The coronavirus epidemic is damaging all parts of the economy. All types of businesses around the world are being deeply affected by
the COVID-19 outbreak, but the travel industry is by far the most impacted.
Many countries have established travel restrictions to try to contain the virus's proliferation, and so airlines are cutting flights,
hotel bookings are decreasing, and conferences and events all over the world are being cancelled. Even restaurants, shows, and all
types of transport services are feeling the cost of this spread. Travelers are avoiding not only international destinations that aren’t
affected by the coronavirus, but also domestic flights; air travel has halted almost completely.
Data collected by the company, AppsFlyer, showed that downloads of travel apps dropped 20% globally since news about the coronavirus
started to spread. According to this company who analyzed data from 40 million mobile app downloads, revenues fell 21% worldwide,
and reservations on travel apps fell 13%.
What the future holds for the travel businesses
Despite the crisis that the COVID-19 outbreak has brought to the economy, no one is talking about what will happen once the coronavirus
pandemic is under control, and the pace at which the tourism industry will return to normality. Although profits are being affected,
and the numbers seem alarming, every business that’s been harmed will have the chance to recover.
Although thousands of trips and reservations have been postponed, they haven’t been definitively canceled, and once the virus is
under control, customers will return to traveling as they were before, or even more for the first few months.
At Dynamia, we believe that once the outbreak is under control, there will be a huge opportunity for mobile and web travel apps to
attract new customers and make even more sales than usual. Using the right tools and making an extra effort to improve every aspect
of travel services, every business will have the chance to recover. We have put together a list of suggestions that will guide you through the path to recovery:
- Consider outsourcing your software development.
In times when you need to lower costs, outsourcing your development needs can be a very effective decision. If you want to learn more about the benefits of nearshoring custom software development I recommend you to read this article.
- Get creative and offer new and diversified products besides your core services.
You can increase profitability by offering alternative services such as food delivery, special cleaning and laundry services, etc. Displaying all these secondary services in your app or website can help you retain more customers.
- Take the time to determine your pricing strategy.
In order to establish a right and fair price, stay informed with the latest market trends and competitors’ strategies. This will allow you to make opportune adjustments to your pricing strategy.
- Use artificial intelligence technologies to learn about customer behavior patterns.
An artificial intelligence algorithm can obtain lots of insights, transform them into customized offerings and suggest deals that would be a good fit based on customers’ digital footprints. Customer personas and market segmentation are going to change after the epidemic is over. Having some constructive insight about the needs, expectations and satisfaction of your guests will be crucial.
- Keep open and honest communication with your customers.
Answer to any call or request from customers and government institutions. Travelers are taking this situation very seriously, and they expect the same attitude from you. You need to assure them that you are taking all the necessary sanitation measures to make their experience as safe and comfortable as possible.
In short, keeping your software updated and working perfectly is one of the main tools that can help you overcome the coronavirus crisis. As competitiveness increases, it will be necessary to have your website and mobile application up-to-date with the latest requirements. Focus your efforts on offering customized solutions and suggesting deals that would be a good fit based on customers’ digital footprints, once the travel industry recovers.
If you want to get in touch with us to discuss how we can work together through this road to recovery, schedule a free consultation today!
