Experiences

Vacationers want to experience something new and are tired of the same old tours and activities. While global tour operators are baking more customization into their products, digital distribution is changing the way local operators do business.

The market for off-the-beaten-path tours and experiences has been heating up this year with the emergence of Airbnb’s Experiences. TripAdvisor, which emphasizes on-the-beaten path offerings, is putting a huge effort into trying to stay on top. Its new travel agent program is part of that effort.

Here's an unorthodox thought in business: TripAdvisor CEO Steve Kaufer knows that the company's value proposition for its customers can remain strong even when the financials face difficulties every once in a while. That's a truism that sometimes gets lost when pundits focus merely on stock price variations.

Luxury travelers today want experiences that are high-touch, authentic, and meaningful. Windstar Cruises, which offers guests the chance to immerse themselves in the Alaskan wilderness, is making experiences such as these a priority.

Many travel brands assume that a commitment to doing good means the bottom line will take a hit. But based on a growing amount of evidence, it’s simply not true. Companies like Intrepid Travel are discovering that purpose-driven business goals can help their organizations become more innovative, resilient, authentic, and profitable.

Should there be TripAdvisor booths at big tourist attractions in Paris, New York, Las Vegas and Rome? It might not be a bad idea to explore to attract the business of travelers who like to book attractions offline. Would it scale? Expedia does it, but the numbers crunchers would have to figure it all out.

There is no set formula on how to do it, but it's clear that the most progressive companies in travel are intent on reinventing their businesses, and value propositions. On the other hand, certain things that still work, like customer service and personalized hospitality, will survive the cut.

We said there would be more consolidation in the tours and activities space, and the ink was hardly dry when TripAdvisor announced the acquisition of Bokun. This enables TripAdvisor to provide an end-to-end solution without having to rely on third party vendors to bring tours and activities suppliers on board.

And the winner is ... "experiences." It's a trendy way these days to refer to what formerly were known as tours and activities or attractions. Following Airbnb and Booking.com, TripAdvisor's new business unit will be called TripAdvisor Experiences. Breathing is an experience and living is an experience. Does the name du jour really reflect tour and activities offerings?

Trips, experiences, tours, activities – you call them what you like, travel brands want a bigger piece of the sector. For plenty of companies, it's no longer just about the flight or hotel.