Blockchain Could Provide Solutions
The global travel, tourism, and hospitality industry generate trillions of dollars of revenue per year. The worldwide market has seen steady growth and is expected to see continued growth until 2030.
In 2016, the travel and tourism industry added 208.9 billion U.S. dollars to the GDP in India, nearly 10% of the countries total Gross Domestic Product (GDP). An estimated 8.8 million foreign tourists arrivals occurred during the year. The only country which garnered more revenue from tourism in the Asia-Pacific region in 2016 was China.
The tourism sector also employs over 25.4 million individuals in India, proving to be a major contributor to the overall Indian economy.Data modeling suggests the importance of tourism will increase over the next decade, contributing a higher percentage to the GDP and providing more jobs for the citizens of India.
Recent studies have shown significant patterns regarding the world's two youngest generations. Authenticity is consistently mentioned as being a key factor in place of employment, consumer choices, and even influence the brand's millennials and post-millennials support.
This transfers over to expectations from the travel industry, along with the on-demand availability of important information in a digital format. Travel providers are currently lacking in delivering an authentic and personalized experience to consumers who expect such interactions in their travel experience.
A Deloitte report explains the issue, "Much of the data travel companies need to achieve true personalization already exists. Leveraging it, however, requires a shift in how companies and organizations break down data siloes in ways that are beneficial to everyone involved. And, of course, consumer data privacy issues will remain a hurdle."
Multiple companies are currently focused on incorporating various forms of artificial intelligence, instead of paying attention to the current global trends. Brands like Chozun use blockchain technology in order to deliver modern solutions to consumers who want an authentic and personalized experience, instead of the repetitive experience delivered from current AI.
The peer to peer nature of blockchain allows for consumers to interact with other travel enthusiasts, learn more about their travel destination, book travel plans, and be a part of a healthy ecosystem.
While the use of such technology is in its infancy, younger generations are likely to be receptive to technology which resembles familiar social media.
Privacy concerns related to security breaches and the unethical selling of user data, blockchain technology provides enhanced security measures which could also help attract users to new platforms.
The travel, tourism, and hospitality industry is a growing sector in India and across the globe. While there are numerous agencies competing in the vertical there remains room for improvement. Blockchain technology opens the doors to younger generations who want a more comprehensive experience when they are making travel plans.