The Role Of Chatbots In The Future Of The Travel Industry

By Travel Destination 02 Feb, 2023 Post a Comment

Chaim Heber, Founder of Entri, a next-generation NLP-powered conversational platform pioneering frictionless travel and visa documentation.

Travel Planning Is Trapped In The 20th Century

Nothing is more popular than that which is easy. Modern-day consumers want maximum results with minimum effort. Across industries, providers are meeting the demand by offering almost anything on Earth through the effortless click of a button. In 2022, it is futuristically easy to acquire groceries, stocks, taxis and entertainment. In stark contrast, travel seems trapped in the 20th century.

Most globetrotters are frequently frustrated by the cumbersome process of reaching a desired destination. Long waits, inaccessible customer support, complex document and visa requirements, the lack of real-time updates, and rapidly changing health and Covid-19 regulations can throw off even the most experienced traveler.

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Historically, both airlines and governments are notorious for incompetent technical abilities and outdated user experiences. Sites ending in .gov tend to have the same aesthetic appeal and functionality as an antique computer. Airlines commonly put callers on hold for longer durations than the flights they are seeking to book.

As travel explodes in a pandemic-transformed world and travelers are seeking an easier travel experience, airlines, governments and even third-party travel services must dramatically rethink their approach to customer satisfaction. The organizations that succeed in tomorrow's travel landscape will be those that place their customers first today.

That's Where Chatbots Come In

Chatbot technology uses natural language processing (NLP), which relies on AI-trained models to accurately understand and respond to users.

Until now, chatbots were limited in their usefulness; they could provide basic information in response to specific prompts before transferring customers to live representatives. With the introduction of NLP, however, chatbots are becoming more nuanced and advanced.

What was once a rigid and clumsy technology is beginning to replace mobile apps and websites and is quickly on track to become an indispensable element of the modern customer experience.

Chatbots can simplify and improve the systems involved in travel. They can allow customers to directly communicate with companies and government offices, reducing wait times and providing a fast, intuitive and seamless customer experience. They can instantly complete tasks, gather data and solve issues—all without requiring human input. According to a Userlike survey, 68% of users enjoy the convenience that comes with using chatbots and how quickly they receive a response.

On the providers' end, chatbots can effectively slash costs by cutting down the need for more employees. According to a study by Juniper Research, chatbot-based interactions were estimated to double retail sales each year, from $7.3 billion in 2019 to $112 billion by 2023.

Having recognized the incredible efficacy, versatility and potential of chatbots, many major enterprises have found ways to integrate the technology into their own customer experience systems.

Mastercard has reduced the need for human resources by incorporating chatbot technology. Uber and Lyft have incorporated chatbots to take the hassle out of ordering taxis. KLM has trained chatbots to answer thousands of questions and has integrated the service into its customer relationship management tool to improve customer satisfaction. Entri.io reduces the e-visa application process from hours (or days, or weeks) to minutes by providing a chatbot-powered visa application travel documentation platform. Customers simply answer a couple of questions via WhatsApp chat and complete their visa applications within a matter of seconds.

According to research by Meta, seven out of 10 consumers report feeling closer to businesses they can message, and 65% of consumers prefer to contact businesses via chat. Additionally, Zendesk research found that 75% of customers are willing to spend more to buy from companies that give them a good customer experience.

There are several specific steps that players in the travel industry can take internally to prepare for the transition to a chatbot strategy. Here is a list of some of those strategies.

1. Identify the specific areas where chatbots can be most effective in improving the customer experience, such as in providing real-time updates, answering frequently asked questions, and handling simple tasks like booking flights or checking in.

2. Train employees to work alongside chatbots and support the transition to a chatbot-powered customer experience. This can include educating employees on the capabilities and limitations of chatbots as well as providing them with the necessary tools and resources to support customers using chatbots with human takeover.

3. Implement new processes and policies to support the use of chatbots, such as defining protocols for when to escalate customer inquiries to a human representative and how to monitor and improve the performance of the chatbots over time.

4. Establish a dedicated team or department to oversee the development, implementation and management of the chatbot strategy. This team can be responsible for setting the overall direction and goals for the chatbot strategy as well as coordinating with other departments and teams to ensure that the chatbots are integrated seamlessly into the existing customer experience.

Overall, the key to success in implementing a chatbot strategy is to have a clear plan and to involve all relevant stakeholders in the process, from employees and customers to technology partners and vendors. By taking these steps, players in the travel industry can position themselves to effectively leverage chatbot technology and improve the customer experience in the coming years.

As customers seek a smoother experience, the phenomenon of personalized virtual assistance is anticipated to disrupt just about every industry—specifically travel.

Chatbots can cut down on the time, hassle and frustration that millions of customers experience every single day and simplify an overcomplicated, overburdened system. Every time you use any of the thousands of chatbot-powered services, you are looking directly at the future of the travel industry.

Travel doesn't need to be complex or headache-inducing. With the introduction of chatbots, travel can become frictionless.

Almost like vacation itself.

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