travel tech insights

It may seem like a magic trick: Turning a one-time customer into a repeat user of a travel company’s products and services. But in today’s global, interconnected travel industry, customer retention and the ability to entice travelers back to a certain travel company is becoming less of a mystery and more of a science thanks in large part to the development of mobile apps. Smartphones, tablets, laptops, and other mobile devices have not only changed the way customers research and book their travel arrangements, but they’ve also fundamentally shifted the way travel companies view devices as tools for continued interaction and communication with would-be travelers.

For travel agents, the ability to offer customers quick and efficient search responses is similar to running a marathon - you have to be steady and consistent, but you also have to be fast and nimble, especially in today’s global travel and tourism landscape. A travel agency’s ability to drive sales and profitability depends on utilizing a booking engine with a powerful search component to help customers sift through the multitude of products and services in order to find the product that best suits their needs.

However, it’s not just about assisting customers through the metaphorical jungle of travel offers - it’s about decreasing the amount of time customers devote to this task. In today’s hyper-connected travel industry, travelers expect agents to respond quickly and comprehensively to inquiries, which makes search response perhaps one of the more most important value propositions of advanced booking and reservations systems. In an era when so many travelers can research and complete bookings with the technology they carry in their pocket on a daily basis, the onus is on travel agents to deploy booking systems with enough computing power to return advanced searches in a competitive enough manner.

Imagine you’re planning a long road trip with a group of friends. You’ve plotted out your route, made a list of stops you want to make and sights you want to see, and the last step is deciding what car you’re going to drive. You want a car that is reliable, big enough to comfortably seat everyone, and cost-effective enough so you don’t squander money on fuel. This may sound strange, but the link between this hypothetical road trip and optimizing travel agent search capabilities through advanced mapping is stronger than you’d think.

In incorporating advanced search capabilities, travel agents desire reliable search capabilities, comprehensive search functions, and a search technology solution that is cost-efficient and promotes growth across the entire value chain. Travel booking engines, with their capability to integrate travel suppliers and work with more wholesalers and Global Distribution Systems, empower agencies to offer an even greater product variety and availability at the best rate.

According to a recent study by research group eMarketer, about 51 percent of travelers who complete bookings in 2016 will do so via a mobile device - primarily a smartphone or tablet. This figure represents an 8 percent increase from the year prior and reinforces what many in the travel industry have been saying for years now: Mobile bookings have arrived as a major player in how customers book and experience travel.

The more you dig into the numbers, the more startling the picture becomes about just how impactful mobile bookings are and how crucial it is for travel companies to embrace this technology. For example, out of more than 48 million customers who book travel arrangements in the United States in 2016, it’s estimated roughly 38 million will use a smartphone to do so. This represents a massive customer base without taking into account the number of smartphone users on a global scale.

For a moment, let’s consider the calculator. This relatively simple machine allows the user to complete complicated math problems by simply pushing a few buttons or following a fairly easy set of steps. The results, even with the most basic of today’s calculators, are computed quickly and are both incredibly detailed and enormously accurate. This allows users to engage in advanced mathematical equations with little time and resource investment - which can’t be said when attempting to solve a complex math equation manually with pen and paper.

Tour operators are an intriguing part of the travel industry. They’re elusively difficult to capture in a single definition because they form a diverse constellation of products and services, all of which reflect different cultures and geographies. 

The very beginning

‘When I founded dcs plus, 14 years ago, with no employees and with no capital, I could hardly foresee a growth to an international company with hundreds of customers in over 45 markets and with a staff of over 70 people. We could not have come this far without the loyal support, dedication and hard work of each member of our team and without the trust and confidence of our partners and customers.

I remember the days when we couldn’t even dream to ‘conquer’ the world, but when, with unbridled ambition started to ‘build’… However, we knew that there was no sector in the modern economy that could remain impassive to technology; more than that, we were very confident that we could build and create value
through technology solutions in an extremely dynamic industry, that was global by its nature. That thought brought us an incredibly pleasant and motivating feeling; it offered us so much diligence and courage that we took on challenges and rose to them with an unbelievable enthusiasm.’

Cristian Dinca - dcs plus CEO and Founder

In the previous entry in our series on the evolution of the travel industry since 2000, we focussed on the major players in the travel and tourism industry and how these companies and organizations have shaped the industry of today. We also discussed how their impact has influenced the way customers experience travel on a global level.

In today’s third and final installment, we’ll examine the most influential technologies within the travel industry and how their evolutions have impacted both travel companies and consumers. Our goal is to focus on the most important moments in the progression of travel technology to highlight just how much the travel and tourism industry has changed in a relatively short amount of time.

Technologies develop quickly. What was state-of-the-art or revolutionary one day is out-of-date the next, and the technologies that have had the greatest impact on the travel and tourism industry are certainly no exception. Since just the year 2000, the technological platforms available to both companies and customers has significantly transformed the way travelers travel and companies operate.

In the first entry of our series on the evolution of the travel industry since 2002, we looked at the traveler and how their needs, desires, tools, and buying behaviors have shifted during the last 14 years. We examined how advances in personal and industry technology have made it easier than ever for travelers to become an integral part of the travel industry rather than just observers watching from the sidelines.

Today’s entry, the second in our three-part series, will focus on the major industry players, their history, evolution, and impact on the global travel industry. The companies and organizations we’ve chosen to highlight have in one way or another made significant contributions to the growth and development of the industry and have left an important mark on how the travel industry operates today.

The beginning of the 21st Century was without a doubt an influential moment in the travel industry. With the rise in popularity of the internet, global, electronic delivery of services, products, and operational functions were becoming more and more the norm. GDS companies, OTAs, and other online-based suppliers and retailers began launching more customer-oriented services such as price comparison interfaces, digital trip planning tool, and electronic tickets and documentation to streamline processes and create more efficient, agile value chains.