Blockchain`s Potential For The Travel Industry

Blockchain`s Potential For The Travel Industry

Services that rely on blockchain technology have been applied to the travel industry with potential to change it.

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Services that rely on blockchain technology have been applied to the travel industry with potential to change it.

According to a recently published research by Accenture, characteristics of the travel industry and the broader travel industry align very well with the capabilities of blockchain technology.

“With so many systems in play—airlines alone house data in many isolated systems from passenger service to crew management—data exchange is not always smooth. And in the airlines industry, not only are operational integrity and revenue generation at stake when something goes wrong, but so is safety and security.”, as the study stated.

“It’s easy to see why using blockchain technology for enhanced reconciliation and data sharing is a compelling value proposition for this industry. The most creative and disruptive possibilities go beyond pure financial transactions“, according to Accenture.

To be fair, blockchain technology has already been used by a number of projects in the travel industry. Webject, among others, is a solution tracking the inventory of hotel rooms around the world by the help of a private version of Ethereum.

“Webjet wants to make sure all the intermediaries between a consumer and their hotel get paid for their roles in facilitating the booking.”, as VB (venturebeat.com) wrote in a report.

One of the biggest tourist businesses, TUI Group, reportedly considers moving all its data to a private version of Ethereum to eliminate the middlemen like Booking and Expedia, as VB pointed out.

The onlne media has also reported that other companies like Winding Tree are using an open source public version of the Ethereum blockchain to improve travel services.

As Accenture`s study noted, Blockchain can be used for ticketing, loyalty, security and identity, as well as maintenance. Still, airline (and tourist) companies should spend time on vital points like validation, control, auditability, multiple actors, reconciliation, data quality and lineage.

“Blockchain technology will continue to take flight in airlines over the next decade. Use cases not even conceived of today will become everyday, reducing complexity and costs while improving the travel journey with real-time travel experiences.”, as Accenture wrote in their report.

It is to be seen whether Blockchain`s promise will be realized into practice.

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