Against this backdrop, A.T. Kearney highlights two key trends that are changing the travel industry landscape, and driving future success:
- Personalised travel experiences versus mass market. Technology enables the aggregation of consumer data and the use of Artificial Intelligence to learn about traveller behaviour. In addi-tion, it may help to meet individual needs, instead of a more traditional one-size-fits-all ap-proach.
- Seamless travel versus fragmentation. Truly seamless travel will require governmental co-operation and data sharing between businesses: from airports and airlines to destination ser-vices such as hotels, restaurants, and ground transportation.
Based on these two key trends, Amadeus and A.T. Kearney have identified four future-looking world scenarios that travel companies needs to prepare for today, if they are to maximise future growth and success tomorrow:
The Picasso scenario is built on a fragmented world marked by the rise of populism and by heightened security concerns. This has the effect of making more travel destinations off-limits. Even so, most parts of the world enjoy economic growth. Companies invest in innovation to reach more customers through mobile channels, and this interaction enables businesses to provide more sophisticated personalized offers.
The Dali scenario assumes that both social attitudes and economic prosperity create a more fa-vourable environment towards sharing data. This brings about more relaxed privacy laws and lighter regulation, which allows for greater personalisation of travel. Living in the Dali scenario, travel becomes faster, cheaper, and safer. People benefit from less security controls at borders and have real-time information about unexpected events such as flight delays.
In the Bosch scenario, business costs rise across the industry as companies struggle to comply with a mosaic of different legal, tax, labour and data protection laws. We are confronting a fragmented world based on protectionism and distrust. Facing Bosch’s political environment, travellers seek comfort in trusted brands and book directly with well-known travel providers.
The Warhol scenario is characterised by seamless and not personalised travel that considers the implications of strong economic growth in Asia, giving rise to a large middle class with more dis-posable income for travel and leisure. Travellers would rather go for low cost, mass-market trav-el instead of having personalised options even in a world free of barriers.