Future of AIAI & Technology

Is AI replacing the travel agent?

By David Amsellem, managing director at The Luxurist and general manager (retail) at HBX Group

Travel agents have historically been the go-to experts for holidaymakers wanting to book a getaway. With the rise of online booking and AI, some travellers may be left questioning the role and relevance of travel agents today.ย ย 

In fact, a recent Travel Weeklyย surveyย reported that almost a third (27.8 percent) of travel advisors had seen a significant decrease in bookings so far this year. The increased use of AI for generating itineraries and finding cheap deals has only increased fears that travellers will turn away from traditional means and begin their booking processes through this technology.ย ย 

The travel agent industryย 

However, this notion could be premature. Other currentย researchย has shown that the tech-savvy younger generations areย actually seekingย out humanย expertiseย to help with booking their holidays: 40 percent of Gen Z and Millennials now turn to travel agents when booking their trips.ย ย 

Travel agentsย remainย a vital part of the travel industry thanks to their in-depthย expertise, which is increasingly important in todayโ€™s age of information overload. According to YouGov, nearlyย three quartersย (71 percent) of Brits have admitted that they have found the process of booking their holiday stressful.ย ย 

Enlisting a travel agent can help to solve this issue by cutting through all the noise and utilising their industry knowledge to design a bespoke experience for the traveller that encompasses all they want. Travellers value recommendations based on personal experience, and they may be searching for unique elements to a trip that often do not come up in AI search results.ย ย 

Nevertheless, it is important for travel agents to embrace and adapt to modern times and not fear tools like AI. As the traveller demographic gets more tech-savvy, they will become increasingly accustomed to a more streamlined and efficient customer experience across industry sectors, powered by technology like AI. So, how can travel agentsย leverageย AI and other technologies to streamline customer experience and boost their back-end efficiency?ย 

AI as a help, not a hindranceย 

AI is by no means a silver bullet. It cannot replace humanย expertise, which is informed by a wealth of experience. While it may try, it simplyย canโ€™tย help a customer through the process of booking a holiday and making thoughtful recommendations. There isย ultimately noย replacement for emotional intelligence.ย 

What it can do is take away some of the heavy lifting. Think of all the small, time-consuming tasks that eat up an advisorโ€™s day โ€“ comparing flights, checking transfers options, confirming hotel availability. AI can handle much of that in seconds, freeing up time for travel advisors to focus on crafting high-touch personalised journeys.

From a customer service perspective,ย AI is also finding its place. Many travel companies have implemented AI chat agents to help with routine questionsย and cut wait times.ย This allowsย more time for travel planners to deal with more complex queries that require specialisedย knowledge and empathy.ย ย 

AI canย evenย provide support behind the scenes, with some companies collaborating with it for staff training. Gen AI trainers can simulate a variety of customer interactions to help train travel advisors in the best ways to respond to each scenario. By being better equipped for a variety of different situations, agents can be more effective and improve the overall customer journey.ย With this approach AI is not about replacing the human element,ย itโ€™sย all about sharpening it.ย ย 

Travellersย are changing the way they plan and book. Many use AI tools to gather inspiration or compare prices, but when it comes to making confident decisions, they still turn to trustedย advisors. What makes the difference is the human ability to interpret nuanceย and read between the lines.ย Travel agents understand not just what a client asks for, but the context behind it, and thenย they can tailorย a journey that reflectsย theย individual tasteย of eachย traveller.ย ย ย 

The future is collaborativeย 

AI is undoubtedly here to stay and will continue to evolve at a rapid pace, including in the travel industry. Many travellers are already using AI for recommendations and creating plans for their trips, soย itโ€™sย reasonable to expect the next generation, Gen Alpha, to be even more proficient in using AI. They will expect the companies they interact with to be maximising the potential of this technology. AI should increase efficiency across the customer service side of the business, with AI tools allowing travel advisors to move away from repetitive administration tasks and fully focus on what they do best.ย 

The most important thing, regardless of future developments in AI, is that human interaction in the travel sector can never be fully replaced. Personal recommendations from insiders are always highly valued. AI should enhance operations rather than replace the human touch, helping travel agents to focus on crafting wonder-filled trips.ย 

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