Monday, March 10, 2025

Sabre poll highlights industry divides on AI, personalization, distribution, and sustainability

Sabre Corporation, a leading global travel technology company, shared insights from a live audience poll conducted during a mainstage session at ITB Berlin last week. The session, led by Scott Wilson, President of Sabre Hospitality, was titled “Myth and-Reality: Navigating Change in travel and technology” and explored four key statements about digitalization, artificial intelligence (AI), and innovation in travel retailing. The results provided a clear snapshot of industry sentiment on some of the most pressing topics shaping travel today.

Participants were asked to vote on the following four topics:

  1. The role of intermediaries in travel distribution. – 72 percent of the audience agreed that both direct and indirect distribution are necessary, underscoring the continued relevance of intermediaries in the travel ecosystem. Wilson pointed out that the travel industry is only getting more complex. Airlines are expanding their offerings, low-cost carriers are growing while often remaining outside traditional booking channels, and travelers aren’t just booking flights – they need hotels, activities, and more to complete their journey. Travelers often don’t want to deal with this complexity; they want simplicity, convenience, and confidence in their choices. Yet, the industry isn’t delivering on that promise. A 2024 Expedia study found that travelers check up to 277 pages before booking[1] – clear evidence of a trust gap. Wilson emphasized that the answer isn’t to force travelers into direct-only channels but to deliver smarter, more relevant choices wherever they prefer to book. He noted that a modern omnichannel approach is often essential, ensuring that travelers can book where and how they want while maintaining consistency and quality across all platforms.
  • The effectiveness of personalization in travel. – The audience was nearly split on this topic, with 49 percent agreeing that the industry still struggles to deliver personalization at scale, while 51 percent disagreed. Wilson explained that while broad segmentation works well for general targeting, it can lack depth, not accounting for individual preferences, context, or real-time intent. He stated that consumers are still waiting for truly personalized digital experiences that dynamically adapt to their needs. Even digitally native sectors like online shopping and video streaming, while highly effective at surfacing content based on past user behavior, can struggle to anticipate subtle changes in user intent, often reinforcing filter bubbles rather than broadening choices. Travel has an opportunity to get retailing and personalization right by learning from other industries and delivering relevance instead of volume. Wilson emphasized that he believes AI presents a massive opportunity in this space: By investing in AI-driven retailing now, he stated that travel brands can move past traditional segmentation models and redefine personalized, predictive travel planning.
  • The urgency of AI adoption. – 65 percent of attendees agreed that companies failing to embrace AI will lose their competitive edge within three years, underscoring the industry’s recognition of AI’s growing influence. Wilson emphasized that technology adoption is accelerating at an unprecedented pace, and AI is no exception. Historically, each new wave of technology has generally been adopted faster than the last, it took the telephone 35 years to reach mass adoption, whereas smartphones achieved it in just five. He stated that AI is set to follow an even steeper trajectory. With cloud computing and vast amounts of data already in place, he noted that businesses can integrate AI without needing to rebuild their entire tech ecosystem. Wilson highlighted that AI is already delivering value in two key areas, visible to the consumer, for instance through digital agents and improving personalization, and behind the scenes, optimizing operations, logistics, and automation. The availability of pre-built AI models and APIs further lowers the barrier to entry, allowing companies to deploy AI solutions faster than ever before. He pointed out that experts project the global AI market will reach $1.8 trillion by 2030, making it a fundamental economic driver. However, he noted AI’s rapid expansion also brings challenges—its increasing use is expected to drive a 165 percent increase in data center power demand by the end of the decade[2], reshaping infrastructure needs across industries. Wilson concluded by noting that travel companies don’t have to build everything from scratch, partnering with an experienced technology provider, like Sabre, allows them to fast-track AI adoption and stay competitive in an increasingly intelligent marketplace.
  • The gap between sustainability expectations and consumer behavior. – A striking 90 percent of participants responded that they believe that while travelers express interest in sustainability, they are ultimately unwilling to pay more for it. Wilson pointed out that there appears to be a massive ‘say-do’ gap when it comes to sustainability. While three-quarters of travelers claim they want to be more sustainable, price remains their top priority. Half of travelers say sustainability influences their choices, yet only 6 to 13 percent actually factor it into their bookings.[3] When sustainability requires extra cost or effort, it appears that most consumers default to convenience. Wilson emphasized that people don’t need more choices, they need better ones. He stated that sustainability works best when it is seamlessly built into the travel experience rather than presented as an extra decision. He noted that changing consumer behavior isn’t about persuading travelers; it’s about designing a journey where the sustainable option feels like the most natural and obvious choice. The bottom line, according to Wilson, is that sustainability should not be an afterthought, it should instead be integrated into the core of retailing and distribution, ensuring that travelers don’t have to actively seek out the sustainable option, but rather encounter it as the default, intuitive choice.

“The results paint a clear picture of where the industry stands,” said Wilson. “The ITB’s expert audience vote confirms that intermediaries continue to play a vital role in simplifying travel complexity, but there is still work to be done in building traveler trust. Personalization remains an industry challenge, as companies struggle to move beyond broad segmentation toward truly dynamic and relevant experiences. AI is no longer an option but a necessity, with its rapid adoption shaping the competitive landscape in travel. Finally, the say-do gap in sustainability is undeniable –price remains the primary driver for travelers. The industry should embed sustainability into the experience rather than offering it as an extra choice if we want real behavioral change.”

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