Jizo.ru gives Facebook users a new targeted flight ticket search service
Jizo.ru has launched its new flight finding tool Jizo Flght Finder in conjunction with the Russian segment of the social network Facebook. This new service allows Facebook users to see and purchase, in real time, the best offers of flights to their network of friends living in other cities and countries. Jizo Flight Finder has been created and developed by Moscow-based flight and hotel meta search start-up company, Jizo.ru.
Unlike other applications currently available with Facebook which are based on standard searches, Jizo Flight Finder is more advanced and targeted, offering tickets only applicable to users friend’s locations. This search application gives Facebook a new way of monetization, as Jizo Flight Finder taps into the social network’s existing geo-targeting opportunities. Jizo Flight Finder will initially be launched on the Russian language version of Facebook and in future it may be rolled out internationally.
The project is estimated to make $130 million a year for Facebook’s Russian segment, with the potential to reach $6 billion if launched on a global scale. This estimate is based on the minimum industry “look-to-book” rate (conversion from web-site visits to ticket sales) of 1%, which shows that the number of daily tickets sold on Russian Facebook could be 90,000 tickets per day in 2012 (1% from 9 million Russian Facebook users). With an average fare of $200, revenue could amount to $18 million per day and the 2% commission paid by airlines and online travel agents to Jizo and Facebook is estimated to be $360 000 per day or $130 million in total over a whole year. Facebook’s share of the revenue would be 50% or an estimated $65 million. On a global scale the amount of additional revenue could reach $6 billion, with Facebook and Jizo entitled to one half each.
Sergey Lavrentiev, Jizo.ru Co-Founder and CEO, commented:
“The Jizo Flight Finder will be a separate application to begin with, which users can choose to download, but as it gains popularity Facebook has agreed to consider the application becoming a permanent feature of Facebook available on every account and provide Jizo.ru with the free advertising tools needed to promote this exciting new service. We are in talks with Facebook global HQ about this at the moment.”
“Jizo Flight Finder will also soon be launched on other social networks. Social networks have now evolved into new and effective distribution channels for airline tickets. Our service already knows where the user is and the destinations they are likely to fly to, given the location of their network friends, and provides them with the best prices for this instantly. The application will help people to make decisions about travel more impulsively but at the same time ensuring value for money. This instrument could give social networks the chance to capitalize on the sheer numbers of their members.”
Facebook users can install the Jizo Flight Finder application for free following this link: http://www.facebook.com/jizo.russia?sk=app_301978126495217/ and at any time be aware of the cheapest air fares to their friends and family so they can see them in person.