#YouthMonth: From Y to Z, how corporate travel will evolve in years to come

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“This generation understands that they have to fight for what they want, whether that is home ownership or an education. As they finish school and enter the workforce, they will take that dogged determination and eye for an opportunity with them,” says Pascalle Albrecht, national travel and procurement manager at American Express Cards.

Generation Z members will look to themselves to drive change: all they may want from employers is to be given the right technological tools and a chance to achieve their aims. Albrecht says: “We may even see an increase in entrepreneurship – this is a group with the capacity to stay one step ahead of technological change.”

From mobile strategies to travel bot

...with digital natives entering the workforce, a mobile strategy will become imperative for companies.

“As we head to 2020 and beyond we know our future travellers are going to be more experienced on the ‘how to’ of business travel - they will be totally self-sufficient and use their mobile devices to book everything,” says Michelle Jolley, corporate marketing leader for the Flight Centre Travel Group.

Jolley explains that to ensure optimal performance of travel programmes, organisations will need to plan for the future and develop a clear mobile strategy to cater for changes and preferences in the workforce. Currently, mobile strategies are not well developed in most companies. Although more than half (54%) of travel managers have endorsed a mobile app in the past year, a large majority (69%) indicate that their travel programme does not have a mobile strategy in place. This is according to research conducted by the Global Business Travel Association (GBTA).

However, with digital natives entering the workforce, a mobile strategy will become imperative for companies. A strategy will be critical because the mobile space changes at lightning speed, and it’s important to think of that space in strategic segments such as the use of apps, how to communicate, and what is acceptable behaviour for your organisation – like checking into places online.

For Generation Z, which is believed to have an all-time low attention span of just eight seconds, information needs to be available immediately. Members of this generation have learned to process information in a flash and will be highly sophisticated decision makers.

Jannine Adams, senior marketing manager for Amadeus Southern Africa, says the effects of this new world, driven by consumer expectations, will rapidly spill over into the travel distribution industry. “How long it takes, and how far the industry moves, is impossible to predict. But considering the waves of innovation that are already starting to impact on the industry, change is likely to be inevitable and far-reaching.”

The travel bot is the perfect technological answer to address the iGen’s need for immediate information, as this virtual assistant will be able to answer most questions in the blink of an eye.

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Adams explains mobile virtual assistants or travel bots, can point out nearby restaurants and shops, as well as interact with social media conversations among friends and colleagues, suggesting locations to visit and products to buy while collecting data for tailoring individual retail experiences. According to Adams, virtual assistants are already being integrated into mobile devices and messaging apps. She says: “The growing sophistication of assistants and virtual reality will change consumer behaviour and shift greater power to those players who control the technology.”

Expected to be launched early in 2018 in South Africa, FCM has developed a travel bot called Sam. Euan McNeil, FCM GM for South Africa, explains Sam will be how most business travellers interact with their travel programme in the future with corporate travellers able to book a car and hotel themselves and complete the booking without having to work with a consultant.

However, the introduction of travel bots doesn’t mean Gen Z will not need travel consultants anymore. Says McNeil: “'Travel bots, such as Sam, have been developed to provide an additional interface for travellers, which will complement but never replace the skills and insights of the TMC. The travel expert will always have a key role to play.”

Top-notch technology for payment processes

The so-called iGeneration will expect to be able to use mobile devices instead of plastic cards to make payments... We can even expect invisible payments...

As a generation that has grown up alongside rapid tech advancements and takes technology for granted, Generation Z will come to expect digital payments when travelling. “The so-called iGeneration will expect to be able to use mobile devices instead of plastic cards to make payments,” says Albrecht. “We can even expect invisible payments, where travellers don't have to stop to pay at all. Whether riding in a cab, driving out of a car park or eating in a restaurant, payment happens automatically without the traveller having to show a piece of plastic or wave their mobile device over an electronic reader.”

Innovations in payment options could even lead to the near-elimination of the expense report. Instead, expenses will be automatically, inherently approved and reported at the time of payment. There will, therefore, be no need to waste the time of travellers, line managers or accounting departments by going through an expense management process as well.

It's not all about technology

Although this next generation of travellers spends more time online and watching videos than any other generation, they are equally community driven and environmentally aware.

However, brands will need to make sure they offer authenticity, as these internet-savvy travellers will be able to recognise a marketing ploy immediately. According to Albrecht, Generation Z will be much less susceptible to the marketing gloss. Businesses will need to be more transparent about how they do business, from their impact on the environment to the way they use customer data. Token 'planting trees' projects will not appease this group of caring conservatives.

Only time will reveal just how Generation Z and businesses will connect as this group travels into adulthood, yet there is no doubt that this will be another generation that will inspire and engage the corporate world.