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7 Advantages of AI in the Travel Sector

  • Ashesh Anand
  • Feb 18, 2022
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Since its inception, AI has advanced in a variety of fields. AI is also being used to change the travel business, which is constantly changing. As a result, travel organizations today heavily rely on AI-powered products and solutions for a variety of operations, ranging from trip planning to arriving at the destination.


Using examples, you will understand how AI has altered the profitable travel business in this blog. We'll also go over the latest AI developments that travel companies should be aware of to stay competitive.


Also Read | Top Travel Companies in India


AI in the Travel Sector


AI's ability to perform tasks that have traditionally required human cognitive function has made it particularly useful for those in the travel industry, as it can save time and money while potentially eliminating human error and allowing tasks to be completed quickly and at any time of day.


To create their reputation, most hotels and resorts rely largely on providing exceptional customer service, and AI technology can help in a variety of ways. AI, for example, may be utilized to improve customization, tailor recommendations, and ensure quick reaction times even when staff is unavailable.


AI has progressed to the point that it is routinely employed to assist and communicate with clients, 'learning' from each interaction and subsequently improving future interactions. Furthermore, AI can help with duties such as data analysis, calculations, and problem-solving, all of which can be beneficial to hoteliers.


Also Read | What is Virtual Tourism


Advantages of AI in the Travel Industry


The travel sector can benefit from AI in a variety of ways. In the field of travel and tourism, AI makes the traveler's experience more comfortable and convenient. AI takes care of everything, from predicting travel preferences and customization to trip planning.


In this article, we'll look at how AI is benefiting customers in the tourism sector.


  1. Customized Travel Planning


According to market surveys, 30% of tourists plan their next vacations using cellphones or systems. And, according to 50 percent of tourists, they don't need a guide for their journeys because smart travel apps will guide them throughout their voyage.


Whether it's a romantic or adventurous trip, clever AI-powered travel software can design it according to your preferences. Several travel firms are investing in AI and providing customized services to their clients based on their preferences.


Travel companies are investing in AI to deliver personalized trip planning services. During their stay, the corporations also provide complimentary amenities such as food and drink, hospitality, and so on. 


As a result, AI enables travel agents to deliver better service and, as a result, attract more consumers. Customers can also use AI technology in travel to find new places to visit, experience new activities, and so on.


  1. Online Customer Service with Chatbots


One of the most intriguing applications of artificial intelligence for hotels and other tourism organizations is giving online assistance to consumers. Chatbots on social media sites and instant messaging apps, in particular, have already seen broad acceptance.


When AI is used in this way, it can answer inquiries and provide useful information to customers even when a customer support representative is unavailable. Customers are demanding faster and faster response times on online platforms, and AI enables businesses to meet these demands in ways that people could not.


Watch this: How Artificial Intelligence will impact the Future of Tourism

  1. Data Analysis and Processing


Finally, it's critical to recognize that AI's applicability in the travel and tourism business isn't restricted to customer service. In reality, acquiring and evaluating data in order to make conclusions about customers, business operations, and pricing tactics is one of its most popular and productive uses.


AI's main advantage in this industry is its capacity to sort through large amounts of data rapidly and precisely, whereas humans would take substantially longer and perhaps make more mistakes.


  1. Intelligent Baggage Handling


Every year, airports handle millions of luggage. SITA, an airport IT company, is utilizing AI to improve airport baggage handling systems. In the future, airports may be totally automated thanks to robotics and AI, and misplaced luggage will be handled intelligently. 


AI technologies have already been applied in some airports as part of pilot projects. The Eindhoven Airport, for example, has successfully implemented AI-powered luggage handling technologies that do not require baggage labels.


Also Read | How does AI help in customer service


  1. Brand Management


When a user wants to learn more about a firm, they will go online and read reviews about it. Customer reviews on the internet are always important in building a brand's reputation. Negative feedback can be detrimental to the brand.


In the travel industry, AI aids corporations in monitoring customer evaluations and comments on social media platforms. It enables firms to automatically track their brand's position in the market.


Hotels and airlines, in particular, can use AI in travel to respond to unfavorable comments and monitor market trends. They are also capable of analyzing customer requirements. It assists travel agencies in enhancing their brand, sales, and earnings.


  1. Dynamic Pricing


You may see a price increase if you search for a flight or hotel multiple times. As a result, buyers will not prefer to purchase tickets at significantly higher costs than usual. Dynamic pricing tools powered by AI can help you here. 


The technologies use predictive analytics to examine competitor prices faster and provide appropriate quotes. A technique like this could help travel businesses attract more customers.


  1. Facial Recognition


Facial recognition is another AI technology that is gaining a lot of traction in the travel industry. Facial recognition software captures, analyses, and compares patterns on a person's face to identify or authenticate their identity. 


It processes biometrics data and generates filters that convert face details from an image into numerical features using artificial neural networks. The machine then compares these characteristics to a database to see if they are similar. 


Many airports across the world, for example, have begun to use facial recognition technology to allow travelers to get through check-ins and document inspections more quickly and easily. For a paperless boarding experience, JetBlue Airways uses facial recognition. 


The carrier installed fully-integrated biometric, self-boarding gates in certain airports across the US, including New York's John F. Kennedy International Airport, in collaboration with US Customs and Border Protection (CBP) (JFK).


Also Read | Applications of IoT in the Travel Industry


What Does the Future Hold for Artificial Intelligence in Travel?


According to the International Aviation Transport Association (IATA), air travelers would reach 8.2 billion by 2037. While passenger numbers are increasing again, the global pandemic has surely altered this forecast. 


This is only one example demonstrating how tough it is to precisely foresee the future. Attempting to do so, on the other hand, can provide a picture of what to expect. Let's take a look at the three most important AI trends in the travel business.


Watch this: How AI Will Disrupt the Travel Industry




Finally, the travel and tourism business has experienced an explosion of AI applications across the board. In this essay, we looked at several common AI applications and how they work. 


As previously said, whether traveling by air or water, there are possible ways for passengers and travel businesses to use AI to make the voyage more effective and smooth while also increasing consumer happiness.

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