Internet of Things in the Travel Industry

The Internet of Things in the Travel industry integrates smart, connected devices into the travel industry, enhancing operational efficiency and personalizing guest experiences. It’s important for its role in optimizing resource management and offering travelers seamless, customized services, significantly elevating the overall travel experience.

Key Takeaways

  • Enhanced Personalization: IoT enables hotels and flights to offer personalized control of amenities like heating, lighting, and entertainment via smartphones or tablets.
  • Seamless Travel Experience: IoT technologies streamline travel processes, including sensor-guided luggage tracking and electronic hotel check-ins in airports.
  • Smart Energy Saving: IoT devices in hotels adjust room conditions like temperature and lighting, optimizing energy use and reducing costs.
  • Data-Driven Decisions: IoT provides valuable data insights, aiding travel companies in making informed decisions for service improvement.
  • Real-Time Information Services: IoT provides guests real-time travel information, enhancing their journey experience.

Table of Contents:

Introduction

For those in the travel industry, one of the most essential and powerful emerging technology trends that need to be understood and explored is the Internet of Things or IoT. It has the potential to fundamentally change how many tourism companies operate, improve their revenue management, and enhance the customer experience. In this article, you will learn more about the Internet of Things and how it can benefit those in the travel industry, complete with real examples of its uses.

What Is the Internet of Things (IoT)?

First, it is essential to define the Internet of Things. While it technically includes everything connected to the Internet, the term is more typically used to refer to everyday physical devices, appliances, and other ‘things’ that have been fitted with internet connectivity, making them capable of sending and receiving data.

This effectively turns them into ‘smart’ objects, capable of ‘talking to’ or interacting with one another. The technology allows devices to be controlled or monitored remotely and to perform actions automatically. Examples might range from smart energy meters to internet-connected vehicles and driverless cars.

Video: What is the Internet of Things?

How Can the Travel Industry Benefit From the IoT?

While many industries can benefit from IoT technology, the travel and tourism sector is well-placed to reap the rewards, because the Internet of Things can enable further automation, more personalization, and a greater customer experience. It can also streamline day-to-day tasks that go into running a hotel or travel company.

The use of smart devices can help optimize the physical state of a hotel and its rooms and reduce energy costs. Sensors on planes could even alert staff when someone’s anxiety levels elevate above a certain level. Meanwhile, the IoT can give tourists greater control and access to information via their phones.

According to the Internet of Things (IoT) in Travel and Tourism Research by Research and Markets, the global IoT in travel and tourism market size is projected to grow to $11 billion by 2027.

5 IoT Examples Within the Travel Industry

1. Personal Control

One of the most widespread uses of IoT technology within the travel industry has been enabling a greater degree of personalization within hotels. On flights, and this is primarily provided by enabling customers to control more appliances or services through a centralized device, such as a tablet or even their phone. According to the Personalization, Data Security, and Speed Drive Customer Loyalty Amid Uncertainty Research by SalesForce, 65% of customers will stay loyal if the company offers a more personalized experience.

Customers can turn them on and off from one place by implementing internet-enabled heating, lighting, and television. They may even be able to choose a specific temperature and light level and have the devices maintain those levels automatically. Similar technology can also be used on flights to regulate seat temperature or air conditioning.

2. Seamless Travel

Another great use of the Internet of Things involves streamlining as much of the customer experience as possible across all areas of the travel industry. In airports, this may mean using sensors and sending information to passengers’ smartphones, alerting them when their baggage is nearby and allowing them to locate it faster.

In hotels, the check-in process can be made seamless. Hotels send electronic key cards to guests’ phones, which, when used, automatically check them in without them ever having to stop at the front desk. Sensors might also alert restaurant staff when a guest arrives, automatically sending them the right table number.

3. Smart Energy Saving

While the IoT can enable personalization, it can also offer businesses financial benefits through automated or smart energy saving. In a hotel, for instance, internet-enabled devices and sensors can allow room temperature to be adjusted continually, meaning heating is only used when needed.

A similar principle can also apply to lighting; some hotels are already using IoT technology to control their power. Sensors automatically detect the levels of natural light in the room, reducing the intensity of light bulbs in the process, meaning less energy is wasted, and high-powered lighting is only used when light levels are low enough.

4. Location Information

Companies operating in the travel industry can also use the Internet of Things to send location-specific information to customers and gather valuable data. Combining smartphone capabilities with beacon technology or other sensors can send messages to tourists at the point they are most relevant based on where they are.

For instance, this might mean sending messages about local attractions and times when they are least busy or pointing out nearby public transport services. The IoT can also be used to gather accurate data about the number of people using specific hotel facilities at different times to optimize staffing levels.

Internet of Things in Travel Industry - Location Information

5. Maintenance & Repairs

Finally, the Internet of Things can also directly benefit IoT devices by providing valuable, real-time information about their current status and working order. This can be vital for many in the travel and tourism industry, allowing essential devices to be repaired or replaced before they stop functioning.

For example, hotel staff can be alerted if a radiator or light bulb deteriorates. Away from hotels, the Internet of Things can also be deployed to allow airlines to fuel airplanes more efficiently or replace parts at the right time, striking the ideal balance between gaining maximum value and maintaining safety.

6. More Examples of Internet of Things in Travel

IoT Aspect Description Application in the Travel Industry
Transportation Monitoring Integration of IoT sensors in vehicles and infrastructure for real-time monitoring of traffic, vehicle performance, and road conditions. Use of IoT-enabled navigation systems, traffic management, and vehicle tracking for optimized travel experiences.
Smart Hospitality Solutions Implementation of IoT devices in hotel rooms and facilities for personalized guest experiences, energy management, and operational efficiency. Deployment of smart room controls, asset tracking, and energy monitoring systems to enhance guest satisfaction.
Destination Management Utilization of IoT sensors and smart city technologies in tourist destinations for data collection, visitor engagement, and sustainability efforts. Development of IoT-powered tourism apps, smart infrastructure, and environmental monitoring systems for efficient destination management.
Travel Security Solutions Integration of IoT-based surveillance systems, biometric authentication, and emergency response systems to enhance travel security. Adoption of IoT-enabled luggage tracking, facial recognition, and crowd monitoring technologies for improved safety measures.
Sustainable Tourism Initiatives Utilization of IoT technologies for monitoring and managing environmental resources, wildlife habitats, and visitor impact in tourist destinations. Implementation of IoT sensors, data analytics, and sustainability programs to promote eco-friendly practices and protect natural ecosystems.

Internet of Things in Travel Industry FAQs

The Internet of Things (IoT) is used in transportation to improve vehicle efficiency, traffic management, and safety through real-time data collection and analysis, predictive maintenance, smart navigation systems, and automated vehicles.

The Internet is important in the tourism industry because it provides information access, facilitates online bookings, enhances customer service through social media and apps, and enables personalized travel experiences through data analytics and targeted marketing.

The future of IoT in transportation includes expanding autonomous vehicles, enhancing real-time traffic and route management, improving safety features, and integrating smart city infrastructure to streamline and personalize travel experiences.

Intelligent transportation in IoT refers to using IoT technologies to create interconnected transportation systems that can communicate, analyze, and use data to improve traffic flow, reduce congestion, enhance safety, and provide personalized travel experiences.

IoT can help the future of the travel industry by enabling more personalized and seamless travel experiences through smart luggage tracking, personalized room settings in hotels, real-time travel updates, automated check-ins, and improved security and efficiency in travel operations.

Ultimately, the Internet of Things (IoT) involves adding internet connectivity to everyday devices and appliances, allowing them to communicate with one another. This offers numerous benefits for travel industry operators, including delivering a superior customer experience and optimizing internal processes.

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This article is written by:

Martijn Barten
Hi, I am Martijn Barten, founder of Revfine.com. I am specialized in optimizing revenue by combining revenue management with marketing strategies. I have over 15 years of experience developing, implementing, and managing revenue management and marketing strategies and processes for individual properties and multi-properties.