Opinions: 

Travel Tech

A new study by airline technology provider Worldpay shed light on the future of airline distribution. The study paints the picture that airlines' focus will increasingly shift towards mobile and social media as major distribution channels. Over eight in 10 companies in the sector believe that implementing new payment solutions represents a major business priority. The study quotes ‘gaining competitive advantages’ as one of the main reasons for this shift towards innovation in payment solution (Travolution). Airlines aim to extend existing mobile services over the next two years to offer ancillary purchases, such as seat upgrades, booking management, onward travel and inflight sales via mobile phones.

AIRLINES AS LEADING INNOVATORS IN TOURISM

Airlines have long been considered as being the leader of technology innovation and adaptation in the travel and tourism industry. In this regard it is no surprise that airlines focus now heavily on mobile as both a distribution channel and a means of payment. In total 71% of the survey’s respondents the future of airline payments lie in mobile. However, the question remains wether these findings are not too overly optimistic.

THE CHALLENGES ARE NON-TECHNICAL

Although a general shift towards mobile in travel can be observed, and the advantages for the service providers are clear (improvement of internal processes, such as data handling and submission); adoption rates, especially for payment and booking solutions, remain low. On the one hand, this is due to the different browsing experiences on mobile devices. On the other hand, consumer lack trust in mobile as a secure payment channel. Thus, airline in particular, but also tourism businesses in general, will face the challenge of gaining consumers’ trust and confidence, when implementing mobile payment solutions.

SOCIAL SALES

While many airlines already have very active presences on social media channels, in particular Facebook an Twitter, they are planning to increase the usage. In total 40% plan to be active on Google+ this year. Social media is now also seen as a high potential sales channel, with nearly a third of airlines planning to enable sales via social media in the next 12 months. This development gives an insight into where the travel industry will be moving over the next few years in general, as airlines are ahed of other travel sectors in terms of technology adoption.

 

 

More from #DTTT

  • In March we present:
    Tourism Industry Weekly Impact Call – Week 2

    The #DTTT were keen to welcome even more new faces and perspectives to our much anticipated second travel industry impact call. We hosted sixty-one industry participants, who joined us in sharing their views, situations, and experiences of how the ongoing COVID-19 crisis is impacting them.  Every Tuesday at 14:00 GMT / 15:00 CET, we will hold […]

    #COVID-19 #collaboration #data #DMOs #industry #tourism
  • In March we present:
    Tourism Industry Weekly Impact Call – Week 1

    At the #DTTT, we are bringing people together across the industry to help steer them through the crisis. In our podcast you will hear a range of industry perspectives, shared experiences and insights into the direct effects and impact of the crisis. Everyone has a different response and everyone is responding in different ways. The […]

    #COVID-19 #collaboration #data #DMOs #impact #industry
  • In March we present:
    International Women’s Day – Celebrating Women who are Transforming the Industry

    Women we know and admire At the #DTTT, we love to celebrate women who have done amazing things in the industry.  These are women that we know and respect. They have added immense value to the industry with their knowledge and contribution and we are especially excited to celebrate them on International Women’s Day. Dr […]

    #International Women's Day #Celebrate #Achievements #Game-Changers #Thought Leaders #industry
  • In March we present:
    #Coronavirus – How is the Industry reacting?

     ⚠️This will be updated daily at 2pm ⚠️ Update: 30/03/2020 The Transportation Security Administration (TSA) has reported that thousands of people are still flying during the pandemic. Their latest figures show 203,858 people were screened at checkpoints across the country on March 26, however, this figure now appears to be decreasing. Thailand’s island resort of Phuket is […]

    #Coronavirus #Perspective #Visit Anchorage #Kyoto Tourism #tourism-australia #DMOs #industry
  • In February we present:
    What is structured data and why is it important for DMOs?

    #TechInsights | What is structured data and why is it important for DMOs?  Structured data may be a term you are already familiar with, one of those terms you have heard but you’re not quite sure what it means or why you need it, or you have absolutely no idea and are yet to explore […]

    #structured data #rich snippet #SEO strategy #schema markup #voice search #content
  • In March we present:
    Delivering an Industry Development Programme

    Delivering an Industry Development Programme Every DMO has a responsibility to their industry, to help them develop, connect the community and keep the destination competitive. Ultimately, this is the key to delivering the best possible visitor experience by being present at valuable touchpoints in the journey, and ensuring all digital activities are aligned to the […]

    #innovation plans #digital maturity assessment #business coaching #industry development #collaboration #DMOs
Show more
© 2017 Digital Tourism Think Tank

Digital Tourism Think Tank logo imge