Digital Transformation in Travel Industry
Digital Transformation in Travel Industry
We are living in an era of technology and digital transformation. In this world of technology, organizations need to adapt technology to sustain and increase outputs and profit margins. The travel and hospitality industry is no exception. Technical advancements have impacted the travel industry to a great extent. With the introduction of better technologies, companies are bound to reassess their digital infrastructure and requirements.
Understanding Digital Transformation!
This adaptation of new technology to increase cost efficiency, productivity, low response time, better disaster management, agility, scalability, and flexibility is what Digital transformation is all about. Digital transformation enabled the growth of the travel industry without technical disruptions. Despite the numerous benefits of digital transformation, businesses may find the decision to adopt new technology tough, this decision can be made easily by studying the statistical data provided below.
According to research conducted by Statista in 2021, the online global travel market is expected to reach USD 691 B by 2026, growing from the net value of USD 396 B in 2020.
The data clearly shows that the industry is slowly accepting and adapting the technology for better results.
Impact of DX on the Travel Industry
With the introduction of platforms like Uber, Airbnb, Booking.com, and others, there is a shift in the way a traveler plans his travel. Before beginning their trip, travelers research and analyze a large number of options available on the internet, and they book based on the best reviews available on the internet. The way the travel industry used to function has transformed greatly with the introduction of applications and certain tools, and this has created a need for digital transformation.
Not only has the booking process changed, but so has our travel behavior. The airlines have provided the option of online check-in, the option of opting for a meal, and certain other facilities. With a smart phone in every hand, people find it easy to travel and navigate their way to a new location with applications like maps. People share their experiences of travel through certain channels – their experience of flights, their stay, and every other detail—which becomes a review for another traveler.
Among all the benefits that DX offers, there are a few drawbacks as well. First and foremost, there is the issue of the data breach. As the data is collected through different platforms, there is a probable risk of data privacy intrusion. Numerous data theft cases have been registered, even with the biggest platforms. The issue of sustainability, wherein travelers have faced scams in the name of bookings, The losses caused by these can be hazardous to the reputation of the firm.
The DX Journey for your Travel Industry
Digital transformation, if done strategically, has the potential to revolutionize your entire business. There are numerous cases where businesses have seen moderate development after digital transformation, but there are also situations where the entire process has proven to be a disaster. So, it is important to plan the journey and implement it correctly. Choose your partner firm to grow your business. Visit NAKA. There are certain key points to include in your digital transformation journey.
Strategizing & Research
The research part is the most important part of any technology implementation. With new technology put in place every day, companies need to figure out a strategy to transform their business. With all the new ideas, tools, and technologies in the marketplace, the company needs to figure out its requirements, its privacy policies, and other governance compliances.
Assessment of your customer journey is very important. With the varying customer experience, the strategy has to be altered. Customer experience is everything and for a better customer experience, you need better tools and technologies.
The digital transformation strategy for every company varies according to its requirements. The customized plan for each company is extremely valuable. Also, there is a requirement for customized plans for every customer. People prefer the companies that recall them!
Digital technology adoption is a requirement of companies in the travel industry to dominate the competition. Let’s discuss the importance of digital transformation in the future of the travel industry.
DX in the Future of Travel
DX is here to stay and create an impact in different industries. There will be trends changing in the travel industry and here are a few digital trends.
- Customization is the base of a better customer experience.
- Chatbots are the new service companion for customers.
- IoT can create an information pool about your potential audience.
- Introduction of Data analytics in the industry.
- The adoption of VR and Blockchain technology.
There is no certain trend that can be assured to sustain in the future, but one thing is certain: digital transformation is here to stay. Digital transformation is a complex task, but a worthy one. By focusing on technology, we can change our business game in the travel industry.