What are you w-AI-ting for?
A world of opportunity awaits business travel thanks to AI tools
Unless you’ve been on a self-imposed digital detox on a remote island for the last decade, you’ve probably received promotional and sales emails that address you by name. But as far as artificial intelligence (AI) technology goes, email personalisation is old news. Very old news.
“AI and machine learning (ML) is advancing at lightning speed, and each new development is delivering new opportunities for business travel professionals to create better end-to-end traveller experiences, faster,” says Bonnie Smith, GM FCM.
The biggest use case for AI in corporate travel is to enhance customer experience. AI-powered tools can provide personalised recommendations and proactive assistance, which leads to a significant boost in both customer satisfaction and loyalty.
“AI is already revolutionising the travel industry. We’ve only just scratched the surface, though. Savvy organisations are experimenting with every new tool to see where they can be applied most effectively to gain a competitive edge,” says Smith.
From a business perspective, AI can offer pricing and demand predictions, trend identification, and AI-powered revenue management can help businesses and their TMCs uncover financial inefficiencies and potential savings ― a true win/win scenario.
And with its ability to analyse large volumes of data, AI delivers insights previously hidden data, leading to improved decision-making and, in turn, priming businesses to respond more quickly to changing market conditions.
The proof, as they say, is in the pudding, and there are travel companies that are successfully using AI tools to create a competitive advantage.
AI innovation in the travel industry
Lufthansa Airlines recently implemented an organisation-wide AI strategy. Their mission? To “sustainably connect people, culture, and economies”, while simultaneously achieving environmental and customer-friendliness goals.
The airline is using AI to take over repetitive tasks to save time and costs. They've even teamed up with Google Cloud's Vertex AI Forecast to boost punctuality by predicting wind patterns.
Meanwhile, IHG Hotels & Resorts has also started innovating with AI. In a first for the hospitality industry, the hotel has introduced a voice-controlled smart room in partnership with Josh.ai. While the tech focuses mainly on privacy, security and creating a ‘natural guest experience’, the smart room allows guests to do anything from setting the perfect room mood to picking their favourite entertainment.
Brian McGuinness, the SVP of Global Guest Experience at IHG, says, "We're the first to use Josh.ai in a hotel room and we can't wait to see how our properties worldwide can adopt AI." From, Josh.ai's got you covered. This leap by IHG really shows how they're embracing next-gen tech to keep guests wowed.
The AI Revolution in Travel: It's an Upgrade, Not an Overthrow!
AI is not in the running to replace Travel Management Companies (TMCs). Travellers and travel bookers still require human decision-making, emotional intelligence, and custom solutions that AI can't completely handle yet. However, this doesn't mean AI doesn't have a significant role to play.
With tools like ChatGPT and smart marketing tech, AI offers travel businesses a competitive advantage like never before.
Here's Smith's round-up on how AI can transform the travel landscape:
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Hyper-Personalised Recommendations: AI becomes a personal concierge, learning about travellers and offering custom itineraries. It can tailor travel experiences, from meal preferences to unique sightseeing, based on individual quirks and interests.
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Predictive Analytics: AI's ability to anticipate needs by analysing past patterns smoothens the travel planning process by taking care of potential issues in advance.
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Smart Chatbots & Virtual Assistants with Natural Language Processing (NLP): These AI interfaces communicate in your language, providing instant answers and support. Human agents are freed to focus on genuine sales opportunities and critical situations.
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Sentiment Analysis: AI's role as a data detective helps gauge the real sentiment behind customer feedback, going beyond official reviews to social media chatter. This insight can inform improvements in service offerings.
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Virtual Reality (VR) & Augmented Reality (AR) Experiences: Combine AI with VR/AR to create immersive virtual tours, enabling customers to 'try before they buy'. This has big potential for business-focused services, like offering remote site inspections or event simulations.
While VR and AR are steadily gaining traction, big players are already leveraging existing AI tools. For example, FCM uses AI chatbots to efficiently handle customer inquiries and provide instant support.
Stay ahead of the curve
AI’s true potential is yet to be realised and it’s tempting to bury our heads in the sand, reverting to the so-called tried and true methods the industry has always relied upon. But, as Srikanth Velamakanni, CEO of AI company Fractal, says, “Humans who don’t use AI will be replaced by those who do.”
To remain relevant in a market looking for faster, more personalised service and more fulfilling value-for-money experiences, Smith explains it’s become imperative for travel businesses to embrace technology through well-thought-out AI implementation strategies. “Those who don’t are sure to be left behind,” she warns.