Joanne Bowden is chief technology officer at Diversity Travel
Every organisation knows that people are its most valuable asset. So when asking that asset to travel on behalf of the business, ensuring their safety and comfort is paramount.
The rapid progress of artificial intelligence (AI) has supercharged much of modern life, and the travel industry is no different. By simplifying and speeding up the booking process, enabling data to be processed more efficiently, presenting traveller options, informing travellers of changes to itineraries in real time, and managing requests better, AI has transformed the sector, and that's just the start.
According to data from the Travel Tech Show, 56 per cent of European travel companies are planning to invest in AI over the next year, and 62 per cent say they will increase their budget in that timeframe. Meanwhile, almost half (43 per cent) of travel management companies say they're excited about the potential of AI driving innovation across the sector, according to a recent survey by the Global Business Travel Association.
AI systems excel at scanning for dynamic pricing, ensuring compliance with travel policies, reducing carbon impact, and detecting fraud. These capabilities make the booking process more efficient and cost-effective, but its potential use cases are prolific.
However, when it comes to duty of care and clients needing assistance, the human element becomes essential. In critical and unforeseen moments, speaking to a real person who can provide immediate, empathetic assistance makes all the difference, which is why many companies invest in people in parallel with new technologies.
With many corporates travelling to regions affected by natural disasters and conflict, the element of safety takes on even greater importance. Similarly, students on study trips need a human at the end of the line if something goes wrong far from home.
There isn't a business in our sector that hasn't incorporated AI into certain systems to improve efficiency, but this shouldn't be end-to-end or entirely customer-facing.
As AI becomes increasingly integrated into our everyday lives, understanding both its capabilities and limitations is crucial – particularly in the travel sector. Planning corporate or even leisure travel is inherently personal, often complex, and requires careful consideration of duty of care obligations. This is where the human touch becomes invaluable.
While AI excels at processing vast amounts of data and identifying patterns, it cannot fully replicate the nuanced understanding and empathy that human travel consultants provide. Complex itineraries, last-minute changes and emergency situations all benefit from having experienced professionals who can navigate unforeseen circumstances with knowledge and compassion.
Travel management companies must establish robust governance frameworks to ensure AI is deployed responsibly. This means implementing safeguards to eliminate bias in AI algorithms and clearly defining appropriate use cases. Developing effective AI implementation requires specialised skills.
TMCs need either in-house talent or trusted partners who understand both the technology and the unique requirements of the travel industry. Maintaining this expertise through continuous learning and development is essential as AI evolves at a rapid pace.
It is important to carefully align technology strategies with business objectives. TMCs can use AI and automation to enhance their employees' experience by handling routine tasks, freeing consultants to focus on complex activities where human expertise adds the most value. Technology validates information and flags potential issues, but critical decisions remain in human hands.
AI can effectively organise data to help agents manage requests more efficiently, but the information should always be validated by a person. Agents know their customers and their situations better than even the best trained machine.
Beyond improving efficiency and personalisation, AI is playing a crucial role in making sustainable travel more accessible too. Airlines are leveraging sophisticated algorithms to optimise flight paths, reducing fuel consumption and carbon emissions. These systems can analyse weather patterns, air traffic, and aircraft performance in real-time to determine the most efficient routes.
Hotels across the globe are implementing AI-powered energy management systems that automatically adjust lighting, heating and cooling based on occupancy and the time of day. Some properties have reported energy savings of up to 30 per cent after implementing these technologies.
Blockchain technology is also creating new possibilities for sustainable travel platforms that allow travellers to book more environmentally friendly options and transparently track and offset their carbon footprint. The immutable nature of blockchain provides confidence that sustainability claims are verified and accurate.
TMCs need to explore how these technologies can help their clients meet their sustainability goals, but without compromising on travel experience or safety. Use AI as an enabler and for those shortcuts that can streamline bookings, but trust the critical judgements and risk assessment decisions to humans – backed by technology – for the best possible travel experience.