Travel agents to the rescue
Searching and booking travel directly from travel providers has become more time-consuming and complicated than ever, according to Travelport’s 2024 State of Modern Retailing Report.
The report combines international independent research, cross-industry comparisons and consumer insights.
“Despite travel providers favouring direct-to-consumer connections, the sheer volume of options is overwhelming to travellers, making them less confident in their booking choices,” said Jen Catto, chief marketing officer, Travelport.
“Our research found that instead of feeling excited after booking a trip, most travellers are left feeling anxious, wondering if they got the best deal.
“For the travel industry, this signals a growing need and opportunity for travel agencies. Their expertise in comparison shopping aids travellers in confidently booking the best option, based on their personal preferences,” Catto added.
Key Study Highlights:
- Travelport estimates that air travel options have gone from about 500 economy/ business options available in 2010 to over 10,000 options in 2024 (economy, economy plus, flexi- family, business, first, etc.). That’s a 1,900% increase.
- The majority of travellers (58%) feel that the volume of choice is overwhelming.
- 56% of travellers say that airline offers are more difficult to understand now than they were 10 years ago.
- 61% of travellers also believe there are more penalties now when changing a flight than there were 10 years ago, with 66% citing that there are too many hidden fees.
- The majority of travellers (71%) sometimes feel anxious about whether they got the best deal after they’ve booked their trip, with 42% feeling like airline offers have become ‘less suitable’ over time in meeting their personal preferences.
DTC (Direct to Consumer) feels more like Difficult to Compare
- Most travellers (80%) agree that comparing fares from different airlines is very time-consuming, with more than two-thirds (69%) feeling that information is often restricted on some airline booking sites.
- Most respondents (88%) agree they would prefer to see all flight options and fares on one screen, which is likely the reason that more than half (54%) said they frequently use a comparison site to search for information before purchasing their ticket.
- The majority of Millennial (70%) and Gen X (64%) travellers often use online travel agencies (OTAs) to book, citing choice and price transparency as the primary reasons.
- Travellers are looking to artificial intelligence (AI) to provide more than just a chatbot, and agencies will increasingly rely on their technology partners to implement AI and ML (machine learning) in creative ways.
Amenities that Matter Most
- When booking flights, respondents said that luggage allowance (63%), cancellation and change policies (50%) and seat selection (50%) are the most important factors to compare.
- Most travellers (63%) also stated that they feel airlines do not put the customer first when it comes to customer servicing matters (flight cancellations, exchanges, etc.
Kanagawa is calling digital nomads
Kayac Inc., headquartered in Kamakura City, Kanagawa Prefecture, has launched Wanderlust Japan, a web-based media platform for foreigners.
The platform will provide information about tourist attractions, accommodations that offer a variety of local experiences, as well as information for digital nomads looking for places to work and co-working spaces.
The concept of Wanderlust Japan is to “deeply get involved with a region, yet to be discovered onto another journey”.
In a statement, Wanderlust Japan said the best part of visiting a region is the time spent talking with the locals and getting into their daily life scenes.
“This media platform will provide information on how to experience the region ‘as it is’. Information for those who want to experience Japan in depth and are not satisfied with usual tourist attractions.”
Swiipr stands up to Crowdstrike
Swiipr, which provides major airlines with digital disruption payments systems, came into its own last week with the global IT Crowdstrike outage that had a massive impact on flights.
Swiipr saw more than 200% increase in compensation payouts compared with a normal day, with airlines offering food and beverage compensation for delayed and cancelled flights.
“Our systems are digital and provide funds that can be used at any outlet in and outside of an airport, rather than being restricted to a select few retailers and/or linked to a paper voucher or barcode,” said Tara Spielhagen, CEO of Swiipr.
“Therefore, passengers of airlines using Swiipr would still have been able to use their funds somewhere because although some airport outlets were affected by the outage, others were not.”
Girling onboard with Vibe
Travel technology company, Vibe has appointed Danny Girling as the new business development and head of partnerships – EMEA.
Vibe said the appointment signifies a new phase of expansion and growth, “with ambitious plans for the EMEA and APAC regions, where Vibe is already well established”.
Girling has had more than 14 years experience at Travel Counsellors and a tenure as the head of commercials and partnerships at Inspiretec.
