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What Superapps Could Mean for the Future of Travel

  • Automatic
  • 29 January 2025
  • 2 minute read
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This article was written by Hospitality Technology. Click here to read the original article

image

Then there’s AirAsia MOVE . This app integrates a variety of travel services, enabling users to book flights from over 700 airlines, access 900,000 hotels, and explore options like ride-hailing, dining, insurance, and duty-free shopping. Additional features such as chat, games, gifting, and a loyalty program enhance user engagement. 

Saudia’s Travel Companion combines multiple travel services—accommodation, transport, dining, and activities—into one digital platform. It uses AI for personalized recommendation and eliminates the need to switch between multiple platforms. Going forward, the airline plans to introduce voice commands, digital payment solutions, and global e-SIM connectivity for a seamless user experience.

Data Foundations for Scaling Superapps

A superapp’s effectiveness relies heavily on the depth and richness of user information it can access. To scale gen AI in the context of a travel superapp, a strong technology foundation with data and AI at the core is essential. This involves organizing, consolidating and centralizing siloed data across multiple business units to integrate various data streams and provide greater contextualization. High-quality data availability, security and privacy are prioritized through investment in data management tools and governance policies. Collaboration is important for sharing data and making it more accessible. This could include a safe, central hub that gathers data from real-time bookings, customer preferences, and social media trends. Six in 10 (60%) of travel industry CXOs see most potential for gen AI in product application development and management, but only 18% in creating an end-to-end superapp. 

Trending
Accor reports flat business travel demand

Challenges and Considerations

Some of the on-ground challenges in the shift towards superapp include overcoming barriers such as lack of in-house technology capability, managing rising data volumes and complexity, workforce readiness, and integrating new gen AI systems with legacy systems. However, the report reveals that companies are taking active steps to overcome barriers: eight in 10 (81%) have seen investments in gen AI and automation meet or exceed expectations.

To mitigate challenges, companies also need to prioritize high-quality data availability, security and privacy, and invest in training programs to upskill their workforce. Collaboration with technology providers, academic institutions, and travel consortiums can also provide access to the latest tools, talent, and insights, fostering a culture of innovation and continuous improvement. Setting policies and guidelines to mitigate operational and strategic risks associated with gen AI is also crucial.

While there is still work to be done to fully realize the concept of a travel superapp, it’s clear that many consumers would welcome a solution to the complex nature of travel planning. And though harnessing transformation technologies such as gen AI travel companies have the potential to drive growth by enhancing customer experiences, cultivating loyalty, to ultimately unlock value across every part of the business.

Please click here to access the full original article.

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