2020 was the year the world shut down. 2021 was the year of patchy recovery, and 2022 is the year that travel industry recovery continues apace. Both Corporate and leisure travel are returning, and even countries that have been closed to tourists for the best part of two years are now re-opening. So, how about 2023? What can we expect?
Well, as this year draws to a close, for many in the travel industry, 2023 will be the year of technological adaption.
At Sabre, we’ve taken the opportunity during the past two years to really advance our own technological transformation, and we’re well on our journey. Sabre is making major investments to increase our technological capabilities, in order to enhance our abilities to deliver products and services that enable the creation of a new marketplace for personalized travel.
This includes a move to the Google Cloud, as well as innovation partnerships with key partners, including Google and American Express GBT, to create transformative solutions for the leisure and corporate travel spheres.
For Sabre’s travel partners, this transformation, encompassing our move away from mainframe to the Cloud as well as an innovation framework, will result in next-generation capabilities that will enable the unlocking of more revenue streams, and higher value offers for travellers.
So, what are our agency partners focused on? Well, travel agents have also taken the time to think about their technological solutions, and whether, as we head further into recovery, and future growth, they have the technological support needed to place themselves in a position of strength.
Recent research Sabre carried out with travel agents, corporate travel agents, and TMCs across APAC, found that four-fifths of respondents have adopted new solutions to manage Covid-19-related risk within the past two years. And, of those who haven’t yet invested, 42% plan to advance their technology within the next one to two years.
The three top priorities are the same for those who have already invested, and those who are planning further technological advancements:
Travel risk management tools
While travel confidence is on the up, to foster this, it’s essential that corporate travel agencies are able to mitigate travel risks, and enable companies to meet their duty of care to team members. Given that duty of care is not only one of the key priorities of business travel, but is a corporate legal obligation in some markets, the importance of this really can’t be overestimated. Agencies are focused on technology to enable them to monitor global security events and determine which travellers may be impacted, as well proactively reaching out to travellers to confirm wellbeing or any need for assistance.
Automated workflows
One of the major challenges facing the travel ecosystem currently is staff. The entire industry is faced with talent shortages, which has led to disruption, in particular for airlines during the summer, and is continuing to have an effect in airports around the world. But talent challenges are also an issue for travel agents, and one of the ways agencies are looking to resolve this is with automation.
Travel agents can spend nearly 70 per cent of their day completing manual tasks; handling ticketing, exchanges, refunds and more. This is lost time that could have spent increasing sales, building client relationships, and focusing on business strategy. So it’s little wonder that agencies are adopting automated solutions to take care of these routine, backend processes so they can free up time to improve customer satisfaction, and increase revenue.
Virtual payment tools
Travel agencies, TMCs, and corporations are increasingly seeking faster, easier, and more secure ways to pay for travel. The rise of contactless payments during the pandemic has also paved the way for increased traction in rolling out virtual payments. Travel agencies and TMCs are now turning to virtual payments to optimize revenue streams on every payment, drive productivity, and boost corporate customer loyalty. With travel spend likely to increase within the next year, and beyond, it’s important that agencies have the technology they need to make the most of this spend. Virtual payments are a big focus for our travel partners, and for Sabre, in the coming year, as demonstrated by our recent acquisition of Conferma Pay.
A focused technology strategy, with clear priorities, is key for agencies, whether leisure or corporate-focused, to capture recovery, and turn industry challenges into opportunities for growth.
