Data Analytics brings endless opportunities for the travel industry. A large amount of valuable data is generated at every stage of a trip and with a lot of people travelling around the globe, this data can offer significant insights. Travellers buy stuff online, create an itinerary, save dates on calendars, use GPS to reach their destination and so on. At every stage of their trip they leave a data trail. The experts now analyse this data and infer various insights to enhance the customer travelling experience.
However, collecting this data and connecting it is a bit of a challenging task for the data analysts, but the discernments obtained can revolutionize the travel industry and make this venture a profitable business than it was ever before. There are several ways in which data analytics is currently assisting the travel industry to do better and meet its goals.
Designing an Effective Business Strategy
To build an effective business strategy it is important for an organization to be aware of its customer base and its preference. With the help of data analytics and predictive analytics tools, the data collected in the form of feedbacks, customer reviews, social media posts etc. is utilized to infer the behaviour pattern of the customers. This, thus, causes the organizations to comprehend their customer’s needs and offer services that will bring them more benefit. The bits of knowledge are utilized by the firm to tailor customized plans for its clients. Better services offered by the firm not only help to retain the loyal customers but also boost the sales and improve reputation.
Let’s You Stand Out in the Crowd
When a travelling firm uses data analytics to distinguish itself from its competitors, it is able to create lucrative offers that cater the needs of the clients and at the same time help you to gain an edge over others. For instance, Amadeus (a Global Distribution System) allows its users to ask simple travel related questions without entering any personal details. The questions can be as basic as – When will I get the cheapest flight to Italy? Or is it possible to travel somewhere in just 700 $? These type of services make it very convenient for the users to clear their travel-related doubts and get a reliable advice. Once a customer starts to trust the product, he/she will definitely return to use it and in the process become a loyal customer. However, to retain the customers is another challenge that must be carefully dealt.
Improve the Pricing Strategy
While planning a travel, money is one of the major concerns. People spend hours and days to find that one tour package that can offer them the best deals without cutting a hole in their pocket. But how would the firms know beforehand that what the customer wants from them?
The simple answer could be data analytics. All searches made by the visitors’ on a firm’s website can be used to infer the budget that major chunk of people can afford to travel. Keeping this in mind a well-tailored travel plan can be devised and placed on the website. This is the strength of applying data analytics, you can predict what will happen next. For instance, firms like KAYAK have been using data analytics to forecast the changes in flight prices for the coming seven days.
Taking Better Decisions
Taking upright decisions is one of the key aspects of improving a business. With the help of data analytics, travel planners are able to draw better choices based on real predictions and not just intuitions. Data analytics allows the firms to develop customers’ profiles and thereby helping them to accurately target the market campaigns. As per Forrester, data analytics tends to increase the customer responsiveness up to 36%. Being able to comprehend the demand of the customer and recent ongoing trends in the market lets the companies peep into the future and perform accordingly. The famous Nippon Airways uses data analytics to optimise its cargo management system thus making it one of the largest airlines in Japan.
Making the Tough Easy
Having data analytics at your disposal prevents painful losses and enhances revenue for the travel industry. To understand this, consider a situation where there is a group of people who have their bookings to fly from the USA to London the next day, but due to some reasons the flight got cancelled and all their bookings will be wasted. In this case, the group is ought to give a negative feedback to the airlines for not giving them a prior notification or for being dissatisfied with their services. In such a scenario, you may use the power of data analytics to warn them of the flight cancellations or help them choose a travel plan that is more certain.
The Final Words
People will always look forward to go on a vacation and spend quality time with their friends or family and therefore travel will never go out of trend. So if you are the owner of a travel agency or are related to the business in any form, the opportunities for you to help your traveller achieve the absolute holiday are endless. Incorporating data analytics into the business will offer you insights that will empower your growth. Expert groups, like DataToBiz, can help you analyse the customer data and let you know where you need to add value so as to come up with a never-like-before experience for your client. If there is a problem, they can find a way to resolve it, just by drawing an efficient evidence all data could bring out, analytics tools and expert methods being their path. The professionals here hold expertise in the field of machine learning, data analytics, predictive analytics and artificial intelligence. If you are looking for specialists that can assist you in implementing data science into your business, contact us