Blockchain, cryptocurrency and bitcoins are three words that have become a buzzword lately. After making an impact on every industry, now it is looking to transform the travel industry altogether. Most business travelers tend to complain about shrinking leg room, strict refund policies and ban on pets but can blockchain fix these issues. How will blockchain disrupt travel industry as a whole? Interested in finding answer to this question? In this article, we cover how blockchain will transform travel industry.
What if suddenly you change your plans and want to cancel your business trip due to an unforeseen situation? Most airlines won’t give you a refund in such a situation, so you will end up losing a lot of money. You can save yourself from this situation only by getting a travel insurance. This is one way to get a refund in case you cancel the flight.
Although, you will have to submit a claim and documentation but at least you can get your money back. One travel insurance company, Fizzy analyzes public flight records and uses smart contracts to issue refunds. It uses the power of automation and offer compensation to customers in case of flight delays.
One lesson that most air travelers learn the hard way is that getting the air ticket in their hands does not give them free pass to board that flight. You will be surprised to know that most airlines deliberately overbook flight just because they think that some passengers will cancel their flights or won’t show up at all.
Things can get a lot trickier when all the passengers show up. What if the passengers are not willing to switch flights. How can blockchain technology fix this issue? Here is how. Instead of calling manually at the gate for volunteers to give up their seats during an overbooking situation, airlines could offer passengers the option of booking e-tickets with built-in smart contracts that bump passengers and tweak ticketing information automatically. This can make the process of finding volunteers less painful. This way, airlines would know which passengers are ready to be bumped and which passengers are ready to bumped without being present on the gate before boarding. Airlines can take intelligent decisions in advance by knowing about the preference of flyers.
Another common problem most air travelers face is they lose their luggage. By using blockchain technology, the impact could easily be minimized. Let’s say, you are going on a Dubai desert safari and register each piece of your luggage on a blockchain twice (dropping and picking), you can easily find misplaced bags and suitcases even if they end up on the wrong flight or get in the hands of a wrong passengers.
An unaltered version of the record will help you easily track luggage no matter where it is. What’s more, this record can easily be shared between different airlines of the world. This can come in handy as it let you track your luggage even if it ends up in the wrong airline. You can easily get it back.
Believe it or not, airline collects a lot of data related to passengers and flights they take. While airlines might have to share some of this information with agencies. Unfortunately, most of this data is not stored systematically and is not well organized. Let’s say you took a trip to Dubai to enjoy dhow cruise dinner marina last year and want record for it for some reason. Could the airline give you that?
If they are using blockchain then they can overcome these issues easily. Aeron has already using it. It encourages pilots to log flight data on a blockchain. This way they manage to ensure flight safety by combating fraudulent record keeping. You can also use blockchain based storage for storing other types of data from important information such as ticketing information to mundane information such as layout of plane’s cabin.
This helps in adding more transparency and efficiency to the travel industry. More importantly, you can easily deliver frequent flyer rewards to frequent flyers. Frequent flyers can get rewards and refunds for their loyalty with a single airline. To avail these offers, you will have to accumulate all the reward points and air miles and frequent travelers can easily do that.
What do you think in what ways do blockchain will transform business travel? Feel free to share it with us in the comments section below.