According to Gregory, AI-driven automation in the luxury villa rental industry, in particular, is something she’s cautious about. In fact, she feels luxury travel companies should carefully consider its application in this area, or risk losing the highly-personalized interactions that set their services apart in the industry.
“We have clients spending £10,000 a day on a villa, and it’s unlikely that they would make that kind of booking if their main interaction is with a bot.” Gregory says. “No matter how advanced AI might become, I don’t think it will ever be good enough at crafting the unique responses demanded by our clientele.”
In light of the evolution of AI and its increasing uptake in the travel industry, Gregory shares her expert opinion on the place it has in the luxury travel and rental spaces, and what companies should be most conscious of to ensure their clients’ needs remain a priority.
The Shortcomings of AI in Luxury Travel
According to Gregory, while there are areas of concierge services where travel agents have begun to enlist the support of AI for efficiency, it’s still important to take everything it offers with a pinch of salt, even despite its promising advancements:
“For processes like itinerary planning and researching local tourist information, AI will only ever be as good as the content it finds online, and there’s a lot of outdated information online,” Gregory notes. “While some people might think AI software’s ability to pull insight from all corners of the internet is an advantage, it’s easily overlooked that this may actually be working to their detriment. For example, if an article on the internet is several years old and some recommended restaurants no longer exist, it’s important for experts to recognize these changes and be on hand to offer more accurate, up-to-date insights – something that local and first-hand knowledge ensures.”
Rebecca Nayler, The Luxury Villa Collection’s Guest Experience Manager, also adds that it’s the lived experience that travel experts and concierge professionals can offer which AI can’t compare to.
Nayler has worked in luxury travel for seven years and lived locally in Spain for 13. Since joining the Luxury Villa Collection in 2020, she has offered on-the-ground support to clients during their stays to ensure an elevated level of service.
Nayler adds: “When I’m planning an itinerary with a client, I can often recommend a restaurant based on the fact I’ve been there recently, personally vouching for its level of service and atmosphere. Having lived in Spain for 13 years, I also know the touristy places to avoid, and authentic local places to recommend. When clients are parting with significant amounts of money, I’ve found that this firsthand knowledge and lived experience can serve as the reassurance they need in an increasingly automated world.”
However, Gregory’s main concern comes from the fact that agents are neglecting the depth of understanding and human knowledge needed to offer the elevated experiences promised by luxury travel, as brands gravitate towards a larger reliance on technology and AI:
“I’ve previously seen well-known global brands have villas listed in the wrong location in Spain, and agents having little to no knowledge about the destinations they were offering to their discerning clients,” she says. “When we list villas, we go through several laborious steps and continual checks to ensure we sell them to our clients correctly. From pre-vetting to video calls with owners, personal visits to villas before listing them, and twice-yearly checks following that. Guests are gratified to know we’ve stepped foot inside the houses they will stay in. It’s becoming increasingly common that villa companies have changed from a personal listing model to simply being an OTA that uploads villas remotely without visits. It’s this shift that’s leading to a lack of ingenuity and authenticity, which is what luxury travelers still seek more than ever. They want to know they’re in the hands of experts, and feeling as though they’re not – which I suspect is becoming more common in the AI revolution – will be detrimental.”
Why Personalisation Will Remain The Gold Standard for Luxury Travel: “It pays to prioritize clients with personalized service, even if it takes time!”
Gregory shares that it’s the level of personalization that luxury concierge services can offer without the use of AI that can now give companies the edge they need in light of the AI revolution:
“It may be tempting for luxury travel providers to follow the trend of using AI to streamline concierge services. But, true luxury lies in delivering a personalized and authentic experience. So, instead of blending in, brands should go against the grain by embracing these values – giving them an edge in a now AI-dominated world. It pays to prioritize clients with personalized and meaningful service, even if it takes time!”
She adds that luxury concierge services without the use of AI have the human ability to build meaningful and long-lasting relationships with clients, from recognizing and remembering their favorite cuisines and specific intolerances, or even the circumstances surrounding a getaway that AI wouldn’t be quick to recognize.“It’s these emotional subtleties and intelligence that AI can’t pick up on.”
The same applies to cultural nuances, Gregory adds. While AI might be able to assume the general needs of luxury travelers, its ability to understand and detect the subtle etiquette expectations and traditions of different cultures – particularly as these can differ on an individual level – isn’t present.
“This is a huge consideration for us, as we have clients from all over the world – from Europe to the UAE, and North America. We immediately know what we need to do to deliver the best level of service for our clients based on their cultures and traditions.”
And with luxury travelers having more specific and sometimes complex requests to make their travel experiences all the more special and personalized, AI ultimately lacks the creativity and connection skills needed to make these requests a reality, Gregory shares.
“Whether it’s sourcing a rare bottle of vintage wine from Spain or organizing special access to an exclusive vineyard or restaurant, AI can’t handle these requests with the level of finesse a luxury concierge can.”
Is There Room for a Balanced Approach to Technology in Luxury Travel?
While Gregory feels strongly about keeping AI use to a minimum when delivering luxury concierge services, she does believe that there is a future for a more balanced approach to AI and technology in luxury travel.
However, at present, she feels this balance is being overlooked now in favor of the use of AI across several channels in luxury companies:
“For example, pre-loaded responses from chatbots are being increasingly used, but they’re unable to stand up to the sheer variety of requests and nuance that comes with individual clients. We once had a client ask us if we could find a Golden Retriever for their daughter to rent during a holiday – this is something a chatbot would struggle to execute properly. While AI has proved useful for streamlining things like administrative processes, saving a considerable amount of time for companies, the core of luxury concierge services should – in my opinion – be left untouched by AI.”
Lindsay explains that it’s important for luxury travel companies to first identify what’s irreplaceable, rather than shift their focus to how AI can completely transform their businesses, .
“What’s irreplaceable are the services that offer genuine value, intuition, and human expertise, as well as develop personal relationships that can pay back for your brand exponentially later down the line. This is where concierge services lie.”
For luxury travelers, desires have stayed the same: a want for luxury brands they can trust and who can offer a level of personalized service that’s perfectly fine-tuned to their wants and needs.
“We should be protecting concierge services so we can continue to offer the exceptional level of service luxury clients want and deserve, instead of taking an ‘AI fits all’ approach.”
