Successful Travel Club Examples
So the question arises – why travel clubs? The answer is simple. They are the future of the tourism industry, without a doubt. The stats and figures forecasted this fact and current trends have supported it. According to the most reports by top industry analysts, the B2B E-commerce revenue is aimed to exceed $6.7 trillion by 2020. The global B2B E-commerce market generated over $5.8 trillion in revenue. That’s a lot of revenue and this is undeniably a promising start. These figures strengthen the fact that subscription economy is the new way to travel, paving a way to the rise of travel clubs.
Personalization and Recommendations
Travelers crave personalized experiences when they go on a vacation. ‘Personalization’ is the main keyword of 2018 tourism industry and reports show that 57% of travelers want the brands to arrange bespoke trips as per their personal preferences or past behavior. Today’s travelers want faster access to information. Reports suggest that over 60% of US travelers would invest in an impulse trip if they get a good hotel/flight deal. Travel clubs are the ultimate destination for today’s consumers to get all the information they need along with smart recommendations. Traditional travel companies and startups are now scrambling to find ways to fit in and attract consumers. Travel clubs are helping them both ways with a plethora of offerings for their customers and in return getting unbiased loyalty for their business.
Loyalty as a Subscription Service
It is common to see subscription deals across the tourism, hospitality, leisure, and hotel industries. In fact, OTAs such as Expedia and Travelocity offer a similar subscription and point-based approach. They are offering reward programs to both individuals as well as businesses. This brings about ultimate retention while generating appreciable revenue. Expedia’s reward program is considered one of the best. One can cash in points from a variety of sources such as frequent flyer miles, reward points, credit card points and airline points. The company’s website lets you choose as well as compare prices and even cancel the booking within 24 hours without penalty. Their digital interface is extremely user-friendly and their app is rated highly.
The timeshare concept is revolutionized by the travel clubs to make sense in the long-term. Even today’s travelers, Millennials, see the vacation club membership as a value-added proposition. The travel businesses can easily entice Millennials and make them ditch their travel apps by offering them a curated experience made possible by the travel clubs. A growing travel business can position itself well by creating a unique brand presence and offering a viable alternative to the traditional travel agencies. With the help of travel clubs, they can fully customize themselves to be the portals who prioritize speed as well as care and view the customer as an individual, not a number.
Industry leaders agree that the future of the travel industry comes down to personalization. In fact, around 36% of consumers are willing to pay more for personalized travel experiences. According to Google’s VP of Engineering for Travel and Shopping, Oliver Heckmann, 60% of consumers would prefer the use of Artificial Intelligence (AI) and personalized search results based on their personal preferences. The operational efficiency of a booking portal is crucial in creating end-to-end visibility and successfully facilitating transactions. Travel clubs help businesses to establish operational efficiency across every point in the value chain and retain the customers. A travel club helps brands to engage with customers even after booking until their bags are packed. By curating individualized experiences, travel clubs help brands get to know their customers on a more intimate level, which strengthens loyalty, builds trust for future bookings and increase your ROI without much initial investment.
Interested in learning more about how a travel club can help your business?