Travel marketing agency Propellic has unveiled its Travel Industry Paid Media Benchmark Report, highlighting inefficiencies in advertising during peak booking seasons. The report, based on over $250 million in ad spend across more than 120 travel brands, indicates that operators often pay premium prices for advertising during peak times, despite similar conversion rates in quieter periods.

The analysis shows that campaigns during peak seasons yield an average Return on Ad Spend (ROAS) of 2.6x, compared to 6.3x during shoulder seasons. This suggests that travel operators could achieve more than double the return by investing in advertising during less competitive periods. John Matson, Chief Revenue Officer at Propellic, noted, “A click that cost $3 in February may cost $11 during peak booking season, yet the traveller is no more likely to convert immediately.”

The report also reveals that non-brand search terms dominate ad spend, accounting for 83–90% of budgets, yet these campaigns result in fewer conversions. This highlights a gap in how upper-funnel activities are measured compared to final conversions. Propellic suggests that brands with sophisticated attribution systems, which track the entire customer journey, outperform those that do not.

Looking ahead, the report warns of geopolitical instability and rising costs affecting travel demand and advertising efficiency in 2026. Propellic's findings urge travel operators to reconsider their advertising strategies to optimise returns. The full report is available on Propellic's website

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