Generational and geo-economic shifts for a new decade of travel
The arrival of 2020 has brought with it a new day. It is time not only to make predictions, but also to take a look back at the progress the travel industry has made to date. While the meme ‘Ok, boomer’ may be a bit of an exaggeration, it illustrates a widening gap between different generations. Each is defined by unique perspectives, interests and values, with different points of view when it comes to travel. The challenge for suppliers is to adapt.
Young travelers are looking for unique experiences and adventures, following the YOLO philosophy, which recommends enjoying life to the fullest at every moment. And now comes the alpha generation. The good news is that they are children of parents millennials, who have not slowed down when it comes to travel. The challenge: they may be young and small, but they have a lot of power when it comes to influencing family travel decisions.
In a day, members of Generation A, expected to be the best educated and healthiest, will be 20 years old. When they are in college or working, they will make their own travel decisions while making their way in the world.
They will be looking for completely digital travel experiences: will want to explore new destinations from their homes thanks to virtual reality while shopping for their next trip, take their loved ones with them via augmented reality, or book travel itineraries, from where to stay to where to eat, at the click of a button using fully personalized travel assistants. There is no doubt that this generation travels a lot, both physically and virtually.
In this new year, the situation in many areas of the world is unpredictable due to different factors, such as trade wars or the political climate. Despite possible circumstances that may affect travel this year, the rise of the middle class globally, especially in places like África, translates into improved conditions, with access to higher wages.
THE CHANGING ASPECT OF WORK
While the traditional workday is still the norm for many workers, it is becoming less common. Companies are investing more resources in employee wellness, and offering more flexible travel and remote work policies, so employee satisfaction and productivity are increasing, as well as happiness and freedom in their personal lives. In the years ahead, people will have more time (and perhaps more money) thanks to benefits such as child care, and they will be able to use it to travel. That said, the business travel industry is not going away. In fact, with the growth of companies and their search for a competitive advantage, it will become even more important.
Let's take a look at the possibilities for connecting work and leisure when planning a trip. Through artificial intelligence (AI), a trip can be organized in a personalized way, with notifications such as: "Do you have a vacation coming up, do you want to book a trip? Do you want to extend your business trip next month in London for a family vacation?By clicking on "yes", you will be directed to a customized itinerary according to your needs and preferences.
IN THE PURSUIT OF DIVERSITY
Business trips that are extended for tourism reasons, family trips originating from health reasons… All are factors that increase the diversity of accommodations. With a 30% increase year after year in the demand for houseboat, yacht and motorhome travel, the next wave of unique accommodations has arrived. Diversity is key, and travelers should always be able to choose what best suits their travel needs, although chains and independent hotels will continue to be a key part of the ecosystem.
Thanks to the IA, companies can predict what customers will buy based on their personal buying patterns, which also applies to booking accommodation. This is just the tip of the iceberg of what we can do to deliver travel experiences that are more personalized, and also faster than ever before.
It's the éeacute;s the traveler swing: people who prioritize airport fares and services, such as shorter security lines or better dining options, even when it means giving up a (much) shorter transfer to their local airport in their city.
Thus, airports are increasingly increasing the value of the services they offer: variety of travel routes, parking options, local cuisine, business, etc., to attract this type of traveler, which would amount to a redefinition of airport experiences.
In this day and age, travelers will be able to purchase extras through mobile apps according to their preferences and pocketbook: VIP entry through special security lanes, transfer from outside to the gate, pre-prepared meals prior to boarding, personalized in-flight content, in-flight wifi or airport shuttle. Many of these services are already available, but have to be purchased separately. Bundling them intoa single platformwill increase value for both travelers and suppliers.
Yet hyper-personalization doesn't end at the airport. Services have long been an essential part of the hotel experience, but the time has come for them to reinvent themselves. The profile of travelers will offer information that will allow hotels to become true second homes: they will be able to include details such as access data to their streaming platform to start watching their favorite series and movies as soon as they arrive at the hotel, their ideal room temperature, or food and beverages prepared upon arrival.