Machine learning will become the single biggest factor in driving up the profitability of travel firms, the Phocuswright conference in Florida was told this week.
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Phocuswright 2015: Travel firms’ profitability will be driven by machine learning
Pictured: Humphrey Sheil, chief executive of Eysys
Machine learning will become the single biggest factor in driving up the profitability of travel firms, the Phocuswright conference in Florida was told this week.
Humphrey Sheil, chief executive of Eysys, said it was using this form of modern technology to help the likes of cruise.co.uk and Travelbag to increase conversion levels.
It does this by identifying the most valuable customers for its clients and then providing the customer analytics to recommend to clients how that customers can be targeted.
Since going live with cruise.co.uk, Sheil said it has been able to increase conversion rates by 50%, identifying the specialist retailers’ 0.25% of its best customers.
In its work with Travelbag the Eysys technology has been shown to be able to predict country bookings with an accuracy rate of 92% and for resorts 97%.
Sheil said this means that websites can be designed for the individual person.
Eysys’s Holistic 1.0 technology is two years old and has brought tried and tested Amazon-style recommendation retailing to travel.
But Sheil said Eysys believes in giving its clients control and so developed Holistic 2.0 which he said “changed the game” bringing functionalist tech to the merchant.
He said this enables dynamic yield management, identifies who is ready to be contacted to close a sale and allows competitor analysis.
Sheil said: “Some of the largest names in technology have already deployed machine learning like Google and Facebook. It’s one of the fastest growing revolutions.
“If you do not have access to machine learning and these companies do, who’s to say you won’t pay more in the future for your advertising?”
