Mobile wake-up call to the travel industry

By Mike Grenville | 160characters.org

"Don't wait for 3G," said Vodafone, calling on the travel industry to take advantage of the mobile technology that is already there and that consumers are using. "SMS is the prevailing communications method of this millenium so far and the travel industry can no longer afford to ignore it," was the view from Vodafone at EyeforTravel's European Travel Distribution Summit in London last week.

Of all industries, the travel industry is perhaps one of the best suited to taking advantage of mobile technologies and has not yet taken full advantage of the services that are available.

"It's not the lack of available technology that is limiting the growth of mobile services in the travel industry," said Richard Hurring, head of sales at Vodafone Commercial Partnerships, "it is missing the ambition button and has hardly begun to exploit the possibilities that the mobile industry can offer."

"Without greater ambition from brand owners," Hurring said, adding that "mobile could become just another technology looking for problems to solve."

However, Timothy O'Neil-Dunne, partner at T2Impact, called on operators to do more to stimulate the use of mobile for applications and services in the travel industry. "Operators have the most to gain from an uptake of mobile services and should do more to back innovative services," he said.

Communications everywhere

The three things most people won't leave behind are their keys, wallet and their mobile phone. This means that almost everyone already carries with them everywhere a device, that is hardly ever turned off and that information can be sent to. Not only that but they can reply as well.

In the UK individuals are currently sending about 70 million text messages to each other every day this out of about 37 million mobile phone users! Consumers are not only already carrying information devices with them but they are using them extensively to communicate; now all that is needed is the creativity to take advantage of this opportunity.

While there are many new exciting mobile technologies on the horizon, SMS can easily be used for a range of activities that can make a great deal of difference to the customer.

Confirmations by SMS

Research by Vodafone conducted in the UK in April 2004 found that 51% of all consumers would like to receive booking confirmations by SMS. Receiving last minute travel deals would be welcomed by 45% of 16-24 year olds and 57% of consumers would like to receive information on their gate/lane number and where to check in.

Even when travellers arrive at the destination there are many ways that the customer's expewrience can be improived with on-going dialogue. Instead of just getting a welcome from the local mobile operator, how about a message from the tour rep saying welcomeing them to their holiday and saying where they are waiting for them in the airport. Weather updates, special events and translation services were among a range of value added services that could easily be added by travel companies that woould be welcomed by nearly 50% of travellers according to Vodafone research.

Mobile is becoming increasingly important to LastMinute.com, said Matt Jerwood, manager multi-channel development. Jerwood pointed to the one million WAP page impressions a month http://mobile.lastminute.com/ with 9.5 users out of 10 repeat users. LastMinute has a free SMS alert service with weekly offers. A premium rated flight monitor can update travellers with cancellations and delays (charged at £1.50 by premium SMS or £1.20 by credit card.) Booking confirmations can also be sent directly phones by SMS. "Over the next year LastMinute will grow grow its use of mobile messsaging services," said Jerwood.

Cost savings

Bryan Steele, IT Director with Thistle Hotels, pointed out that reservation confirmations sent by SMS are not only much much cheaper than a letter with immediate cost savings to the hotel but provide powerful customer benefits.

Hurring agreed saying that "adding mobile only requires a small addition to the budget. There is no need to wait for wizz bang technologies such as 3G to come along," adding that a great deal can be delivered today on nearly every handset.

"Customers must remain in control but are receptive to these services," Hurring said. "If you make it easy and simple and customers will engage with brands through mobile."