Phocuswright Conference - Day Two Insights!

Couldn’t make it to Phoenix for Day 2 of the Phocuswright conference? Don’t worry - our CTO, Matt Chapman, is here with his insights. The day was jam-packed with discussions on AI, customer experience, and rethinking how people plan, book, and experience travel.

Here’s a quick dive into the top takeaways:

AI: The Backstage Powerhouse

AI is no longer just the chatbot you see on websites—it’s working behind the scenes to streamline everything from customer service triage to developer workflows. But trust and privacy remain major hurdles, especially for generative AI. Travelers love the idea of AI-powered trip planning but want transparency about its suggestions (and an assurance that it’s not making things up).

Google’s engineers are knee-deep in this, building AI tools for trip planning that feel like magic. Imagine asking, “Plan a three-day family trip to San Diego,” and getting tailored hotel and activity options, complete with booking links. Even Google admits, though, that the real power of AI might be in helping their teams work faster behind the scenes.
 

Trip Planning Gets an Upgrade

Travel planning is moving away from text-based search toward inspiration-driven browsing. Social media is now the starting point for many, with video and image searches leading the way. Tools are emerging to blend this inspiration with practical booking features.

Platforms like Google are already leaning into this, offering tools that combine exploratory inspiration with practical booking features.

The wild stat of the day? 60% of travelers don’t know where they’re going when they start planning. That’s a big opportunity for companies to step in and shape the journey early.

The Loyalty Game is Changing

Forget points systems - travelers want memorable experiences. For high spenders, that means perks and status; for others, it’s discounts and value. AI could unlock a deeper understanding of customer preferences, helping businesses deliver experiences that make people feel truly valued.

Everyone Wants an AI Agent

Travel loves a buzzword almost as much as it loves a new acronym. The buzzword of the day? “Agents.” AI agents are being developed to plan trips, book travel, and even manage schedules. But this raises a big question: will intermediaries survive in a world where agents talk directly to suppliers? Some argue aggregators will remain essential, while others foresee a future of “machine vs. machine” in the battle for the best deals.

Beyond AI: Digital Wallets and More

While most of the day revolved around AI with a customary nod to NDC (now relegated to everyone’s 2^nd favourite acronym), there were some refreshing ideas that broke the mold. Digital wallets, for example, could revolutionise the travel experience, storing everything from bookings to identity documents in one place. Think of it as a one-stop shop for convenience and personalization.

Final Thoughts: Stay in the Boat, but Row Smarter

The biggest vibe of the day was the industry’s collective FOMO - everyone rushing to jump on the AI bandwagon while still trying to figure out the ROI. AI isn’t going to solve all our problems, but when used well, it’s a tool that can make travel easier, more memorable, and more personalised.

As one speaker put it: the goal isn’t just to innovate—it’s to deliver value. And maybe, just maybe, build a travel experience people will want to talk about long after they’re home.