Artificial intelligence is constantly improving, making it more reliable and attractive as a business solution. In particular, businesses in the travel industry are taking advantage of AI to perform various administrative and customer service tasks. Here, you will learn the uses and benefits of artificial intelligence and explain how it is changing how travel companies operate.

Table of Contents:

Understanding Artificial Intelligence

The concept of artificial intelligence, or AI, is often discussed but can be slightly more difficult to define. Essentially, it refers to computers or machines performing tasks that would normally require human intelligence to carry out. This could, for example, be learning lessons, making decisions, or recognizing and interpreting speech.

Artificial intelligence has existed for decades, but it is only relatively recently that computers and other machines have become advanced and reliable enough to carry out complex tasks without assistance. The concept is strongly linked to ideas of automation, where processes are carried out with little or no human intervention.

In the modern age, it is an accepted fact that businesses will collect and store vast quantities of data. This can help to enable AI, with machines using the data to perform tasks ranging from data analysis and problem-solving to speech translation, direct messaging, and improving personalization during the customer journey. According to the Artificial Intelligence (AI) Market Size Worldwide Report by Statista, the global AI market size is projected to reach $1,847,495.6 million by 2030.

The Role of AI Within the Travel Industry

The capacity for artificial intelligence to perform tasks that have traditionally required human cognitive function has made it especially useful for those in the travel industry because deploying AI can save businesses time and money while potentially eliminating human error and allowing tasks to be performed quickly, at any time of the day.

Most hotels and resorts rely heavily on delivering excellent customer service to build their reputation, and AI technology can assist with this in various ways. For example, artificial intelligence can improve personalization, tailor recommendations, and guarantee fast response times, even without staff.

Artificial intelligence has advanced to the point where it is regularly used to assist and communicate with customers, ‘learning’ from each of these interactions and improving future interactions. Moreover, AI can assist with tasks like data analysis, calculations, and problem-solving, which can be valuable to hotel owners. According to a global study by Amadeus, over 50% of surveyed travel companies used generative AI to assist travelers during the booking process, while 48% used AI for recommendations of activities or venues.

Video: How AI is Transforming the Travel Industry

Examples of Artificial Intelligence (AI) Within the Travel Industry

The role of artificial intelligence within the business world has increased dramatically over the past decade, and the last few years, in particular, have seen much more widespread adoption in the travel industry. Below, you find three of the most significant ways the technology is deployed.

1. Chatbots and Online Customer Service

For hotels and other businesses in the tourism industry, one of the most exciting uses for artificial intelligence is assisting customers online. In particular, there has already been widespread adoption for the purposes of powering chatbots on social media platforms, as well as instant messaging apps. According to the Chatbot Market Report by Markets and Markets, the global chatbot market size is projected to reach $15.5 billion by 2028.

Research from Global News Wire shows that AI-powered chatbots handle approximately 80% of customer service interactions in the tourism industry, such as FAQs and basic requests.

Used in this way, AI can respond to questions and provide valuable information to customers, even when a customer service rep is not available. Customers demand faster and faster response times on online platforms, and artificial intelligence allows businesses to deliver times that would be impossible for humans.

A strong real-world benchmark is Expedia Group’s AI-powered service agent, which the company says handles 143+ million conversations each year. It helps 50%+ of travelers self-serve, and reports customer satisfaction ratings about double compared with users who call support.

Video: Sam, Intelligent Travel Chatbot!

2. Face-to-Face Customer Service

While the use of artificial intelligence for powering online customer service is now relatively commonplace, one of the emerging trends is for the technology to be used for face-to-face customer service interactions. This can cut queues at information or reception desks and improve overall efficiency.

One example of this technology in action is the AI robot ‘Connie’, deployed by Hilton. This robot uses artificial intelligence and speech recognition to provide tourist information to customers who speak to it. Each human interaction also helps to teach the robot, improving the quality of all future communications.

Moreover, Marriott International is deploying an AI-powered Automated Complimentary Upgrade (ACU) system. The system automates the complex task of assigning hotel rooms and processing elite member upgrades, a process that previously took front desk staff several hours daily. The AI tool can now assign up to 1.2 million rooms in a fraction of a second, freeing staff to focus on higher-value guest interactions.

3. Data Processing and Data Analysis

Finally, it is important to understand that the applications of AI within the travel and tourism industry are not limited to customer service alone. One of its most popular and effective uses is for gathering and interpreting data to draw conclusions about customers, business practices, and pricing strategies.

The key advantage of artificial intelligence in this particular field is its ability to sort through huge amounts of data quickly and accurately. In contrast, the equivalent for humans would take significantly longer and potentially contain more errors.

For example, Marriott International has implemented an AI solution to automate its Scope 3 emissions reporting. Previously using Excel for this process, the implementation resulted in a 5-10% reduction in scope 3 emissions and saved an estimated 250 work hours annually. The AI system maps spend data to emission factors with significantly improved accuracy and efficiency.

4. Voice-Based Digital Assistance

An emerging use for artificial intelligence in the travel and tourism industry involves providing voice-based digital assistance, which can take many forms. For instance, it is now possible to provide voice assistants within hotel rooms, allowing guests to ask questions or make requests and receive an immediate response.

Voice recognition technology opens up the potential for voice-activated room controls and instant 24/7 access to tourist information. Robots could also provide voice-based digital assistance, meaning that customer service desks can be left without human staff members, especially outside of peak times.

Video: PolyAI Voice Assistant Industry Demo: Travel

5. Artificial Intelligence Flight Forecasting

The use of AI within the travel and tourism industry is also increasingly influencing flight forecasting. This discipline relies on currently available data and historical flight data. Artificial intelligence can be invaluable when analyzing vast quantities of data and identifying relevant trends.

Drawing from this data, AI-powered software can use weather patterns, past flight times, and trends related to flight speed to accurately forecast when flights will arrive and how long delays are likely to last. As a result, those using the software can benefit from access to more reliable and accurate projections.

A strong real-world example comes from Emirates, which uses a multi-layered AI approach to predict and avoid turbulence. The airline combines tools such as SkyPath, Lufthansa Systems’ Lido mPilot, and IATA’s Turbulence Aware platform. By 2025, Turbulence Aware was collecting data from 28 airlines and 2,800 aircraft, generating 24.8 million turbulence reports in six months. This has been helping airlines reduce unexpected severe turbulence and improve passenger comfort.

Video: Alaska Saves 480000 Gallons of Fuel with AI-Assisted Flight Planning

Table: AI Application Examples in Flight Forecasting

AI Application Benefits AI Techniques/Methods
Weather Prediction Enhanced accuracy in weather forecasting for flight planning.
Reduction in weather-related disruptions and delays.		 Machine learning models trained on historical weather data.
Neural networks for pattern recognition in weather patterns.
Demand Forecasting Accurate prediction of passenger demand for flight schedules.
Efficient allocation of aircraft and crew resources.		 Time series analysis to model demand trends.
Forecasting algorithms using historical booking data.
Aircraft Maintenance Predictive maintenance reduces unscheduled downtime and cancellations.
Extends the lifespan of aircraft components.		 Predictive analytics using sensor data from aircraft components.
Condition-based monitoring and fault prediction using AI.

6. Social Media Channel Analysis

Artificial intelligence in the travel and tourism industry also has a valuable role to play when it comes to social media. In particular, businesses in the industry can use AI to better understand how users engage with their social media channels and what those users say.

Some social media channels attract many interactions daily, and it can be almost impossible to check and analyze them manually. With artificial intelligence, key trends can be identified, the most common sentiments can be understood, and companies can better understand their audience.

Video: How Sentiment Analysis Works

7. Flexible Pricing

Many businesses within travel and tourism operate with a flexible pricing model based on the levels of demand being experienced and the level of availability. This applies to hotels, airlines, and various other business types, and AI within the travel and tourism industry can play an important role in optimizing such a strategy.

With AI’s ability to quickly organize and analyze data, it becomes significantly easier to adjust pricing intelligently and ensure that the level set makes sense. During times of high demand, pricing can typically be set higher than during times of low demand, but there are other factors that AI can utilize to make intelligent calculations.

For example, Delta Air Lines partnered with Fetcherr to pilot an AI-powered dynamic pricing system. The tool analyzes millions of pricing scenarios in milliseconds using internal data and external signals. After testing it on a small share of fares, Delta plans to expand AI pricing further to 20% of its fares. The system, described by Fetcherr CEO Roy Cohen as “the first AI hedge fund for airline revenue management.” Delta reported record revenue of $15.5 billion in Q2 2025, with CEO Ed Bastian describing early AI pricing results as “encouraging.“

Video: Delta Airlines Introduces AI Pricing Model: What This Means

8. Smart Baggage Handling

The use of artificial intelligence within the travel and tourism industry also extends to baggage handling and security. AI can be used to sort baggage more efficiently, reducing the kind of mistakes that lead to lost baggage. On top of this, AI can help to sort unclaimed, misplaced, or lost baggage.

AI technology can also be deployed for security. For example, when airport security systems scan luggage, AI can automatically scan images and detect possible items of interest. An alert system can then be set up, attracting the attention of security staff if something suspicious is found.

For example, Delta has described using computer vision and AI to help confirm that a bag is loaded onto the correct flight, leveraging employee mobile devices and automated verification.

Video: The Future Of Baggage

9. Artificial Intelligence (AI) Face Recognition

Artificial intelligence technology is the underlying technology behind automated facial recognition capabilities. This technology compares real-time images with images in a database, using facial features to identify individuals. The best facial recognition technology can identify individuals in seconds.

IATA’s passenger research reports that 46% of travelers have already used biometrics, 75% prefer biometrics over traditional ID methods, and 84% are satisfied, while 50% still have data protection concerns, which is why privacy safeguards and trust messaging matter.

Facial recognition using AI in the travel and tourism industry is commonly deployed for security purposes. For example, within airports, it can be used to detect people of interest. In some cases, facial recognition can also be used to establish how many people are in a particular area, which can also be valuable for safety and security.

Video: How Facial Recognition Will Change The Way You Travel

10. Personalized Travel

The travel and tourism industry also uses AI technology at the beginning of the customer journey to provide a more personalized travel experience. This is most commonly seen with websites offering hotel, flight, or other travel-related bookings, where intelligent recommendations can be made during this booking journey.

For example, artificial intelligence can utilize information from a user’s website exploration to make tailored recommendations for hotels or destinations based on what that user has been searching for or looking at. This can work in the same way retailers like Amazon recommend products based on past purchases or browsing. AI chatbots can also be deployed to answer customers’ questions while booking.

Booking.com has become one of the first companies to launch an app within OpenAI’s ChatGPT platform, allowing travelers to research destinations, compare accommodations, and explore amenities through natural, conversational prompts.

Video: Booking.com Personalizes Travel at Scale with AI-Powered Experiences

11. Managing Travel Disruption

Forecasting is one of the single biggest uses of artificial intelligence within the travel and tourism industry, and this can potentially be used to reduce travel disruption significantly and manage any issues that arise.

For example, AI can use historical data to identify trends that can then be used to accurately predict the likelihood of flight delays. Alternatively, AI can gather data from weather forecasts, compare this with past data, and provide guidance or advice on whether disruption is likely and how issues can be resolved.

Artificial Intelligence Travel Industry - Travel Disruption

12. Artificial Intelligence (AI)-Powered Revenue Management

Revenue management is the process of selling the right product to the right customer at the right time, for the best price, in the most efficient way. It is a data-driven discipline, which is why artificial intelligence can be beneficial, helping those in the travel and tourism industry to maximize their earnings.

AI makes it easier to sort through all of the available data. This could include existing bookings, the number of rooms or seats available, upcoming events, and historical data on demand levels at the same time of the year. From there, the AI can automatically adjust pricing and distribution strategies to optimize financial results.

Video: Revenue Management Revolution

13. Assisted Airplane and Airspace Maintenance Reports

Predictive analytics is a field that airlines are investing heavily in because it can save them significant money lost when unexpected issues arise, requiring airplanes to be grounded.

Artificial intelligence and predictive analytics can be used to understand when maintenance is likely needed and anticipate problems before they arise. When airlines and others in the travel and tourism industry use AI in this way, they can take action at the time that is least likely to cause upheaval.

Video: AI: The Future Of Intelligent Maintenance

14. Employee Management Schedulers

Hotels, airlines, and other travel and tourism businesses can use AI to improve employee management and scheduling. In companies with many employees, creating a work schedule can be a complicated and time-consuming process, with many moving parts that need to be factored into any decisions. According to industry projections, AI is expected to automate up to 90% of routine tasks in the travel industry.

With artificial intelligence, viable work schedules can be created automatically, factoring in all available data, including the number of hours each employee has worked, the need for senior staff on each shift, the hours each employee is contracted to work, any approved holidays, and the necessary time off between two shifts.

Video: AI-Powered Workforce Management

15. Pricing and Demand Predictions

Modern customers are always looking for the best prices, but many factors can influence hotel room rates, flight fares, and the prices of other products and services within the industry. Software powered by artificial intelligence can help travel and tourism industry customers to better understand fluctuations in prices.

For instance, the software may be able to alert users that hotel room rates in a particular destination are likely to increase. At the same time, the software can help customers to understand spikes or dips in demand, which allows them to book travel or hotels at the best possible time.

Artificial Intelligence Travel Industry - Pricing

16. Facilitating Customer Loyalty Programs

Customer loyalty programs serve an important function by offering incentives for customers to return to a business repeatedly. However, for a successful customer loyalty program to achieve this, the rewards on offer need to be worthwhile, and this is another area where the travel and tourism industry and AI go hand-in-hand.

Using online tracking, transaction histories, and personal preferences obtained during sign-up, AI can provide loyalty scheme members with personalized rewards that keep customers coming back.

Video: AI – Machine Learning in Loyalty Programs

17. Detecting and Preventing Payment Fraud

Travel and tourism businesses deal with many types of payment fraud, and AI can be a valuable tool in detecting and preventing many of these issues. One of the main ways this can be achieved is through pattern recognition and behavioral analysis.

By analyzing data from previous fraud cases, it may be possible to identify attempted payment fraud before any serious damage is done. Alerts can be set up to flag suspicious activity for human intervention.

Video: Visa’s Artificial Intelligence (A.I.) for Fraud Detection

18. Travel Disruption Communication

Travel disruption can take many forms, from delayed planes or trains to lost baggage or lengthy queues for security. However, one of the most critical things for travel companies to get right is their communication with customers, who need constant access to the most up-to-date information.

When issues occur, AI can be used to convey messages to travelers. Automated emails and text messages can be sent when delays are expected, and the AI can also potentially calculate how long those delays are likely to take. Meanwhile, chatbots powered by AI are used throughout the travel and tourism industry, answering travelers’ questions.

For example, Delta Air Lines has launched “Delta Concierge“, a generative AI-powered personal assistant designed to serve as a continuous thread throughout the customer journey. This system combines contextual understanding of individual passenger preferences and travel patterns with Delta’s extensive operational knowledge to anticipate customer needs, provide real-time guidance during disruptions, and deliver personalized recommendations.

19. Automated Customer Service Tasks

The role of artificial intelligence in travel industry businesses is fundamentally altering customer service. AI systems can provide rapid responses to common questions and even guide customers through booking processes. Automation of this kind is important for reducing labor costs and improving the productivity of customer service teams. Staff can spend less time on routine customer service tasks and more time on more challenging issues.

Some of the key benefits of AI for customer service include 24/7 availability, the capacity to handle multiple requests at once, and the ability to deliver swift response times, often exceeding customer expectations. Many airlines and hotels are now using systems that can also communicate in multiple languages.

20. Predictive Maintenance Systems

Predictive maintenance systems make use of AI to analyze data from technology and equipment. Doing so allows the systems to anticipate maintenance needs and identify potential problems before they occur. This is one of the most exciting uses of artificial intelligence in travel industry settings, as it can reduce downtime for systems and technology. Businesses can avoid the loss of revenue linked to outages or breakdowns.

Some airlines have already implemented AI-powered predictive maintenance systems and achieved significant reductions in unscheduled maintenance work. The technology can prevent delays and enhance the customer experience. Taking proactive steps can also reduce the severity of any technology issues, reducing maintenance costs.

21. Business Travel Planning Using AI

AI-powered travel planning tools can enable travel managers to automatically create budget-friendly travel plans. This can include identifying ideal transportation and accommodation options. Using automation tools may speed up the travel planning process while avoiding unnecessary waste or inefficiencies. This could reduce a business’s travel planning expenditure, while easing travel managers’ workloads.

The most up-to-date travel planning tools on the market will use artificial intelligence and travel industry data. The tools can then automatically create itineraries that match your budget, travel policies, and schedule. AI-powered translation services can also be used during this process to break down language barriers.

Video: 4 AI Travel Apps to Revolutionize Your Trip Planning

22. Smart Beds and Sleep Technology

The artificial intelligence travel industry revolution has led to the development of AI-powered ‘smart beds’ and sleep technology. This technology can monitor guests’ sleep and make adjustments to improve sleep quality. Sleep technology is of growing importance because wellness is an increasingly popular component of travel. By improving sleep quality, guests can have a more positive experience in a hotel.

According to Booking.com’s Travel Predictions, 60% of survey respondents said they were interested in longevity retreats focused on health and designed to extend their lifespan. The numbers highlight the growing importance of wellness technology in travel.

Smart sleep technology will typically monitor heart rate, movement, breathing patterns, and body temperature. A smart bed may then be able to automatically adjust room temperature, or notify guests of issues like sleep apnea. Over time, guests can build up their own personal sleep profile, with the smart bed adjusting to their preferences. This could also allow the sleep technology to notice any changes in sleep from previous visits.

23. Intelligent Airport Operations Management

One of the most interesting uses of artificial intelligence in the travel industry is linked to airport operations management. Here, it analyzes passenger movements, queues, and security processes to make intelligent suggestions. Many airlines are now dealing with more passengers than ever before, and operations need to be able to withstand this increase in demand. Using AI, it is easier to anticipate passenger flow and respond accordingly.

For example, AI and machine learning can combine with smart camera systems to carefully analyze passenger numbers and flow. This can then allow the system to automatically assign staff to the places they are most needed. Ultimately, the technology can improve efficiency, reduce delays, and enhance the airport experience for passengers.

For example, Alaska Airlines has introduced Odysee, an AI-powered scheduling tool. The system analyzes network schedules and airport constraints and runs hundreds of simulations in seconds. Trained on more than 700,000 flight segments, Odysee helps build more resilient schedules and reduces the risk of cascading delays across the airport network.

Video: Alaska Airlines Unveils AI Travel Tool to Eliminate Airport Stress

24. AI-powered Corporate Travel Assistants

Corporate travel is moving toward assistants that understand policy and budget constraints in natural language. Instead of reading a policy PDF, travelers can ask: “Book me a flight arriving before 10 a.m., within policy, refundable if possible.” The system then proposes options that match rules (cabin class limits, preferred suppliers, approval requirements) and creates a compliant itinerary. AI can also automate approvals by routing requests to managers with summaries that explain why a trip is within policy, reducing back-and-forth.

For travel managers, AI improves compliance without making the process miserable, while also tightening spend control through better choice architecture. These tools increasingly include automated reporting and spend summarization by route, traveler group, or supplier. KPIs include policy compliance rate, time-to-book, approval cycle time, savings vs baseline fares, and traveler satisfaction.

Video: TravelJoy’s AI-Powered Itinerary Copilot Demo | Itinerary Builder for Travel Agents

25. Partnership-Driven AI Innovation

Airlines and travel companies are increasingly working with major technology partners to adopt artificial intelligence faster and stay competitive. These partnerships help travel brands access advanced AI tools, skilled expertise, and structured training, instead of building everything internally from scratch.

A strong example comes from Emirates, which announced a partnership with OpenAI in November 2025. As part of this collaboration, Emirates is rolling out ChatGPT Enterprise across its organization. The airline is also setting up an internal AI Centre of Excellence to guide responsible and practical AI use. The partnership includes leadership workshops to explore real AI use cases and training programs to help teams apply AI in daily operations.

This example shows how structured partnerships are becoming a key driver of AI innovation in the travel industry.

Ali Serdar Yakut, Emirates’ EVP of IT, stated:

“We see enormous potential for AI technology to support our business requirements, helping us tackle complex commercial challenges, strengthening our operations, and enhancing the customer experience.”

26. AI Marketing Optimization

Travel brands use AI to generate ad copy variants, landing page messaging, and personalized email content, then test and optimize based on performance. AI can also identify micro-segments (family beach trips, weekend city breaks, remote-work stays) and recommend offers aligned to each segment’s behavior. This matters because travel demand is seasonal and highly responsive to events, price signals, and inspiration triggers.

With AI, teams can scale experimentation faster than manual creative cycles and adapt to demand shifts quickly. The guardrail is brand trust: messaging must be accurate, avoid misleading scarcity, and respect privacy preferences.
Measurement focuses on ROAS, conversion rate, email revenue per send, direct booking share, and lifetime value. When paired with loyalty data, AI helps personalize retention campaigns and win back travelers who abandoned a trip plan.

27. AI for Sustainable and Eco-Friendly Tourism

Artificial intelligence is becoming an important tool for making travel more sustainable and environmentally friendly. As more travelers care about climate impact, AI helps the industry reduce emissions, limit waste, and manage destinations more responsibly. According to the Booking.com Sustainable Travel Report, around 70% of travelers now prioritize sustainability.

AI-powered platforms can now highlight greener travel choices during planning. Tools such as Google Travel and KAYAK use AI to suggest lower-emission flight routes, eco-certified hotels, and more efficient itineraries in seconds. This helps travelers compare options beyond price alone.

In hotels, AI systems monitor energy and water usage and automatically adjust heating, cooling, and lighting based on occupancy. This reduces waste while keeping guest comfort intact. AI is also used by destinations to manage overtourism, predicting peak times and controlling access to sensitive sites.

Global Outlook: AI in the Travel Industry Over the Next Decade (2026-2036)

Over the next decade, AI in travel will shift from “features” to an operating layer that quietly runs planning, service, and operations end-to-end. The biggest change will be agentic travel assistants that don’t just recommend options, but complete workflows such as shopping across constraints, applying loyalty benefits, rebooking during disruptions, filing service requests, and coordinating across airlines, hotels, and ground transport. This aligns with the broader industry direction toward AI as mission-critical and toward “super app” experiences that centralize travel management.

On the operations side, airports and airlines will keep expanding AI in disruption prediction, cybersecurity, and real-time passenger communication. SITA research shows strong airline focus on AI investment (including GenAI/LLMs), and heavy emphasis on operational efficiency and proactive disruption management.

At the same time, regulation and trust will shape adoption. Frameworks like the EU AI Act formalize expectations around transparency, risk controls, and responsible deployment, especially where biometrics and identity are involved.

Finally, investment momentum is unlikely to slow. Economic forecasts project AI will drive massive global value creation by 2030, which will keep travel companies under pressure to modernize quickly, while proving ROI through measurable KPIs like conversion, service resolution rates, on-time performance, and disruption recovery speed.

Virtual Reality & Augmented Reality

Would you like to learn more about other digital technologies that can benefit your business? Have also a look at the articles “How Virtual Reality is Transforming the Travel Industry” and “How Augmented Reality is Revolutionising the Travel Industry”.

Artificial Intelligence in the Travel Industry FAQs

The travel industry leverages AI for chatbots that offer customer service and predictive analysis to anticipate pricing or demand and to streamline hotel management and booking.

AI can be used to manage the flow of traffic in safer and more efficient ways. This can even extend to pathfinding new routes, redirecting traffic, and determining when a vehicle needs service. AI can even be used within self-driving systems.

AI can display the best routes and offer suggestions for avoiding traffic problems. It can translate for you when you’re traveling to distant lands and help to make your vacation a unique adventure.

AI can improve the efficiency of most elements in an airport. For example, chatbots can provide customer support. Your baggage can be taken care of by automated systems. Biometrics can improve security. AI can even optimize flight schedules.

AI is disruptive due to the way it redefines normal travel operations. But at the same time, this translates to easier and more cost-effective methods of doing business.

More Innovative Technologies Within Travel

With technology continuously evolving, it should come as little surprise that its applications within the travel industry evolve too. In the following articles, we piled up more innovative technologies in today’s travel and tourism industry.

More Tips to Grow Your Business

Revfine.com is the leading knowledge platform for the hospitality and travel industry. Professionals use our insights, strategies, and actionable tips to get inspired, optimize revenue, innovate processes, and improve customer experience.

Explore expert advice on management, marketing, revenue management, operations, software, and technology in our dedicated Hotel, Hospitality, and Travel & Tourism categories.