technology-trends-2023-for-travel-hotel

The world is changing so well. Thus, business owners have to update the latest travel technology trends 2023 and beyond to speed up the market. Read more. 

The travel and tourism industry has been one of the largest sectors contributing to the growth and development of an economy. In the past few years, the covid-19 has impacted lots of industries, especially tourism and hospitality. Thus, the government has to take responsive actions to revive the pandemic. The tourism industry uses technology to improve tourism experiences for modern-day travelers. There is no doubt that updating technology trends 2023 is one of the key actions for any business model. 

The tourism industry is not an exception. There are automation, contactless services like payment, food ordering, virtual experiences, and other technology trends 2023. All of them play an important role in the scope of the tourism industry. Besides, they also focus on improving the tourism experiences for travelers. Explore more at our Blog to see technology trends 2023. All of them have reshaped the travel and tourism industry. Moreover, they will have a great impact on business outcomes. 

Tourism and travel industry outlook for 2023: Global Statistics and Market Size 

Global tourism market: Ready to increase by 30% – 2023 

According to the Economist Intelligence (EIU), global tourism will increase by 30% (2023). The figure is still below the pre-pandemic level. Economic recession in Russia and China’s zero-covid strategy will postpone the tourism recovery. 

Additionally, the report states the tourism industry witnessed a strong recovery in 2022. People expect it to continue recovering in 2023. Besides, economic changes will impact tourism landscapes. Costs have significantly risen for fuel, petroleum, electricity, food, and staffing. Due to the economic impacts, entrepreneurs don’t expect the tourism landscape to recover to the 2019 level until 2024. 

Furthermore, the Economist Intelligence has listed out key travel technology trends 2023, including: 

  • The global tourism landscape and the market will increase by 30% in 2023. It will not return to the pre-covid-19 levels. 
  • The economic downturn in Russia and other developed countries will influence tourism recovery. In addition, China has applied a zero-covid strategy. Since the zero-covid situation is one of the factors weighing the tourism industry. 
  • There are labor shortages, wage demands, and high-level food and energy prices. Hotels, restaurants, and other service providers have to deal with those situations. 
  • Airline owners want to return to profitability, especially international flights. 
  • Last but not least, the impact of climate change is more apparent. It leads to high temperatures, water shortages, regular floods, and even severe natural disasters. All of them are forcing tourism destinations and attractions to take prompt action. 

Asia-Pacific’s tourism industry: The first to recover by 2023 and beyond 

A report on Travel and Tourism Economic Impact is conducted by the London-based World Travel and Tourism Council. It reports tourism revenue in 2020 decreased more in Asia-Pacific (about 59%) compared to anywhere else. 

Moreover, recovery efforts in 2021 were nothing. Since most nations still maintained strict border restrictions. However, Asia-Pacific is predicted to narrow the gap in 2023. The figure for travel revenue contributing to the whole economy will grow by 71%. 

Besides, travel in Asia-Pacific is surging this year. Since Asian countries have stopped restrictions such as India, Australia, Malaysia, Thailand, and other Southeast Asian countries. 

Top technology trends 2023 for the travel and tourism industry 

According to the Digital Transformation Initiative (DTI) of the World Economic Forum, digitalization in travel and tourism is expected to grow. The digital figure for the aviation, travel, and tourism industry can reach $305 billion. Moreover, the global market for Travel Technologies was $8.6 billion (2020). The figure for the global market will reach $12.5 billion in 2026. 

All data show how important technology and digitalization are for tourism and travel companies. Furthermore, many travel tech companies outsource mobile app development teams to create mobile apps for improving customer experiences. Besides, travel companies want to accelerate their business growth by working with the leading travel portal development companies. 

Augmented Reality & Virtual Reality to improve customer experience 

Augmented Reality and Virtual Reality are not new. Entrepreneurs have applied AR & VR a lot in their business operations. Tourism is an example. Airlines are using Virtual Reality (VR) as a part of their onboarding entertainment experience. In a competitive market, airlines provide immersive amazing experiences for their customers. It can be virtual reality games, movies, and virtual experiences on board. Those technology trends 2023 help them attract more customers than before. 

On one hand, airlines also use VR in training sessions for cabin crews. Sometimes, they use VR to bring authentic experiences for passengers before boarding. For instance, First Airlines in Japan has created the first VR airline hub. The airline hub allows passengers to wear a VR headset and imagine they are on-boarding with meals, announcements, and sounds. Additionally, passengers can try a 360-degree virtual city on arrival whether they are in Paris, New York, etc. 

On the other hand, Augmented Reality (AR) helps passengers ensure that their hand luggage is an appropriate size before leaving their homes. Besides, AR also supports cabin crew to access information about the destination or any allergies from customers. 

In the future, travel tech companies can improve customer experiences through the application of VR and AR. Currently, many travel tech companies use the technology trends 2023. That’s why VR and AR are considered the top technology trends 2023 for the travel and tourism industry. 

Or maybe they outsource mobile app development companies to integrate the software applications with the latest technology trends 2023 and beyond. Perhaps, travel portal software helps travel companies or airlines to deliver tailor-made advertisements and content to specific users. 

Artificial Intelligence (AI) for seamless security system 

Like AR & VR, Artificial Intelligence is not a new travel technology trend. With its benefits, AI is one of the travel technology trends 2023 to improve customer experiences. People can use machine learning via Chatbots to resolve queries rapidly. 

However, Al is more sophisticated and integrated with travel technologies too. The U.S. Department of Homeland Security shows that airports leverage AI to scan 97% of passengers’ faces in the next few years. 

The U.K. government has invested $1.8 million in AI technology to improve security and reduce waiting time. Since the travel technology trends 2023 identify suspicious objects in footwear. Thus, it finds suspicious objects without removing the passengers’ shoes. 

Furthermore, AI is a travel technology trend that allows passengers seamlessly walk through security without putting off their bags. Among technology trends 2023, AI always supports travel tech companies in travel software development projects. 

Voice Search – The latest travel technology trends 2023 

Voice search and robotics are disrupting the travel and tourism industry. Hotels and hospitality properties use voice recognition, voice search, and robotics for their operations. For example, voice-activated applications allow guests to check the traffic and weather conditions at their destination. Or maybe travel portal development companies offer mobile apps which suggest guests’ restaurants and tourism activities around. 

For example, the Wynn Hotel U.S. allows guests to call on Amazon Alexa to close the drapes and turn on the lights. Some hotels allow guests to check in without human support. With huge benefits, voice search and robotics are one of the top travel technology trends 2023 for service providers. 

To accelerate business growth, global hotel chains outsource mobile app development companies to integrate AI with software applications. For example, a travel portal development company leverages AI-powered concierge services via voice recognition software. 

Moreover, airlines have been leveraging various types of robots. They can be self-driving trolleys for carrying luggage, cleaners, and robots for resolving queries about flight times and departure gates. 

Contactless Service – One of the technology trends 2023

The covid-19 pandemic has forced the growth of travel technology applications. As one of the travel technology trends 2023, a contactless service can be a great travel software solution. It helps ensure the safety of employees and guests. Besides, the contactless service also reduces human resources costs for business owners. 

For instance, many restaurants do not have their menu on paper. Guests scan a QR code to read the menu on their mobile devices. Additionally, contactless services are useful in the payment process. Contactless payments allow travel companies to execute payment processes quickly, especially during and post the pandemic. 

Thanks to its convenience, many hotels and restaurants have changed to contactless services for most transactions. It ensures safety for both their employees and customers. Hotels use QR codes for lots of activities without engaging directly with employees. Everything now is online. Check-in, check-out, menus, in-stay services, and upsells to cross-sells are via contactless services. 

Biometric technology – Applying for facial recognition and fingerprints 

The travel and tourism industry recently has used biometric technology for security purposes, especially in the airport. As the travel technology trends 2023, biometric technology makes hotel operations smooth. Guests walk into the hotel room without check-in and using a key card. Instead of that, guests will use face recognition to match the ID and scanners through a hotel management system. 

Additionally, biometric technology – technology trends 2023 for travel supports hotels to track transactions during the guests’ stays. Guests use a thumb scan to pay for other items rather than a signature and room number. Using technology trends 2023 makes customer experiences more seamless. 

All technology trends 2023 for the travel and tourism industry are exciting for business leaders. However, travel technologies need to be integrated with a platform to bring benefits to the business. Thus, in-house teams in a travel company do not handle the travel technology alone. TAs and TOs outsource mobile app development companies or hire a travel portal development firm

Cybersecurity – A threat not for the travel and tourism industry, but to various fields 

A report by The World Travel and Tourism Council (WTTC) shows 72% of SMEs and startups in the United Kingdom, United States, and Europe experiencing a cyberattack. About 80% of the travel industry is SMEs. Thus, it proves that cybersecurity is a big concern for the travel and tourism industry. 

To prevent one of the biggest threats, travel companies might work closely with travel tech companies to scope the situation. If not, it can lead to phishing attacks and ransomware attacks.  

Technology trends 2023 through wearables IoT 

Among travel technology trends 2023, wearables allow guests to update their flight schedules. Moreover, guests can use a boarding pass on their journeys without scrolling via mobile phones. Travel tech companies use wearables more extensively than others. 

For instance, Disney’s MagicBand gives guests access to the park and executes transactions. That’s why entrepreneurs should update travel technology trends 2023 to boost their business growth. Furthermore, hotels are leveraging the Internet of Things (IoT) to adjust the heat and air-conditioning as required. People also tag bags with IoT sensors to alert passengers while the luggage is on the baggage carousel. Besides, the travel technology trends 2023 also help them to track their luggage via mobile apps. 

Besides, airlines use IoT sensors in the seats to measure heart rate and body temperature. It helps the cabin crew know when the passengers need water or reassurance. 

The Bottom Line 

Updating the latest technology trends 2023 is a must thing to do for entrepreneurs and startups. Travel technology in particular and technology trends 2023 in general keep changing all the time. They must keep updated for business growth. 

Especially, the global economic downturn, inflation, and climate change concerns radically change the world. We have just provided you with the newest technology trends 2023 and global tourism market size and statistics. Hoping you find something interesting and helpful. If you want to update more technology trends and the latest information on various fields, scroll down for our Blog. 

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