Yandex adds flight search box above search results

More developments in Russian online travel with Yandex dropping a flight search box into its results pages for travellers searching using some of the most frequently used terms.

The Russia-based search giant, which has a 60% market share, displays the box above organic search results for terms such as airline tickets (which is used 1.2m times a month), airline tickets online and buy airline tickets.

Yandex, which previously had the box within ticket.yandex.ru, helps users search online travel agencies including Amargo, OneTwoTrip and Sindbad and directs them to the OTA for booking once a flight is selected.

Online flight sales has become fiercely competitive in Russia with metasearch sites and online travel agencies all jostling for a piece of the action.

Sindbad recently closed its shop in favour of a fully online model to take advantage of rapid internet growth as well as address pressure on margins because of the reliance on price comparison sites.

OneTwoTrip, meanwhile, is claiming ticket sales of more than 680,000 for the first nine months of 2012 and says it has a 35% share of the total OTA market.

The service recently announced funding of $25m from Phenomen Ventures and Atomico and plans to launch hotels, car rental and insurance as well as a deals and auction function next year.

Driving growth in the online sector in Russia is rising internet penetration which OneTwoTrip says has increased 15% in 2012 while there has been a 37% increase in the number of credit cards being issued.

PhoCusWright estimates the Russian online travel market will exceed $7bn in 2012.

NB: Hat-tip to Yakov Sadchikov of Quintura for highlighting this one.

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3. Google testing expanded flight search results