Customer Engagement 2017 - Focus on travel 2017 - DMA
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Customer
Engagement
2017
Focus on travel
2017
Campaign sponsors
Research partner
CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Contents
Executive summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Introduction to the report.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
Emarsys’ perspective. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Epsilon’s perspective. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Feefo’s perspective. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Wiraya’s perspective.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
Favourite travel brands.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
What travel brands are deemed “favourite” and why?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
Travel brands – the long tail. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
What makes a brand favourite?.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Trust in the travel sector. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
What’s important to consumers? Function and trustworthiness. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Are brands delivering?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
Loyalty in the travel sector. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
What drives loyalty in the travel sector?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
Rewarded customers trust brands to do business fairly. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
Travel and channels of engagement. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
Booking. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
Pre-travel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
Travel inspiration. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31
The airport experience . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32
On holiday .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33
Concluding thoughts. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
About our sponsors/partners. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35
Campaign sponsors. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35
Research partner. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36
About the DMA. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37
Copyright and disclaimer.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38
2 COPYRIGHT: THE DMA (UK) LTD 2017
CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Executive summary
Consumers favour online travel booking brands today | When asked to name their favourite travel brand,
Thomson was most-mentioned, followed by Booking.com.
Small travel brands engage with consumers as much as larger brands | When consumers were asked to name
their favourite brands, consumers mentioned a total of 71 brands, demonstrating that a wide range of travel
brands engage UK consumers.
Travel brands are trusted less to do business fairly when compared to supermarkets | Within the travel sector,
hotel and travel accommodation brands are most trusted (65%) followed by airlines (55%) and online travel booking/
price comparison sites (54%). This compares to 73% who trust supermarkets to do business fairly.
Consumers want travel brands to deliver on service, value and convenience | The criteria chosen most often by
consumers from a list, are value for money (59%), convenience (58%) and good customer service (58%).
Consumers do not feel travel brands are fully trustworthy and transparent | 37% rate airlines “not lying to them”
as important, but half that proportion (18%) say airlines deliver on this.
A focus on exceptional service helps to keep customers loyal | The top three reasons for staying loyal to travel
brands are: a good service experience (53%), good deals (40%) and a good loyalty or a rewards scheme (40%).
Personal and empathetic engagement can keep customers loyal | 4 in 10 who stayed with a hotel or
accommodation brand have done so because they were ‘friendly and welcoming’.
Rewards can encourage loyalty to travel brands | A good loyalty scheme persuaded 42% to stick with a particular
airline brand when they knew they could get a cheaper deal elsewhere
More consumers prefer all-in-one booking to booking holiday elements separately | Almost two-fifths (37%) of
consumers prefer to book holidays through booking sites compared to 27% who prefer to book using separate sites.
Consumers are interested in the convenience chatbots could bring to the pre-travel and booking journey |
More than half (52%) would be willing to use a chatbot to ask an airline a question about a flight.
Virtual reality presents a new channel for brands to show what they offer | More than half (53%) would be
interested in using a VR headset to see a hotel room they are considering staying in.
Consumers are willing to share data to improve their airport transit experiences | Half (51%) would be interested
in sharing their data in order to receive mobile alerts about boarding directions and timings when in an airport.
Consumers are interested in using augmented reality to enhance their experience | 44% are interested in using
augmented reality to get information about the sites or attractions they visit.
3 COPYRIGHT: THE DMA (UK) LTD 2017
CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Introduction to the report
Who doesn’t love to travel? I’m writing this in August and almost everyone seems to be on holiday. That creates a
massive sense of excitement for everyone, either looking forward to going away, nostalgia for the recent trip and
anticipation for the next one. From a Customer Engagement point of view, this should be one of the easier sectors to
build a relationship with consumers. After all, these are products and services we want rather than utilities we need.
What is really interesting is the range of options favoured by customers. When people were asked to name their
favourite companies to use for travel, over seventy brands were mentioned covering household names and local
travel agents, as well as the new online intermediaries. As individuals we want choice, but we also want to ensure our
holidays are hassle free and go with companies we trust – even if that is the small local travel agent.
As ever, service and convenience come through strongly in the research and this isn’t a surprise. As much as this is an
enjoyable experience, nothing spoils a trip like bad service.
Avios (formerly known as Air Miles) might not be as fashionable now as they used to be, but we still value rewards
and loyalty can definitely be tied to them. Many of those surveyed said they would still stay loyal to brands who give
travel rewards even if the price was higher.
Technology has always played a massive role in travel but even more so in recent times. First, all online travel booking
sites, then airlines and through to apps such as TripAdvisor, the whole travel and holiday experience has been made
easier, maybe cheaper and certainly more informed than ever before thanks to technology.
So what role will technology play in the future? When it comes to areas like AI, travel again feels like an easy place
for customers to engage. Why not take a trip around the Coliseum before you actually go and see it, weigh up what
the pros and cons of that versus the Pantheon and choose your trip based on your virtual reality experience. Over
time, the pre-trip experience will become more real, apps to give a more enhanced experience while on location
will become a reality, and the post-trip more engaged. According to the research, we are ready and willing to get
involved with customers’ plans.
Travel and holidays are almost always a pleasure and exciting, as long as brands stay engaged with their consumers
they can help to make sure that is always the case and reap the benefits of doing so. If you haven’t been already, have
a great holiday and happy poolside reading!
Scott Logie
Chair of the DMA Customer Engagement Committee
MD at REaD Group Insight
4 COPYRIGHT: THE DMA (UK) LTD 2017
CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Emarsys’ perspective
That the research shows there’s no longer a distinctive set of ‘favourite’ travel brands is no huge surprise – after all,
being one of seventy-one doesn’t necessarily scream elite. But why? Well, since a lot of the industry moved online,
and with the proliferation of comparison sites, travel has become one of the hardest customer service industries
in which to nurture loyalty. Travellers generally start in one place – ‘which company will offer me the lowest rate
for accommodation or to get to xyz’ – and after all, 59% gave ‘value for money’ as their reason for choosing a travel
company. It’s only once they’ve identified a price that they opt to go with a company, based on previous experience
and the minimum level of service they expect from that brand.
So how to guarantee repeat custom from travellers saying ‘yes’ to travelling with you again? Well, that’s where you
need to get to know your customers – understand their circumstances and their travel preferences, in order to go
above and beyond just receiving one service. That’s where Emarsys comes in. We help travel companies add that
something extra, and get the timing for it just right.
The research shows customers are willing to share data to improve their travel experience, and that really is the case.
So make use of that data, and add automation to it. If you understand your customer and know what they’re looking
for from their travels, then you can automate correspondence to them, so they get the right offer at exactly the right
time. Perhaps that’s a well-timed offer when they arrive at the airport, either for a hotel or a transfer into the city
centre? Perhaps it’s sending them some details for companies for a taxi home. Or, if you know they’ve opted for it in
the past, perhaps it’s a discount on more leg room just around the time they’ll be checking in for their flight?
Travel really is a hard sector to gain loyalty in, especially with so many brands in the space – each with a unique voice
as to why the consumer should choose them. So stand out, be different, show your customer you understand them
and cleverly upsell while helping them benefit from a targeted end-to-end experience.
Steve Ledgerwood
Managing Director UK at Emarsys
5 COPYRIGHT: THE DMA (UK) LTD 2017
CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Epsilon’s perspective
What shapes loyalty today? In the last Customer Engagement report we discussed notable shifts and the situation is
still evolving when you consider what defines a good customer experience.
Travel takes the challenge to an unprecedented level; where the opportunity to set customer expectations, engage
consistently and ensure a satisfactory experience is next to impossible. It should be treated as a complex area,
especially when you’re trying to achieve consistently high customer engagement levels. It doesn’t matter if you lose a
customer on the 1st or 3rd touchpoint, they are still lost. People need confidence with brands across all touchpoints,
as loyalty is transient at best.
This report shows customers’ trust of travel brands is much lower than supermarkets, who find it easier to manage
a positive experience. Supermarkets have the ability to better control how and when to engage a customer, as well
as delivering on their promise and abiltiy to provide a value exchange for loyalty. Unsurprisingly, the hotel and
accommodation categories have garnered the most trust, as they are less exposed than travel brands.
Customers are willing to show loyalty in return for good service above all. After all, they are willing to exchange
data – for the right reasons. In return, they expect to be treated and acknowledged for their real time preferences or
behaviours, especially with their airport experience. Where trust is at an all-time low, brand reputation and customer
experience are crucial in winning their confidence back.
Augmented reality is being adopted, and actually preferred, by customers looking for the best information and
guidance for planning their holiday. Likewise, chatbots are gaining traction as a means to to answer queries quickly
and efficiently.
Authentic brand communications and values will strengthen trust in the sector, with honesty always being the best
policy to make customers more willing to consistently engage.
An omni-channel strategy that successfully combines real-time data with machine learning, stands a better chance of
bridging the ever widening space between consumers and travel brands.
With a commitment to drive the best outcomes across all customer engagement touchpoints, organisations can
develop entrenchment and meet the expectations of loyal customers.
A customer-centric approach won’t restrict your vision in achieving loyalty nirvana.
Stephanie D’Sa
Head of Strategy & Insights at Epsilon
6 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Feefo’s perspective
Trust is essential in the travel business. Consumers arranging a holiday invest emotion and money in experiences that
they hope will give them good memories for the rest of their lives.
Yet this research shows that trust remains a problem. Nearly half of the respondents said they find it difficult to know
which brands or companies to trust. So it is reassuring that a substantial number (68%) said they rely on customer
reviews to make informed decisions. In a development that has ramifications for the entire industry, it is increasingly
the voices of customers that are more trusted than a brand’s own reputation.
Nobody need be surprised by this. The travel market is characterised by competition and a constant flow of
technologically-driven new arrivals promising better access, fresher experiences or improved value. With holiday
horror stories now a media staple, it is hard for consumers to know who to trust.
Right across airlines, travel booking sites, price comparison sites, hotel and accommodation brands, the research
found there to be an 18% deficit between what consumers expect and what they say they experience of simply not
lying to them.
It is why authenticated reviews are now so important, as consumers feel they can trust the collective voices of their
fellow customers. Booking.com, for example, was one of the most frequently mentioned brands when respondents were
asked to name their favourite in the travel sector. More than third of those people (35%) said they made that choice
because Booking.com gives them verified reviews they can read for themselves when deciding who to book with.
Trust is so critical to the travel business that successful companies such as Booking.com realise they must offer
a platform that verifies reviews and presents them in a readily accessible but unvarnished format. It is no longer
acceptable to plaster your website with phoney reviews praising your business. As the industry evolves further,
authenticated reviews are going to be the touchstone for trust and transparency in the minds of increasing numbers
of potential customers who can smell a rat when it comes to reviews that are fake or filtered.
And it is not simply about trust and credibility, important as they are, but also about understanding customers and
receiving a quality of feedback and insight through sentiment analysis that is otherwise unobtainable, leading to
super-fast responsiveness and outstanding customer service. This is what will help drive success as the travel industry
continues to develop.
Matt West
CMO at Feefo
7 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Wiraya’s perspective
This report provides some important insight into a notoriously competive industry, in which customer loyalty is at an
all time low. Nevertheless, the findings show there has never been a greater opportunity to take the lead and build
long term loyalty with customers.
In an industry dominated by price comparison sites and a focus on bottom line, this report is particularly revealing,
highlighting the premium consumers actually put on engagement and service above price. The results suggest that
‘Personal and empathetic engagement can keep customer loyal’, as part of a focus on service, value and convenience.
The findings also highlight the importance of brands realigning their loyalty campaigns to work effectively for
customers, and actually communicating the value of these schemes. These loyalty programs provide a key factor in
consumers staying loyal to brands regardless of cheaper deals appearing elsewhere. The featured example of SAS
clearly shows the value of using a strong customer engagement approach to clearly communicate the value of these
key programs.
If you take anything from this report it should be the clear opportunity brands now have to take significant market
share if they realise the issues at hand, understand the need to focus on service and engagement rather than price.
For these businesses itstime to take advantage of the latest technology to take one step ahead of the competition.
Sam Madden
Commercial Director at Wiraya
8 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Favourite travel brands
What travel brands are deemed “favourite” and why?
To understand how UK consumers engage with travel brands in 2017, we asked them to tell us which are their
favourite travel brands: “Which is your favourite holiday travel brand / company that you use (e.g. airlines, travel
agents, travel research / booking sites, hotels or other holiday accommodation brands)?” The top ten most
mentioned brands are below.
That travel agency sites dominate the top 10 shows the value of online travel research and booking for today’s
consumer. Thomson took the top place (although when looking at mentions by age, Thomson slips to second most
mentioned for 16-34s after Booking.com but remains top for 35-54 year olds and 55+). Airlines are also in the top 10
with British Airways and EasyJet as well as mentions of Virgin and Jet2. No single accommodation brand, bar hotel
comparison site Trivago, featured in the top 10.
Consumer review site TripAdvisor made it into the list at number 10, showing the importance of reviews and the
opinions of peers. While this brand was mentioned by all ages, it was mentioned more by the over 55s, suggesting
TripAdvisor is more favoured by older travellers.
Chart 1 | “Which is your favourite holiday travel brand / company that you use? (e.g. airlines, travel agents, travel
research / booking sites, hotels or other holiday accommodation brands)”.
ALL 16 - 34 35 - 54 55 +
1 Thomson Booking.com Thomson Thomson
2 Booking.com Thomson Expedia Booking.com
3 Thomas Cook Thomas Cook Booking.com Thomas Cook
4 Expedia Expedia Thomas Cook British Airways
5 British Airways British Airways British Airways Expedia
6 Trivago Trivago Trivago Easyjet
7 Easyjet Easyjet Easyjet Virgin
8 Virgin First Choice Jet2 Jet2
9 Jet2 Virgin Virgin Trivago
10 Tripadvisor Emirates Skyscanner Tripadvisor
9 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Travel brands – the long tail
The variety of travel brands chosen by participants was striking with 71 individual brands named, showing the
breadth and complexity of the UK travel market today.
What is more surprising is that consumers picked many local and relatively small travel brands. When thinking about
brands they really appreciate, it was not just the bigger names that sprung to consumers’ minds. Many small and
domestic brands are engaging with consumers. In the word cloud below, brand names are included when they are
mentioned at least twice. The larger the size of the word, the more mentions it received. Many smaller airlines, both
low cost and international, won several mentions.
Domestic brands like Caravan Club and Cottages.com were not mentioned by those under 35, and also shows a
focus on domestic and non-air travel for older travellers.
Chart 2 | “Which is your favourite holiday travel brand / company that you use? (e.g. airlines, travel agents, travel
research / booking sites, hotels or other holiday accommodation brands)”.
Southall Travel
Singapore Airlines American Airlines
Travel Agents Emirates
MonarchTripAdvisor First Choice
Trivago Expedia Easyjet
Cosmos
Leger
Premier InnTUI
Cheap Flights KLM Iglu
Thomas Cook
Laterooms Love Holidays
Flight Centre Hotels.com Avios IHG Hays
Lastminute.com
Thomson
Alpha Rooms
Wizzair
Low Cost Holidays
Cunard Ryanair Kayak Qatar
Skyscanner
Hoseasons Scandic Hotels
Secret Escapes
Travelodge Etihad
Booking.com
Teletext Holidays Cottages.com Flybe Cooks Quantas On the Beach National Holidays
Saga AirBnB
Airlines PO Great Rail Journeys
Virgin
Barrhead Travel
British Airways
Travel Republic
Butlins Canadian Affair Warner
Hilton
Kuoni Virgin AtlanticJet2
Caravan Club Norwegian Air
Co-operative
Neckermann Turkish Airlines Accor Hotels
Virgin Holidays
What makes a brand favourite?
We asked consumers what made the travel brand they chose their favourite to understand what drives that choice.
Responses by age expose some differences.
Younger consumers are attracted most strongly by low prices and exclusive discounts as well as the choices of family
and friends who may be making bookings on their behalf. Older consumers are more attracted by great service
and convenience. Those over 55 are also more likely to cite heritage as a reason for making a brand their favourite,
showing the value of long-term brand building, and explains the presence of many well-established UK brands such
as British Airways, Thomas Cook, Butlins and Saga among the mentions.
10 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Chart 3 | Which of the following, if any, are reasons why [named brand] is your favourite holiday travel brand/company?
43%
Good service 53%
61%
36%
Most convenient / easy 48%
52%
30%
Friendly / helpful / welcoming 35%
41%
39% 16-34
Lowest prices 38%
29% 35-54
18% 55+
Has a heritage / well established 19%
28%
They o er me exclusive discounts on 22%
14%
holiday options I am interested in 15%
22%
I just love them 20%
13%
29%
My friends / family use them 17%
13%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Looking at why the brands above won so many mentions makes for some interesting comparisons. What are these
brands doing to resonate with consumers that we can learn from?
11 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
For Thomson, service is the top reason why it is favoured, followed by convenience and good offers, perfectly
mirroring the criteria consumers named as important to them when using travel brands, with more on this below.
More than four in 10 who named Thomson as their favourite gave ‘friendliness’ as their reason. Three in 10 cited
Thomson’s ability to deal with problems.
Chart 4 | Which of the following, if any, are reasons why Thomson is your favourite holiday travel brand/company?
Good service 61%
Most convenient / easy 48%
Good o ers / deals 48%
Friendly / helpful / welcoming 44%
Good at dealing with issues - e.g. help quickly
30%
if I have a problem while I am travelling
Has a heritage / well established 26%
My friends / family use them 22%
They have veri ed reviews I can read 22%
Lowest prices 22%
They keep me updated about inspiring holiday
20%
information for where to go / what to do
They give me helpful reminders e.g. when I need 20%
to organise my Visa, vaccinations, check-in
They o er me a personal service 20%
They offer me exclusive discounts on
holiday options I am interested in 18%
They make me feel appreciated 18%
after I have bought from them
They make it easy to save details of holidays 17%
that I'm interested in / I’m taking
They offer me tailored deals / offers specific to 17%
what I like or have bought from them before
I just love them 16%
Re ects my personality / style 15%
Good loyalty / rewards scheme 6%
None of these 1%
% 20% 40% 60% 80% 100%
Source: DMA/Foresight Factory Research | Base: 146 online respondents who use this travel brand aged 16+, GB, May 2017
12 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Those choosing Booking.com as their favourite travel brand cited price and convenience as top reasons for that
choice, followed by good service for more than four in 10. Elements such as verified reviews and personalised updates
featured more highly than for Thomson, but friendliness ranking much lower. By creating a highly functional service,
Booking.com satisfies customers’ need for ease and speed.
Chart 5 | Which of the following, if any, are reasons why Booking.com is your favourite holiday travel brand/company?
Most convenient / easy 62%
Good o ers / deals 57%
Lowest prices 50%
Good service 43%
They have veri ed reviews I can read 35%
They make it easy to save details of holidays
that I'm interested in / I’m taking 22%
They keep me updated about inspiring holiday
15%
information for where to go / what to do
Friendly / helpful / welcoming 14%
My friends / family use them 13%
They offer me exclusive discounts on
holiday options I am interested in 12%
They offer me tailored deals / offers specific to
12%
what I like or have bought from them before
I just love them 12%
Good at dealing with issues - e.g. help quickly
if I have a problem while I am travelling 9%
Good loyalty / rewards scheme 9%
Has a heritage / well established 8%
They o er me a personal service 8%
Re ects my personality / style 8%
They give me helpful reminders e.g. when I need
to organise my Visa, vaccinations, check-in 7%
They make me feel appreciated
after I have bought from them 7%
% 20% 40% 60% 80% 100%
Source: DMA/Foresight Factory Research | Base: 116 online respondents who use this travel brand aged 16+, GB, May 2017
Comparing the two most-mentioned airline brands shows that engagement can be driven by quite different needs.
While EasyJet is mainly preferred for low prices, convenience and deals, half cite good service as a reason, but just 6%
claim to “just love them”. Price is the focus for customers here. For those who chose British Airways as their favourite,
the loyalty rewards scheme, service and heritage were the top reasons. One in five say they “just love them” while just
one in 10 are driven by price. British Airways focus much more on service for their customers.
13 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Chart 6 | Which of the following, if any, are reasons why British Airways is your favourite holiday travel brand/company?
Good loyalty / rewards scheme 65%
Good service 59%
Has a heritage / well established 41%
Good o ers / deals 39%
Most convenient / easy 35%
Friendly / helpful / welcoming 32%
They make me feel appreciated 27%
after I have bought from them
They o er me a personal service 26%
Good at dealing with issues - e.g. help quickly 23%
if I have a problem while I am travelling
My friends / family use them 22%
I just love them 21%
They offer me exclusive discounts on 18%
holiday options I am interested in
Re ects my personality / style 17%
They make it easy to save details of holidays 16%
that I'm interested in / I’m taking
They keep me updated about inspiring holiday 15%
information for where to go / what to do
They offer me tailored deals / offers specific to 10%
what I like or have bought from them before
Lowest prices 9%
They give me helpful reminders e.g. when I need 9%
to organise my Visa, vaccinations, check-in
They have veri ed reviews I can read 7%
None of these 1%
% 20% 40% 60% 80% 100%
Source: DMA/Foresight Factory Research | Base: 81 online respondents who use this travel brand aged 16+, GB, May 2017
14 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Chart 7 | Which of the following, if any, are reasons why EasyJet is your favourite holiday travel brand/company?
Lowest prices 77%
Most convenient / easy 60%
Good o ers / deals 57%
Good service 51%
Friendly / helpful / welcoming 25%
My friends / family use them 19%
They keep me updated about inspiring holiday
19%
information for where to go / what to do
They have veri ed reviews I can read 17%
They make it easy to save details of holidays
that I'm interested in / I’m taking 13%
They give me helpful reminders e.g. when I need 13%
to organise my Visa, vaccinations, check-in
They offer me tailored deals / offers specific to 11%
what I like or have bought from them before
Good loyalty / rewards scheme 9%
Re ects my personality / style 9%
Has a heritage / well established 8%
They make me feel appreciated
after I have bought from them 8%
They o er me a personal service 8%
Good at dealing with issues - e.g. help quickly
if I have a problem while I am travelling 8%
They offer me exclusive discounts on
holiday options I am interested in 8%
I just love them 6%
% 10% 20% 30% 40% 50% 60% 70% 80% 90%
Source: DMA/Foresight Factory Research | Base: 53 online respondents who use this travel brand aged 16+, GB, May 2017
KEY TAKEAWAY: People engage with brands reflecting their specific, in the moment, short-term and functional
needs such as convenience and ease. Some brands win stronger engagement by meeting people’s needs for service
and personalisation through friendly communication, an ability to deal with problems or giving consumers access to
trusted reviews.
These elements can help brands stand out from the wide pool of competitors and options available, and offer
something beyond competitive pricing.
15 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Trust in the travel sector
We now turn to look at consumers’ trust in the travel sector.
Close to half of consumers say they find it difficult to know which brands or companies to trust these days, with only
one in five disagreeing with this sentiment. More than two-thirds (68%) agree that they rely on customer reviews to
make informed decisions. In certain circumstances, the customers’ voice is better trusted than a brand’s reputation.
Consumers’ shaky trust means that no brand can persuade all the time. Instead, brands have to constantly reaffirm
and re-communicate their ability to deliver what consumers want and need.
When looking at trust in travel, trust in travel brands is polarised. Within the sector hotel and travel accommodation
brands are most trusted (65%) followed by airlines (55%) and online travel booking/price comparison sites (54%). But
compared to other sectors, travel brands are less trusted. Stronger majorities trust retail brands and supermarkets.
Overall, trusting “very much” is rare.
Chart 8 | “Thinking about the following types of brand/company how much do you trust them to do business fairly?”
100% 4% 3%
8% 4%
9%
14%
24% 23%
80% 30%
38% 36%
44%
Very much
60%
Quite a lot
Only a little
54% 58%
53%
40% Not at all
43%
43%
34%
20%
19%
12% 16%
12% 12% 9%
0%
ds
ts
es
s
sit vel
sh s /
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sit
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es
s
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rli
ar
ip
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br
s/
ris / t
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rm
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om
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sh
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an
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la
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rm
nd
ve
ice ki
pr boo
tra
ra
Ca
il b
/
l
ls
ve
ta
te
Re
tra
Ho
e
lin
On
Source: DMA/Foresight Factory Research | Base: 2009 online respondents aged 16+, GB, May 2017
Why is consumer trust in the travel sector comparatively low? Holiday travel is less frequent and arguably more
emotionally charged compared to day-to-day or high street shopping, and there is greater chance for travel brands
to lose a customer’s trust. Holidays place consumers in the hands of the service providers they have chosen to trust.
Disruption or underperformance is more likely to be felt strongly, and could affect future trust in those providers,
regardless of where the fault lies. Consumer choice is more constrained as booking options and travel routes are finite
and consumers may be forced to choose brands they may not necessarily favour.
Media interest in travel brands remains consistently high, with recent scandals involving car rental companies, the
perception of unfair pricing for budget airlines, or chaos at airports typical concerns which may taint the whole sector.
16 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
What’s important to consumers? Function and trustworthiness
What do consumers consider to be important when considering holiday travel brands? What do they prioritise?
Chart 9 | “When choosing the following types of brands/companies to use, which of the following, if any are
important to you?” | % who criteria deemed important when choosing travel brands
They provide me with value for money 59%
They are easy to use 58%
They provide me with good customer service 58%
They provide safe and secure products / service 53%
They are genuine 50%
They do not lie to me 50%
They do business fairly 48%
They use my personal data responsibly 46%
They reward me for my loyalty 39%
They respond to my feedback 39%
They treat its workers well 38%
They act in an environmentally-friendly way 31%
They re ect my personality / style / tastes 30%
They use my personal data to provide
29%
me with more value for money
They support good causes 20%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Source: DMA/Foresight Factory Research | Base: 2009 online respondents aged 16+, GB, May 2017
Consumers prioritise pragmatic needs - they are focused on value for money, convenience and good customer
service. Consumers want brands to guarantee them a great holiday with the minimum of fuss. Consumers are least
concerned that travel companies support good causes.
Significant numbers want travel companies to show them they can be trusted and that they are fair. Half of
consumers want travel businesses to be genuine, by not lying and by doing business fairly. Beyond trusting brands
through their experience with them, consumers want travel brands to communicate this authenticity. That overall
trust in the travel sector is not strongly in the majority compared to other sectors suggests travel brands are not
meeting this desire for honesty.
17 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Are brands delivering?
We asked consumers to show which criteria travel brands deliver well on, and compared the results to how important
these criteria were to consumers overall. This shows how well brands meet expectations.
Across travel companies, consumers are less likely to confirm that brands deliver on the things that are important to
them compared to other sectors such as retail. Importantly, there are a few criteria where the gap is more significant.
The biggest gaps relate again to areas of value, service, trust and transparency.
Biggest gaps between importance and delivery for airlines are:
37%
"They do not lie to me"
18%
40% Importance
"Customer service"
25% Delivery
40%
"Value for money"
25%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
The biggest gaps between importance and delivery for travel booking sites and travel price comparison sites are:
38%
"They do not lie to me"
20%
34%
"Use data responsibly"
19%
42% Importance
"Value for money"
29% Delivery
34%
"Be genuine"
21%
33%
"Do business fairly"
20%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
18 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
The biggest gaps between importance and delivery for hotel and travel accommodation brands are:
39%
"They do not lie to me"
21%
45%
"Value for money"
29%
Importance
Delivery
37%
"Be genuine"
22%
46%
"Customer service"
32%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%
When comparing the travel sector to the retail and supermarket sectors, the biggest gaps between importance and
delivery are less focused on service and more on trust and fairness.
The biggest gaps between importance and delivery for supermarkets are:
41%
"They do not lie to me"
27%
42% Importance
"Do business fairly"
29% Delivery
35%
"Treat workers well"
23%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
19 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
The biggest gaps between importance and delivery for retail brands are:
43%
"They do not lie to me"
24%
41% Importance
"Do business fairly"
26% Delivery
55%
"Value for money"
40%
0% 10% 20% 30% 40% 50% 60%
These gaps show the areas brands can build in order to win more trust from their customers. Delivering on functional
basics is a must, especially for customer service. But, it is clear that brands in the travel sector can do more to meet
consumer demand for more ‘trustworthy’ and ‘genuine’ services.
KEY TAKEAWAY: Functional delivery is the bedrock of winning consumers’ business. But to gain trust brands
need to communicate their values authentically to consumers, to show they are genuine, fair and honest. With
both functional excellence and honest communication of brand values, brands may create more meaningful
connections with consumers.
20 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Loyalty in the travel sector
What drives loyalty in the travel sector?
Many brand choices are out of consumers’ hands when it comes to buying holidays, from certain airlines only flying
to particular destinations, to limited options for accommodation for the dates you want. These constraints, coupled to
the choice and diversity of travel brands, the possibilities for long term loyalty would seem limited.
But despite this, the research shows that travel brands that focus on service and rewarding loyalty can benefit.
We asked consumers to select the reasons why they stayed loyal to particular travel brands, even if they could
get cheaper deals elsewhere. We see which elements of a customers’ experience are the most likely to generate
more sales:
Chart 10 | Reasons for staying loyal to travel brands | When buying from the following types of company which of these are
reasons why you have continued to use the same brands even though you could get a cheaper deal elsewhere?”
Good service 53%
Good offers / deals 40%
Good loyalty / rewards scheme 39%
Most convenient / easy 38%
Friendly / helpful / welcoming 37%
Quality of items / products available 33%
They make me feel valued / special 31%
They keep me updated about new deals I might be interested
29%
in based on what I like or have bought from them before
They remember me / my details 28%
They offer me a personal service 28%
Good at dealing with issues 27%
Has a heritage / well established 27%
They offer me tailored offers / deals specific to
26%
what I like or have bought from them before
I just love them 23%
Reflects my personality / style 23%
My friends / family use them 20%
They are ethically / environmentally responsible 18%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Source: DMA/Foresight Factory Research | Base: all who have stayed loyal to travel brands aged 16+, GB, May 2017
The top three reasons for staying loyal to travel brands (all types aggregated) are a good service experience (53%),
good deals (40%) and a good loyalty or a rewards scheme (39%).
Among hotel and travel accommodation brands service was the top reason to remain loyal followed by
friendliness/helpfulness for two in five (39%), good offers, and loyalty schemes. Another 30% choose being “made to
feel valued/special”.
21 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Chart 11 | Reasons for staying loyal to hotel and travel accommodation brands | When buying from the following
types of company which of these are reasons why you have continued to use the same brands even though you could get a
cheaper deal elsewhere?”
Good service 50%
Friendly / helpful / welcoming 39%
Good offers / deals 35%
Good loyalty / rewards scheme 33%
Most convenient / easy 32%
Quality of items / products available 32%
They make me feel valued / special 30%
They offer me a personal service 29%
They remember me / my details 27%
They keep me updated about new deals I might be interested
25%
in based on what I like or have bought from them before
Good at dealing with issues 24%
Has a heritage / well established 24%
They offer me tailored offers / deals specific to 22%
what I like or have bought from them before
Reflects my personality / style 22%
I just love them 20%
They are ethically / environmentally responsible 17%
My friends / family use them 17%
None of these 3%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Source: DMA/Foresight Factory Research | Base: 523 online respondents aged 16+, GB, May 2017
Among airline brands a good loyalty/rewards scheme (42%) is the second most popular reason to stay loyal after
good service, followed by offers (33%) and convenience (31%).
22 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Chart 12 | Reasons for staying loyal to airline brands | When buying from the following types of company which of these are
reasons why you have continued to use the same brands even though you could get a cheaper deal elsewhere?”
Good service 47%
Good loyalty / rewards scheme 42%
Good offers / deals 33%
Most convenient / easy 31%
Quality of items / products available 29%
Friendly / helpful / welcoming 28%
They make me feel valued / special 25%
Has a heritage / well established 25%
They keep me updated about new deals I might be interested
24%
in based on what I like or have bought from them before
Good at dealing with issues 22%
They remember me / my details 20%
They offer me a personal service 20%
They offer me tailored offers / deals specific to
20%
what I like or have bought from them before
I just love them 18%
My friends / family use them 18%
Reflects my personality / style 17%
They are ethically / environmentally responsible 13%
None of these 3%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Source: DMA/Foresight Factory Research | Base: 463 online respondents aged 16+, GB, May 2017
Among travel booking/travel price comparison sites consumers wanted good deals, followed by good service and
convenience. A quarter (26%) cite deals tailored to what they like as a driving of loyalty.
23 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Chart 13 | Reasons for staying loyal to online travel booking sites / travel price comparison sites brands | When
buying from the following types of company which of these are reasons why you have continued to use the same brands
even though you could get a cheaper deal elsewhere?”
Good offers / deals 41%
Good service 40%
Most convenient / easy 38%
They offer me tailored offers / deals specific to
26%
what I like or have bought from them before
Quality of items / products available 26%
They keep me updated about new deals I might be interested 25%
in based on what I like or have bought from them before
Good at dealing with issues 24%
They remember me / my details 24%
Good loyalty / rewards scheme 24%
Friendly / helpful / welcoming 24%
They make me feel valued / special 21%
They offer me a personal service 21%
My friends / family use them 19%
Has a heritage / well established 19%
I just love them 18%
Reflects my personality / style 17%
They are ethically / environmentally responsible 15%
None of these 6%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Source: DMA/Foresight Factory Research | Base: 309 online respondents aged 16+, GB, May 2017
KEY TAKEAWAY: Longer term loyalty requires brands to deliver on service and personalise their interactions with
customers. Whether through attentive staff, personalised rewards or data-driven communications that take into
account people’s individual needs, relevant engagement is a crucial element to take a brand beyond just serviceable.
24 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Rewarded customers trust brands to do business fairly
More than two in five (42%) of those who stayed loyal to an airline brand when they could get a cheaper deal
elsewhere say one of the reasons why was having a good loyalty/rewards scheme.
Further analysis shows that those people who most appreciate rewards from travel brands tend to trust them more
strongly to do business fairly.
When looking at trust in airlines to do business fairly, those who value airline rewards the most are more likely to
strongly trust those airlines. One tenth of those who do not have an airline loyalty scheme say they trust those airlines
very much, but for those who are loyalty members, this proportion more than doubles to almost a quarter (23%).
Chart 14 | Trust in airlines | “Thinking about the following types of brand/company how much do you trust them to
do business fairly?” | by level of loyalty scheme appreciation
100%
Quite a lot Very much
80%
23%
60%
13%
10%
40%
50%
46%
20% 42%
0%
"doesn't have airline loyalty scheme" "does not value airline loyalty scheme "really values airline loyalty scheme bene ts"
bene ts at all"
Source: DMA/Foresight Factory Research | Base: 2009 online respondents aged 16+, GB, May 2017
For hotel accommodation brands this pattern persists. A much higher proportion of those who highly value their
hotel/travel accommodation loyalty benefits very much trust in the brand to do business fairly – 27% against just 11%
who are not loyalty scheme members. Of those who are loyalty scheme members, but do not value the scheme, trust
is not reinforced. It’s not enough to simply have a loyalty scheme, but the customer has to see benefits from using the
scheme in order for it to give additional brand value.
25 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Chart 15 | Trust in hotel / travel accommodation brands | “Thinking about the following types of brand/company
how much do you trust them to do business fairly?” | by level of loyalty scheme appreciation
100%
Quite a lot Very much
80%
12% 27%
60%
11%
40%
60%
52% 52%
20%
0%
"doesn't have hotel loyalty scheme" "does not value hotel loyalty "I really value the hotel loyalty
scheme benefits" scheme benefits"
Source: DMA/Foresight Factory Research | Base: 2009 online respondents aged 16+, GB, May 2017
EXAMPLES
SAS Airlines worked with Wiraya to re-engage non-active
members of their SAS EuroBonus loyalty rewards scheme to
reintroduce its value to members, and not just those who were
flying frequently. By building an automated flow of
communications to help passive users overcome barriers of
non-usage, which include log in issues and lack of understanding
of available benefits. Ultimately, SAS activated 17% of members
who had been passive for 18 months or more, which compares
to just 2% for previous communications campaigns.
The Hilton Honors loyalty programme offers rewards that are
accessible to a wide customer base. For example, Hilton Honors
gives friends and family the chance to pool their points together
or send points to one other. In the US, users can buy on Amazon
with accrued points, vastly expanding potential benefits of
rewards. Elsewhere they open new experiences for members
such as a private sea plane excursions or VIP concert tickets, by
bidding points for them. This allows Hilton to build on their core
value of being an elite provider within their loyalty programme.
KEY TAKEAWAY: Rewards are a clear route to engagement. The challenge for brands is to make sure that benefits are
valued by customers, so they have the desired effect of creating stronger long term brand loyalty. Making rewards
more relevant to a wider customer base, not just linking them to frequency of transaction for example, could allow
travel brands to widen the reach of their loyalty benefits.
26 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Travel and channels of engagement
We now look at the different stages of the travel experience, and how new communications channels give travel
brands new routes to engagement and the core needs of service, convenience and relevance. For more general
insights into the potential for these channels’ in the future, and the potential barriers to adoption see “Customer
Engagement 2017: How to win Trust and Loyalty” report.
Booking
Today the majority of consumers book holidays online, with all in one travel sites slightly more popular than booking
airlines or travel accomodation direct. Only older age groups that still show a significant preference for offline travel
booking, with 17% of over 65s using the phone and another 17% preferring to use a travel agent. Older and younger
consumers are less likely to personally book holidays.
Chart 16 | How do you prefer to book your holidays?
60%
71%
71%
NET: online means 72%
69%
50%
34%
45%
44%
Through an online travel booking site or sites 41%
36%
26%
25%
26%
Through airline and / or travel 27%
accommodation websites directly 31%
32% 16-24
24%
25-34
15%
13% 35-44
14%
In an offline travel agency
14% 45-54
13%
17%
55-64
10% 65+
7%
7%
Over the phone 5%
11%
17%
0%
0%
1%
Other (Please specify) 1%
1%
2%
16%
9%
7%
None of these- I never personally book holidays 8%
7%
14%
0% 20% 40% 60% 80% 100%
Source: DMA/Foresight Factory Research | Base: 2009 online respondents aged 16+, GB, May 2017
27 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Why are consumers keener to use online travel booking sites? The biggest draw is convenience (61%), followed by the
perception that they are getting the best deals for 57% of customers. More than two in five (42%) prefer this method
as they are able to book their holiday all in one place, which adds level of security as well as convenience. For example,
many booking sites include ABTA cover, but booking seperately may not.
More than one in 10 though choose this method for being more trustworthy (12%) or for the rewards they get (13%)
suggesting travel booking sites could do more to engage consumers’ trust and better reward them.
Chart 17 | Why do you prefer booking your holidays through an online travel booking site?
It's more convenient 61%
I can get the best deals 57%
I'm able to book everything in the same place 42%
The information is more up-to-date 26%
It's more user-friendly 23%
It's more secure 14%
I get loyalty points / rewards 13%
It's more trustworthy 12%
Other (Please specify) 1%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Source: DMA/Foresight Factory Research | Base: 747 respondents who book through travel booking sites aged 16+, GB, May 2017
KEY TAKEAWAY: Online booking sites meet consumers’ preferences for convenience and price comparison. Therefore,
specific travel service providers, such as airlines, should streamline the booking process to allow consumers to book
with separate providers as easily as they do with other booking sites. Explaining price savings or offering incentives
could also help to brands level the playing field with aggregators and price comparison services.
28 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Pre-travel
Booking a holiday required a large amount of administration. But with convenience a high priority for travellers, consumers
are interested in receiving targeted communiations to help them streamline the booking and pre-travel process.
Chart 18 | Which of the following, if any, are you interested in receiving from travel brands/companies?
To be able to access my booking 40%
information more easily
Notifications when I need to complete
important steps before my holiday 32%
e.g. organise my Visa, vaccinations
Reminders for when holiday options
26%
I am interested in change in price
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Source: DMA/Foresight Factory Research | Base: 2009 online respondents aged 16+, GB, May 2017
Communications via chat messenger could give consumers immediate responses and satisfy their need for
convenience. We see significant interest among consumers in using a chatbot instead of other means to book or
to ask questions, and this is not restricted to younger age groups. Consumers appreciate the combined speed,
convenience and convenience chatbots promise to add to the booking process.
Chart 19 | If you could use a chatbot to do the following how likely would you be to use one (instead of using
another means to)? To ask questions about a flight you have booked (e.g. boarding time, delays)
100%
80%
65%
62%
58%
60% 54%
52%
45%
40% 33%
20%
0%
Total 16-24 25-34 35-44 45-54 55-64 65+
Source: DMA/Foresight Factory Research | Base: 2009 online respondents aged 16+, GB, May 2017
29 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Travel brands were some of the first to experiment with chat interfaces, giving booking over to mobile first customers.
Below are some examples showing the potential of AI in the travel sector:
EXAMPLES
At the end of 2016 Expedia.com launched an Alexa feature to
allow people to make and manage trips via AI voice
recognition. Booking a hotel or flight is not yet possible, but
users can check flight status, check details of an upcoming
trip, remind you what to pack or book a rental car.
A spinoff from the Hipmunk booking website and
smartphone app Hello Hipmunk offers a cute chipmunk
chatbot to help you book travel from Facebook Messenger,
Slack or Skype. Acting as a personal travel assistant,
consumers can ask questions and give commands to find out
the best flight options for your trip. The chatbot uses
algorithms to filter through relevant data with the promise of
reducing multiple searches to a single conversation.
KEY TAKEAWAY: Our research reminds us of the importance of good customer service from travel brands. Chat and
AI messenger services could move the travel sector to the leading edge of service delivery by eliminating painpoints
associated with other channels.
30 COPYRIGHT: THE DMA (UK) LTD 2017CUSTOMER ENGAGEMENT: FOCUS ON TRAVEL 2017
Travel inspiration
Virtual reality has a natural affinity for travel and holidays through its ability to “transport” people to new places and
offer virtual experiences. VR users already have access to destinations, allowing viewers to see extreme landscapes
and far-flung places.
The immersive nature of VR offers commercial potential. It is possible that travel brands could use VR to show hotel
room views, the size of beaches, local attractions and more. Brands could use VR to help customers choose their
destination by giving them a vivid facsimile of destinations.
Chart 20 | How interested would you be in using virtual / augmented reality technology in the following
situations?| % very or quite interested
100%
80%
71%
68%
66%
65%
65%
63%
Using a virtual reality headset
61%
60%
to view what a holiday
57%
destination might look like
54%
60%
54%
53%
50%
Using a virtual reality headset
43%
43%
to view what a hotel room I am
41%
considering staying in looks like
38%
40% 30%
Using a virtual reality headset
27%
27%
to view what different holiday
activities might be like
17%
20%
0%
Total 16-24 25-34 35-44 45-54 55-64 65+
Source: DMA/Foresight Factory Research | Base: 2009 online respondents aged 16+, GB, May 2017
31 COPYRIGHT: THE DMA (UK) LTD 2017You can also read
