Different areas in which blockchain is being used, or is likely to be used, within the travel industry.
FREMONT, CA: One of the important aspects of blockchain technology is that data is decentralized, with information shared across a network. Each block contains transaction information, and a time stamp. Blocks are also permanent and cannot be altered without consensus from the entire network and without altering all subsequent blocks. The decentralized, permanent, time-stamped, and unalterable nature of the data recorded in the blockchain means that data is more secure, traceable and transparent. After all, there is no central point of vulnerability or failure, and the information itself is resistant to modification and unwanted tampering.
Blockchain and Travel Industry
Blockchain technology can offer a lot of advantage within the travel industry, stability, and security rank very high. The decentralized character of the blockchain means that the information can never go offline or be lost through accidental deletion. It cannot encounter malicious cyber attacks as well, offering that the transactions are always monitored and traceable. The travel industry depends upon various firms passing information among one another. Blockchain can make accessing and storing important information easier and more accessible because responsibility for storing the information is shared across the whole network. The financial transaction is another area to be noticed in the travel industry, and the blockchain technology cannot only simplify but also secure payments. This is very true in the case of dealing with overseas payments. Blockchain also has the potential to enhance and improve the level of trust among all parties.
Uses of Blockchain in Travel Industry:
Tracking the Luggage
Blockchain technology is extremely valuable for tracking the location of the luggage, especially when the guests travel internationally. In a lot of cases, a guest's luggage changes hands a number of times over the time of their journey. Here, using a decentralized database helps to share and track.
Identification services are important in the travel industry, and blockchain could potentially become the solution for storing the information. Blockchain can reduce the check-in times, or queues in airports, like a fingerprint or retina scan, replace documents.
Secure and Traceable Payments
The most important use of blockchain technology in the travel industry is related to payments. In this platform, the applications can range from sharing as a global ledger, making the bank payments more easy and secure by allowing the travel companies to make payments using Bitcoin and other cryptocurrencies.
Most of the hospitality enterprises focus on customer loyalty programs to increase guest revisits. Blockchain assists with these schemes, making the process easy, allowing customers to access the information about their loyalty points easily, and allowing tokens to be distributed. This process can also help to monitor and fight against fraud in the same area.
In addition to these generic examples, let's have a look at how blockchain has transformed the operations of few travel and hospitality firms.
LockChain works as a direct place for the hotels and hospitality firms to rent out their property. The platform conceals payments, property management, and other aspects of the booking process. All these become possible because it uses a decentralized system with no middlemen and no commission fees.
One of the best and most innovative uses of blockchain is the BeeToken, otherwise known as Beenest home-sharing platform. Here, the technology is used to help push communication between the customers and the host. This makes it easier for both the parties to arrange and pay for the stay.
Finally, TUI has launched its own in-house blockchain process, which is referred to as the Bed-Swap. Using this technology, the travel industries can move inventories between different points of sale and flex selling technology.
This platform is perhaps the current popular trend for baggage tracking using blockchain, and it also includes a booking element. Due to the inadequacy of third-party involvement means that booking and tracking can be achieved easily, safely, and securely, with all processes benefitting from greater transparency.
ShoCard and SITA
A project from ShoCard & SITA is seen when blockchain is put to use in terms of identity management. Even during the infancy stage, it is hoped that the platform will soon make way for a decentralized ID database, using a standard format, to allow travel companies to verify customer identification quickly and easily.
Trippki is a good example of customer loyalty reward. Here, customers and hotel chains, or hospitality companies, are put in direct contact. Eligible customers are allocated 'TRIP' tokens for staying in a hotel, and these tokens are permanently recorded in the blockchain, meaning they do not expire and can be used at any time.