OPINION: Three trends that will disrupt the travel industry
The travel business is booming – but not for everybody.
According to the World Travel & Tourism Council (WTTC), the global travel industry is continuing to expand, growing by 3.9 per cent to US$8.8 trillion (A$12.6 trillion) last year. The WTTC also predicts the industry will create more than 100 million new jobs in the next decade.
That’s the good news, but it applies to the industry as a whole. These results will be spread unevenly, with winners and losers across every segment. The winners will be the operators who proactively innovate to leverage technology, while the rest will be left behind.
So, how do you ensure you become one of the winners and stay ahead of the game? The fundamentals for success – creating total experiences, obsessing about every touchpoint, removing pain points, and solving problems – remain the same. But technology is transforming – and disrupting – the way you deliver these fundamentals.
Here are three key trends transforming the industry – and what you need to do to leverage them.
- Join the journey sooner
When does the “customer journey” start for an airline passenger? It’s long before they board the plane, of course. But is it in the airport lounge? Or the check-in counter? Or the online booking form? Or the Google search for flights and fares?
The correct answer is: none of the above.
For the customer, the journey might start in their mind when they see a friend sharing a travel selfie on social media. That’s the real start of the journey, and the sooner you can join that journey, the better.
For example, low-cost airline easyJet has a ‘Look & Book’ feature in their app, which lets users post screen grabs of Instagram posts, and the app identifies the location and allows the user to see – and book – flights instantly. This is just one example of a company thinking about their customer’s needs, not just their own services.
- Understand the total experience
Airbnb has disrupted the accommodation sector – to the tune of five million properties in 80,000 cities around the world. But its biggest impact is just starting now. Airbnb understands that travellers aren’t just looking for beds; they are travelling for experiences. So Airbnb now partners with local providers to capture a bigger slice of the customer’s experience. It’s not just good business for Airbnb; it’s exactly what their customers want.
Customers will favour providers who can help them with more of their total experience, rather than those who just “stick to their knitting”.
This might mean upgrading or replacing your IT infrastructure (so it’s cloud-based, connected, secure, integrated using APIs, and so on), but it’s an important investment to make.
- Get up close and personal
Frequent travellers expect special treatment, and technology can provide this at an individual level. For instance, Delta’s flight attendants use a ‘Guest Service Tool’ in the air to look up historical information about passengers – such as previous flights, birthdays, and individual preferences. In the future, this kind of technology will be enhanced with AI, augmented reality, and facial recognition to make this engagement seamless.
Are you fast, flat, and free?
These are just three of the many trends in the travel and tourism industry. Broadly, the world is becoming fast, flat and free: everything is moving faster than ever before, we’ve broken down hierarchies and barriers, and things that used to cost a lot now cost a lot less.
Assess everything you’re doing in your business against these three factors. If you’re slow, bumpy, or expensive (that is, the opposite of fast, flat and free), you’re at risk of disruption!
Gihan Perera is a business futurist, speaker, and author who works with business leaders to help them lead and succeed in an uncertain but exciting future.
Latest News
Collette goes off the beaten track with Canyon Country tour
To be clear TW is not advocating actually walking off the beaten track. Avoid the coyotes. Stay on the beaten track.
Intrepid & Korean Tourism Organisation team up to give agents a cooking masterclass
These guys learnt that Korean cooking is more than just putting kimchi on 2-minute noodles (as we once thought).
Winner, winner! Intrepid reveals the 9 lucky agents that won $2k
Who won the incentive? Which Intrepid trip will they spend it on? What day of the week is it again? Where am I? Huh?
Corporate Traveller reports 42% increase in Easter traffic this year
Business travellers just love Easter! Expect plenty of chocolate stained documents returning to the office on Tuesday.
Turbulent year wiped $384m off Qantas brand value: Report
Meanwhile, eating tuna at your desk can damage your own personal office brand value by several thousand dollars.
FAMIL: Room-Res & Singapore Tourism Board shows agents the Lion City’s roar
Click this article to see a man very impressed by a 20-layer chocolate cake. We're not kidding, he loved it!
Oceania Cruises offers sailors free pre-cruise hotel stay
Looking for ways to make your holidays as long as possible? Look no further.
Bonza launches new website to compliment app, agent portal
Does news about an airline's website fill you with ecstasy, glee and joy? Get your hit of the good stuff here.
MTA agents attends ‘Lunch ‘n’ Learn’ with AMA Waterways
When organising the event, Lunch 'n' Learn beat out Dinner 'n' Divulge and Breakfast 'n' Banter. Understandably so.
Travelmarvel reveals 2025 South America tours
If you spot any typos in the newsletter today it is because TW became distracted Googling images of Machu Picchu.
Tourists from 5 countries could be BANNED from visiting Australia
Anthony Albanese's immigration laws could impact tourism from certain countries.
Just how many passengers will Qantas & Jetstar hop around this Easter?
Airline workers are ready for gleeful Easter travellers! Also prepared for sticky children with chocolate on their face.
Air New Zealand gets ready for bumper Easter weekend
Air NZ gears up for travelling passengers this Easter, while TW looks to beat our egg eating record. 117 here we come!
Four Seasons Yachts reveals first itineraries to the Caribbean & Mediterranean
These trips look so good we wish there were five seasons! Alright, we'll see ourselves out...
FAMIL: Travellers Choice treats top agents to the wonders of Rotorua
This one's got plenty of famil pics and no one looks shockingly hungover in them! Clearly no TW staffers were there.
European Waterways celebrates 50th anniversary with week-long founders cruise
Plan on celebrating your 50th anniversary with a bottle of Moët and fairy bread? European Waterways has better ideas.
100th route! Jetstar celebrates the launch of Brisbane-Avalon with 12 hour sale
Jetstar knocks a ton and celebrates with a sale while TW once scored a ton and celebrated with about 17 beers.
Record-breaking year for NSW as visitor expenditure soars past $50 billion
Enjoy running round the Opera House? Be prepared to elbow even more tourists out the way.
Norwegian Cruise Line makes play for solo travellers
NCL ensuring you don't have to go trawling Tinder to find a cruise partner. Thank goodness, we were sick of catfishing.
Entire Travel Group’s Canada and Europe 2024/25 brochures are out now
Entire's new brochure is bittersweet; it both informs your clients and makes you envious of the holiday they'll take.
Malaysia Airlines adds 3 new destinations & A330neo seats
More seats means cheaper airfares and more money to spend on overpriced airport sandwiches. Woohoo!
Two divine days onboard Crystal Serenity
It's only pure serenity onboard this ship. Anxiety, agitation and anguish have been rejected by the bouncer.
How the Globus Family of Brands elevates coach touring: Travel Weekly TV with Chris Fundell
Chris' here so you don't think coaches mean peeling your thighs off a sticky leather seat every time you stand up!
The Flight Centre Foundation gears up for massive 2024 with 3 new board members
The foundation looks to invest $200k this year, spurring the TW journos to figure out how to qualify as a charity.
Barking Owl Communications to head up Anantara & Avani in ANZ
Fellow PR competitors had been barking up the wrong tree even thinking of bidding for this job!
Amex GBT to purchase CWT for $871m
It's big deals like this that get a firm handshake - hence the sore hands over at the CWT and Amex GBT offices.
1000MTG’s second global conference reminds agents to ‘strive and thrive’
Alongside messages to 'strive' and 'thrive' were those to 'survive', 'drive', 'arrive' and 'jive' (when appropriate).
Qantas A330 makes “loud bang”, pilots forced to shut down one engine
Qantas refusing to let Boeing have all the headlines in aviation world today!
GX Community Tourism Summit 2024 location revealed!
The new location has arrived and it'll blow your socks off! Time for another trip to Target for more socks then.
Visiting the destination my Mum didn’t want me to
Yet again, this journo has been a stress to his mother. Discover how this trip spurred his mother's anxiety here.
Agents come out of their shells at P&O’s turtle hatchery event
For some, it's a few glasses of bubbles to lure them out of their shell. For these agents, it was a bit more literal.
Boeing cleanout: CEO, chair to go as safety crisis plagues the manufacturer
CEOs are falling thick and fast these days. We should have started up a bingo game with their headshots in the office.
Virgin looks to swap MAX 10 order for MAX 8s amid Boeing delays: Reports
Virgin has changed its order for something smaller. Much like we have to at Maccas following a worrying doctor's visit.
Club Med unveils newest luxury yacht for 2024/25 early bird sale
This yacht is preserved for the early birds! Night Owls may also get onboard depending how late they stay up.
Abercrombie & Kent 2024 Asia Portfolio is here
Round up the family and get planning an Asia jaunt. Or, if they're hard to handle, brush them all and go it alone!
Elevate your earnings: Final days to secure double commission with Inspiring Vacations’ March offer
What could inspire you to sell more Inspiring Vacations? Double commission of course! That's all the inspiration needed.