Augmented Reality (AR) in Travel and Tourism - Thematic Research

Augmented Reality (AR) in Travel and Tourism - Thematic Research

Summary


Augmented reality (AR) is a technology that allows the user to see the real world overlaid with digital data. As AR continues to develop, it will become increasingly important across all segments of the travel and tourism value chain. As the sector undergoes mass digitalization, AR will play an essential role as AR is becoming increasingly important to help tourists have a better experience while traveling.

This thematic report takes an in-depth look at look at how AR is being used in the travel and tourism sector. Firstly, the value chain section summarizes an in-depth description of each of the segments of AR and outlines the specialist vendors and leading adopters of AR in the travel and tourism sector. The challenges section outlines the key challenges being faced by the travel and tourism sector. This is followed by an impact assessment detailing the areas in AR where travel and tourism companies should focus and outlines how AR can be used to resolve the challenges faced by the industry. A case study section is then provided, which highlights the use of AR within the travel and tourism sector. A data analysis section provides market size and growth forecasts, followed by mergers and acquisition activity, an AR timeline, and insight into company filings, hiring, and social media trends. Next, the report highlights companies making their mark within the AR theme, and finally, the relative position of these companies within the airlines, airports, attraction operators, and lodging sectors is summarized.

The leaders in this space are now realizing the potential of building strategic partnerships with AR vendors, using this technology to enhance tourists' experience. Digitization has become increasingly important for digitally advanced travelers, especially among younger cohorts. Those who have grown up in a world filled with technology, expect digitalization in the goods and services that they buy.

Key Highlights

• According to GlobalData’s Thematic Sentiment Analysis Q4 2021, 55% of respondents felt AR would disrupt their industry. This is partly due to the current buzz around the metaverse as AR is critical to its deployment. In this survey, AR was the only emerging technology that over half of respondents felt more positive about than they did it in 2020. As the travel and tourism sector undergoes mass digitalization, AR will play an essential role. Global AR revenue was $8.6 billion in 2021, a figure that GlobalData predicts will reach $152 billion by 2030, growing at a compound annual growth rate (CAGR) of 38% between 2021 and 2030.
• The impact of ongoing travel restrictions due to the COVID-19 pandemic has created a significant barrier to planning trips. The industry has had to adapt to challenges such as last-minute bookings and cancellations. As a powerful visualization tool, AR can help the industry overcome this, helping to advertise various destinations to consumers. AR also helps ease the booking process by providing room tours or luggage size checks. As digitization increases, AR will be increasingly recognized as an essential tool to improve the travel experience.
• AR technology has begun to be used across the entire travel and tourism industry. It is becoming increasingly evident that AR is not only a marketing tool but also a powerful technology on the enterprise side. For example, by supporting staff training. AR technology can help reduce costs during manufacturing or aircraft maintenance. Using AR headsets or smart glasses, engineers can diagnose issues quickly, efficiently, and with a reduced margin for error. As companies recognize the powerful applications of AR, they will seek strategic partnerships with leading AR vendors and hardware manufacturers.

• This report provides an overview of AR in travel and tourism.
• This report explains why AR will continue to grow in importance for the travel and tourism industry.
• This report outlines how AR is improving the travel experience.
• This report provides examples of what companies and organizations in the travel and tourism industry are doing in reaction to this theme, and how they create differentiation.
• We highlight travel and tourism companies that are leading in this theme, such as Marriott, Delta Air Lines, KLM, Ryanair, Kayak, and Virgin Group

• To understand AR and its current and future impact on the industry.
• To understand how AR is addressing key challenges that the travel and tourism sector is facing.
• To identify the leading AR adopters and specialist vendors.
• GlobalData’s thematic research ecosystem is a single, integrated global research platform that provides an easy-to-use framework for tracking all themes across all companies in all sectors. It has a proven track record of identifying the important themes early, enabling companies to make the right investments ahead of the competition, and secure that all-important competitive advantage.