Digital assistants, tailored recommendations, and content generation seen as top use cases Challenges emerge around talent shortages, return on investment, and data security.
India, 21st October 2024: Generative Artificial Intelligence (Generative AI) remains a central focus for the travel technology sector looking ahead to 2025 – but challenges are emerging as initial optimism begins to dissipate.
That is according to a new report released by Amadeus – ‘Navigating the Future: How Generative Artificial Intelligence is transforming the travel industry‘ – which surveyed experts in the field from across the travel ecosystem.
Generative AI is a top priority with budget and resources on the agenda
Among the 300+ industry leaders questioned, Generative AI was cited as a ‘top priority’ for the coming year by 46% – ahead of any other technology. This figure rose to 61% in Asia Pacific, suggesting the region may be ready to take the lead in this transformative technology.
Other technologies cited as a top priority for 2025 included data management (38%), cloud architecture (36%), non-generative AI IT infrastructure (34%), and biometric technology (23%).
Globally, over half of travel technology leaders (51%) argue Generative AI already has a ‘significant presence’ in the travel industry in their country. A further 36% expect this presence to emerge over the next year, while 11% expect the process to take one-to-two years. Just 2% of travel technology leaders think it will take three or more years for Generative AI to have a significant presence on the travel sector where they are.
Today, 41% of travel companies say their organization has the budget and resources in place to implement Generative AI, while 87% are open to working with a third-party vendor to develop Generative AI-powered applications.
Data, talent and cost seen as challenges in deployment of Generative AI
While support for the roll-out of Generative AI in the travel technology sector remains undimmed, “Navigating the Future“ finds a number of challenges are emerging.
When asked what, if anything, was slowing the roll-out of the technology, industry leaders said:
- Data security – 35%
- Lack of Generative AI expertise and training – 34%
- Data quality and inadequate technological infrastructure – 33%
- ROI concerns, lack of use cases, or difficulty in estimating value – 30%
- Difficulty in connecting with partners or vendors – 29%
Today, Generative AI specialists are grappling to recruit experts and train existing workforces to bridge a skills gap, while working to secure data and convince senior leaders of the value of Generative AI investments.
How is Generative AI being used?
While the process of experimentation continues with the deployment of Generative AI, several use cases have emerged in the travel technology sector.
These are led by digital assistance for travelers during booking (53%) and followed by recommendations for activities or venues (48%), content generation (47%), helping staff to better serve customers (45%), and collecting and condensing post-travel feedback (45%).
What does successful deployment of Generative AI look like?
“Navigating the Future“ respondents were looking for, in ranked order, return on investment, customer satisfaction, efficiency and productivity improvements, performance metrics (accuracy, precision and relevance) and increases in key performance indicators.
Sylvain Roy, Chief Technology Officer, Amadeus, said: “At Amadeus, we work to make the experience of travel better for everyone, everywhere and there is perhaps no better example of this mission coming to life right now than through the deployment of Generative AI. This is a technology that has the potential to transform every facet of what we do across the travel ecosystem, significantly enhancing the passenger experience at every step of the journey.
While technology will be a key focus for the next year, questions are rightly being asked whether Generative AI will deliver sufficient returns on investment, while talent shortages are also coming under the spotlight.
It is crucial that we use this new technology responsibly, ensuring data security, privacy, and content reliability. It is time for Generative AI to prove it can live up to the hype.”
