Travel distribution is about to undergo a massive transformation by leveraging AI

For those keeping an eye on other industries like fashion, cosmetics and homewares would already be aware, the way consumers buy things is undergoing a huge transformation.

In those industries, social shopping has already arrived. In fact, it is so mature that it has even worked its way through to the legal system with some bizarre lawsuits and where content creators are buying their first homes.

Amazon has worked it out and is powering ahead in pretty much every category of goods with its Amazon Influencer program. Challenger LTK in fashion is valued at $2B.

What these other verticals have worked out is that #creatorsmeanbusiness

Here in travel however, creators are still seen as second-class citizens & cheap marketing labour bought off with contra. But that is all about to change.

As Videreo makes content creator social media accounts both searchable and shoppable straight-out of link-in-bio, the revolution in travel is now underway here too.

Videreo is finalising its initial roster of stellar content creators in travel, to act as its inaugural ambassadors. Videreo offers creators the opportunity to go full time, doing the work they love. This is the Videreo mission. (Note: still accepting applications until Dec 6 for the program if you are or know a commercially minded content creator)

These creators and their collective millions of followers will have available to them products from companies like Intrepid, G Adventures, Contiki, Exodus, Viator and accommodation from Booking.com, Agoda & Stayz among others programmatically inserted beside their video content as their followers search the creator content with buying intent.

For the brands that partner directly with Videreo, they’ll finally get the attribution metrics they’ve been looking for to not only justify their investments but to move to more money from their performance marketing budgets across to the new gold of creator sales.

If you’re a brand who wants this too - then please reach out. 

This content is provided by the newsletter sponsor Videreo.com

Panelists at Phocuswright unpack AI

A good round up of the current general feeling around where we have landed with AI + Travel from some eminent persons within the industry was published this week on PhocusWire. The whole article is worth a read but here is the (AI) summary:

| Erik Blachford | The travel industry is progressing as expected, with a focus on experimentation. Believes real-world applications will evolve nonlinearly.

| Melissa Maher | The industry is cautious and slow; AI has transformative potential but isn’t fully embraced as a strategic priority yet.

| Eric Bailey | AI adoption is evident but lacks impactful results. Sees incomplete data and slow industry pace as significant challenges.

| Stuart Greif | AI progress will seem sudden in a few years. Current slow pace reflects the need for structural and ecosystem adaptations.

| Marilyn Markham | Expectations for AI adoption in travel were low; generative AI faces challenges due to outdated data and the experiential nature of travel.

Don’t rely on AI (oh, don’t ignore it either)

What we like to call in Australia, the each-way bet, Mirai’s Pablo Delgado at Phocuswright last week suggested hotels "shouldn’t rely solely on rapid AI-based placements" for their marketing strategy in 2025.

“Instead the Mirai CEO for the Americas recommeded that hotels focus on brand protection campaigns and established social media platforms including Instagram, TikTok, and YouTube.”

Obviously preaching to the choir with me on this one although suspect Delgado was probably talking about the brand social account which I think officially no-one really cares about. But pay to get a few likes if that is what you’re in to.

When seeking qualification Delgado said ““incorporating AI to gain first-mover advantage should be on your 2025 agenda, but just not the sole objective for the year".

Got it!

Expedia at Phocuswright

A big week at Phocuswright with new Expedia CEO Ariane Gorin also getting grilled on all things AI. Again AI will help us out here with a summary:

Expedia’s AI Initiatives and Use Cases

• Early ChatGPT Integration: Tested in the Expedia app to explore user behavior and engagement.

• AI in Customer Service: Implemented to enhance efficiency and deliver immediate returns.

• AI in Product Features:

  • Review summaries.

  • Destination insights.

• Romie AI Tool:

  • Popular for trip planning.

  • Focus on destination research and budget-related travel questions.

• Marketing Optimization:

  • Rapid testing across global markets.

  • Tailored campaigns in different countries.

• Support for Partners:

  • AI tools to help homeowners improve property descriptions.

  • Assistance for advertisers with optimized images.

• AI-Optimized Search:

  • Monitoring developments in AI search and discovery.

  • Adapting strategies in collaboration with major search engines.

• Future Vision:

  • Testing AI across all operational areas.

  • Embracing a flexible, experimental approach to find effective solutions.

It can’t be said that Expedia are sitting on their hands.

Airbnb at Phocuswright

Have you detected a bit of a theme here……..

Skift this week reported on comments from Dave Stephenson, chief business officer for Airbnb about their AI plans upcoming.

Chief among their plans is they won’t be following the crowd with a chatbot. Even though Airbnb worked directly with the team at OpenAI on a chatbot “We were not satisfied with it,” Stephenson said. “I think the tools in the interface right now — using chat as a method to plan a trip — we just don’t think it’s actually sufficient, and it didn’t actually meet our design criteria.”

In many ways this is exciting.

If anyone in travel is likely to stand back and actually rethink how things could be done, rather than just rushing to mimic how things have been done in the past - it is Chesky and his team at Airbnb.

I have no doubt they are re-looking at the 11-star experience exercise and looking at AI and working out how you actually land on the 7 or 8 stars by leveraging AI.

I know they are not the only ones because I’ve done this experience with pretty much every company, I’ve consulted with over the past 2 years.

You should try it too!

Phocuswire Top 25 startups are very AI

The top 25 hottest startups as chosen by the Phocuswire team were also announced and invited along to the Phocuswright conference.

“Approximately 10 of the startups utilize AI (Artificial intelligence) to enhance their offerings, highlighting the technology's growing influence in travel.”

"This year's Hot 25 Travel Startups aren't just surviving, they're thriving in a challenging investment landscape," said Mike Colletta, Managing Director at parent company Phocuswright (and Everything AI in Travel Slack group member), in a statement. "These companies are not only developing groundbreaking solutions, but they're also proof that innovation in travel is alive and well, driven by a commitment to diversity, inclusivity, and pushing the boundaries of what's possible."

Note: Original quote didn’t mention Mike being in the Slack group.

If you think someone (or everyone) you know or work with could grow from being more informed on the topic of ai + travel (or could use the training above) then please forward this email to them and they can click the button below:

Meanwhile, elsewhere, everything that’s wrong with AI Trip Planning

AI veteran from outside of Travel, Peter Smart who is CXO at Fantasy, the product innovation team behind many of the world's most used consumer experiences including the likes of Netflix, Spotify, Google, Samsung, and Masterclass this week weighed in on AI and travel planning.

“I attempted to plan a road trip through Canada. What should have been exciting—imagining stunning national parks and scenic drives—became a digital nightmare of juggling 50 different websites. Just figuring out the basics was exhausting: Could I take my dog to the parks? Were there direct flights? What activities would be good for my three kids? What’s the best driving route? Each question spawned five new browser tabs.”

Smart sees five key areas of opportunity:

1. Search with human language

2. Book by budget

3. Dynamic visual planning

4. On-demand replanning

5. Simplified group booking

If your AI planner already does all this then please let us all know in the comments on the LinkedIn version of this newsletter.

Trip Boutique partner with Amadeus

Trip Boutique have announced that they’ve partnered with Amadeus.

“The Trip Boutique is an AI-powered solution designed to help travel agents gain efficiency, reduce the time and effort required to close sales, drive revenue growth, and increase customer lifetime value by leveraging a personalized relationship with each client.”

For mine the most interesting bit was how they first met. “We first came across The Trip Boutique AI thanks to the Amadeus Launchpad program for start-ups.” said Noureddine Hajji, Strategic Alliances & Partnerships Manager, Amadeus.

Massive congrats on getting the submission form to actually send! Not something we’ve yet managed to achieve despite being quite interested in seeing what we might be able to do with the Amadeus API. (If anyone from Amadeus is reading, lil’ help please on this one).

Slack Group!

Where is Tony?

At home on his couch - deep in the grind. Videreo is starting to take flight! Busy busy!

The Everything AI in Travel marketplace is now launched - please just jump on the site to grab your listing if you have an AI tool or service that you want the industry to know about.

Most clicked last week was the link to the Search Engine Land post on AI overviews starting to take over in Google result! No surprise here!

That’s it - you’ve made it to the end of this edition. I’ll be putting the result of the most clicked post in next week’s edition so you can see where others are focusing. If I’ve missed something, you’ve got a tip or any feedback at all - you can simply reply to this email and it will come straight to me. I’m doing this for You so please don’t be shy to tell me what you think