Professional Documents
Culture Documents
TRENDS
2020
Because being there matters
1
Foreword
When it comes to our analysis, we’ve gone even Lights, camera, action... let’s get rolling.
bigger and better for 2020. We conducted primary
research with 6,000 end-travelers around the world,
surveyed 100 senior travel professionals, and gathered
the thoughts of Travelport’s experts, who are on the
frontline of leisure and business travel. David MacHale
Director of Marketing, Agency Commerce
Travelport
Content
Introduction 4
Behavioral trends 37
Conclusion 43
Contributor biographies 45
3
Introduction
make for a predictive and personalized experience for that surveyed over 6,000 people from six countries
Technology has enabled travel the customer. Our experts also investigate how we are across the globe. We investigate what they use mobile
starting to move away from a multi-channel approach, for when they travel, how often they use it, and if they
brands to evolve at a rapid pace
to a new all-encompassing mobile strategy so the are ready to use emerging technologies like super
over the last decade, with new traveler has everything they need in one place. apps and voice.
tech trends replacing old ones
and some growing in relevance Several of our trends highlight that customers are So, let’s take a look at our compilation of trends that
moving towards self-service options, with 55% of those are ready to be embraced by travel brands in 2020
year on year. As we enter a new surveyed preferring to hear about travel disruption and beyond. Foot3
decade, customer expectations are via digital communications rather than speak with
evolving quickly. a person on the phone2. This is especially important
when it comes to Gen Z, the future business traveler,
and managing their high expectations through
technology.
4
THE SUPER APP
5
THE SUPER APP
Niall Minihan Silicon Valley has always been the West’s
Senior Commercial incubator for the biggest and brightest
Manager
Travelport
technological ideas where scrappy, garage-
based innovators emerge to become tech
giants, whose products and services spread
east. But have the tables now turned as a
new breed of tech giant is emerging from
the East that have the Western incumbents
scrambling to play catch-up? That giant is
called the super app.
6
Super app tech giants give their users a one-stop shop Super apps and travel
to communicate, shop online, book travel, bank, find Travel is an important segment for these super apps.
a date, get food delivery, and pay for anything within
a single, unified smartphone app. What originated in
Grab has recently introduced hotel bookings directly 84%
through its app in partnership with Agoda and
China is now spreading throughout Southeast Asia Booking.com7, and WeChat’s booking service allows
and beyond. Let’s take a look at some of these regional users to book flights, hotels, and rail tickets. Innovative
super app superstars: airlines like KLM have fully integrated their mobile of travel
website into their WeChat account letting users book professionals said
WeChat: The original Chinese super app, which has flights, search their flight status, or check-in all through it was important to
evolved into a quasi-operating system, dominating the Chinese super app. Once a flight is booked, users have a super app 4
messaging and file sharing. It pioneered its use of mini receive reminders on the app when online check-
programs, which are apps within WeChat (currently in opens, can have their boarding pass sent to their
more than 1 million of them). It serves as a portal for its WeChat account, and can contact KLM’s customer
1 billion monthly active users4 to the wider economy, service through the app’s chat interface.
with virtually every major brand having a presence.
For business travelers, this consolidation of travel 81%
Grab: One of Singapore’s and Southeast Asia’s most products and services all under the umbrella of one
successful start-ups with 144 million users5, Grab super app is certainly appealing. The current status
provides every transportation mode imaginable from quo typically involves travelers needing to navigate
taxis to tuk-tuk 3 wheelers, as well as food, grocery and between a myriad of different travel apps (airline, TMC,
package delivery, payments, micro-lending services, OBT, etc.) on their day of travel, all with slightly different
and insurance. of travel brands
nuanced features. In fact, Travelport research found
intend to increase
that business travelers use eight apps on average for
Go-Jek: Go-Jek has a user base of over 25 million their investment in
researching, booking, and managing a trip.1 4
across Indonesia and Southeast Asia and offers over mobile in 2020
20 services6 including digital payments and video For travel brands, delivering a frictionless experience
streaming to supplement its core ride-hailing business. from the beginning to the end of the traveler’s journey
has always been the holy grail. However, with the surge
in popularity of these super apps, travel brands may
need to deliver more of these experiences through the
7
contender for super app status, there are two essential publicized pushback Facebook is getting on its Libra
ingredients a mobile app must have; a very popular payments project could limit the realization of its vision.
underlying service with a large audience of frequent
users, and embedded payments. Amazon is actively pursuing super app status11 in India,
where it offers e-payments, flight bookings, ride-hailing,
Let’s take a look at who is best positioned in the US and food delivery, and more, either directly or through
Europe to achieve this super app status: companies it has acquired. Whether it can make this
work in the West, remains to be seen.
Google Maps is becoming a utility many Westerners
can’t do without, with users reflexively reaching for it to
do local searches, get directions, find attractions, and
Will Westerners even want/need a super app?
make restaurant reservations all from one app. With the With super apps reaching hyperscale in Asia, it’s still
recently added travel features including flights, hotels, debatable whether Western consumers are looking
vacation packages, and trip-planning tools, Google is for a similar do-it-all app—especially when there is a
aiming to be the all-in-one place where users go to backlash against big tech in some quarters on privacy
explore, plan, and share travel destinations with people. concerns. Large consolidated ecosystems tend to
Despite a few obvious holes, such as peer-to-peer hamper competition and innovation, making it difficult
messaging and payment options, Google Maps is well for competitors to stay in the game.
positioned to become a super app.
Like it or not, Asia is shaping the future of the mobile
Uber has been explicit in its goal of becoming a super internet for consumers everywhere, and Western tech
app with its CEO, Dara Khosrowshahi, saying in a giants are trying to play catch-up. Travel brands that
recent interview, “We want Uber to be the operating have already embraced this trend in Asia have done
system for your everyday life”8. With the core business well—just look at KLM’s success in China with WeChat.
coming under threat from regulatory burdens as well
as posting unsustainable losses, Uber is looking to Will this Eastern trend of digital convergence make
expand its offerings beyond just ride-hailing. This new its way West and how will travel brands position
strategy will allow users to access transport, groceries, themselves accordingly to take full advantage?
hot meals, banking, and more within a single app. Will there be one winner in the race to become the
ubiquitous, all-encompassing super app? Watch this
Facebook laid out a vision in 20199 to develop space in 2020!
“businesses, payments, commerce, and ultimately
a platform for many other kinds of private services”
within Facebook Messenger, WhatsApp, and Instagram.
LIKE IT OR NOT, ASIA IS SHAPING THE
With 2.6 billion users10 across its three platforms,
Facebook couldn’t be better positioned to become FUTURE OF THE MOBILE INTERNET
the West’s first super app but currently lacks the FOR CONSUMERS EVERYWHERE,
key ingredient of embedded payments. The much- AND WESTERN TECH GIANTS ARE
TRYING TO PLAY CATCH-UP.
8
VIEW FROM
THE BIG TMCS
– BCD TRAVEL
9
VIEW FROM THE BIG TMCS
– BCD TRAVEL
10
travelers. As a frame of reference, 52.2% of all website with their travel program through a connection to
traffic worldwide was generated through mobile DecisionSource, our proprietary data intelligence and
phones in 2018—and that increases to 63% in the U.S.12 insight platform.
90%
While it’s important to build for an always-on-the-go Connected services: Our TripSource platform has
traveler via a mobile-optimized website, our TripSource evolved beyond just a web and mobile app to be
native app also drives higher engagement through the accessible on voice platforms including Alexa and
following: Google. This platform and other connected services TripSource app
through TripSource allow us to create a personal retention rate
Ease of use: Native development allows us to drive experience leveraging traveler profile data and
an intuitive and engaging user experience in ways corporate travel policy. In addition, AI and other
that a browser-based product cannot. BCD Travel smart-learning technologies can help drive the desired
engineered a massive redesign and rearchitecture client behaviors and influence spending decisions
of TripSource in 2019. We listen and understand on the road. Smart messages can be delivered at
that our travelers are more likely to use an app—and the right point in a traveler’s journey based on a set
return to an app—that’s easy, elegant and gives them
quick access to what they need. Our TripSource
of predefined rules and criteria such as departure
airports, hotel chains or high-risk cities. $27.1
BILLION
native app is the highest rated, most reviewed TMC
app in the Apple App store and has a 90% retention Identity and payment information: BCD Travel
rate. We believe this has everything to do with the has invested in SAP’s customer data cloud to drive
user experience and the way we serve our travelers our next-generation traveler identity. Authentication BCD Travel sales in 2018
through this channel. of payment and ensuring our traveler’s identity and
travel data is secure, continues to grow as a top
Duty of care: In our business, mobile is instrumental client concern. Identity combined with payment
to providing duty of care for our travelers. We can innovation—the idea that we must be able to offer
reach them with location-based risk alerts and almost everything, everywhere, at the right time, to the
emergency response ‘check-in’ during a crisis. It right person, that’s paid for in a variety of ways, is now
wasn’t that long ago that the industry relied on available in TripSource.
email or a phone call to reach travelers in a crisis.
Through TripSource, travelers can instantly connect
Next generation point of sale and service
In addition to messaging at the point of sale and 52%
secure payment, it is also important for BCD Travel to
OUR STRATEGY AT BCD TRAVEL optimize content inside the online booking tools. This
IS TO PROVIDE ANYTIME ACCESS is true for the booking tools we build and those our
of all website traffic
clients require us to support. As such, we’re adopting
TO TRIP INFORMATION AND TOOLS, the strategy of offline retailers in our owned digital
worldwide generated
FROM ANY CONNECTED DEVICE. through mobile
spaces. When a brick and mortar store puts a product
phones in 201813
right next to the cash register, they’re making it easier
11
for a customer to make the decision to purchase. The TRAVELERS WANT TO KNOW DETAILS
same principal applies for our corporate OBTs; don’t OF THEIR CLASS OF SERVICE FOR
make your travelers scroll through pages of content to
THEIR FLIGHT OR THE STAR-RATING OF
find the best option for their air travel or hotel, instead
optimize the content so that your preferred suppliers THE HOTEL RESTAURANT, WE CAN NO
come to the top of the list. LONGER FOCUS SOLELY ON PRICE AND
COMPLIANCE.
And to continue with that analogy if you were a
shopper in a retail store, you wouldn’t just make that
easy purchase based on price alone. As a consumer,
you would study the packaging and explore the
features of the product before you buy. The same
principals apply to business travel. Travelers want to
know details of their class of service for their flight
or the star-rating of the hotel restaurant. In other
words, we can no longer focus solely on price and
compliance.
12
THE RISE OF
THE MACHINE(S)
13
THE RISE OF THE MACHINE(S)
Mike Wake Our needs as customers are becoming
VP – Technology more sophisticated. We now want
Travelport
technology to anticipate our needs
and not wait to be asked. This is where
machine learning comes in.
14
• Your hotel reservations are moved to Frankfurt making decisions based on the patterns it identifies
based on a previous stay with minimal human intervention.
• The app suggests the hotel bistro for dinner based Like Amazon or YouTube can predict the content
38%
on your search history you are most likely to engage with, a corporate travel
booking solution combined with machine learning
• Your preferred form of local transit is already would be able to predict options for travelers that they of travel brands
booked for 8am the next morning based on are more likely to book. It learns from each search, intend on investing
previous bookings. showing the customer the most relevant results, all while in machine learning
remaining in-policy by balancing cost with particular & AI In 2020 4
You head toward your new gate for this unexpected search variables such as location and flight times.
leg of your trip safe in the knowledge you would have
booked the same things if you needed to. But the Travel brands such as TripActions have used this
machine did it for you. technology to display the most relevant flights, transport,
and accommodation that their travelers are most
likely to book, cutting the booking time down from an
Smart predictions industry average of 60 minutes to just 6 minutes14.
Artificial Intelligence (AI) is an attempt to replicate our 60 6
uniquely human ability to “think” via technology that min min
learns. AI-powered computer systems can perform Smart support
tasks that normally require human intelligence, such Support is another critical role expected of corporate
as speech recognition, visual perception, and more. travel managers that can be dramatically improved
Machine learning is a subset of AI through which by machine learning. By analyzing data, an intelligent USING AI
machines are programmed to independently analyze solution can see how much a customer travels and if
huge amounts of data, looking for patterns, and then that customer needs extra assistance with the booking. Can cut average
booking time from
For example, if a traveler searches twice or more before 60 min to 6 min 15
a trip that is a few weeks away, platforms like TripActions
FROM HELPING TRAVELERS SAVE can tell this traveler is 95% less likely to book during
TIME BY SIMPLIFYING SEARCH these sessions15. This identifies that the traveler needs a
TO HELPING BUSINESSES SAVE more proactive approach, and here is where machine
MONEY WITH MORE EFFECTIVE learning can trigger human support to offer extra help.
12 taps—typical manual search
POLICY PARAMETERS, MACHINE query, but with Speak now it’s
This is also true for when the traveler is in-trip.
LEARNING IS REVOLUTIONIZING Awareness of delays, cancellations and general
disruptions as soon as they occur can also be
COMPLETED IN
WHAT IT MEANS TO BOOK AND
SECONDS
automated with machine learning. Programs can
MANAGE TRAVEL.
immediately begin searching for and rebooking
alternative options and bringing in support such as
15
live chat, so the traveler doesn’t feel abandoned whilst TMC app < There seems to be a number of flights
on a business trip. arriving on Tuesday morning, would you
like to look at them?
Smart conversations Traveler > No, we’d prefer afternoon
Historically, the way we speak has always been a
massive barrier when it comes to Machine Learning. TMC app < I have 3 options for you—they’re all in
Natural Language Processing (NLP) entails teaching policy, under $2000; the hotel is company
computers to understand the nuances of human approved and the flights are economy
language and speech16. When it comes to Machine
Learning, NLP can assist travel brands by proactively Traveler > Great, can you book a flight that arrives
recognizing each traveler, understanding their unique around 3pm
needs and preferences and then recommending the
best flights, hotels, car rental or train journey. Each TMC app < That is now booked for you. Confirmation
recommendation dynamically ranks and displays the details will be emailed to you
most relevant searches for each unique traveler.
Traveler > Thanks, we also need to book dinner for
NLP enables your travel brand to add the appearance the Wednesday night
of a human touch to the traveler experience, helping
smash the glass ceiling of rules-based personalization. TMC app < I’ve reserved a French restaurant near
your hotel for 8pm. John likes French
Smart speak food too so this will be perfect
One great example of this in action is the voice search
functionality on the easyJet app. Dubbed “Speak Now,” Smart business travel
the tool has been created using Google Cloud’s natural Booking business travel is an occupational hazard
language understanding tool known as Dialogflow17. for some. Travelers simply want to find and book
A typical manual search query takes 12 taps, but with the trip that’s best suited to them while remaining in
Speak Now, it can be completed in seconds. For now, MACHINE LEARNING AND OTHER
policy, arrive at their destination without issue, and
this voice tool is only for flight search, with booking feel supported at every step of the way. Unfortunately, INTELLIGENT TECHNOLOGIES
completed manually. But as this technology matures some legacy business travel systems cannot make ARE USHERING IN A NEW AGE
you can imagine a conversation with a TMC app in the these basic wishes a reality.
future being a full conversation like this one:
FOR BUSINESS TRAVEL, ONE
But machine learning and other intelligent
THAT’S ABLE TO PRESENT
Traveler> I have a client meeting in New York next week technologies are ushering in a new age for business HIGHLY PERSONALIZED RESULTS
travel, one that’s able to present highly personalized WHILST TAKING ORGANIZATIONAL
TMC app < Are you going with John? results while also taking the organization’s policies, POLICIES AND TRAVELER'S
previous trip history, cost, and the traveler's
Traveler > Yes, and we need to arrive the day before preferences into account. PREFERENCES INTO ACCOUNT.
ACCOUNT.
the meeting to prep
16
BUSINESS
TRAVEL ROI
– THE DATA REVOLUTION
17
BUSINESS TRAVEL ROI
– THE DATA REVOLUTION
18
Today, the majority of travel brands are still gathering all forms of data. From traveler patterns and predictive
data from internal sources, which are of a limited
quantity, and of relatively modest size. However, we
analytics through to financial analysis and everything
in between.
52%
know these data sources are not limited to traditional
internal channels. Think about when a traveler is
planning a trip; a number of travel or social media apps
Personalization
of travel
are used for research, booking is done either through a Big data can help travel brands get into the mindset of
professionals
TMC or travel agency, an OTA, or direct with a vendor the traveler. Everybody has their own set of wants and
intend to invest in
such as the airline or hotel. When at destination travelers needs and when they travel this is no different. One
big data in 2020 4
look up local amenities, traffic or weather, and finally employee may prefer to stay in a hotel at the airport,
post trip experiences are shared with family and friends. the other stay right in the city centre. This analysis
can help companies present a number of options that
best suit their employees' needs, all the while ensuring
175
By processing social media data such as tweets,
reviews, and Facebook messages, it will be possible to that they are staying in policy and mitigating against
get a fuller picture in advance about which destination unmanaged travel.
is on-trend. In other words, what is the new travel
experience people are looking for? Predictive TRILLION
GB
Travel managers can see a wealth of data when
As we mentioned above even a simple booking
it comes to the traveler’s historical choices. From
process with a single user will generate a vast amount
preferred airlines, hotels, destinations, and more they
of data from at least 10 different data sources. Most
companies are failing to leverage these data points to
can determine where budget can be managed and Expected in the global
make travel experiences more personalized. They need
controlled easily. They can then predict any impact that datasphere by 2025 19
future corporate travel policies could have.
to focus on using more external data from disparate
sources and in varied formats.
Spend
The trend for travel brands in 2020 will be to switch Analyzing corporate credit card data by reviewing
from traditional statistic-based reporting solutions to which companies the money is being spent with, and
more advanced analytics solutions that can process by whom, leads to discovering where discounts can be
made, making reporting and budgeting easier. Using
the data in this way can change how the organization
THE KEY FACTOR IN WINNING sees travel. From an unmanageable cost to a tracked
AND RETAINING CUSTOMERS IS KPI by comparing the return on investment for
revenue growth. Furthermore, business managers can
ALL FORMS OF DATA
PROVIDING THEM WITH GREATER delve into this data to justify their department's travel Travel brands need
PERSONALIZATION THAN EVER spend with transparency, enable them to eradicate solutions that can process
BEFORE. unnecessary costs, and give them the opportunity to travel patterns, predictive
identify costs that are delivering meaningful ROI. analytics, financial analysis,
and everything in between
19
Sustainable data lake
Increasingly large and complex data volumes requires
a sustainable architecture to manage the new data
scale. Traditionally, companies use a ‘general enterprise
data lake’ approach, which dumps data from a variety
of sources into a single place, with inconsistent data
schema and formats. This approach limits business
managers’ ability to extract the key data insights. It’s
also not a cost-effective way to store such a large
volume of data in the long term.
Keeping up in 2020
In summary, the use of data in business travel can be
hugely beneficial for an organization at large. It can
help create a universal view of travel and can inform
travel KPIs across business departments, from sales
and marketing to HR and finance, to interpret the travel
program as a whole and the value it provides.
20
NOW WE’RE
TALKING
BUSINESS
21
NOW WE’RE TALKING
BUSINESS
Glenville Morris Like night follows day, the mobile world
Head of Consulting
of corporate travel inevitably (and
and Digital Insights
Travelport eventually) imitates what is happening
in consumer travel. Driven by an
expectation from the modern business
traveler that the same ease of use, UI, and
ultimately the functionality that they’ve
come to expect from consumer apps
should also be available in their business
life has seen mobile innovation become
the mobile everyday in the last few years.
22
From missteps to machine learning year in corporate travel. Early signs of this personalized
Admittedly the use cases of voice technology in shift are already appearing across voice channels.
business travel so far have firmly landed in the ‘not
Google has been showing off Duplex on the web,20
25%
much benefit’ category. Premature missteps from
corporate brands excitedly using platforms like Alexa booking a rental car by a user simply saying ‘book a
for Business or Actions on Google quite rightly made car for my next trip’ (knowing who you are, when and
many in the industry dismiss voice as limited and where your next trip is, and what type of car you’ll of employee
gimmicky19. need as you’re traveling with four work colleagues), interactions with
and brands like Kayak and Air Canada are talking applications will be
The chatbots and text-to-speech virtual assistants up the next generation of their skills that will allow via voice by 2023 22
we’ve seen in business travel apps over the past few travelers to say ‘has my upgrade cleared yet’?
years have really been no more than just fancy fronts
for an FAQ database handling simple queries like TMC giant BCD Travel, has added the ability to assign
‘which terminal does my flight leave from’ or ‘what ‘nicknames’ to traveler profiles for voice systems,
time is checkout at this hotel’. We predict that the allowing for example a TripSource user's child to ask
'when does mom’s flight arrive', with platforms like
machine learned interfaces of 2020 and beyond are
going to be unrecognizable compared to those early Alexa recognising who ‘mom’ is. 44%
efforts because they will leverage themes that run
deep throughout all of our mobile trends this year: Combine this with advances in NLP from the likes
personalization and AI. of Serko Travel, where frustration or confusion vocal
cues can be picked up in your voice immediately
transferring you to a human agent to resolve the issue, of travelers have
From A to Me, the future of personalization and we could finally see the rule book for corporate used voice assistants
Rich profiles, trip pattern analyzing, and even travel innovation being led by the consumer world to help while
automated recommendations from other travelers first, being ripped up. traveling 1
like ‘you’ in your business are going to be the great
personalization enabler of where voice heads next Now, the ability to book complex multi-city, multi-airline
trips with hotels that stay in company travel policy,
or the rebooking of a last-minute flight cancellation
that effect an execs meeting are still a few years away
THE FUTURE OF VOICE HAS A CLEAR
LINK TO PERSONALIZATION AND
from just being handled by speech. However, what
we will see in 2020 is a move away from those simple
55%
SEAMLESSNESS BETWEEN DEVICES question/answer experiments to more servicing-based
AS USERS START TO EXPECT A requests powered by those themes I mentioned a
moment ago. Foot20 of travel brands are
MORE NATURAL INTERACTION.
not investing in voice
Finnbar Cornwall, Industry Head of Travel A wake-up call for business travel at all 4
at Google, April 2019 21 Next year it’s time for the corporate travel world to think
less about flight status questions and more 'can you
23
book a table tonight at my favourite French restaurant
in Boston, and then I want to take the client to that play
that everyone recommends'. Add in a simple, 'expense
tonight’s receipts' spoken request in the Lyft on the way
home and then we’ll really be talking business.
24
REIMAGINING
THE BUSINESS
TRAVEL
EXPERIENCE
25
REIMAGINING THE BUSINESS
TRAVEL EXPERIENCE
Julie O’Sullivan Now, more than ever we are seeing an
Head of Digital –
acceleration in the expectations of the
Business Travel
Travelport business traveler. Business travelers
need a consumer-like experience.
There is increasing value in agencies
thinking more like retail giants such as
Amazon, known for their exceptional
user experience, rather than competitor
online travel agencies. It’s time to
reimagine the business travel experience.
26
Once on their way, travel managers need to stay the expectations of the business traveler, that vision
connected with their travelers through the device must include future-proofing of the solution as much
in the palm of their hands. One way to do this is as possible. 45%
with smart messaging, which must be meaningful
and helpful. Ultimately the only way to increase and Providing a next-generation intuitive and frictionless
maintain TMC tool adoption is by providing world-class traveler experience is a very complex undertaking.
user experience, content, and service. Service providers, suppliers, and TMCs need to of travelers get frustrated
address the real-world problems experienced by when they are unable
travelers, surface personalized, relevant content, and to access their booking
Control in the palm of your hand design an interface that travelers love. All of this must information round-the-
Today’s travelers want an experience that is as easy be underpinned by technology that will scale and clock on mobile devices 1
and engaging as the best retailers, products, and allow you to deliver value early and often. It will be a
services in the world. Travelport’s global digital traveler mammoth effort but the payback will be worth it.
research showed that 45% of travelers get frustrated
when they are unable to access their booking
information round-the-clock on mobile devices. This is TripSource 2.0
up 9% on 2018.1 BCD Travel is a great example of a travel brand that,
while enjoying immense success, decided to undergo
End-to-end traveler self-service functionality is now the an intense re-imagining of the digital business travel
‘north star’ of the biggest travel brands. Because we experience. Despite being one of the highest-rated
live in a mobile, ‘always-on’ culture, the ability to self- global TMC apps, and live in app stores for five 68%
serve is what travelers want and expect. At the same years, BCD wanted to be able to move faster. It was
time, we must recognize that there are times when the a daunting prospect. Rebuilt from the ground up, the
traveler will need to reach out to a human agent and next generation of its TripSource app went live in July
it’s about providing the ability to do that in one tap. 2019. of business travelers book
over half their trips using
An important precursor to any strategic roadmap is Heading back to the drawing board, BCD Travel had non-approved channels 25
the ability to paint a clear picture of a vision for the a grand vision for a world-class traveler experience.
digital traveler experience. Given the acceleration in In partnership with Travelport, the team conducted
extensive interviews and usability testing with business
travelers, investigating their habits, thought processes,
and ultimately their needs. It made sense to check
back in with real people to understand the business
END-TO-END TRAVELER SELF- travel pain points they encountered. The team distilled
SERVICE FUNCTIONALITY IS a series of insights that allowed BCD Travel to look at
BUSINESS TRAVELERS NEED A
NOW THE ‘NORTH STAR’ OF THE
BIGGEST TRAVEL BRANDS.
TripSource in a completely different way. Foot24
CONSUMER-LIKE
EXPERIENCE
The newly redesigned app is aimed at making the
travelers’ experience more immersive and informative
27
at every step of their journey. This is achieved by The biggest challenge for TMCs and travel agencies
marrying self-service functionality with a steady feed for 2020 and beyond will be the travel experience
of timely information. The traveler can ‘search, book rather than just the journey. We know that travelers are
and go’ within minutes. They will be informed in real- never too far away from a connected device. The how,
time of any changes to their existing travel plans with when, and where TMCs and agencies communicate
in-line notifications and timeline messages guiding with their travelers will become a key differentiator.
them at every step of their journey. If they need to,
users can connect with their agent or cancel their trip It’s time to reimagine the business travel experience,
with one tap of a button, anywhere in the world. BCD already has, don’t let 2020 be the year your
agency falls even further behind.
BCD Travel didn’t just redesign the entire experience,
it re-platformed the technology to make room for
cutting edge technology and to facilitate future scaling.
This allowed it to bring new features, faster and more
frequently to the user. In partnership with Travelport,
TripSource was re-built in React Native. This allowed
the development team to adapt and change quickly
throughout the development lifecycle to deliver a
world-class travel experience. BCD put user experience
at the heart of this re-imagining of TripSource and is
extremely well placed to support further innovation
and scaling.
28
THE 4TH
INDUSTRIAL
REVOLUTION
29
THE 4TH INDUSTRIAL
REVOLUTION
Sharon Doyle Those of us involved in travel and
Global VP Product
technology are dealing with change at a
Management
Travelport frenzied pace. However, if we look back, we
can see waves of change that have gone
before, where new technology has combined
with social and economic changes, resulting
in transformational steps. In the travel
industry, these waves created opportunities
to those who could adapt.
30
computers. The biggest leap forward in this period we are seeing a blurring of lines between the physical,
was in the 1990s when the IBM 390 mainframes were digital, and biological worlds where the experience
introduced, initiating major enterprise transaction becomes everything.
processing environments and databases. 43%
From a pure technology view, digital is still being
From here on in the pace of change really starts to driven through the first five forces: from mobile and
speed up, and in 1995 there is a shift to the third age, the internet of things, and how they are interacting
the e-enabled era. This age is defined by the growth with the world around us, through to artificial of travel professionals
of the world wide web, which created the online travel intelligence (AI) and big data. In fact these all interact feel mobile can help
agents we know today. And it was in 2007, with the with each other, with AI taking big data so that it traveler engagement
launch of the first iPhone, where Steve Jobs promised can learn and deliver better mobile and device & retention in 2020 4
to ‘change everything’, that we began to see airlines experiences, with these all happening through the
and travel agencies respond with the first travel apps. unlimited computing power of the fifth force which is
cloud. Putting this all together we can do things we
never did before.
The digital era
In 2016 we moved up a gear into a digitally immersive
era, the fourth age. The World Economic Forum
declared that this age is ‘affecting the very essence of
The next five years
So what is coming down the line? $1.7
TRILLION
our human experience and transforming the business
models of each and every industry’25. We are already seeing companies offer ways of
discovering and experiencing travel through virtual
Each of these revolutions has required businesses to and augmented reality. A recent global traveler survey The amount business travel
overcome challenges and master new technologies; conducted by Travelport found that 61% of travelers spend is set to reach
and this digital era will be defined by hardware and believe that VR and AR experiences would help them by 2023 27
software and how to master it. Technology in this era plan their trips better.1
is evoking a human connection more than ever, and
With the emergence of 5G, travel brands will be able
to create more immersive digital experiences with
friends and families. Furthermore, blockchain is likely
THE 4TH AGE IS AFFECTING THE to redefine the nature of business itself. This will see
VERY ESSENCE OF OUR HUMAN contracts and payments become digital, secured in
ways that takes much of the manual checking, cost,
61%
EXPERIENCE AND TRANSFORMING
and risk out of processing travel transactions. F26
THE BUSINESS MODELS OF EACH
AND EVERY INDUSTRY.
Smarter generations. Smarter devices of travelers think AR
The World Economic Forum, 2016 26
Social change will have a huge impact on all and VR experiences
businesses; issues from climate change to population would help plan trips
better 1
31
growth, emerging middle classes, the aging population, experience are high. Our role is to deliver these
and the changing views of Gen Z to name a few. But experiences to them. Are you ready for this fourth age?
it is where technology and social change intersect
that the magic of this will really take flight; from smart
homes, to smart cities and of course the automation
of everything. These are changing how we experience
our world today; and for us in technology, meeting
these challenges head on is essential and provides us
with opportunities to redefine the travel business.
32
IS YOUR TMC
READY FOR
GEN Z?
33
IS YOUR TMC READY FOR
GEN Z?
Aisling White Travel brands who think that having
Senior Marketing Manager
a sizeable Instagram following, a
Travelport
YouTube channel, and a mobile app
prepares them for Gen Z need to think
again. Because the next generation of
travelers are about to change the game
once more for what innovation means in
business travel.
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Considering Gen Z is tipped to account for 40% of of automation by anticipatory and predictive Artificial
all consumers in 202027, now is the time to truly Intelligence programs. TMCs and travel agencies such
assess how ready your travel brand is for this growing as HRS are analyzing past itinerary behaviors across
demographic. travelers within a company, as well as from companies 95%
in the same vertical or geographic region. Martin
Biermann, Chief Product Officer, says it can better
Get on their communication frequency predict what accommodation a traveler will prefer29.
The average attention span of young people in 2000 of travel brands say Gen Z
was 12 seconds. Now it’s only 8 seconds28. Relevant and As the capabilities of AI are fine-tuned and more travelers expects more
personal messages are key to grabbing and keeping broadly adopted, companies will be able to eliminate technological advances
their attention. Cut the long introductions and get to the the reliance on pre-booking and the potential from their organization 4
point. Sending a notification about a delayed flight to complications of last-minute changes, expenses, and
London? Try this message: “Flight to LDN 2hrs delayed.” re-bookings. Ultimately saving the organization costs
and reducing the manual intervention of policy
Gone are the days of blanket messaging and bookings. compliance monitoring by automating previously
Gen Z have grown up in the age of data collection manual tasks. And as these systems become smarter,
and they expect TMCs and travel agencies to use automation will be enabled even earlier in the booking
this data to deliver exactly what they want in their
communications. Using data to tailor content to fit
process meaning everything will be done for the Gen 65%
Z traveler via predictive analytics, rich personas,
their preferences will show your Gen Z consumers preferences, and anticipatory AI.
your travel brand views them as an individual and
cares about what each one wants. 29 of Gen Z say they value
Instamessage
real-time alerts throughout
Instant messaging will relegate phone calls, text their journey 1
Anticipatory and predictive AI messages, and emails to secondary importance in
Personalized messaging is as important as ever to the the eyes of the new generation. This will determine
newest generation with 68% of those surveyed saying how travel brands manage transactions and customer
they value real-time alerts throughout their journey.1 service. They want everything now and so are hot on
These real-time alerts can be made easier with the help fast response times, especially when problem solving,
with 31% of Gen Z surveyed saying that they would
prefer to hear about travel disruptions via social media. 1
CONSIDERING GEN Z IS TIPPED
TO ACCOUNT FOR 40% OF ALL TMCs and travel agencies will have to be proactive
31%
CONSUMERS IN 2020, NOW IS
28
in keeping travelers informed 24/7 using live mobile
chat, chat bots, and messaging via social channels.
THE TIME TO TRULY ASSESS HOW When it comes to complex questions about a trip or
READY YOUR TRAVEL BRAND IS of Gen Z say that they
an issue, your travel brand can score points by helping
want to hear about travel
FOR THIS GROWING DEMOGRAPHIC. them as soon as possible whether it’s via Facebook,
disruptions on social media 1
Instagram, Snapchat, or WhatsApp.
35
Multi-device, mobile technology, communications,
and personalization are the key to building successful
relationships with the newest business traveler. We live
in an ever-evolving digital world in travel technology
and soon Gen Z will be at the forefront of these
changes. Don’t get left behind.
36
Behavioral
trends
We investigated what travelers use mobile and apps Q. Have you booked and paid for a trip using a
With our 2020 mobile travel trends for, how often they use them and explored if they were mobile device?
revealed, how does customer ready or expected to use technology including end-to-
end booking platforms, social media messaging, and
behavior align to our predictions? voice search.
37
Q. Which statement about downloading travel apps Q. How often do you use travel apps? Ancillaries are essential for revenue growth
in the last year best applies to you?
Ancillaries are critical for travel brands to increase
revenue potential. In an increasingly crowded travel
landscape, competition is coming from multiple
47% sides when it comes to business travel—online travel
13% agencies, suppliers, even super apps. To reduce
leakage, TMCs and travel agencies need to look at
25% their mobile experience. In fact in 2016 alone, travel
agencies lost approximately $468bn in potential
53% 19% revenue from leakage30, with 68% of business travelers
booking more than half their corporate trips outside of
34%
24% 11% the approved corporate booking tool.25
38
Q. Which of the following apps do you use on your Q. What features would you rate ‘very important’
mobile for booking and researching business travel? in your favourite travel apps?
57%
56%
55%
39%
37%
24%
57% OTA
56% Flight/price comparison site
55% Airline
39% Hotel
37% Accommodation
24% Itinerary management tool
47% 44% 43% 41% 40% 39% 39% 37% 36% 35% 35% 34% 32% 32% 30%
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Push your engagement potential Q. Which travel push notifications are very Q. How do you prefer finding out about any
important to you? disruption to your trip?
The power of push notifications is clear with 55% of
travelers having push notifications activated on their
travel apps.
However, while push notifications still have their part 61% 55%
to play, travel brands need to look at every touchpoint
through which they can engage their customers.
They now expect to be communicated to through
53% 45%
whichever channel they choose, primarily preferring
apps and messaging platforms. This is especially true 51% 40%
during times of disruption. Email, push, and text ranked
highest for preferred channels travelers want to be 49% 31%
communicated to both pre-trip and on the day of travel.
44% 28%
44% 27%
43% 25%
42% 22%
18%
2%
61% Trip status 55% Email communication
53% Price change of a flight you are looking at 45% Screens at airport
51% Reminder of a booking/purchase in 40% Push notification on mobile app
progress 31% Chat via text
49% New trip/flight discount, offer, or sale 28% Chat on mobile app
44% New product or service available 27% Call company directly
44% Loyalty points update 25% Social media
43% Upgrade to the app itself 22% Chat on mobile site
42% Recommendations of a product/service 18% Chat on desktop
2% Other
40
Embrace social media and personalization Q. Which of the following activities do you use the Q. Which of the following social media platforms
We’re becoming a generation of autonomous travelers social media platforms for? do you find most influential when researching
who plan, book, and manage our travel all on a single and booking travel?
device, who find trip inspiration using a single photo
on Instagram. Our research found that 33% of travelers
used social media to book a trip. The emerging trends 4%
that will shape our industry over the next year will open 70%
new ways of improving the travel experience, with
mobile facilitating a more joined-up, frictionless journey. 12%
While travel brands must continue to understand 33% 63%
and embrace new mobile technologies, the data that
9%
sits behind them will be just as important in 2020. 24%
Personalization will be key for brands to truly engage 4%
with customers on channels like social, mobile web,
apps, and messaging platforms. This will be the way to 4%
create loyal customers of the future.
3%
63% Just to research a trip
33% To research and then book a trip 70% Facebook
4% Neither of these 12% Twitter
9% Instagram
4% Snapchat
4% None of these
3% Other
41
Voice is vital for the future of travel Q. Which of the following activities did use voice Q. Which of the following activities would you
With chat and voice making waves on mobile, assistant for? consider using voice assistant for?
investment in these areas is going to be essential to
drive traveler engagement. Voice-powered technology
is gaining real traction with 47% of travelers finding
voice useful.
60% 40%
Travelers also expect to ‘chat’ with their travel brand at
all stages throughout their trip. Messaging capabilities 54% 40%
and voice commands are no longer ‘nice to have’ —
they’re expected. What’s more, chat isn’t just limited to 54% 36%
questions or queries, 60% of travelers have used a chat
platform to check the weather in their destination and 49% 32%
54% on how to get from hotel to airport.
42% 30%
Q. Have you ever used a voice assistant eg Siri, Alexa,
Google Assistant to help you while travelling?
18%
1% 60%
54%
To check the weather in your destination
The traffic situation to the airport
40%
40%
To check the weather in your destination
None
54% How to get from hotel to airport 36% The status of my flight
49% The status of my flight 32% The traffic situation to the airport
42% To check you in 30% How to get from hotel to airport
18% To check you in
44% 55%
24%
55% No
44% Yes
1% Don’t know
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Conclusion
However, those opportunities have generated a lot Q. What is the biggest challenge you feel mobile
Mobile has become the one item of competition in the market, with disruption on the could help your organization address in 2020?
travelers won’t leave home without, horizon from super apps. Travel agencies need to look
at how they can adopt technologies like voice, machine
and a good mobile experience learning, and predictive analytics to appeal to modern
has become a central element on business and leisure travelers. And as Gen Z come of
43%
which they are now judging your age, these trends need to become a core priority in
your future planning to appeal to the generation that 17%
brand. As we move into 2020,
was born into a digital world.
new technologies will give travel 13%
brands more opportunities than Clunky booking tools and complex user experiences
ever before to engage with their of the past are not going to cut it with 2020’s travelers. 9%
Now is the time to start using mobile technology to
customers on-the-go.
simplify your customers’ experiences and truly show 8%
them your agency’s value. We hope this report has
been helpful in guiding you on this journey.
6%
There is so much potential on the horizon for 2020.
Many of the trends we have presented can be 4%
embraced now as part of your mobile strategy, so that
you remain ahead of the pack and start reaping the
rewards. 43% Improving traveler engagement & retention
17% More direct sales
13% Acquiring new customers
9% Building brand awareness
8% Disruption/IROPS
6% Customer support
4% Reducing operational costs
43
Q. Which of the following accurately reflects your Q. In 2020, what areas of mobile do you intend to Q. What mobile goals are important to your
mobile strategy for 2020? invest in? organization?
52%
6%4% 69%
45% 68%
15%
43% 39% 63%
38% 58%
32%
25% 44%
44%
39%
43% We plan to invest in more than just apps
32% We have an app and want to enhance
52% Big data
33%
what we have
15% We don’t have an app and want to invest in one
45%
A full end-to-end travel management
solution
32%
6% We don’t have an app and mobile isn’t part of
39% New traveler communication channels
our strategy
38% Machine learning & AI
4% We have an app but want to replace it 69% Revenue generation
25% Voice
68% Delivering an end-to-end travel
management solution
63% Customer service
58% Customer engagement & acquisition
44% Enabling travelers to self-serve
44% Digital innovation
39% Being where the customer is
33% Owning the traveler relationship
32% Cost savings/operational benefits/
policy compliance
44
Contributors
Niall is a Senior Manager in Travelport Will Pinnell currently serves as the Mike Wake leads the Technology Sijia has over 7 years’ experience
where he is a commercial owner in VP, Digital & Product Strategy at Optimization & Travel Intelligence in the data industry working
our professional services business BCD Travel where he is responsible teams at Travelport. His focus for companies such as Aon and
for our global TMC, OTA, and for the global strategy and is helping customers get the P&G, leading multiple accounts
corporate accounts. In addition to development of BCD’s traveler maximum business values from the on data initiatives, working
this, he also leads initiatives to help and agent products. He previously most complex areas of the travel with both internal and external
develop new opportunities and served as the Director of Mobile industry—namely search, data, senior stakeholders, designing,
revenue streams for the business. Strategy & Traveler Solutions for pricing, API technologies, and new implementing, and demonstrating
Sabre and was an early founder capabilities for business growth. analytics platforms. She is also a
He has over 8 years’ experience of Handango, the world’s first Mike and his team have published writer with three academic
in mobile, and prior to joining smartphone app store and established direct tech papers (one in English) as well as a
Travelport he had his own digital leading independent publisher relationships with some of the large number of short novels and
agency working with start-ups and of smartphone applications. Will biggest names in the industry. After newspaper articles. At Travelport,
emerging brands to create digital presently serves on the board of starting his career in the travel Sijia is responsible for helping
products with a focus on mobile. directors for GBTA, the GBTA Allied industry with United Airlines, Mike’s our customers understand their
Leadership Council, and on the 16 years at Travelport includes customers’ behaviour from their
Ladders leadership board for GBTA. positions in Product Management, mobile products.
Operations and Agency Sales.
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Contributors
46
Sources
1 Win Travel, GBTA Review: Global Travel Forecast 2020, 2019 2 PWC, Artificial Intelligence Study, 2017 3 Travelport, Mobile Travel Trends Survey, 2019
4 Nasdaq, Tencent’s WeChat, Evolves Into a Virtual Assistant, 2019 5 Skift, Google Maps Is Ready to Transform the World of Superapps: A Skift Deep Dive, 2019 6 Gojek Welcoming a Fresh Start,
2019 7 PhocusWire, Booking.com app integrates ride-hailing services via Grab, 2019 8 The Verge, Inside Uber’s Plan to Take Over City Life With CEO Dara Khosrowshahi, 2019 9 Facebook, A
Privacy-Focused Vision for Social Networking, 2019 10 New York Times, Zuckerberg Plans to Integrate WhatsApp, Instagram and Facebook Messenger, 2019 11 Entrackr, Amazon jumping on
Super App bandwagon: Why are e-comm and payments apps hung up on it? 2019 12 Statista, Global Mobile Phone Website Traffic Share, 2018 13 Egencia, Personalizing Business Travel with
machine Learning, 2019 14 TripActions, How Machine Learning Benefits Corporate Travel, 2019 15 TripActions, How Machine Learning is Improving Corporate Travel, 2019 16 Adriel Lubarsky,
Natural Language Processing is Revolutionizing Travel and Business, 2017 17 Google Cloud, easyJet: Transforming how customers search for flights with the help of Google Cloud, 2019
18
19 Seagate, The Digitization of the World from Edge to Core, 2018 Finnbar Cornwall, Concur and Amazon Alexa Demo (YouTube), 2017 20 TTG, Voice-Based Travel Search on the Rise, Says
Google, 2019 21 Gartner, Gartner Predicts 25 Percent of Digital Workers Will Use Virtual Employee Assistants Daily by 2021, 2019 22 Newsweek, Why the Web won’t be Nirvana, 2019
23 The Verge, Research, no motion: How the BlackBerry CEOs lost an empire, 2012 24 Skift and Expedia, ‘Business Travel Trends: How TMCs are keeping up with the corporate traveler,’ 2018
25 Frank Diana, Visualizing Our Emerging Future – Revised, 2018 26 WT, Buying Business Travel, 2018 27 Campaign Monitor, The Ultimate Guide to Marketing to Gen Z in 2019, 2019
28 Digital Marketing Institute, Is your business ready for the rise of Gen Z, 2019 29 HRS, Phocuswire article: How Artificial Intelligence is Changing Corporate Travel Management, 2018
30 HRS, How Innovative Hotel Solutions Can Reduce Leakage, 2018
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Travelport Trends 2020
You’ve read the mobile travel trends, now see how online travel and
consumer behaviors are shaping up for 2020. Our Online Travel Trends
and Consumer Trends reports are now available to download.
travelport.com/Trends2020
About Travelport
Travel is a $7 trillion industry – and Travelport is
at its heart, powering the experiences that the
world’s leading travel companies provide. Our
platform enables travel providers, travel agencies,
corporations and developers to search, share,
buy and sell travel. We connect the world’s leading
travel providers with online and offline buyers in a
proprietary B2B travel marketplace.
travelport.com
© 2019 Travelport. All rights reserved. Travelport, Apollo, Galileo,
Worldspan and the Travelport logo are trademarks of Travelport.
All other marks are the property of their respective owners.
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