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Travelport publishes first annual 2024…

  • Kate Harden-England
  • 23 July 2024
  • 3 minute read
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This article was written by Travolution. Click here to read the original article

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Travel technology firm and GDS has published its 2024 State of Modern Retailing Report. 

It combined international independent research, cross-industry comparisons and consumer insights.

It found that the headline takeaway from the report is travellers find searching and booking travel directly from travel providers has become more time-consuming and complicated than ever.

Travelport estimates that air travel options have gone from about 500 economy or business options available in 2010 to over 10,000 options in 2024 (economy, economy plus, flexi- family, business, first, etc.). That’s a 1,900% increase.

The majority of travelers (58%) feel that the volume of choice is overwhelming, with 56% of travellers say that airline offers are more difficult to understand now than they were 10 years ago.

61% of travellers also believe there are more penalties now when changing a flight than there were 10 years ago, with 66% citing that there are too many hidden fees.

71% of respondents sometimes feel anxious about whether they got the best deal after they’ve booked their trip, while 42% said they feel like airline offers have become ‘less suitable’ over time in meeting their personal preferences.

“Despite travel providers favouring direct-to-consumer connections, the sheer volume of options is overwhelming to travelers, making them less confident in their booking choices,” said Jen Catto, chief marketing officer of Travelport.

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 “Our research found that instead of feeling excited after booking a trip, most travelers are left feeling anxious, wondering if they got the best deal. 

“For the travel industry, this signals a growing need and opportunity for travel agencies. 

“Their expertise in comparison shopping aids travelers in confidently booking the best option, based on their personal preferences.”

The report also found that most travelers (80%) agree that comparing fares from different airlines is very time-consuming, with more than two-thirds (69%) feeling that information is often restricted on some airline booking sites.

When it comes to shopping for all components of their trip, 60% said they spend an average of one to four hours planning, while more than one-third (36%) spend more than five hours searching and comparing options before booking.

Moreover, 88% agree they would prefer to see all flight options and fares on one screen, which is likely the reason that more than half (54%) said they frequently use a comparison site to search for information before purchasing their ticket.

The majority of Millennial (70%) and Gen X (64%) travellers often use OTAs to book, citing choice and price transparency as the primary reasons.

Travellers are also now looking to AI for more than just a chatbot, and agencies will increasingly rely on their technology partners to implement AI and machine learning (ML) in creative ways, such as Travelport’s Content Curation Layer.

The report found that amenities that matter the most when booking flights are luggage allowance (63%), cancellation and change policies (50%) and seat selection (50%).

63% of respondents stated that they feel airlines do not put the customer first when it comes to customer servicing matters (flight cancellations, exchanges, etc.)

While the hotel features that were cited as most important to travellers were Wi-Fi availability (48%), complimentary breakfast options (47%), and hotel facilities (45%).

When it came to international insights, dynamic pricing and offers among US-based airlines could be complicating the retailing experience for American travelers, as more US respondents (49%) feel shopping for flights takes more time than comparing hotels (40%), car rentals (8%) and restaurants (3%).

47% of US travellers feel like airline offers are not customised to their needs, compared to travellers from Germany (34%), South Africa (35%) and the UK (45%).

The report found hotel shopping is the more time-consuming experience for travellers from Germany (52%), South Africa (54%) and the UK (59%).

“Travel providers are continually refining and expanding their offerings to fit their customers unique needs and preferences,” Catto added. 

“Prioritising partnerships with agencies will ensure a truly personalized service to their travelers. That will make the shopping experience seamless for all.”

 

Please click here to access the full original article.

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