22 Dec

Wireless Internet: Advancing the Travel Experience

Travelers in this digital era expect information and personalization whenever and wherever they travel. As time is a scarce resource, staying connected 24*7 has become a common feature of travel. Wireless internet technologies along with mobile devices have contributed a lot to transform the entire travel experience. According to iSuppli Corp., an US-based market research firm, in September 2010 the worldwide subscription for wireless services reached 5 billion, which equals 73.4 percent of total global population. Additionally, International Data Corporation (IDC) states that the smartphone market witnessed a 79.7% growth in the first quarter of 2011.

This proliferation in the adoption of wireless technology and mobile devices has created two converging trends that made the travel process less “situation specific” and more “anytime, anywhere”. Mobile devices, smart phones and tablet PCs are blurring the line between phones and computers. Wireless internet technology improves the traveler’s experience from researching about a destination to choosing a flight, hotel and ground transportation. Now people don’t need to visit a travel agent’s office physically or sit beside a desktop PC for destination search or booking of flights and hotels. Mobile wireless services have enabled them to do all these on the go at their own convenience.

While the technological advancement facilitates a pleasant experience for the travelers, it also creates ample opportunities for the travel service providers to easily target the niche markets. According to PhoCusWright report, 35% of the mobile users prefer to book their flight tickets using their mobile devices. Thus, most airline operators have their mobile applications that help consumers book their flights along with other ancillary services easily. The mobile broadband on demand service fulfills its promise of always-on devices and always-connected travelers, which in turn provides utility, convenience and facilitates superior customer experience.

Wireless internet technology also has its impact on destination services. Organizations dealing in travel, tourism and hospitality business are offering destination based contents that help travelers to navigate the location. Reports show that 60% of the travelers share their location to get better information and better deals at their fingertips. Further, it becomes clear from the market surveys that sales and promotions are the two most important information types that mobile users often look for while in a holiday.

According to the market experts, the demand for mobile wireless services with multi-device connectivity features would double up in the next three years. With sustainable growth in global trade and commerce, the international business interaction is also increasing. For the corporate travelers, a reliable internet service works as lifeblood that keeps their business growing. Most business travelers prefer pay-as-you-go mobile broadband plans; these are no contract internet plans that help users save a lot on connectivity cost, while relieving them from the hassle of hunting internet services when in an unknown place.

Wireless data services have increased public access to the internet, empowering the travel product suppliers to sell their products/services directly to the potential consumers. In the recent past 4G internet services has been introduced, which took the surfing experience to the next level. By using advanced technology, the telecommunication providers made it easy for the travelers to access their online content from anywhere at any time they want.

3 Dec

Ask Your Local Travel Guru: What’s New on the Travel Industry Wire?

As a travel guru for many years now, I have seen the travel industry wire adapt in so many ways. As you already know, we now live in a world with instant and infinite amounts of information, right at our fingertips. Like everything else, the travel industry has adapted, grown and cultivated a new identity with our present day world of information. Until beaches start disappearing and people can be teleported across continents, there will ALWAYS be the want and need to visit our regular and new destinations.

The travel industry plays a substantial role in the global economy. During 2015, the travel industry wire forecasts global GDP to grow by 3.7% and employment by 2.6%. This demonstrates the sector’s enduring ability to generate economic growth and create jobs at a faster rate than the global economy, which is due to grow by 2.9% in 2015. By the end of 2015, the Travel & Tourism sector will contribute US$7,860 billion, 10% of global GDP, once all direct, indirect and induced impacts are taken into account. The sector will account for 284 million jobs, 9.5% of total employment, or one in eleven of all jobs on the planet. By 2025, the global travel & tourism sector is projected to contribute 357 million jobs and generate $11.4 Trillion dollars. Ask your favorite travel guru and he will show you the various components all contributing to these massive amounts. Let’s check out what the travel industry wire says:

Hotel Industry

Among all the sub sectors of the travel & tourism industry, Hotels is one of the biggest fragments. The travel industry wire explains that hotels generated a global of $457 billion dollars in 2014. Your travel guru has most likely coordinated a recent trip within the Intercontinental Hotels Group. The company contributed the highest revenues, earning $22.8 billion dollars. In the United States alone, the total revenue within the hotel industry climbed to $163 billion dollars. The majority of tourists visiting the United States of America (65.1%) choose to stay in a hotel, where the average daily is a healthy $121.30.

Aviation industry

Although the major corporations, leading sector, seem to always changing names and planes, the industry cultivated a whopping $783 billion US dollars in 2014. Your travel guru may have whispered about some of the airlines not performing, but the industry continues to grow at rate of 7.4% every year. The travel industry wire indicates that Europeans, Americans, Chinese & Brazilians combine for the highest market contributors.

Cruise Industry

Cruises have steadily become a popular choice of travel the past few years. These are an easy sell for your local travel guru… The luxurious ocean liners, offering food, fun & music for the entire family have created a loyal gathering that continues to grow. Due to the growth rate of 6.55% every year, Cruise lines have postured their company growth strategies, by building larger capacity ships, ship diversification, more local ports and more destinations. The travel industry wire indicates that the average cruise traveler spends approximately $1728.00 every year, with over 22 million people jumping on the floating palace. The cruise industry contributes about $39.6 billion dollars in 2014, and is poised for a solid 6-7% increase.

Online Travel Market

Any travel guru, coupled with the travel industry wire statistics, will tell you that the online travel industry has EXPLODED over the past 5 years and will only continue to skyrocket. As more and more people use smartphones and as these smartphones continue to develop into personal super computers, the more information we have, the more we want. Online travel revenue reached $340 billion dollars back in 2011, worldwide and 39% consisted of American bookings. Obviously, the deluge of data & information has contributed to the online travel industry, but hotels and hotel broker websites have been the main proponents to this boom. As everything turns to online information, bookings, etc… the travel agencies, travel gurus and everyone associated with the industry has jumped in. Rarely do you see a corporation dependent on the travel & tourism industry, that hasn’t adapted to the online market.

The Future of the Travel Industry

The travel & tourism industry is an enormous portion of the global economy and will only continue absorb market share. The travel industry wire explains that the sectors and their respective technologies are developing at a rapid rate, procuring the consumer process into a much easier-and faster encounter. Just ask your favorite travel guru.