Customer Success ResearchTravel Marketing Tactics to Re-emerge from the Covid Catastrophe

If we were to write down all the recent world catastrophes and the most affected industries due to them, Travel would top the list undoubtedly. With Covid-19 breaking the barrier, situations got severe for many nations – Travel being the most affected industry globally, travel agencies, DMCs, and many companies had to face the inevitable of running on loss.

According to UNWTO, the global Tourism Industry has reported an estimated loss of $2.4 trillion in 2020 alone. Travel Agencies looked for other avenues of making money, and some of them succeeded. Many Travel facilitators resorted to Virtual Experiences that opened up revenue streams for travel guides as well as a commission for the host through the online platform.

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Before we jump into the tactics, let’s take a quick tour around the timeline of Covid-19 and how it impacted the Travel Industry.

If we were to write down all the recent world catastrophes and the most affected industries due to them, Travel would top the list undoubtedly. With Covid-19 breaking the barrier, situations got severe for many nations – Travel being the most affected industry globally, travel agencies, DMCs, and many companies had to face the inevitable of running on loss.

According to UNWTO, the global Tourism Industry has reported an estimated loss of $2.4 trillion in 2020 alone. Travel Agencies looked for other avenues of making money, and some of them succeeded. Many Travel facilitators resorted to Virtual Experiences that opened up revenue streams for travel guides as well as a commission for the host through the online platform.

Before we jump into the tactics, let’s take a quick tour around the timeline of Covid-19 and how it impacted the Travel Industry.

The 3 Phases of Covid-19 & its Impact

There were 3 phases that all of us - in general - faced just before 2020 and following the pandemic outbreak.

  1. Pre-Covid Phase
    Travel became one of the most economically profiting industries in the world just before Covid-19. Leisure Travel was a common hobby that many indulged in; Solo and backpacking travellers were on the rise, and online travel agencies were gradually established to be mainstream. The threat that many traditional travel agencies faced was the lack of digital presence and engagement when compared to online companies. These new travel agencies had already started making revenue through online booking integrations.
  2. Covid-19 Phase – The height of the pandemic
    Starting from early till mid of 2020, Travel around the world took an abrupt stop. Travel agencies didn’t have any more customers to cater to - mainly due to it being a luxury service. During the height of the pandemic, only ex-pat travel and migration took place. This was a period where start-up Travel Agencies closed their doors, in search of better-earning opportunities. Traditional Agencies with reserves took a hit and held through the storm hoping for better days. And online established agencies laid low, for the time being, gathering the resources required for a comeback.
  3. Post-Covid Phase
    Currently, we are at the post-Covid phase. You may wonder how come it is possible when Covid-19 is still around. Well – this phase is not really about the pandemic, but rather how we have carved out the way forward following the chaotic outbreak. Although Covid is still around, Travel Agencies have already begun operations – mostly online, and are preparing for seasons as well. However, some travel agents didn’t resurface since the hit. On the positive side, companies that strategized well during the Covid-19 phase have already started making profits due to the high volumes of conversions.

Key Takeaway – The Digital Space opened up many earning opportunities for travel agents/agencies following the pandemic.

Lingering Covid Side Effects in the Travel Industry

A must-discuss topic is a remnant that Covid-19 left behind for the whole Travel Industry. It certainly was a paradigm shift for all of us humans. In the context of travel, most side effects are permanent – or at least will be for a couple of decades. If you are a Traditional agent, a DMC or an OTA, you may have to develop your near-future strategies along these lines.

  • Vaccinations are mandatory
    With a number of Covid variants being identified across the world, safety can only be assured by vaccination. Compulsory vaccination for all travellers will most probably be a global requirement at least for a decade or so until a definite cure is discovered.
  • Frequently changing regulations
    One of the biggest challenges faced by a travel company is the frequently updating regulations for travellers. It’s not just one country, but the whole world is concerned about the safety of its citizens. As an agent, you must always be on alert and aware of the concerns with regard to the national authorities. For example, the Traffic Light System followed by the UK constantly updates the categories, and this method will most probably be followed in the upcoming few years.
  • Good News for Agencies
    If you are part of a Travel Agency, this is your silver lining. Travel processes have gotten complex over the past two years, and many nations advise tourists to obtain the service of an expert. Although many third-party platforms online are offering insane deals for half the prices, in the current situation, people are advised to choose an agent for overall safety and convenience.

Key Takeaway: If you’re a Travel Agency, now is the time to build customer loyalty by offering convenience and exceptional services.

How do you Tackle the Upcoming Obstacles?

In the past year, your organization or your individual business would have faced numerous challenges singularly due to Covid-19. Now it's time to relook at how you can evade past those obstacles that may rise again. We trace it back to the roots – yes, Marketing. Now is the time to up your game!

  • Relook at your STPs
    Change in the environment requires a change in strategy too. Covid-19 caused most destruction to some industries while bringing hiked profits for others, such as essential products and FMCG. As a travel brand in a transformed environment, you must first discover your updated STPs (Segmentation, Targeting and Positioning). In this age of advanced technology, static segmentation will not acquire high-value customers. In travel – all customers are highly valued. Using DPS (Dynamic Predictive Segmentation) method where significant characteristics are identified, you can group your most profitable audience – keeping in mind how tech-savvy they are. Being relevant is key to making the best use of your investment. When you target your chosen audience, make sure you position your brand to be reliable, service-oriented and approachable anytime.
  • Go for Niche Marketing
    In this current situation where the economy in many countries is in practical shambles, those who travel are the only ones who can afford it. If you’re doing Display Ads or generic SEM without a defined goal, you could possibly be wasting money. If you are focused on generating leads, ensure to run PPC or Search Ads for Niche Markets. Although customers reside in the Digital Space, if you want to record more conversions, you may have to deploy representatives to physically collect leads or through other offline methods.
  • DMCs top follow the 5Rs by Google & BCG
    Travel has not bounced back yet, but according to a survey, consumers have rated leisure travel as the most missed activity during the Pandemic height. If you are a Destination Management Company (DMC), Boston Consulting Group, along with Google have introduced the 5R approach – Reassess, Reassure, Raise, Remove and Revive. This strategy is for Marketers and Business Developers looking to resurge since Covid-19.
  • Focus on Audience Engagement
    A brand must always be seen and heard on its major platforms. In order to be a top-of-mind brand or even top-choice, your travel brand must create awareness daily at a minimum. Sleeping giants have woken up, and are raising the bar for all competitors. By engaging with your prospective clients, you will be able to analyze their reactions, identify their needs and cater to them appropriately. Your engagement content also helps in your positioning tactic, so always bear in mind your brand integrity, vision and mission.
  • Visual is the way forward
    Let’s get to the root of this topic. Why do people travel? Well, they travel to see places and experience new things. In the past couple of months, travelling was a challenge people encountered. Although today travel restrictions have eased, the fear of contracting the virus is common amongst many – especially families with elderly members. As a travel agency, your content must emphasize more on the visuals of travel. Instead of always advertising rates, make your audience engrossed in the experiences they’re missing. When they’re ready to travel, your company will most probably be the first choice. In order to create a visual rapport of your organization, being available on platforms such as YouTube will immensely help. Vlogging can be an independent revenue stream as well.

Key Takeaway: Make sure to choose your specific audience to generate leads. If engagement is your goal, choose visual content.

Communication Builds Loyalty

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Once you set up your strategies, it’s important to fix your processes. Responding to enquiries and converting leads is not the same as it once used to be. Back then, a customer would see your advertisement, call your agency, receive information, and after evaluating options, they will meet with you physically or over a call to place a booking. Times have changed, and digitalization is taking over travel in a sweep. Most customers won’t call you anymore. Then how do they get in touch? – Your Social Platforms.

Rule number one (and only) - Always be approachable. Travel brands are never monopolistic in this era. Although Covid-19 may have set us back, there’s always competition. When it comes to purchasing travel packages, customers generally require more information. They prefer discussing with an agent about what they want, how an experience can be customized, and the exact charges and documentation processes.

Communication is key to building loyalty, and in the new generation, customer loyalty is wavering. If your customers don’t feel welcome anymore, they have many other options to consider. Maintaining social media pages and responding to various queries at a minimal time requires great effort and dedication. Your challenge is not unheard of; Communication Platforms such as Click Connector offers the facility of integrating multiple channels into a single landing where sales agents can easily assist with queries. Furthermore, it also supports Facebook and Instagram post moderation so both your Marketing Team and Sales Team can make use of this platform without having to switch between applications.

With the use of such a platform, your organization can generate more leads, follow through conversions and analyze reports of inquiry trends and performance.

Key Takeaway: Communication on Digital Channels are the latest method of building Loyalty. Always be approachable.

What to Expect Next?

Now that we have arrived at the junction where change is overtaking traditional processes, travel companies must be ready for the ever-changing ‘New Normal’.

  • Be Prepared for Unusual Seasonal Traffic
    Everyone is waiting for the right time to get back to travelling. The season is approaching, and -due to the vaccination carry-out – covid is also pretty much in control. The upcoming season could bombard your team with inquiries. You must be equipped with the right resources and technology applications to cater to the demand. Although inquiries will increase, the organic conversion ratio could be at 20% or so because not all those who inquire decide to purchase. Don’t worry. As long as you make a great impression in communicating with potential audiences, there’s a chance of them coming back to you. In the meantime, always study your competitors.
  • Be Equipped to Serve Customers Digitally
    Integrated Communication ProcessYou may not have customers walking into your premises anymore. With Covid-19 regulations still in play, it’s safe to conduct sales meetups online. To do this smoothly without inconvenience, you must have your digital platforms upgraded and staff made aware of the techniques of serving customers digitally. An online booking system is key, with third-party channels integrated for a one-stop service.  Additionally, you may have to invest in certain applications where your staff can communicate with clients – especially B2B clients – by showing them the entire service offered by your company and the highlights of the experiences.
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  • Be Prepared to Face the Awakened GiantsRight now, major competitors are laying low, strategizing their revival in the new season. Some of them have already started advertising their products. These awakened giants have collected enough resources to provide exceptional services to customers. Your organization could be one of them, or it could be facing one anytime in the upcoming months. Be it either, it’s crucial to keep an eye on your competitors and how they glide around. Don’t be too captured by their proceedings and copy them. Just ensure that you have the ability to convince your target prospects to reach out to you. As mentioned earlier – always be approachable.

Conclusion

It’s not always simple emerging out of chaotic times, but Travel has done it before, hence this storm too shall pass. As marketers in the Travel Industry, you must adapt to digitalization much faster. The simpler the buying process is, the more the purchases. Always focus on making the customer journey easeful and have all your touchpoints opened. Give preference to communication platforms, as that’s where leads roll in. With this information, you surely can define your path in the post-covid ear. Cheers!

Written by

Amelia Novah
Amelia Novah
10 mins

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