Modernising tourism

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For decades, the American economy centered around materialism, with the role of marketing and advertising revolving around connecting potential customers not only with products they needed, but also products they wanted or thought they wanted. An emerging trend is the shift towards placing value on experiences, rather than things.

[dropcap]T[/dropcap]ourism experts talked tech last week as sector stakeholders met for their annual State of the Industry Conference, hosted by the Caribbean Tourism Organization (CTO).

The week-long event, held in Nassau, Bahamas, was a chance for everyone involved in the business of tourism to discuss challenges and trends. Unsurprisingly, the disruptive power of technology was high on the agenda with attendees and speakers brainstorming how the Caribbean can become more cutting-edge.

Experiential travel

What do today’s travellers want? Experiences. Tourists, especially millennials, are increasingly valuing authentic activities that give them a hands-on experience in their destination. According to a 2014 Harris Poll, 78% of millennials would rather spend their money on experiences than things and, given that this demographic is expected to comprise 50% of the travelling public by 2030, the industry is shifting its focus to keep up.

This is where technology comes in, giving hospitality providers the tools to curate and customise an experience tailored to each individual guest. “Over the last few years we have seen a rise in experiential tourism,” said Casey Davy, co-founder of hospitality tech group Busy Rooms, speaking at the CTO conference. “The Caribbean has a unique opportunity with multiple experiences in one destination and that can all be curated together to offer an amazing experience to guests. There is a lot of technology out there and it is not about what it can do for you, but about how you can use that technology to improve guest experience.”

Whether creating a database for repeat visitors that pinpoints their interests and flags birthdays and anniversaries, inventing apps for self-guided tours or using geolocation services to help tourists find their way around, technology can make travel more convenient, more cost-effective and more personal.

And travellers will repay the favour – those enjoying their experiences are more likely to share them across their social media platforms, spreading the word and encouraging others to follow in their footsteps. Turning travellers into advocates for the destination translates into easy and inexpensive destination marketing on a large scale. According to travel marketing firm, nSight, 76% of millennials say their friends’ recommendations are top influencers for travel and 80% look at travel photos online as part of their pre-trip research.

Virtual Reality

Tourists can now get that Caribbean experience before they set foot in the islands, thanks to a boom in Virtual Reality (VR) offerings. This technology first hit the scene in the 1950s with a rudimentary system known as ‘the sensorama’. As multi-sensory machines became more sophisticated they’ve been used in a variety of industries including gaming, education, real estate and now tourism.

Last year, Toronto-based Winged Whale Media teamed up with the Antigua and Barbuda Tourism Authority to create a VR 360 experience where users could explore the island’s beaches, swim with stingrays or take a helicopter flight through a VR headset. The headsets launched at the International Travel and Tourism Show in Montreal, giving travel agents and potential visitors a taste of what the destination has to offer. The response was huge, according to Edouard Limon, Winged Whale’s Creative Director, who said: “It was quite something. To have not just digital content, but to give users an immersive experience and entice, educate and inspire them to feel like they were in Antigua and Barbuda.”

The private sector has also made moves towards VR, with cruise giant Royal Caribbean among the first to utilise the technology in its advertising and marketing strategy. In 2017 the group used HoliDeck VR software to give potential guests a look at the facilities and activities onboard their vessels and, this year, the company unveiled the Spectrum of the Seas, set to sail in 2019, which includes the Sky Pad, a VR bungee trampoline. Spectrum’s predecessor, Quantum of the Seas, boasts virtual balcony staterooms so accommodations in the interior of the ship can still have an ocean view.

The VR headset market alone is worth around US$7bn annually and 70% of marketers say using 360 video increases the level of engagement among their client base. “The technology is being embraced and the results are there. Times are changing and we are forced to change with them,” said Limon.

Working together

People are at the heart of tourism, which has long been considered a business built on relationships. Travellers want to connect with locals, locals enjoy meeting and welcoming visitors. In this kind of environment, it’s difficult to see how machines can replace human interaction. Davy suggested that technology can complement rather than compete with the human side of the business, and added: “Let the technology do the heavy lifting and humans can get back to interacting with guests and providing that service. Experiment [with the technology], try something new and be open.”

Ultimately, tourism doesn’t have a choice. It must engage with the next wave of technology or risk being left behind. The CTO marked World Tourism Day last month and CTO General Secretary Hugh Riley had a message for the industry: “It is our duty to explore and introduce new tools and capabilities. In the coming months the CTO will continue to develop an agenda which encourages and assists member states’ efforts to create digitally-enhanced tourism services via entrepreneurship and innovation.

“Tourism must bring benefits to all members of society. Emerging digital technologies provide a range of new tools that can tackle challenges faced throughout our member states, increase profitability and bring about positive change for stakeholders that will improve the quality of life for all Caribbean people.”