ZDNet is reporting that online travel bookings are up but the growth in the future will have to come from abroad over the next few years.

Online travel booking up 19% in 2005 by ZDNet’s ZDNet Research — PhoCusWright data shows that gross US bookings for US online travel agencies grew 19% in 2005, down from 21% in 2004 and 33% in 2003. International gross bookings increased by 115% so far 2005, up from 97% in full-year 2004 and 109% in 2003. Orbitz, Expedia and Travelocity control about 77% of online travel bookings.

The international market is providing the growth in the marketplace, while domestic travel;s bookings are coming close to saturation in the United States. “Definitely the growth has slowed in the U.S.,” even though it is far from saturated, said Lorraine Sileo of PhoCusWright, a travel research company. “The growth overseas is particularly in Europe, the UK, Germany, France.”

Europe has lagged the United States in accepting online commerce. As they become more conversant with the tools the internet has to offer, growth will be sure to follow. This added to the tremendous growth of low cost airlines on the continent will provide fertile growth opportunities for the online travel agencies.

“Europeans, unlike Americans, actually take vacations,” he said. “When you do that across more people with more vacation days, it just opens up more opportunities.”

Orbitz, together with market leaders Expedia, the lead brand of Expedia Inc., and Travelocity, a unit of Saber Holdings Corp., control about 77 percent of online travel bookings.

“We clearly do believe that we’ll continue to see growth in Europe on par with the States,” Stauber said.