How travel operators can adopt a digital marketing strategy

The rapid evolution of technology over the past decade, often referred to as the digital revolution, has completely changed how businesses operate, and the travel industry is no exception.

Tourism was one of the first sectors to embrace digitalisation by selling flights and hotel rooms online and, since then, consumer demand for digital services across the sector has grown fast. In fact, it is estimated that more than 90% of travellers now research their holidays online.

As the travel industry continues to expand faster than ever before, digitalisation offers businesses in the sector many opportunities to drive growth in a competitive market. However, to do so, they must evolve with changing consumer needs and ensure their digital marketing strategies are still relevant and effective.

Here are some of the most important ways travel operators should be adapting their digital marketing strategies to keep pace with changing consumer demand.

Table of Contents

Embracing data driven insights

Over the past two decades, the variety and volume of customer data travel companies can capture has dramatically increased and, therefore, utilising analytics for understanding consumer behaviour should be central to any business’ marketing strategy.

Operators can leverage these insights to create customer segments to guide how they interact with and serve different customers. Depending on the data available and the analytics capabilities at hand, segmentation can range from grouping customers into segments based on a single macro characteristic (for example business versus leisure) to individual ‘segments of one’, known as hyper-segmentation.

Honing in on segments of one can enable ‘hyper-personalisation’, which essentially gives businesses the ability to uniquely tailor touchpoints to an individual customer’s needs, preferences, and behaviours. This goes far beyond simply increasing conversion rates and is instead about providing the customer with an end-to-end experience adapted to their specific context.

Customers want to be treated as individuals and to deal with companies who understand who they are, and what they need. Adopting a hyper-personalised marketing strategy powered by data and analytics will give operators the insights and capabilities to adapt to their customers’ changing realities in real-time, which is what today’s customers expect.

Enhancing online presence and user experience

With a study by Expedia finding that 60% of travellers begin their travel planning by searching for information online, travel businesses should be continuously looking for ways to enhance their online presence and user experience.

By having a strong online presence, operators can not only increase their visibility and reach a wider audience, which will ultimately help them attract more customers and increase their revenue, but they can also ensure their business is accessible 24/7, providing potential customers with the convenience of exploring destinations, checking prices, and making bookings whenever it suits them.

Optimising online content for search engines (SEO) is a crucial aspect of online presence. When potential customers search for travel-related information or services, a strong online presence increases the likelihood of a business appearing in search results. This visibility not only attracts organic traffic, but also positions the business as a credible and authoritative source in the industry.

In addition, leveraging social media is crucial. It offers travel companies a direct and interactive way to connect with their audience. By sharing engaging content, real-time updates and responsive customer service on platforms like Instagram, Facebook and X (formerly Twitter), operators can build awareness and a community around their brand, enhance their reach and, in turn, increase bookings.

Content marketing and storytelling

Travel has an emotional pull and isn’t just about reaching a destination. For consumers, it’s about the journey, the experiences and the memories made along the way. Content marketing and storytelling are powerful tools that allow travel brands to tap into this emotional resonance and influence traveller decisions.

Content marketing serves as a platform for operators to showcase their offerings, differentiate from competitors, and capture the attention of prospective travellers. Through targeted content strategies, brands can leverage storytelling to communicate their unique value propositions and resonate with their target audience.

Storytelling in content marketing adds further depth and authenticity for brands. Consumers crave transparency, and by sharing authentic narratives and experiences, businesses can build trust and loyalty among their audience and establish long-term relationships that go beyond transactional interactions.

From user-generated content to behind-the-scenes glimpses, storytelling humanises brands, making them relatable and approachable in the eyes of consumers. Stories also play a crucial role in influencing consumer perception and purchase decisions and, in a saturated market where attention spans are fleeting and choices are abundant, brands that tell compelling stories are more likely to stand out from the noise.

Through strategic use of imagery, narratives, and immersive experiences, travel brands can leave a lasting impression on customers that drives consideration and conversion. Whether it’s through destination guides, travel blogs, or social media campaigns, storytelling captivates audiences, inspiring them to explore, engage, and ultimately, book their next adventure.

Measuring and improving performance

Measurement is essential to the success of any travel marketing campaign and is critical in understanding its effectiveness and identifying areas for improvement. Doing so allows operators to track their campaigns’ performance and the success of individual tactics, identifying which strategies are working well and which need adapting.

Measuring also helps brands better understand their target audience so they can focus efforts on those most likely to convert, allowing them to make more informed decisions about their marketing budget and how they allocate resources.

Some of the most important key performance indicators (KPIs) to pay attention to are:

Conversion rate – the ratio of customer conversions;
Cost per lead – how much money it costs to acquire a new lead;
Customer lifetime value – the total amount of money a customer is expected to spend with a business during the lifetime of an average business relationship; and
Return on investment – the profit earnt from a given campaign, measured against the amount invested.

In addition, it’s important to have a comprehensive reporting platform, like Google Analytics, in place with the ability to aggregate the details from several important sources, such as website visits and page views, as well as ad campaign metrics, including impressions, click-throughs, and conversions. Operators should also track efforts on social media channels, such as post engagements, video plays, swipes, likes, and reach.

Once these tracking systems are in place, brands should review and analyse the data to identify trends regularly. This will help highlight areas of success, such as which campaigns are driving the highest number of leads, conversions, and overall traffic, plus areas that need improvement to inform future decision making.

The travel industry is constantly changing and, to succeed in such a highly competitive market, operators need to keep up with shifting consumer demands and adapt their digital marketing accordingly.

With the right strategy in place, and by continuously tracking performance and making necessary improvements, brands can take advantage of the many opportunities the industry has to offer.