Breaking down the buzzwords: 4 trends in travel tech to take seriously

While we can all agree that growth is generally a good thing, it does usually bring change. The transformation we see in the industry today—from content fragmentation to evolving distribution strategies—is creating pressure.

As a result, some noteworthy trends have emerged.

NDC is changing the what and the how of content distribution. AI and machine learning have unlocked new possibilities for data optimization, while automation solutions can save serious time and money. To benefit from these advancements, agencies are increasingly turning to technology providers, like Sabre, for help in navigating these new dynamics.

I’ve been in the travel industry for over two decades, working across the corporate travel sector and airlines. Trust me when I say I’ve seen a lot of change since the days before Netflix was a streaming platform and rideshare apps became universal. Today’s consumers expect every facet of their lives to be effortless, which means that tech needs to keep up. Travelers are more informed and demanding than ever before, with 80% wanting a more personalized experience.² To meet these expectations, innovation that delivers both customization and efficiency is essential.

Today, I’m breaking down 4 crucial trends that are shaping the travel ecosystem in ways we can’t ignore.

Content fragmentation is becoming an increasingly time-consuming challenge, and if you’re spending so much time aggregating content, how can you focus on actually growing your business? As airline strategies diverge, NDC adoption rises, low-cost carriers (LCCs) expand, and new travel tech players emerge the burden on agencies is intensifying. Many agency leaders are already feeling the pressure of having to aggregate content from multiple sources themselves, whether through direct connections or multiple travel technology providers. It’s a lot to handle, and it can quickly become overwhelming. Are you prepared to manage this complexity, or are you at risk of being left behind as the industry continues to evolve?

At Sabre, we get it. We understand the complexity, which is why we are continuing to invest in multi-source content and capabilities. Today, we integrate diverse content from multiple sources into our marketplace, offering normalized content across air and non-air trip components. This helps agencies offer broad and relevant content without sacrificing efficiency. Ultimately, we help them do what they do best—create great experiences for their customers.

But we’re not stopping there. We are continually enhancing our multi-source capabilities, by implementing shopping, booking, and advanced post-booking automation for greater efficiency. We’re also infusing cutting-edge AI and machine learning technology into our product portfolio to drive even better results.

These innovations turn content fragmentation challenges into growth opportunities, enabling agencies to thrive in an ever-evolving travel landscape.

NDC is rapidly becoming a significant force in the travel industry. In June 2024, 21.5% of ARC’s monthly transaction volume came from NDC – a 14.4% increase year over year, with more than 1,000 travel agencies processing NDC transactions.³ This growing adoption underscores the urgency for agencies to integrate NDC into their operations. Are you keeping pace with this shift, or could you be missing out as the industry continues to evolve?

The journey to full NDC adoption in North America is still in progress. It’s had its challenges along the way, but there’s also a lot of potential. As agencies tap into the richer content and ancillary services that airlines offer through NDC, they’ll be able to elevate their content offerings and deliver even better travel experiences. But first, the industry needs to ensure NDC is seamlessly integrated into agency workflows so that agents and customers can shop, book, and service travel options quickly, efficiently, and conveniently.

It’s clear the future of travel content is hybrid: traditional EDIFACT options and NDC offers are – and will continue to be — distributed in parallel. At Sabre, we understand that this adds complexity. We’re committed to helping simplify this evolution for agencies. We take on the heavy lifting of aggregating, integrating, and normalizing EDIFACT, LCC, and NDC content, so agencies can focus on what matters most – serving their customers.

Corporate travel, in particular, has its own set of complex servicing needs, and we’ve made significant investments to ensure that NDC works effectively for Travel Management Companies (TMCs) and Online Booking Tools (OBTs). We want travel to access and manage content easily, regardless of the technical source, so they can keep delivering exceptional service to their clients.

I constantly hear from our customers that they spend the majority of their workday on manual, non-revenue generating activities. Can you afford to keep operating this way? Implementing post-booking automation solutions isn’t just a nice-to-have—it’s a game-changer. When it comes to post-booking tasks—things like booking management, handling schedule changes, and managing travel documentation—automation can streamline these time-consuming processes significantly. Not only does this boost operational efficiency, but also it enhances productivity and reclaims valuable time and resources that could be better spent on driving revenue and delivering exceptional service.

By automating repetitive processes, agencies can manage more business without increasing resources, leading to lower operational costs and better customer experiences. In a fast-paced industry where every second counts, can you really afford to ignore the critical edge that automation offers? The reality is clear: if you’re not embracing automation, you risk falling behind.

In 2024, AI is expected to influence 32% of all travel industry revenue.⁴ This is a trend that travel agencies can’t afford to ignore. Integrating AI into your business is crucial, not just for staying competitive but for unlocking significant growth and efficiency. As AI reshapes the industry, those who embrace it will thrive.

The growing willingness of consumers to use forms of AI is a clear signal of where the market is headed. The opportunity for North American agencies to leverage AI is enormous, not just to streamline processes, but to deliver personalized service and drive incremental revenue. The demand is clear, and the opportunity to transform your business through AI has never been greater. Don’t let your competitors leave you behind.

Take it further: by freeing up time for travel agents to focus on complex, personalized services, AI doesn’t just enhance efficiency—it empowers your team to deliver the kind of customized experiences that set you apart. So, ask yourself, are you making the most of this transformative technology.

At Sabre, we’re leading the charge in developing AI-powered technology through our partnership with Google. Products like our Lodging AI solution enables agencies to offer more personalized lodging options tailored to the individual needs of travelers, while our email analyzer tool can turn an inbound email into an itinerary, significantly boosting agency productivity.

These AI-driven tools unlock new revenue opportunities by enabling travel agencies to offer more personalized services and targeted offers that enhance the overall customer journey. We’re committed to listening and learning from our customers to understand their needs so we can develop the right technology to help them thrive.

As the travel industry evolves with advancements in NDC and LCC content, automation solutions, and AI applications, it is crucial for agencies to embrace these innovations to meet the dynamic needs of modern travelers. Sabre is the technology partner that can help travel agencies shop, book and service multi-source content efficiently and intelligently, today – and tomorrow.

[1] U.S. Travel Market Report 2023-2027: Phocuswright

[2] 2024 Vision: Tech trends that will revolutionize travel and hospitality | PhocusWire

[3] U.S. Travel Agency Air Ticket Sales Set Record for Highest Six-Month Total (arccorp.com)

[4] AI-influenced revenue share of travel companies worldwide | Statista

[5] How Will Artificial Intelligence Impact The Travel Industry? (forbes.com)

Todd leads Sabre’s North America agency sales team, offering strategic insights and solutions that empower agencies to streamline their operations and drive business growth in a dynamic travel landscape.

Fun fact: Todd has visited more than 120 countries