Personalization and Ancillaries in Travel
Personalization and ancillaries in travel are very important yet often overlooked ways of offering great services to customers and earning their loyalty. A study was carried out on 2,000 travelers in UK to understand what they expect from travel brands and what they are willing to pay for when personalizing their trips with additional items. Surprisingly, customers are ready to pay the extra money and reveal personal information to avail personalized services. So why are hotels and airlines not reaping the benefits? Or are they are doing enough to benefit from it?
Let’s look at the study carried out by Sabre to know more –
What is personalization to the customer?
For customers, personalization is –
- Companies addressing customers with their names instead of a generic template.
- Companies sending only offers and services that are very specific and relevant to the customer instead of sending generic offers.
- Companies knowing customers’ past history and reflecting the same while corresponding with them.
- Companies sending offers and services relevant to their location.
About 69% of travellers think it is important to get travel options, deals and offers tailored to them based on their travel history and preferences.
Which age groups are targeted the most?
The banking sector still offers the most personalization to age groups of 16-24 years and 55+ years followed by the hotel industry that offers personalization to about 17% of 16-24 aged people and 25% of 55+ aged people. Airlines lack here as well by targeting just 6% of 16-24 aged people and 12% of 55+ aged people.
Which gender is targeted the most?
About 71% of women are willing to spend on air ancillaries while 73% women are willing to spend on hotel ancillaries. Men however are slightly reluctant to pay extra with only 63% men willing to spend on air ancillaries and 64% on hotel ancillaries.
The research clearly shows that women are willing to spend extra money to get an improved travel experience.
It is evident from the above study that hotel and airline brands are not doing enough to take optimum benefit of personalization and ancillaries in travel.