As the world evolves, so does the idea of travel. Customer expectations for flawless travel experiences have never been higher—and catering to them consistently has never been more crucial. This is where blockchain technology is causing a major disruption in the marketplace.
As the strain on the IT departments of travel companies increases amid the increasing digitization of services, blockchain in the travel industry has appeared as a knight in shining armor, helping market leaders retain their competitive edge and level the playing field for everyone else.
In this article, we will deep dive into how Blockchain technology is revolutionizing the travel industry, unlocking new avenues for enterprise growth, customer experience and basically everything about blockchain in travel industry.
As you travel, so must your data
Before we go ahead with the applications of blockchain technology in the travel industry, let’s begin with a basic understanding of the aspect of modern travel that encapsulates Blockchain’s need and use cases—information.
Data sharing is the backbone of the travel industry. Be it booking, check-ins, passenger preferences, luggage handling, updates, and lodging—any airline’s digital network is ever pulsating with information being exchanged throughout the framework. And there is no room for error.
With this kind of system comes security vulnerabilities and operational challenges, especially as you scale. And as the value and complexity of customer data increases, so does the sophistication of cyber threats and the approaches of malicious factors.
How blockchain technology works
In simple terms, a blockchain can best be described as a distributed ledger technology (DLT) comprising a list of records (aka blocks) that keep expanding rapidly—and are linked together securely.
How blockchain is changing the status quo of travel services
Bookings, decentralized
The current travel industry is dominated by a small group of online travel agencies (OTAs), and there is a demand for more channels and partnerships that can create improved operational and monetary benefits for the company and the customer.
Enter, decentralized booking marketplaces. This use of blockchain technology in travel industry is breaking new ground for enterprises globally.
Payments, streamlined
A big application of Blockchain technology, just like in the Webjet example above, lies in its ability to make services most cost-effective for all the concerned parties.
Blockchain helps streamline and fast-track the settlements between hotels, travel agents, third-party vendors, and different aggregators.
Identification, simplified
Identification services are crucial for any travel company—and, needless to say, there is no room for error in the matter. This is where the blockchain and travel industry meet, and they meet well. Blockchain can securely store and quickly process passenger data to deliver lightning-fast check-ins that can reduce queues at counters and improve employee and consumer experiences at scale.
Loyalty, incentivized
Tokenized reward programs are the answer to unlocking brand loyalty in today’s chaotic marketplace where options are increasing every day for consumers. In such a system, the rewards can be tokenized into digital assets—and can even be exchanged across different platforms, giving customers more flexibility than ever before. This also gives customers the power to compare the true value of the offerings of different companies.
Learn more: https://appinventiv.com/blog/blockchain-technology-in-travel-industry/
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