Looking Ahead
Instagram is six years old, Twitter is 10; Expedia began in 1996, Princeline in 1997. Twenty years ago, the Internet came into its own, connecting buyers to brands in ways unthinkable in the 80s. A whole generation has had major technology as close as a computer, and more recently, smartphones. It’s made things easier, it’s made transactions fast, and it’s made some very savvy consumers.
When talking upcoming trends, it is impossible to avoid technology, whether a new one or a reaction to one. I recently speak with Mahesh Chaddah, co-founder of Reservations.com how tech has in more ways then one become the dominating theme for 2017.
Travel Agents
You thought travel agents were a dying breed, but au contraire! The industry took a hit to be sure once the Internet made travel a DIY project, but evolution is a wonderous thing.
“The traditional travel agents were just executors of whatever you wanted, you told them to go book this or that hotel,” Chaddah observes. “Nobody needs that anymore.”
So travel agents morphed into something of a concierge. According to Chaddah, websites allow consumers to buy tickets or book hotels quickly, but the process is largely impersonal. Moreover, the Internet is infamous for not volunteering information. Live travel agents answer questions and cater to specific, personal needs, and can provide professional in-the-know tips such as knowing which hotels are closer by foot/car/train to a particular destination. Chaddah adds that his own company has hopped on this bandwagon.
Personalized Travel
“Personalization has been around, and personalization has been improved,” says Chaddah, “but what we are seeing as a trend moving forward from now is marketing to a segment of one.”
This does not necessarily mean a personalized vacation (although it can); in 2017 “personalization” will be something consumers expect and demand during their buying process, from recommendations based on their previous travel trends to certain brands, or certain destinations based on their likes and preferences. Think of it as the travel equivalent of predictive Internet searches based on browsing history. Social media, professional networks, prior buying history, and any and all other data points that can be collected are now being used to give consumers a very personalized, segment-of-one experience.
“Bleisure”
Gotta love the term. Basically, expect to see a rise in high-tech and other trendy amenities in what were previously considered business-only hotels.
“It’s a very simple concept,” says Chadda. “We all know the segment of the business traveler, the things that are important to them. That may be proximity to the downtown sections, or certain business hubs.
“So,” he continues, “the trend is that the amenities, be it spa treatments, be it family-friendly pools, be it certain other amenities that are geared toward leisure, the are all being offered in the hotels at which they stay. Hotels have expanded offerings to cater to both the segments of business and leisure.”
Business hotels aren’t exactly horning in on the leisure market. Rather, they are making themselves more comfortable to their business traveler niche with a few added perks (spa treatments, pools, etc). It also isn’t unheard of for a business traveler to tack on an extra day to enjoy wherever it is that they are, so business hotels that appeal to consumers wanting to unwind will in 2017 find themselves tapping a ready market.
Points Plus Cash
Mixing points and cash is becoming increasingly popular as many companies are opting to move away from traditional loyalty programs to give the traveler more options on how to pay for an upcoming trip. Basically, the idea is flexibility and options.
“If you are captive consumer,” says Chaddah, “you have choices, but they are limited to a small group. At the same time, it also limits the kind of choices you may have, because not everything is available as points. Thirdly, the flexibility around points being the only option are usually directed from certain business type of trips, or frequent trips for a certain type of category or destination.”
Points-plus-cash adds flexibility. A consumer may not have enough points for a particular trip, combine them with cash and voila! It’s a whole new world. Pay attention to any changes in your points plan. You might find you have a lot more options this year than last.
Data-persistence
Boiled down, this means that a search you started on one device carries over to another intact.
“Consumers could log into a website and start a more advanced search,” Chaddah explains. “they could log back into their tablet to fine-tune while they are in their living room and then they could finally go on their mobile device or a work computer and finalize the booking.”
You probably noticed that your devices aren’t that great at “talking to each other.” So giving the consumer the ability to “persist” their sessions and information in sync and up to date across their devices and platforms is coming to the fore. Business that let their consumers interact with them across the technological mediums will be the winners in 2017 and beyond.