Company: NUTR
Filing Date: 2025-03-25
Form Type: CORRESP
Source: 0001641172-25-000449
Chunk: 15

Company: NUSATRIP Inc
Filing Date: 2025-03-25
Form: CORRESP
Chunk 15
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 and other companies to offer
exclusive promotions, loyalty programs, and additional value-added services to customers.

OTAs face several challenges in the current landscape.
One of the key issues is intense competition within the OTA industry, with numerous players vying for market share. For example, three
major OTAs operate in Indonesia: Traveloka, Tiket.com, and NusaTrip. This competition creates downward pressure on profit margins and
requires continuous innovation and differentiation to stand out. Another challenge is the growing influence of direct bookings by suppliers,
such as airlines and hotels, who aim to reduce dependency on OTAs and establish direct customer relationships. This shift poses a threat
to OTA revenue streams and requires OTAs to offer unique value propositions to remain relevant. Generally, it means that OTA must navigate
complex and ever-changing regulations and legal frameworks across different countries, which can affect their operations and expansion
plans. The OTA industry is also susceptible to external factors like economic downturns, political instability, and natural disasters
that can disrupt travel demand and impact revenues. Meanwhile, customer expectations are constantly evolving, and OTAs must continuously
enhance their technology, user experience, and personalized offerings to meet these demands. Finally, issues related to data privacy and
security are of utmost importance, as OTAs handle sensitive customer information, and any breaches can erode customer trust. This means
that OTAs must adapt to these challenges by leveraging technology, fostering strategic partnerships, delivering exceptional customer experiences,
and staying ahead of market trends to thrive in the dynamic travel industry.

See ASEAN (2024). ASEAN Matters: Epicentrum Of Growth.

See Worldometer (2024). South-Eastern Asia Population.

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Our Business Model

To overcome the problems of a typical OTA in SEA,
NusaTrip works closely with global distribution system (“GDS”) partners, conducts market research, seeks strategic alignment
with local travel agencies that have market presence and expertise, adapts to local culture, integrates compatible technologies, leverages
branding and marketing expertise, prioritizes customer-centric approaches, fosters collaboration and synergy, and ensures compliance with
regulations. By working with our GDS suppliers, we source inventory from multiple countries, consolidators and airlines to find the cheapest
fares for our corporate and retail customers. In addition, we continuously upgrade our technology platform to meet the challenges of data
privacy head on. Because we have been financially supported by our Nasdaq-listed parent company, SOPA, NusaTrip historically has had the