Expert Views (10)

The big OTAs like Expedia/Bing and Booking are already using gen AI tools to expand searches to trip itineraries, eg Bing's Copilot. It's still early days as the Bing tool clearly just does keyword searches and then uses OpenAI to write a (good) narrative based on the results. Eg in a recent test it admitted that it just used the keywords "Tenerife itinerary 5 days hill walking authentic Spanish towns" despite me giving it much more guidance on what I liked/didn't like. Also, only a few of the hotels suggested were clickable, and it was clearly "borrowing" suggestions from existing travel sites, albeit with citations. For simple itineraries, this might work, but I can see myself reverting to human-written content from respected tour agencies quickly. The big question is - can the OTAs monitise this? Gen AI is much more computing-intensive than standard searches, eg perhaps 10-100 times more CPU. I'm used to free "terse" search engines (powered by ads) as are most of us, so we won't pay more for "wordy" search, so who is going to pay for all the extra CPU? Not the advertisers either I suspect, as they may not see better PPC revenue.

While a ton can be said about the various ways that AI will affect travel, one specific behavioral adjustment we will see is the resurgence of voice-based interactions. After all, what's easier to do: talk or type?

For most, we can speak a lot faster than we can plug information into a computer or phone. Moreover, we can get into the specifics right away, rather than having to find what's relevant or narrow it down within a live chat interface. The key word is pick out here is 'faster' as an instrumental part of the digital experience is convenience. And when optimizing for convenience, voice usually wins but the problem up until now has been that this channel comes with a big cost (that is, headcount to monitor the phones).

Hence, to boost convenience for travelers, a voice-based AI layer (such as what's happening with Conversational AI) overtop of a website, app, digital signage or the existing phone channel will add immense value to the guest, both prospective and during the prearrival/onsite phases, because rather than type in what they are inquiring about or browse a site, they simply speak with a bot and get exactly what they need. 

I generally agree with this forecast, Simone.

My long held view is that the more technology becomes 'conversational', to use the current en vogue term, or voice enabled, which has long been my bent, the more friendly and accessible technology becomes.

Ultimately our simplest and most familiar method of communciation is voice. For the most part it does not require additional skills or specific knowledge to simply speak in ones own language. Keyboard and buttons are only a recent tool in terms of human adoption.

As a result we wil eventually communicate with all technoligy in this way. As search engines so often sit at the early stages of technology use, we will be happily chatting away through some type of 'ChatGPT' capability.

When considering that reality from a generational perspective, I think it is an extremely valuable and important development, particularly for aging populations. The simplicity of voice communication would contribute to a more inclusive and user-friendly technological landscape.

It won't take us too long to revert from keyboards and other recently adopted input devices!

The potential impact of GenAI in the UI for travel interactions is indeed profound. As conversational platforms like ChatGPT evolve, they could become central hubs for travel-related content, significantly altering the internet's structure and user interface. This paradigm shift from an informational to a generative web, pivoting from traditional HTML-based UIs to those driven by Large Language Models, is noteworthy.

However, it's crucial to recognize that conversational interfaces, while revolutionary, represent just one facet of AI's application. The future of web interaction is unlikely to be monopolized by any single technology, no matter how advanced. Diverse user needs and contexts demand a variety of interaction modes. They cater to different user preferences, accessibility requirements, and complex tasks where a graphical interface is more efficient or enjoyable.

Thus, while conversational AI will significantly influence how we navigate and consume online services and information, it will complement rather than completely replace the rich tapestry of interaction modes that constitute the internet. This evolution signifies not the end of the web as we know it but its expansion into a more diverse, dynamic, and accessible space.

(This post was written with the help of, obviously, ChatGPT).

Absolutely. Artificial Intelligence (AI) is already making significant changes across various industries. Conversational technologies like Chatbots, for example, have become a staple in the travel industry. 

A key catalyst in this evolution is the change of hospitality demographics, with Gen Z and Gen Alpha emerging as the dominant guest audiences. These generations are born into and accustomed to smaller devices and generative technology. The shift towards generative platforms or superapps meets their preferences for convenience, accessibility, and speed in navigating the online landscape. 

However, as internet dynamics evolve, challenges emerge, particularly regarding data privacy and compliance. The storage of sensitive and personal data on these platforms may not always align with international or regional data protection regulations like GDPR nor the personal preference of users. 

There is also a growing concern about maintaining the human touch in hospitality. While AI is well on its way to becoming the new travel UI, developing the Human Intelligence (HI) element will require time and continued advancements. 

AI will become the new user interface in travel but ChatGPT and the other conversational platforms will not soon replace the traditional OTAs. We shall have two ways of integrating AI into the booking process:

First, booking engines of OTAs will be integrated into conversational platforms. This means that a customer might be able to book a trip via ChatGPT without leaving the platform that will serve as a one-stop shop for diverse activities – from creating cooking recipes to generating photos, writing poems, and … student assignments. However, these platforms lack the professional expertise to manage the travel booking process that the OTAs have. The OTAs will provide this experience and their booking engines will be available in the conversational platforms. The OTAs will compete to be the default booking engine of the conversational platform and may pay the platform commission for each booking made through it.

Second, the GPTs can be integrated into the chatbots of OTAs to enhance their users" experience by making the conversations with the customers more humanlike.

Which of the two options will predominate? In the short-term – the second option is because customers are already used to OTAs" websites. In the long term, only time knows.

Certainly, I envision that Generative Artificial Intelligence (GenAI) will become not only the next platform for tourism but also for the entire Internet. The tech industry has gone through platform shifts from PCs and the web to smartphones and the cloud, and we're now on the verge of the AI era. This upcoming platform stands out for its exceptional ability to adapt to our natural way of communicating.

Historically, platform shifts have encouraged new business models and created innovative companies, while those unable to adapt become obsolete. This move toward GenAI represents a fascinating transition, potentially marking the final platform shift before moving toward General Artificial Intelligence (AGI). We're in an exciting moment where industry transformation is taking shape, presenting unique opportunities and reshaping the relationship between technology, tourism and its customers and operations. GenAI not only promises to revolutionize the traveler's experience but may also shape a new business landscape with unprecedented innovative potential.

In the realm of hospitality, we are witnessing a paradigm shift from a static, information-based web to a dynamic, AI-driven ecosystem. This transition is not just about technology; it is about reimagining guest experiences and operational efficiency. AI in travel is rapidly evolving from a supporting tool to a central interface, crafting personalised journeys for each traveller.

No longer limited to facilitating bookings, AI now serves as a concierge, guide, and personal assistant, all seamlessly integrated into the travel experience. This transition marks not a distant dream but a tangible reality we are actively entering.

For hoteliers and technology experts, this shift represents an invitation to transcend conventional practices. It presents an opportunity to embrace AI to create more meaningful, memorable, and efficient guest experiences. The future of travel and hospitality speaks the language of AI, promising a landscape where innovation and personalisation redefine the guest experience.

SiteMinder's research indicates that more than 50% of today's travellers are either "likely" or "very likely" to use AI to generate accommodation recommendations – growing to over 85% among travellers from Asia.

Big numbers, which are likely to only rise. And, the drivers behind our partnerships with the industry's leading chatbots, price comparison and other digital marketing tools to open up the full direct booking opportunity for our customers. However, is this openness to AI destined to replace established travel planning methods, or change anything fundamental about the internet's structure? I don't think so. Rather, it highlights a growing expectation among consumers for AI to deliver to them a better digital experience.

Whether this be creating AI travel assistants, or using AI to automate a hotel's workflows and provide actionable intelligence, there's a collective readiness for AI to improve digital moments of every kind. But speed-to-market is very different to value-to-market. I believe AI's true power lies in enabling tourism businesses to drive meaningful innovations from the inside out, so they can be smarter and more efficient in their approaches to revenue management and operations. This is where I believe AI's influence will be most valuable in the years to come.

Google's AI-organized search results will become the norm. Despite a bumpy rollout with the infamous glue-on-pizza incident, the generative web is already reshaping the travel UI.  This shift holds promising implications for hotels and media outlets.

By aggregating travel content, Google could finally diminish OTAs' domination of search results, boosting direct bookings for hotels. Instead of OTAs cannibalizing existing demand with their behemoth marketing budgets ($16B spent in 2023) to appear at the top, hotels may enjoy a more prominent position in Google's AI overviews or the Knowledge Graph.

While a decline in organic traffic (and ad dollars) may pose challenges for many publishers, the shift also presents an opportunity. For those prioritizing audience building, this could be a game-changer. As savvy travelers seek unique content that generative AI can't yet provide, they will subscribe to their favorite media outlets at higher rates. This trend will fuel publishers with first-party data and income that doesn't solely rely on Google traffic for ad revenue.

The best part for hotels? Media brand subscribers who discover hotels in trusted outlets spend more, stay longer, and have higher loyalty rates, making this major shift a potential win-win for the hotels and media.