Hollis Thomases

When it comes to business planning and go-to-market strategies today, it’s not uncommon to hear the phrase “mobile first” and with good reason: In the U.S., smartphone ownership has grown from 51% in 2013 to 85% in 2018.

First there was the Internet (a connected network of information). Then there was IoT, the Internet of Things (hardware devices connected to the network). Perhaps the next evolution is the Internet of Us – network-connected aspects of our human physiology. This future looks more and more likely, given the ongoing advancements in voice and biometric applications.

This special collection of individual reports – curated by our team of analysts – represents Phocuswright’s most essential research, data and analysis on the key technology trends and developments impacting the travel industry. For those seeking a better understanding of how technology is transforming travel, we recommend this content as a great place to start.

Blame it all on digital. Thanks to digital technology, today’s traveler can access and share more information more easily, and this access has molded behaviors and shaped expectations like never before. These technology-influenced behaviors and expectations have created a propensity towards the kind of do-it-yourself (DIY) mentality that can conflict with the very principles of hospitality (service with a smile), travel businesses are being forced to adapt and adjust to the DIYers. Looking deeper, there are nine trends in today’s DIY traveler experience.

Each year, Phocuswright publishes an annual report that discusses the most significant technology-driven issues or developments that will shape travel distribution this year and beyond. This year we again incorporate the views of our extended analyst team, who are industry experts across a range of segments, regions and topics.

Transportation and travel. Travel and transportation. For obvious reasons, the two cannot be treated as mutually exclusive. Both are being transformed by ever-hastening technological advances, and though the naysayers dismiss the likelihood of total disruption, one has only to look at other technological leapfrog moments: the Ford Model T, Southwest Airlines, Apple’s iPhone, Uber. In each of these instances, mass adoption occurred because of a disruptor, and once that disruptor entered the market, adoption took place in fewer than 10 years. History is about to repeat, and it will once again involve how people get around. Many predict this change will be the most transformative one in transportation for the next 100 years. This analysis will explore various aspects and implications of this transformation on the travel industry.

Increasingly, companies realize that paying lip service to their audience in the form of brand positioning and advertising messages may bring in customers, but not retain them. Brands have to live up to the expectations they create for their customers, and those expectations cross boundaries of time, device and form of interaction. Companies in every industry need to think hard about how to produce great customer experiences, and travel has its own unique challenges.

Each year, Phocuswright publishes an annual “trends” report that discusses the most significant technology-driven issues or developments that will shape travel distribution in the course of the year and beyond. This year we incorporate the views of our extended analyst team, who are industry experts in a range of areas. This paper features introductions to more in-depth discussions on these topics that will be published throughout the remainder of this year.

This paper presents an overview of how and why the traveler’s expectations matter, the process of creating great digitally-transformed customer experiences, and mistakes that should be avoided. It also provides examples of digitally-transformed leisure and business traveler customer experiences, digital transformation leadership requirements, and considerations for the future of the customer experience.

Businesses spend a lot of money on marketing and advertising with the goal of driving sales, revenues, and profits. For a very long time, that meant focusing on ways to drive consumer attention to the product or services the business chose to promote. In the parlance of travel, this focus has been on the destination, not on the trip itself. Digital has, however, precipitated the altering of this thinking. With the de-centralization of how and where people buy, marketers have had to become more customer-centric, paying attention to customer segments, behaviors, expectations, and experiences. The assemblage of these new focal points is called the customer journey, and this report will more deeply explore — through the combination of travel-specific and generalized sources — the customer journey, its value to a business, and how customer journeys can also foster innovative thinking and execution for travel marketers.

Keeping up with the latest and greatest bright shiny object in digital marketing oftentimes feels like a race with no finish line. Making determinations on how much attention, time, resources, and actual budget to allocate to new advancements in digital marketing challenges any professional, even the savviest. With the pace of change and the pressures of competition, brands must weigh their decisions based on both where they think their consumers will be next and how much they want to be leaders versus followers in that space.

No longer a nice-to-have, digital advertising – particularly for travel marketers – has become a must-have as part of virtually any annual strategy. As so much of the traveler experience now begins and ends online, to reach prospective buyers at the right place and time, travel marketers continue to re-allocate greater advertising budget to digital. Yet complexity and fast-changing technologies continue to plague digital advertising at-large, especially due to growing concerns over accurate measurement criteria, ad fraud, non-human website traffic, fake news, brand safety, and user-installed ad blocking software. Issues of trust and transparency have further compromised digital advertising.

Native advertising has become the darling of digital publishers, but is it right for travel advertisers? This Analysis explores the various types of native advertising available to travel marketers, using examples to highlights some of the advantages and challenges of each.

Most travel advertisers want to drive action, frequently in the form of bookings and/or revenue. With its scalability, cost-effectiveness and potential to effectively reach target audiences, data-driven advertising has rapidly evolved into a preferred revenue-generation tactic. This Spotlight presents the information needed to understand and navigate the data-driven advertising ecosystem, including key terms and considerations, resources, recommendations and travel-related case studies.