AI, generational differences, and a move to a cashless economy have already emerged as major trends across the global economy in general and in the tourism sector specifically, and will continue to have a major impact in how people travel in 2024 and beyond.
SITA, an IT provider to the transport industry, identified 12 megatrends that would shape travel over the next decade. Tourism Update spoke to industry experts for insights on how they believe some of these trends will play out in the tourism sector.
The shifting staff culture and great resignation
SITA says in its report that airports and airlines will have to restructure their workforces using technology to work differently, and employees will need to be upskilled to support these changes.
On the other side of the coin, tourism operators stand to benefit from digital nomads, who, with a more flexible working culture, are choosing to work anywhere in the world. South Africa’s remote working visa, which has been in the works for three years now, however is proving a hindrance.
Cayla Murray, Standing Committee Chair for Finance, Economic Opportunities and Tourism in the Western Cape Provincial Parliament, said: “The absence of a remote working visa is causing us to miss out on a substantial economic opportunity from digital nomads. Foreign companies already employ these individuals and contribute to our local economy through spending on accommodation, entertainment and retail.”
Shifting generations of travellers
SITA identified two trends relating to different generations – GenZs and millennials who have more technology-focused demands when travelling, and ageing travellers who will require more assistance during their journeys.
South African operators are currently seeing a combination of these trends, as multi-generational travel.
According to Anton Gillis, CEO of Kruger Gate Hotel, multi-generational family trips were first identified as a major trend nine years ago, as boomers started bringing their families on post-retirement trips. But this trend has seen an increase again in post-pandemic travel.
One study has found that 89% of people are considering booking a getaway with at least three generations of their family.
“As travel rebounds from the pandemic, families are particularly eager to reconnect and make lasting memories with one another again. Multi-generational trips have become one of the bigger travel trends of the year and are set to be even more favoured in 2024. With this kind of trip it’s important to consider that the holiday will need to appeal to at least three generations of people,” Gillis said.
Full digital economy
SITA says airports, looking to fill post pandemic revenue holes, are exploring mobile commerce and buy-now-pay-later services to transform purchasing experiences throughout the passenger journey.
Locally, retailer Woolworths made headlines earlier this month when announcing that some of its Woolworths Cafés would become entirely cashless.
It joins a number of other tourist services and touchpoints that have made a move to cashless. In Cape Town, the recently launched TimeOut Market food hall at the V&A Waterfront does not accept any cash.
The Mpumalanga Tourism and Parks Agency implemented a cashless service system in September, citing tourist and staff safety as a consideration. Admyt, a digital parking system that allows people to pay for their parking in-app, doing away with parking tickets and cash, is also operational at major tourist attractions such as Sandton City, Nelson Mandela Square and the V&A Waterfront.
Multimodal travel
SITA anticipates that seamless, intermodal travel will emerge over the next seven years, enabling a fluid end-to-end journey by land, sea and air.
Similarly, tourism services providers are seeing multi-part itineraries playing out. Tim Cordon, COO for Middle East and Africa at Radisson Hotel Group, says: “Tourism circuits, journeys that encompass at least three major tourist spots in different towns, cities, or villages, are transforming the travel landscape.
“Tourist circuits enable visitors to experience the best each place has to offer without the hassle of constant travel. Radisson Hotel Group has considered this trend by creating tourist circuits that empower travellers to have both business and leisure stays across the country in destinations like Cape Town, Johannesburg, Durban, Gqeberha, and Hoedspruit. Visitors can explore the best of each city while enjoying renowned hospitality,” he said.