Future Traveller Tribes 2030: Understanding tomorrow s traveller
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1 Future Traveller Tribes 2030: Understanding tomorrow s traveller Aviation IT Forum Moscow, May 21st 2015 Vadim Besperstov, Head of Airlines Relations Department Amadeus
2 Traveller tribes Research objective: understanding the traveller tribes that will emerge by 2030 and which will shape the travel industry Outlining the key consumer trends that will emerge over the next 15 years driving industry change Second paper will be published in June, taking the findings identified here and considering them from an airline perspective, mapping the tribes to the buying behaviours of travellers The more we understand the traveller, the better we can shape the future of the global travel ecosystem Page 2
3 Authors and methodology Research authors and methodology _ Study authors: Global research consultancy focused on futures analysis, specialists in consumer trends forecasting _ Expert interviews with futurologists, including Ray Hammond, Peter Cochrane, Ian Yeoman, Norm Rose Survey of nvision core consumer trends to refine those most relevant to travel Trendspotter research conducted in different markets Page 3
4 Authors and methodology USA Spain Germany UAE Russia (*) China Japan India South Korea Brazil nvision Research globally: Base: 38,036 online respondents aged 16-64, USA, Brazil, Spain, Germany, UAE, Russia, India, China, Japan, Indonesia, Page 4 South Korea, Australia, 2014 Indonesia Australia (*) nvision Research in Russia: Base: 1,007 online respondents aged 16-64, Russia, 2014
5 Study findings The World in 2030: Economic landscape 1.8 billion people travelling internationally each year Rebalancing of global power: China will surpass the US as the world s biggest economy by 2030 Ageing societies: By 2030 the median age of the global population will rise from 29.6 to 33.2 years Page 5
6 Study findings The World in 2030: Consumer landscape Social media will approach saturation point, at 80-90% worldwide; a tweet will become a de facto global currency by 2030 Social capital will be readily quantifiable by 2030 More people travelling for business, and more often the nature of that travel will change with increasing leisure experiences Ethical concerns will have a substantial impact, primarily on a dedicated group of travellers but important to note that ethical considerations will continue to play some role in many people's travel choices more generally Page 6
7 Study findings Technology in 2030 Automation will be deeply embedded, as technology strives to create the human service experience Brands will offer immersive, try-before-you-buy experiences using technologies eg. Oculus Rift. By 2030, this will be widespread Embedded sensors to capture biosignals represent a huge step forward in what businesses can learn about their customers Level of personalisation that can be offered, with real-time insight into whims, moods and impulses Page 7
8 Study findings Six Future Traveller Tribes identified for 2030 Page 8
9 Future Traveller Tribes 2030 Simplicity Searchers Simplicity Searchers value above everything else transparency and seamless travel in their planning and holidaymaking, and are willing to outsource their decisionmaking to trusted parties. Page 9
10 Future Traveller Tribes 2030 Reward Hunters Reward Hunters use travel as an opportunity for mental, physical and indeed spiritual enrichment, cordoning off space and time for essentially self-centered activities. Page 10
11 Future Traveller Tribes 2030 Social Capital Seekers Social Capital Seekers understand that to be welltravelled is an enviable personal quality and their choices are shaped by their desire to take maximal social reward from their travel. Page 11
12 Future Traveller Tribes 2030 Cultural Purist Cultural Purists use traveling as an opportunity to immerse into an unfamiliar culture, looking to break themselves entirely from their home lives and engage with a different way of living. Page 12
13 Future Traveller Tribes 2030 Ethical Traveller Ethical Travellers allow their conscience to be their guide when organising and undertaking their travel. They may make concessions to environmental concerns or let their political ideals shape their choices. Page 13
14 Future Traveller Tribes 2030 Obligation Meeters Obligation Meeters have their travel choices restricted by the need to meet some bounded objective. Their behaviours are shaped by their need to be in a certain place, at a certain time, without fail. Page 14
15 Study findings Key recommendations for the industry 1 2 Move from a demographic segmentation of travellers to a behavioural understanding of how and why people travel Be prepared to package offers that tap into how traveller behaviour is likely to evolve 3 4 Consider the balance between technology and human service, depending on the traveller tribe Whether destination or provider, ensure the travel experience is connected and easily shareable at every step of the journey Page 15
16 Study findings for Russia The Russian traveler today Which of these best describes how often you do each of the following activities? % taking a holiday at home or abroad at least once in the past year 2014 Page 16
17 Study findings for Russia Russians travel spending trends Spending within the country by country s residents is expected to grow by 2.4 %(*) by 2025 (**) Outbound travel spend vastly exceeds inbound, particularly for HNWIs (high net worth individuals). A minority of Russians, carrying serious spending power, have a preference for international over intranational travel, spend liberally, and are open to more opulent luxury propositions. Understanding the needs of the Reward Hunters tribe will be essential in catering to this segment. However, the qualitative research indicates an important rise in Ethical Travellers, as some affluent Russian cosmopolitans have non-materialistic travel desires. Increasingly, they may look for opportunities to volunteer, lessen their environmental impact, and develop themselves as individuals from their travel. (*) annualised real growth adjusted for inflation (**) Source: Travel & Tourism Economic Impact 2015 Russian Federation. World Travel & Tourism Council. Page 17
18 Study findings for Russia International tourists visiting Russia Inbound travel is still concentrated heavily in a small group of major cities. This will favour visitors with particular objectives - visiting historic buildings, theatres, museums etc., cultural immersion. Russian inbound tourism, looks like a more attractive proposition going forward to Cultural Purists than Simplicity Searchers. Spending within the country by international tourists is expected to grow by 4.9%(*) by 2025(**) Russia is also establishing itself as a top destination for medical tourism, appealing to certain Obligation Meeters. (*) annualised real growth adjusted for inflation (**) Source: Travel & Tourism Economic Impact 2015 Russian Federation. World Travel & Tourism Council. Page 18
19 Future Traveller Tribes Building a more rewarding Journey report to be launched on June 2 nd _ The purpose of this research is to take the traveller tribes identified from phase one and map their purchasing behaviours to the different stages of the traveller journey and appropriate merchandising options. _ Designed to be of practical value to Amadeus airline customers. Page 19
20 Future Traveller Tribes Building a more rewarding Journey report to be launched on June 2 nd _ This paper aims to bring clarity to the complicated traveller experience, giving airlines the foundation upon which to offer products and services to delight customers. _ This will accelerate airlines shift from pure flight providers to the more lucrative travel experience provider market. _ For airlines, this translates into higher customer satisfaction, revenues, and profits. _ Want to know more? Write to airline.communication@amadeus.com and we will send you a copy of the report as soon as it is released in June. Page 20
21 What s your Traveller Tribe? Find out here: You can follow us on: AmadeusITGroup amadeus.com/blog amadeus.com
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