Big Data in Tourism Industry-Its Future, Challenges, and Chances

The travel industry is now a part of the campaign of various other industries that use big data analytics in their regular operations. Online activities of people generate a lot of data like while searching for holiday destinations to buying backpack online. While people generate a lot of data on the internet purposely or accidentally there are several other alternative data sources that the travel industry can use to make better decisions. These data help the travel industry in analytics-driven decisions and to grow and develop. 

Big Data analytics is being used by travel and transportation companies all around the world. For instance, airline operators use analytics to understand passenger’s purchasing and travel patterns about particular demographics. Companies in the tourism sector can benefit from Big data in many ways. That includes marketing campaigns, offering packages sorted to visitor’s likely interests, to focus on getting customers in.

These insights can be of great help in the decision-making process, and change how the tourism industry operates. 

They can identify their potential customers and can also increase efficiency and the quality of services at every stage in the planning process. Big data can also be used as a predictive tool to forecast which new products might work well in their market. 

Source: World Tourism Organization 

Big Data In Tourism Industry - Its Future, Challenges, and Opportunities


Top 10 destinations by international tourist arrival receive 40% of worldwide arrival. Source the destinations that saw the most growth in terms of percentage increase of visitors:

  1. Egypt: 55.1%
  2. Togo: 46.7%
  3. Vietnam: 29.1%
  4. Georgia: 27.9%
  5. Palestine: 25.7%
  6. Niue: 25.4%
  7. Nepal: 24.8%
  8. Israel: 24.6%
  9. Northern Mariana Islands: 24.3%
  10. Turkey: 24.1%

The top 10 destinations in terms of overall visitor numbers for 2017:

  1. France: 86.9 million
  2. Spain: 81.8 million
  3. United States: 75.9 million
  4. China: 60.7 million
  5. Italy: 58.3 million
  6. Mexico: 39.3 million
  7. United Kingdom: 37.7 million
  8. Turkey: 37.6 million
  9. Germany: 37.5 million
  10. Thailand: 35.4 million

The future of big data and tourism industry

Tourism companies can make use of information collected about travelers around the world to attract the right customers. A business must understand traveler behavior to provide comfortable and exciting traveling experiences to the tourists. Big Data helps in understanding traveler behavior by collecting information from different sources and developing a specific marketing strategy for the target audience. 

Big Data tools such as Hadoop and cloud-based analytics provide enough data storage space and presents information collected from a wide range of sources in a structured manner. It enables tourism companies to take immediate decisions as per customer requirements. Big Data applications help organizations in introducing new products as per traveler needs but also provides predictive analysis and key insights.

When a tourist visits a new city they have never been to before they will plan their trip accordingly. As a tourism company, you can easily find out where people are going, how much they are spending, where they are staying, and how satisfied they are with their trip. You will get to know your audience’s behavior and you will get a clear idea about where to market your product. 

What we can anticipate from the future is that tourist points and the travel industry professionals will progressively utilize Big data to facilitate their potential benefit. This will genuinely modify what cities offer guests or visitors and occupants equally. With activities around the world, smart tourism smart is a way to improve tourism.

Challenges for Big Data in the Tourism Industry

Big Data In Tourism Industry - Its Future, Challenges, and Opportunities

The research report on Big data has identified many challenges, that need to be addressed by the tourism industry. Big Data collects structured and unstructured data that includes data from websites and social networking sites. Soon, more organizations will look for data analysts, highly analytical people that can analyze data and change data into actual business opportunities.

Big data can be challenging, and tourism businesses will soon realize that a new set of human skills will be needed within organizations-Interpreting the unstructured data and acquiring proper insights is a big challenge facing the tourism industry.

Impact of Big Data on Tourism Companies

Big data is more important for the travel and tourism companies as the huge amount of data collected needs to be properly analyzed to make well-informed decisions.

The travel and tourism industry can make more profit with big data analytics. People travel more often each year and each of these trips creates multiple data that can be easily recorded through ticket purchases, hotel bookings, and internet searches. 

Companies in the travel and tourism industry know the power of Big Data analysis. Utilizing Big Data analysis in their business will assist them in getting an exhaustive portrait of the market, focused methodologies, and brand accomplishment from one source of Big Data. While clarifying the business execution, overall, Big Data investigation likewise helps transportation companies in dealing with their income and key evaluating tasks. 

Besides, the tourism companies in a few countries are also turning towards Big Data applications to understand tourism progress and find more investment opportunities in their country. 

Innovation and adoption of technology have made it feasible to give real-time insights into what our clients needs, the overall growth of the business, and competitive performance in the market.

Utilizing client surveys and conclusions from social platforms can give an insight on what can be improved or what they appreciate. This would enable tourism industries to offer more effectively and pull in more business. 

Eventually, the data can be used to pinpoint the overall reputation of the company. This can be very important, as it can help businesses to spot the gap between the actual performance and the potential performance in the market. 

Big Data can benefit the travel industry in several ways, enabling them to settle on more evidence-driven decision making. These include the capacity to envision future needs, advance pricing approach, better target marketing, and improve the client experience.

Lake Global Reach Inc. will help you boost your marketing productivity with our quality Big Data Users Database that can boost your business growth. For the business growth having a quality, database means we will have better information to support business decision making. 

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