By Victor Marks
Hospitality, travel and tourism accounted for $8.7 trillion US dollars in 2017 and accounts for about one in 10 jobs worldwide. With so much money being spent, Strategic Coin feels it is important to follow the sector closely. So far, we have written three articles on the subject. In the near future, we will be looking at how blockchain and tokenized ecosystems can provide added value around rewards programs and travel reviews.
- Blockchain for Loyalty Programs
- Airline Tickets and Blockchain Disruption
- Blockchain Concierge Services – Hospitality done better
- What Blockchain Can Do for the Hotel Industry
- Will Blockchain Be Hospitable to the Travel and Hospitality Industry?
Today, we read a detailed article published by Howtotoken about how airline tickets are ripe for blockchain disruption. It posits that the current travel system is outdated because: 1) tickets are not flexible enough for passengers, 2) airlines have difficulty processing transactions, and 3) travel agencies face cash flow challenges.
From a passenger’s perspective, tickets are inflexible. Most tickets are expensive and set to rise in price again. The more affordable fares are not refundable and carry large fees to change or reschedule flights. Additionally, there’s not a lot of transparency into pricing or fees, which is why one reseller is more expensive than another. This lack of transparency means there’s a lot of room for hidden margin. Add to that the difficulty of processing payment and reservation from a non-airline-owned site, bank fees, and the snail’s pace that SWIFT wire transfers take to travel agencies, and it’s easy to see how there’s an opportunity to simplify matters.
Below is a table that describes the case for how blockchain addresses the centralized system’s challenges. Since Further Network provided research assistance, it is no surprise that their offering directly addresses these challenges. Two other entries in this market are Winding Tree and TravelBlock. Please read the complete post for more details: Are Your Airline Tickets About to Become Smart Flight Tokens?
Stay tuned for more news and analysis about how projects are tokenizing the travel and hospitality industry.
Strategic Coin is a premier provider of market and sector research, token launch services and strategic consulting to the blockchain industry. Strategic Coin is known for: 1) comprehensive Viability and Strategic Assessment (VISTA) Reports that are the most thoroughly vetted view of a project’s utility, platform value and long-term prospects; 2) customized advisory services for global token generation events; and 3) the Strategic Coin Media Network, which distributes news coverage, videos, in-depth analysis, and thought leadership articles that stand out for their quality and depth.