Travel and Hospitality
Adapting travel loyalty programmes to meet Gen Z expectations
Out of all demographics, Gen Z has the least chance of joining travel loyalty programmes. Yet, they are one of the most influential consumer groups in the travel industry. Their growing spending power and rapidly changing expectations present a significant opportunity for the travel industry. Gen Z is an indispensable segment for all businesses, and the travel industry has a chance to tap into their unique style to unlock increased profits.
Embracing the Gen Z spirit
There are a group of characteristics that set Gen Z apart from other generations. It is a cluster of traits, which you can call the Gen Z syndrome! Firstly, Gen Z values authenticity like no other segment of society. They reject phoney marketing in favour of genuine brand values. They have a strong focus on brand values and company actions to decide if they will stick with that brand.
Gen Z is also on the lookout for something that will set them apart; something that is meaningful and unique. Another typical Gen Z trait is that they are driven by a need for instant gratification. If it isn’t now, it’s late. Growing up with premium and quick services, Gen Z looks for simple but instant results.
Gen Z also likes to keep things simple and consistent while also being tailored for them. Whether it is your app, website, customer service, or the travel experience itself, they prefer that it all comes together seamlessly on their terms.
Reimagining Gen Z and travel
Transitioning from old travel loyalty programmes to innovative systems requires a fresh perspective. Here is how the travel industry can encourage more Gen Zers to sign up for loyalty programmes:
Diversity works
Traditional loyalty programmes tend to offer fixed rewards that are more or less the same and predictable each time. To appeal to Gen Z, travel loyalty programs must allow travellers to choose their rewards from a huge variety of multimodal offerings. These could range from exclusive experiences, discount vouchers, early-bird access to events, opportunities to meet influencers, luxury kits, etc.
Diversity of travel rewards also leads to flexibility for Gen Z travellers when it comes to choosing how to redeem their reward points or benefits. Gen Z loyalty programs can offer multiple ways to redeem rewards. Whether it’s exchanging points for unique experiences, receiving cashback, or utilising discounts on future travel, the ability to choose transforms the loyalty programme into an adaptable system.
This versatility, combined with the other elements, creates a user experience that reflects the evolving mindset of Gen Z and travel enthusiasts alike.
Personalisation with a human touch
Another way that travel loyalty programmes can appeal to Gen Z travellers is through the personalisation of rewards. Instead of offering the same range of rewards to all travellers, using AI and ML insights, each traveller can get a range of rewards that align with their interests.
For example, travellers who choose warmer and tropical destinations could get exclusive discounts on their next summer getaway. On the other hand, those who prefer shorter stays could be offered rapid taxi service discounts and more.
Values in action: Sustainability and social causes
Gen Zers tend to look beyond the surface. The quality or type of rewards will not matter if the brand as a whole does not align with their values or acts against social causes they care about. What a company does outside of the service it offers, such as its affiliations, initiatives, and even how it treats its employees, matters to Gen Zers. Another critical focus for Gen Z is the well-being of the planet.
Companies must have responsible CSR programmes and ethical collaborations to earn Gen Z’s trust. Travel loyalty programmes must also commit to sustainability and eco-friendly practices. Initiatives such as carbon offset programmes or partnerships with community projects can showcase a genuine commitment to broader societal values.
A cohesive digital experience
An omnichannel experience remains a common pain point for every generation. Gen Z expects a smooth and integrated interaction. Travel companies should focus on mobile-first designs that give easy access to accounts on the go, integrating with social media for instant updates and using interactive features like virtual destination previews.
These improvements offer personalised travel deals and quick support through chat, combining both online and in-person experiences into one smooth, exciting programme for Gen Z.
How can Infosys BPM help enhance travel loyalty programs?
Infosys BPM helps travel and hospitality businesses design dynamic travel loyalty programs that resonate with Gen-Z consumers. We combine advanced analytics, streamlined management, and engaging digital tools. From member and partner management to specialised digital marketing services, our comprehensive offerings leverage cutting-edge technology to provide hyper-personalised rewards and enhanced customer engagement. Infosys BPM solutions reduce operational costs while ensuring that every interaction is efficient and optimised for a tech-savvy, socially connected audience.
