Travelers Are Taking Longer to Plan Trips, Despite Faster Tools to Book Them

In one of the more fascinating counterintuitive consumer behavior developments in travel, prospective travelers are now spending more time planning trips despite faster and faster tools on how to book it, especially with AI coming in, according to a new detailed Deloitte-Tourism Australia research report on the future of distribution, using Australia and inbound and outbound travel to the continent as the lens into looking at it.

Some of it we already know from past research that people have to use dozen of sites before they book a leisure trip. And post-covid, the need for control in an age of uncertainty has increased overall research time. Then there’s decision fatigue all across with so many choices. Many of these factors intersect to create these conditions of increased dwell time. I asked ChatGPT to summarize and analyze the findings around this specific part of the long research report and it did a good job breaking it down, which I am extracted below, well worth a read.

Why Are Travelers Spending More Time on Research?

1. Heightened Expectations:
   • Travelers are investing significant time in researching trips because they want personalized, meaningful, and high-value experiences. With increased travel costs, uncertainty, and safety concerns, the stakes are higher for planning trips.
   • Social media and the rise of personal branding contribute to a mindset where trips must reflect individual preferences, values, and lifestyles.
2. Distrust and Uncertainty:
   • The pandemic exposed the vulnerability of the travel industry, and ongoing global uncertainties (e.g., inflation, political instability, climate change) have made travelers more cautious.
   • Travelers want to mitigate risks by gathering as much information as possible before committing to a trip.
3. Greater Control and Flexibility:
   • Consumers are taking more control of their travel planning process. They want visibility into pricing, itinerary options, and availability, and they use multiple sources to ensure they are making informed choices.

How Research Habits Have Changed:

1. Multi-Channel Research:
   • Travelers use a combination of traditional and digital channels, including:
     • Online travel agencies (OTAs)
     • Review platforms (e.g., TripAdvisor, Google Reviews)
     • Social media (e.g., Instagram, TikTok, YouTube)
     • Influencers and Key Opinion Leaders (KOLs)
     • Word-of-mouth from friends and family
   • They often compare multiple options across different platforms to find the best deal or most authentic experience.
2. Extended Decision-Making Time:
   • The planning and research phase has become longer, especially for high-value or complex trips. Travelers spend more time evaluating options, reading reviews, and assessing credibility.
   • This trend is particularly evident for trips involving long-haul destinations or complex itineraries (e.g., visiting multiple states in Australia).
3. Desire for Transparency:
   • Travelers want access to clear and transparent information during the research phase, such as live inventory, dynamic pricing, and upfront costs for flexibility or cancellation.
4. Use of Technology in Research:
   • AI-powered tools, chatbots, and dynamic search functionalities are increasingly used to assist travelers during research. However, these technologies are still in their infancy and sometimes struggle with data accuracy or availability.
5. Increased Reliance on Reviews:
   • Authentic reviews from peers, influencers, or trusted platforms play a significant role in decision-making. Travelers value real-world experiences to validate their choices.
   • Platforms like TripAdvisor are leveraging AI to summarize reviews, helping travelers access relevant information more quickly.

Consumer Segments and Research Behavior:

1. Younger Travelers:
   • Younger, tech-savvy travelers rely heavily on social media, influencers, and user-generated content during research.
   • They tend to value experiential and personalized travel options, driving them to spend more time evaluating alternatives.
2. Luxury and High-Spending Travelers:
   • High-spending travelers conduct extensive research to ensure their travel aligns with their preferences and expectations. They may also use travel agents for expert insights and exclusive experiences.
3. First-Time vs. Repeat Visitors:
   • First-time visitors to a destination spend more time researching due to unfamiliarity, while repeat visitors often have more confidence to book directly.

Impact of Increased Research Time on the Industry:

1. Longer Customer Journey:
   • The extended research phase increases the time it takes for travelers to convert from inspiration to booking, requiring brands to maintain engagement over a prolonged period.
2. Shift Toward Transparency and Personalization:
   • To cater to the demand for extended research, operators and distributors need to provide clear, comprehensive, and personalized information.
3. Rise of AI and Digital Assistants:
   • AI tools are being developed to cater to this trend, offering curated options, personalized itineraries, and instant answers to questions. For example:
     • Expedia’s AI assistant “Romie” personalizes recommendations based on values and preferences.
     • Dynamic pricing tools are improving price transparency and flexibility.
4. Opportunities for Travel Agents:
   • Despite the shift to online research, travel agents remain relevant for complex trips or when travelers seek expert advice. Agents are adapting by offering value-added services and high-touch personalization.

Counterintuitive Insight:

While the availability of quick booking tools and advanced technology might suggest that research times would decrease, the opposite is true. The complexity of the travel distribution ecosystem and the proliferation of options have led to decision fatigue, making travelers more deliberate and cautious.

What Operators Can Do:

1. Provide Comprehensive Information:
   • Make detailed product descriptions, pricing, reviews, and cancellation policies easily accessible across all platforms.
2. Leverage Reviews and Influencers:
   • Highlight authentic reviews and collaborate with influencers to build trust and credibility during the research phase.
3. Invest in AI and Personalization:
   • Use AI to offer personalized recommendations and reduce the cognitive load on travelers.
4. Enhance Transparency:
   • Ensure pricing and policies are clear to build trust and streamline decision-making.

The trend toward increased research time reflects a more deliberate and empowered traveler who prioritizes control, trust, and value in their planning process. Operators and distributors that adapt to these behaviors are more likely to capture and retain customers.