It’s not easy to be the best. In the world of travel tech, it’s even more difficult as you need to combine technology innovation with a deep understanding of ever-changing market needs.
Traveling is an adventure, and catering to adventurers' free and wild spirit is like trying to build a castle on a tidal wave. But some companies succeed, and we want to explore what makes this year’s travel awards winners so special. Let’s look into the core — the traveltech trends they successfully grasp – and then dive deeper into how they do it. Let’s start!
5 travel tech trends that will impact industry in 2025
In 2025, tourists will increasingly crave new experiences and advanced services. Let's explore five digital transformation trends shaping travel's future, backed by numbers highlighting their impact.
1. Top travel companies smash into TikTok
TikTok's influence on travel decisions is undeniable – 60% of TikTok users get interested in visiting a new destination after seeing it on the platform. With nearly 150 million users in the US alone — representing almost half of the country's population — TikTok is a potent tool for travel marketing campaigns.
This trend is forcing travel startups to rethink their social media strategies, focusing on creating authentic, engaging clips that resonate with the platform's young, adventure-seeking audience.
2. AI-powered travel technology
Artificial Intelligence is changing the way travelers plan and experience their trips. By 2033, an impressive 75% of travelers worldwide expect to use AI for planning their accommodations. The younger generation is particularly open to AI assistance, with 62% of millennials expressing interest in AI-powered travel companions for tips and insights during their holidays.
Moreover, one-third of all travelers are now open to using generative AI tools like ChatGPT to plan their getaways. This shift towards AI-driven planning is likely to lead to more personalized itineraries, smarter recommendations, and enhanced customer service throughout the travel journey.
3. Focus on experiences & personalization
The power of personalization in travel experiences is becoming increasingly evident. 36% of travelers are more likely to pay a higher price for experiences based on their own behavior profiles. This demonstrates that travelers value tailored experiences that align with their preferences and past behaviors and are willing to invest more for a personalized journey.
Virtual and augmented reality technologies transform how travelers preview and choose their destinations. An encouraging 60% of people say they would be willing to book a trip if they could first experience it virtually. This trend is expected to have a significant economic impact, with predictions suggesting a $1.5 trillion increase in tourism revenue due to VR by 2030.
Combining immersive virtual previews and data-driven personalization creates a new paradigm in travel booking.
4. Cultural tourism
Cultural experiences are becoming increasingly central to travel plans. At least 40% of tourists are classified as cultural tourists, seeking authentic local experiences and deeper connections with their destinations. This trend underscores the importance of showcasing unique cultural offerings and supporting local communities in travel marketing and product development.
Travel companies are responding by curating more immersive cultural experiences, partnering with local artisans and communities, and promoting sustainable business travel practices that benefit both travelers and destinations.
5. High-quality digital experience
The quality of a travel brand's digital presence impacts booking decisions – 71% of travelers mention the quality of their digital experience as crucial for decision-making, and 75% admit to judging a company's credibility based on its website design. And this is just the beginning — technology improves hotel guest experience tenfold.
When you look at these numbers, the need for travel technology companies to invest in superior digital experiences becomes obvious. This includes optimizing for mobile devices, improving website load times, creating intuitive user interfaces, and ensuring seamless booking processes. Seamlessly integrated travel tech solutions increase customer satisfaction, boost higher conversions, and improve brand loyalty in the competitive travel market.