The longtail of travel may get cut off automation is one way to get it back up – Web In Travel

Its hard not to paint a bleak picture of the in-destination experiences sector. Tom Jenkins, CEO of the European Tour Operators Association, called the tour operator business a bloodbath in the jungle.

Rezgo CEO, Stephen Joyce, who spoke at WiT Indie 2020 earlier this month, predicted Covid-19s impact would result in a mass culling of the long tail as more cash-rich operators manage their market share while smaller operators struggle to stay in business long enough for travel demand to finally return.

Asthings settle down, we may see a return of some operators to the space, butbecause of the financial impact this crisis will have on many individuals,there may be a large number of operators who decide to return to the work forceand leave entrepreneurship, and its associated risks behind, said Joyce.

The crisis serves as a bitter reminder for anotoriously offline industry of the critical need to go digital, if their brandis to survive once some level of normality resumes.

At this point, staying inbusiness is the number one priority In the short term, they should make surethey have the basics taken care of like making sure they have a website andtheir Google profile is updated. He also recommended focusing on marketinglocally, shifting their attention to targeting domestic travellers who arelooking for something to do closer to home.

According to BeMyGuest CEO, BlancaMenchaca, the ability to endure this situation alongwith the regeneration of our industry will be dependent on keeping costs to aminimum and automating the essential sales process[A] colossal spotlight hasbeen activated, shining directly on the massive inefficiencies of manualprocesses in our industry The current crisis has only served to furtherhighlight the critical need for automation throughout the attractions, toursand activities industry.

Whilean unfortunate way to learn a lesson on the power of digital, Menchaca arguedthat the dramatic downturn in travel could be an opportunity for experienceproviders to upgrade their offerings and processes in the long run.

Operatorswho were confident in their flourishing business believing they had no need fortechnology are now bearing the very real costs of resource excess. Its timefor agents and operators to take a serious and realistic look at theiroperations and leave the old ways behind them. If nothing else, the Covid-19situation has shown us how critical automation is to saving time and money.

Thisis a great time to prepare for the path back to recovery with a completeoverhaul of outdated, manual methodology, [and get] ready for the upturn, whichwe all know will eventually come.

Fortunately, many technologyproviders are working to develop online tools to help operators manage thistime, in an effort to help the industry get back on its feet. Going forward were giving ourfull commitment to further tech innovations to directly help the industrybounce back, said Menchaca.

BeMyGuest is helping facilitatecancellations and maintain refund records. Rezgo is crediting cancellation fees back to suppliers,to eliminate any additional costs. Klook is implementing flexible policies and processes as well helpingreschedule activities to also minimise operator costs.

Klookis also working closely with tourism organisations and various recoverytaskforces, relaying information between governmental bodies and independentmerchants, to ensure they get any support offered.

While the entireindustry is in unchartered waters and it is easy to be pessimistic, those thatmake it through will be in a new position of strength, so long as they use thistime effectively.

Thebusinesses that do last through this crisis will be stronger because ofit. Once the climate improves and demandreturns, these companies will be a great position to gain new business andreturn to a growth phase, said Joyce.

For example, Questo a real-world exploration game that combines mobile gaming with self-guided tours has undoubtedly seen cancellations and a dip in sales, but is using the lull to develop more quests in preparation for the rebound.

As amarketplace for tours as games, our demand side is driven by supply, and so themore tours we offer, the more our users will playThis way, once this crisis [is] over, our users willhave more content to explore. Sales-wise, we might focus a bit more on shortdistance travellers, said CEO, Alex Govoreanu.

Admittedly, as Questo toesthe line between mobile gaming and in-destination experiences, its digitaloperations inoculate it from the broader consequences of the pandemic faced byothers in the sector. Itsdigital-first approach has naturally let it overcome the hurdle of runningin-destination experiences in just one place.

Being available in multiple destinations is hard, but its a great advantage in times of crisis because it makes the company less fragile. I will advise anyone to analyse their company for finding the true things that could transform their business into an anti-fragile one, said Govoreanu.

Lead image: Getty Images

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The longtail of travel may get cut off automation is one way to get it back up - Web In Travel