The Future of Travel

1. The travel consumer and the hyper-connected world

2. 1. A little bit of background about technology and associated behaviours 2. The impact of technology on the travel sector 3. Content applications of technology on the traveller 4. Travel experience applications for the traveller 5. The rise of the gatekeepers 6. Wrap-up

4. The rise of travel

5. https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/ Number of international tourist arrivals worldwide from 1996 to 2016 (in millions)

6. By 2030, most of the growth in international travel will come from Africa, Asia and the Middle East, which will enable further growth and job opportunities in these regions. While markets in Europe and the Americas will continue to grow, the rate is incomparable to other regions. http://reports.weforum.org/travel-and-tourism-competitiveness-report-2017/industry-trends/

7. The rise of technology

8. By 2020, an estimated 4 billion people will be connected to the internet

9. https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/Euromonitor 2017: INTRODUCING THE 2017 DIGITAL CONSUMER INDEX The internet has been one of the most transformative innovations of the modern era. This infrastructure of the digital era ushered in new scale and speed to real-time communication for consumers and businesses.

10. We Are Social share your world

11. It’s not just about the amount of people that are connected, but the amount of things that are connected

12. Wearables Analytics Mobility Artificial Intelligence Augmented Reality Virtual Reality

13. https://www.statista.com/statistics/471264/iot-number-of-connected-devices-worldwide/ Internet of Things (IoT) connected devices installed base worldwide from 2015 to 2025 (in billions) https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/

14. The growth in connectivity fuels new businesses which in turn create liquid expectations

15. Behaviours and digital themes

16. Euromonitor identifies 6 key themes defining the Connected Consumer Euromonitor 2017: INTRODUCING THE 2017 DIGITAL CONSUMER INDEX

17. Euromonitor 2017: INTRODUCING THE 2017 DIGITAL CONSUMER INDEX Digital Democratisation The number of internet users has more than doubled over the last decade, giving way to a mass-participation technology. In general, developed nations lead in connectivity, with many establishing this connectivity through fixed-broadband connections in the home. In emerging markets, this connectivity has been largely driven by mobile connectivity. The World Economic Forum notes that the majority of the middle-class growth will come from emerging markets, and with it a growth in tourism from emerging markets (especially China)

18. Euromonitor 2017: INTRODUCING THE 2017 DIGITAL CONSUMER INDEX Lifestyle The rapid increase in connections has ushered in speed, convenience and instant access across life. Connected consumers can summon a taxi, book a flight, browse products, order food, listen to music, play a game, watch a film, or chat with others using internet connectivity. Thanks to the smartphone, connected consumers can now execute these actions at anytime and from anywhere. In only 10 years since the iPhone was unveiled, Connected Consumers report mobile devices are often not out of reach. Global mobile users leveraged them for an average of six distinct activities per day in 2016.

19. Euromonitor 2017: INTRODUCING THE 2017 DIGITAL CONSUMER INDEX Consumer Power Widespread connectivity has had a fundamental and profound shift with regards to the consumer’s position in traditional power structures. In particular, there has been a significant dispersal of authority to social groups now connected by the internet. Connected Consumers are more likely to trust someone like themselves. For example, these consumers are more influenced by personal recommendations and independent consumer reviews as compared with mass marketing, according to the 2016 Global Consumer Trends Survey. Even with regard to newer channels such as social media, consumers are most influenced by posts from friends.

20. Euromonitor 2017: INTRODUCING THE 2017 DIGITAL CONSUMER INDEX Consumer Centricity Brands no longer dominate the conversation nor dictate future trends. Connected Consumers have access to the products and services when, where and at the price they want to pay, thanks in part to digital connectivity. As a result of these shifts, commerce players must shift from a “Push Model” - where the company or brand assumes they know what the consumer wants - to a “Pull Model” - where the consumer makes the call. Society is in the midst of a shift from being about the masses to a story of one. Consumers expect the experience to be personalised to them and available across the multitude of screens in their lives. Brands will need technologies to do so.

21. Euromonitor 2017: INTRODUCING THE 2017 DIGITAL CONSUMER INDEX Internet of Everything The first wave of connectivity was driven by the arrival of computers into the home; the second was characterised by the arrival of the smartphone. More recent breakthroughs in the cost of sensors, processing power and greater bandwidth, with which to connect more internet-enabled devices, are creating ubiquitous connections. This next stage of connectivity has been dubbed the Internet of Things (IoT) and will be a giant leap in terms of breadth. To give perspective, according to Berkeley University until 2009 the sum of data produced by humanity throughout its history, was around one zettabyte. By 2020, this figure will grow to 35 zettabytes.

22. Euromonitor 2017: INTRODUCING THE 2017 DIGITAL CONSUMER INDEX Passive Consumption Consumption is on the cusp of leaving the current mass customisation trend to become more predictive in nature. Already, artificial intelligence is enabling brands to move beyond recommendation and into anticipating consumer needs, something only achievable due to the hyper connectivity movement. The relationship between the Connected Consumer and brands will change as brands move more toward anticipating the consumer’s needs and doing so without conscious action. For example, connected devices and appliances could automate seemingly mundane product replenishment decisions.

23. New ways to connect amplify existing behaviours and can even create completely new ones

24. https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/ The internet has been one of the most transformative innovations of the modern era. This infrastructure of the digital era ushered in new scale and speed to real- time communication for consumers and businesses.

25. Forrester 2017: The Future Of Digital Experiences More and more things are connected to the internet, opening up more and more possibilities for personalisation

26. Forrester 2017: The Future Of Digital Experiences Mobile transforms public places into human health ecosystems

27. Forrester 2017: The Future Of Digital Experiences Mobile personalizes the shopping experience to help you find the items you want at the most convenient locations and the best prices.

28. 1. More people are connected 2. More people have more options 3. More people have an impactful voice 4. More people are empowered 5. More things are connected 6. More things are filtered for us

30. the impact of technology will be felt in travel

31. Over the next decade (2016 to 2025), digitalization in aviation, travel and tourism is expected to: • Create up to $305 billion of valuefor the industry through increased profitability • Migrate $100 billion of value from traditional players to new competitors http://reports.weforum.org/travel-and-tourism-competitiveness-report-2017/industry-trends/

32. Over the next decade (2016 to 2025), digitalization in aviation, travel and tourism is expected to: • Generate benefits valued at $700 billion for customers and wider society through a reduced environmental footprint, improved safety and security, and cost and time savings for consumers • Result in a net displacement of current jobs in the industry, which is expected to be partially offset by the creation of next-generation skilled jobs inside and outside the travel ecosystem http://reports.weforum.org/travel-and-tourism-competitiveness-report-2017/industry-trends/

33. Source: World Economic Forum/Accenture analysis Living travel experience Enabling the travel ecosystem Digital enterprise Safety and security

34. http://reports.weforum.org/digital-transformation/wp-content/blogs.dir/94/mp/files/pages/files/wef-dti-aviation-travel-and-tourism-white-paper.pdf

35. Source: World Economic Forum/Accenture analysis Living travel experience Enabling the travel ecosystem Digital enterprise Safety and security

36. Value at stake Source: World Economic Forum/Accenture analysis

38. how will the connected consumer themes translate into travel?

39. Technology fundamentally blurs the lines between the physical and digital spheres.

40. It enables us to address the 6 behavioural themes through richer experiences and increased service and utility

41. Experience +

42. AR VR AI Big Data Social Media

43. • Share your world • Peace of mind • Pre-explore your trip • Instant connection • Invisible sharing • Accessibility • Rich information

44. Share your world

45. In the next five to 10 years, millennials will become the industry’s core customer base. Millennials’ spending on business flights is expected to account for 50% of global travel by 2020 and to maintain that share for the subsequent 15 years http://reports.weforum.org/travel-and-tourism-competitiveness-report-2017/industry-trends/#view/fn-22

46. Travellers today often look for experiences, whether it be an authentic local experience, an adventure or even and the opportunity to make a difference at the destination. http://reports.weforum.org/travel-and-tourism-competitiveness-report-2017/industry-trends/#view/fn-22

47. Social media are by far the dominant way these respondents learn about things online. Search engines are ranked near the top but fall below Facebook and Twitter for general content discovery. https://marketingland.com/survey-best-way-reach-millennials-social-media-91241

48. Most popular social platforms for Millennials https://www.statista.com/statistics/199242/social-media-and-networking-sites-used-by-us-teenagers/

49. Forrester 2017: The Future Of Digital Experiences A recent study by Expedia found that 85 percent of Australians are choosing their holiday destinations based on what their travel snaps will look like online. Another UK study found that A recent study has revealed that two- fifths (40.1%) of millennials choose a travel spot based on its ‘Instagrammability’ — above things like food, sightseeing, and the opportunity for personal development.

50. https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/

51. But it’s not just Millennials who live on social media https://pure.au.dk/ws/files/100483708/Social_trust_and_tourism_Jensen_Svendsen_2016_.pdf

52. These platforms have surged in popularity, in parallel with the incredible growth of mobile phone technology. The sites are optimized for mobile use, meaning that in many developing countries, people’s first experience with the internet has been on one of these social platforms. Facebook’s initiative, internet.org, means that many people equate the social network with the internet. https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/

53. Global growth of social media users

54. Biggest global social platforms 2017

55. Social network usage by consumers is highly diverse Platforms such as Facebook or Google+ are highly focused on exchanges between friends and family and are constantly pushing interaction through features like photo or status sharing and social games. Other social networks like Tumblr or Twitter are all about rapid communication and are aptly termed microblogs. Some social networks focus on community; others highlight and display user- generated content.

56. When targeting potential travellers through the myriad marketing channels available today, fragmentation becomes one of the biggest challenges and will only intensify in the coming years. Snapchat, Instagram, WeChat, Twitter, Facebook, Google, and text chat are all areas that travel brands need to get used to as traveler behavior shifts in the digital space.

57. https://marketingland.com/survey-best-way-reach-millennials-social-media-91241

58. What this tells us is that people aren’t good at knowing what to look for, or even knowing what they’d really like. They need to be shown what that could be. This behaviour, amongst the ocean of content and advances in search and aggregation outlines the role Tourism can play for the future traveller What does this mean for Tourism?

59. Real-time data is one of the primary drivers of the new technologies for Expedia, which leans on the incoming stream of data to provide immediate actionable insights for customers and partners. The instant reviews work by pinging guests after they check-in for a live review, asking about specifics such as the check-in experience and room quality. The guest can thus offer live feedback on the experience, rather than waiting until later to complain or identify issues. The hotelier then has the new opportunity to address any negatives and enhance any positives while the guest is still on-property. Share your world now share your NOW: Expedia

60. Social trust increases the level of self-regulation and the enforcement of appropriate norms that further enhance the feeling of safety and thereby attract even more tourists. In this way, it may be possible to improve on safety without signaling problems through more visible police force in the public space. https://pure.au.dk/ws/files/100483708/Social_trust_and_tourism_Jensen_Svendsen_2016_.pdf What does this mean for Tourism?

61. Share a richer world

62. VR/AR installed base (Millions) https://techcrunch.com/2017/01/11/the-reality-of-vrar-growth/

63. Dreams of Dali http://www.dreamsofdali.net/

64. With advances and widespread adoption in new content technologies more ways are opening up to tell the story of the country. Even though technology is amazing, the story and experience should remain front and center. What does this mean for Tourism?

65. Experience + rich information

66. AR is developing to be far broader and deeper, adding layers of digital content to every part of the real world. https://www.sabre.com/insights/augmented-reality-digital-immersion-in-physical-space/

67. We recently saw the launch of four foundational AR efforts: • Microsoft HoloLens, • Google Tango, • Pokemon Go, and • Apple ARKit a group of radically different projects, each demonstrating a different element of AR’s potential. It also saw the proliferation of real-time video filters and interactive selfie animations added to Snapchat and Facebook https://www.sabre.com/insights/augmented-reality-digital-immersion-in-physical-space/

68. Taken together, these products provide a framework for understanding what’s happening now and what we can expect over the next few years. https://www.sabre.com/insights/augmented-reality-digital-immersion-in-physical-space/

69. PROXIMATE AR AR depends on having some awareness of a user’s location. Proximate AR knows rough location, but lacks the sensors to accurately map a physical space in 3D, so nearby objects may jump around, but can still exist in an approximate location. Proximate AR is sufficient for many kinds of tasks and is cheap and easy to implement into everyday devices such as smartphones and tablets https://www.sabre.com/insights/augmented-reality-digital-immersion-in-physical-space/

70. PRECISE AR Precise AR involves sensors that can accurately map a 3D environment and seamlessly integrate virtual objects into that physical space. With precise AR, virtual objects can have a sense of permanence— existing and behaving as if they were real. https://www.sabre.com/insights/augmented-reality-digital-immersion-in-physical-space/

71. WORLDS OF TOMORROW Apple’s ARKit is the X-factor in the current AR landscape— from the information released to date, it appears to achieve some advantages of precise AR without the need for the spatial sensors. ARKit allows programmers to create iOS 11 apps with integrated AR functionality using the standard iPhone/iPad camera as the only visual sensor. https://www.sabre.com/insights/augmented-reality-digital-immersion-in-physical-space/

72. https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/ Experience + rich information

73. With continued investment into AR from the biggest technology players, not only can we tell the story of the country in more engaging ways, but actually enhance the experience in country. What does this mean for Tourism?

74. Experience + accessibility

75. http://www.amadeus.com/documents/reports/accessible-travel-report-voyage-of-discovery.pdf

76. In every region, populations are ageing, with senior citizens representing the fastest growing demographic globally. By 2025, seniors will account for 11% of the world’s population. The improvements in internet connectivity globally continue to play an important role in adding peace of mind by simplifying trip planning, while improved transportation infrastructure makes the trip itself more enjoyable. But innovative companies are using digital platforms to further enhance the travel experience. http://reports.weforum.org/travel-and-tourism-competitiveness-report-2017/boomers-to-the-rescue/

77. http://www.amadeus.com/documents/reports/accessible-travel-report-voyage-of-discovery.pdf

78. The ideal travel environment will be one where they won’t need to “declare” their disability because the travel experience will be as easily navigable for those with accessibility needs as it is for anyone else. So what does a seamless accessible trip look like? http://www.amadeus.com/documents/reports/accessible-travel-report-voyage-of-discovery.pdf

79. https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/ Experience + accessibility

80. • Effective communication • Responsive service • Standardised content and services • Personalised offer The four characteristics of the ideal accessible trip http://www.amadeus.com/documents/reports/accessible-travel-report-voyage-of-discovery.pdf

81. indirect sharing

82. https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/ Share your world indirectly

83. In an American Express study, 83% of millennials said they would allow travel brands to track their habits in exchange for a better, more individual experience. Meanwhile, 85% of respondents across all age groups said that customized itineraries are far more appealing than one-size fits all solutions. As analytics become more sophisticated, travel companies are targeting different customer demographics personally in email and social media messages. https://www.smartinsights.com/digital-marketing-platforms/big-data-digital-marketing-platforms/2017-travel-marketing-trends/

84. 43% of travel companies named “targeting and personalisation” as the top priorities in their digital strategy. Twenty-five per cent of companies are focused on mobile optimization of their online properties. https://www.smartinsights.com/digital-marketing-platforms/big-data-digital-marketing-platforms/2017-travel-marketing-trends/

85. Consumer data – and the ability to convert it into rich, meaningful experiences – will be a key source of differentiation. Travel distribution - The end of the world as we know it?

86. Data vs Creativity

87. Although the promise of data and insights is immense, even with full implementation, current technology still faces limitations and we must remind mindful to not discard the human element. Nevertheless, operationalising real-time data and insights capabilities should remain a top priority. What does this mean for Tourism?

89. Personalisation of service and utility

90. • Task personalisation • Interaction personalisation • Sales personalisation • Seamlessly personalised trip

91. Evolution of Living Travel Experience Digital Transformation Initiative: Aviation, Travel and Tourism Industry

92. Evolution of Living Travel Experience Digital Transformation Initiative: Aviation, Travel and Tourism Industry Today, companies throughout the value chain (e.g. travel agencies, airlines, airports, hotels) use digital to engage with their own clients (e.g. through loyalty programmes). Personalization through separate companies collecting and analysing customer habits and preferences will remain a priority for most of them now and in the short term

93. Evolution of Living Travel Experience Digital Transformation Initiative: Aviation, Travel and Tourism Industry Created through collaboration between travel companies, seamless customer journeys will be the next development. The first examples are already emerging from companies in different parts of the value chain pioneering a high-quality customer travel experience. In the medium term (between two and five years), this will become standard practice, and collaboration will bring more value to the customer, industry and society.

94. Evolution of Living Travel Experience Digital Transformation Initiative: Aviation, Travel and Tourism Industry In the long term (five years and beyond), travellers can look forward to highly personalized, frictionless, flexible travel experience. Companies will work together and real-time AI will proactively manage the traveller experience. Collaboration will be key to delivering end-to-end propositions to travellers.

95. IoT Big Data Machine Learning Voice recognition

96. Traveller Centricity Task personalisation on Expedia

97. https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/ Traveller Centricity: Task personalisation on Expedia

98. Traveller Centricity Interaction personalisation through AI

99. https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/ Traveller Centricity: Interaction personalisation through AI

100. Seamless Customer Journey Sales personalisation through Retail and AI

101. https://www.statista.com/statistics/209334/total-number-of-international-tourist-arrivals/ Seamless Customer Journey: Sales personalisation through Retail and AI

102. End-to-End Propositions Frictionless Travel through Connected Systems

103. End-to-End Propositions: Frictionless Travel through Connected Systems

104. End-to-End Propositions All-in Frictionless Travel

105. End-to-End Propositions: Frictionless all-encompassing Travel

106. With the introduction of a seamless travel journey, how can we help our trade partners to deliver the right content at the right time to their customers? What does this mean for Tourism?

107. Although connected devices and technology is booming, the online landscape has fundamentally consolidated

109. The rise of the gatekeepers

110. Google Facebook Amazon Apple Tencent

111. Experiences Will Evolve from Fragmentation to Consolidation Forrester 2017: The Future Of Digital Experiences

112. Experiences Will Evolve from Fragmentation to Consolidation Today, consumers orchestrate their own digital experiences Tomorrow, mobile will be a digital experience choreographer to address mobile moments. Blended experiences will include anything that an individual can connect to — wearables, things, cars, homes, and gaming platforms. Forrester 2017: The Future Of Digital Experiences

113. Forrester 2017: The Future Of Digital Experiences Mobile operating systems and third-party platforms define the bulk of consumer-brand activity. Platforms like Cortana, Google Now, and WeChat now provide the information necessary to address mobile moments. Mobile platform experiences

114. Forrester 2017: The Future Of Digital Experiences Consumers ask mobile and physical standalone devices open-ended questions and are presented with a set of “solutions” that comprise a curated set of apps, sites, and platform experiences. They expect third parties to anticipate their needs and know their preferences, and they expect to manage that access simply and naturally — not app by app or function by function. Virtual agent experiences

115. Forrester 2017: The Future Of Digital Experiences Consumers use a smartphone as the choreographer of their local ecosystem. Instead of making an open-ended request to a single device, people expect all local devices to anticipate their needs and provide appropriate responses within the ecosystem. The “virtual agent” of stage 3 now anticipates user demands and responds with a complete solution. Blended ecosystem experiences

116. Biggest global social platforms 2017

117. Facebook is also getting ahead of most the major trends media and marketing analysts see as shaping the future of content. Facebook already dominates the messaging app marketplace with Messenger and WhatsApp. Same goes for digital video, which has exploded on Facebook’s native video player (though not without controversy). With Facebook M, the company is a major player in the AI arms race. Facebook also announced plans for a platform where developers can build bots for Messenger. The last part of that dominance is augmented reality and virtual reality. Facebook has the Oculus Rift; Gear; and these unnamed AR Glasses, which essentially look like Google Glass. https://contently.com/strategist/2016/04/12/facebook-plans-dominate-digital-communication-next-10-years/

118. Gatekeepers – tech giants such as Google, Facebook, Microsoft, Amazon and Apple - control the acquisition of billions of consumers, interfacing with millions of people every day. They have already begun to disrupt travel distribution through their advertising models. Travel distribution - The end of the world as we know it?

119. Google in context – the company’s travel revenues are already estimated to be bigger than the other major online travel players such as Priceline, Expedia and TripAdvisor. “They are the biggest company in travel and digital travel today,” he said. “They’ve been in the travel space for a while without even intending to be.

120. Travel distribution - The end of the world as we know it?

121. Eli Pariser, author of The Filter Bubble, argues that Google and Facebook are creating separate versions of the internet for each of us, filtering out things algorithms think we aren’t interested in. EyeForTravel SF Summit 2017

122. Pathway 1. The development of virtual assistants will enhance the customer experience by reducing search times and personalising purchases. At the same time, the search control of gatekeepers will grow, consolidating their traffic acquisition power, giving them greater access to consumer data and enabling more precise consumer targeting. Travel distribution - The end of the world as we know it?

123. Pathway 2. Travel booking is likely to be integrated increasingly into social media and messaging, with advertising and referrals tailored to social network discussions and searching. The rise of virtual reality will lead to more inspiration marketing and traffic acquisition. Travel distribution - The end of the world as we know it?

124. The gatekeepers will become an even more important channel in our marketing mix. Figuring out how to work with the gatekeepers to make sure our content breaks through the algorithm will be a key concern moving forward. What does this mean for Tourism?

126. Key Questions to answer

127. How do we respond to changing consumer expectations? New technologies, new platforms, new ways of sharing, new businesses, new expectations.

128. How do we tap into the data economy? What is our goals with data, what do we need to operationalise it>

129. How do we respond the the rise of the gatekeepers? As the power of gatekeepers to acquire billions of consumers continues to grow, industry players will need to consider how to collaborate with them as their power grows.

130. thanks <3

The Future of Travel

Vous êtes en train de lire un aperçu.

Consultez-les par la suite

The Future of Travel

Plus De Contenu Connexe

Diaporamas pour vous (20)

Similaire à The Future of Travel (20)

Plus récents (20)