Technology changes on the daily basis transforming the rules like never before. Something that looked modern and fresh yesterday can appear dated seemingly overnight, and trends once dismissed as irrevocably passé can unexpectedly cycle back in vogue.
Over the past few years, AI, Big Data, and such disruptive technologies have succeeded in transforming many industries already but a notable and a positive change noticeable is in the travel sector. Maybe because travel industries comprises of an enormous amount of data through online searches, analysis of consumer buying behavior but one may not understand the true value unless and until we gain a tremendous amount from its use.
In fact, the travel industry has always been at the forefront of technology adoption, especially with digital technology trends. Although, travelers have been enthusiastic about adopting the new technological changes on the equal basis as they find it simpler and enjoyable. This automatically gives rise to tremendous innovation in products and business models such as Airbnb and Uber. At present we are now at the cusp of the third era- Welcoming Artificial Intelligence and Big Data .
Let’s take a closer look at how big data is transforming the travel industry
Greater personalization
Right from rental car companies to hotels, airlines, tour operators, cruise lines, the travel industry includes a wide range of businesses where each strives hard to improve the overall customer experience. Big data can help these companies to learn more about preferences of smaller segments of their target audience which includes individuals as well. This eventually gives them the ability to tailor special promotions, deals, experiences, etc.
Unique Differentiation
Do you wish to know why your customer consider choosing you over their competition and vice versa? Data analysis is a golden opportunity to determine such things more easily. In fact, unique differentiation can be used to improve branding, make marketing more cost-effective and even design new products or promotions that appeal specifically to consumers based on why they are choosing to work with a company in particular.
Improvement of Business Operations
Travel industry businesses may even consider using big data analysis to improve operations in numerous ways. So that in case, if one specific aspect of marketing is ineffective then the company can alter marketing efforts to generate a greater return on investment. These are a few examples of how big data can be revealing and help travel businesses to improve operations for enhanced success and improved profitability going forward.
Real-Time Travel Assistance
The technology captured through mobile devices can provide travel businesses with insight about their current locations as they travel around the world. At present, several companies have started to harness this real-time data to provide travel assistance and recommendations. For instance, if your smartphone is located next to a popular theme park, restaurant or other attraction, it may send your special offers or deals that you can use to save money on a visit to these places.
Helpful Resources:
- Big Data vs. Artificial Intelligence
- 7 Big Data Trends expected in 2018
- Big Data Meets Artificial Intelligence To Create New Possibilities
- The importance of Big Data in AI technologies
Ability to meet the future needs
Travel companies must know where customers are interested in visiting so that they can customize future travel options available through their companies. For example, cruise liners are more interested in visiting Costa Rica or Cuba of course through big data analysis or airline companies can determine whether they need a direct flight from Bangkok to Phuket several times per week to meet customers’ needs. By analysing big data, travel companies can better determine how to allocate resources going forward in the most cost-effective way.
