Travel brands missing out on mobile app opportunities

Thursday, 20 Jun, 2014 0

Travel companies are not making the most of the opportunities offered by mobile technology, according to a joint report by The Boston Consulting Group and Facebook.

It says of the 25-40 apps on average installed on a typical smartphone, very few are travel related.

Also, travel companies on average convert less than 20% of their desktop customers to mobile-app use.

The report highlights the need to improve user engagement with a personalized service and experience, particularly for high-value customers.

"The tools and capabilities available to travel companies continue to expand as digital and mobile technologies improve," said Lee McCabe, global head of travel strategy at Facebook and co-author of the report.

The report concludes that travel brands want customers to download apps and engage with them throughout a travel journey.

Yet it says travel companies need to design apps with market leading functionality that is both easy to install and offers valuable real-time engagement.

The most successful companies, it argues, are those which best utilize valuable data relating to search results, time of use, location, spending habits, preferences, friends and followers.

They need to understand their customers’ mobile-usage trends, tailor their marketing, and even adapt their operating models accordingly," said Jason Guggenheim, partner at Boston Consulting Group.

TravelMole Editorial Team

Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.

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