections for Southeast Asians and Eastern Europeans are both around