Travel and Hotels
Other than Travel and Hotels, only two other sectors managed to grow this year: Utilities and Logistics. Travel and Hotels also managed to move up a spot in the sector ranking, however. What makes it even more interesting is the fact that its two sister sectors (Restaurants and Fast Food and Entertainment and Leisure) ended up doing significantly worse than last year. The travel sector improved most in personalization and resolution, with small improvements in time and effort and integrity. The only significant drop happened in the loyalty pillar. So what’s behind the sector’s success? Smart solutions and technologies that greatly help personalize services and therefore make customers more comfortable, satisfied, and loyal, among other things. Booking.com is a clear example of just how effective this approach is, taking home the sector victory again. The runner-up and the sector’s top climber Čedok also made a good choice when betting on the combination of digitalization and personal approach, leaving the bronze medal to the EXIM tours travel operator.
As you like it
Think using a travel agency is synonymous with limited selection and the need to compromise on everything? Think again. Hotel finders and travel agencies have adopted the role of expert personal advisors, ready to help you build your stay according to your needs. It’s this new approach that helped Booking.com make such great improvements in personalization and leave the competition in the dust in other metrics as well. Because it does more than just focus on fulfilling the customers’ needs and wants to the T. Instead, Booking.com pays attention to and regularly researches markets and trends, and then uses the findings to adapt its offer.
However, helping you choose the best hotel is not where the service ends in the travel industry. The reservation process and suggestions for your trip are next, and in the USA, Booking is piloting an AI-based planner that provides travellers with sightseeing or trip suggestions based on what they want to focus on. As for the runner-up, Čedok, the company chose a two-prong strategy, offering both digital solutions and offline options, as well as a growing number of branches for those who prefer to plan their vacation with a travel agent. To support this strategy, the company continues to expand flight options to include international airports across the entire country. The result of such personal approach? An incredible jump up 87 spots in the ladder.
The certainty of flexibility
The COVID-19 pandemic was a strong reminder that sometimes, plans can change unexpectedly and there’s nothing you can do about it. The values that embody a sense of certainty are very different now – and it’s not the proverbial trip to Yugoslavia planned years ahead anymore. Instead, it’s the brands that are open to changes and capable of dealing with the unexpected that will win customers and their trust. During the pandemic, EXIM tours introduced refunds for trips that were cancelled due to covid, and it kept a similar policy until today to hold on to customers, offering free cancellation up until 30 days before departure for trips purchased in advance.
The option to easily cancel a stay with just a few clicks and no need to explain yourself is what customers love about Booking.com. The site also uses objective, real customer reviews to gain favour with clients and let them have a clear idea of what they can expect in the accommodation of their choice.
Customers also value companies who look out for them, preventing them from making a mistake during the reservation or selection process – which is why some people still find offline offices where they can get in-person advice so valuable. Plus, many customers like to have the best of both worlds, choosing to browse and pre-select options online and then make their final choice at a branch, with the support and knowledge of a travel agent.
Top three (scale 0–10)
„The lady at the branch was very nice. She answered all my questions and showed me all the hotel options in my chosen country, complete with her own recommendations.“
Man, age 47, Čedok
„A great site to book accommodation with a large selection of hotels, so I can always choose something that works for me in terms of quality, availability, and price. I also love that many hotels offer free cancellation.“
Man, age 31, Booking.com
„EXIM tours is my favourite travel agency – reliable, with great services. They also have a Czech-speaking representative in every location to look after the clients and organize trips.“
Man, age 71, EXIM tours
Smart solutions
The sector of travel and accommodation is heavily digitalized these days, and AI could leverage that technology even more, helping users plan their vacation from A to Z. It can create personalized offers, sure, but it can also book additional services, put together travel itineraries, answer questions, or set prices based on the profile of the target group.
And in the future, AI could rid customers of meticulous (and often time-consuming) filter selection. Instead of checking off dozens of boxes, you could simply describe what you’re looking for in your own words – from accommodation type and location to your wishes concerning spa options, available beaches, or equipment – and the AI “brain” would browse the enormous amounts of data available (including pictures posted by previous visitors or reviews from sites like Tripadvisor.com), choosing options that match your preferences.
Catching trends, prices, and problems
Artificial intelligence can also help analyse data and just like in other sectors, use it to make predictions and look for patterns in customer behaviour or current travel trends. Companies can then use this knowledge to make better decisions related to marketing and their services and use algorithms for dynamic pricing. An Israeli accommodation platform Hotelmize already uses AI to monitor changes in dynamic hotel room prices offered by different providers.
PaxPulse developed by an Indian company called Mindtree is also an interesting tool. It browses customer posts on social media in real time, analysing them, and if negative emotions are expressed in a post, the tool will offer a solution. To give a real-life example, imagine a customer expressing frustration about a delayed flight in a social media post. PaxPulse allows you to reach out to them immediately, offering explanation, advice, or a discount. A tool like that will help you deal with customers’ issues immediately, but more importantly, it helps win back their trust.
Travel and Hotels
