How Artificial Intelligence Is Revolutionizing The Travel Industry

Artificial intelligence (AI) now infiltrates every element of the travel process. Today, website chatbots, personalized search platforms, and in-room virtual assistants are being deployed to improve customer engagement, boost conversion rates, and personalize the entire guest experience.

Thanks to AI, reaching our destination is becoming easier too. This year, Google Flights started predicting delays and announcing them before the airlines.

How far might things go? In the following article, we’ll look at how travel brands are using the latest artificial intelligence to learn more about their customers, influence their decision-making, and drive more bookings.

1. Trip planning and research

According to a survey by Booking.com, nearly one third of travelers would be comfortable letting a computer plan their next trip based on information from their travel history. Using AI, travel brands are now able to create tailored recommendations based around a host of unique preferences.

Earlier this year, TUI Group and AI-powered trip-planning service Utrip teamed up to create a personalized trip planning service. This sophisticated online tool asks travelers to rate their preferences across categories, including “Nature & Adventure,” “Food & Drink,” “Shopping,” and “Relaxation.” Additional filters such as “Traveling With,” “Trip Style,” and “Trip Purpose” help to refine things further.

Utrip’s artificial intelligence algorithm then sifts through millions of potential combinations and serves up a personalized day-by-day itinerary for the entire trip.

Along with a helpful itinerary map, travelers can add more activities to personalize their trip.

Personality Hotels (a collection of boutique hotels in San Francisco and the Bay Area) also use Utrip to offer their own itinerary-planning service. The interface is different but the premise is the same.

It’s easy to see how families or business travelers with limited time might find this tool especially appealing. Not only does it eliminate the need for meticulous research, it seeks out appealing activities and experiences that might otherwise be overlooked.

For travel brands, AI-powered trip planning offers the ultimate way to inspire customers and keep them engaged on their website for longer, increasing the success rate of converting visitors.

2. Hotel bookings

Booking friction is a major issue for hotels. A recent report on European booking trends found that abandonment rates are soaring: only one in twenty would-be hotel bookers end up making a reservation.

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