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Technology Disrupting Global, Local Travel Industry

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By Gbemisola Aruwayo-Obe

 

Nigerians from all walks of life love to travel. Like folks elsewhere, they feel deeply emotional about travelling. Although they may chit-chat about banking, shopping and similar experiences, discussions about their favorite airlines, miles, discounts, upgrades and boarding privileges also strike a deep cord with them. Regardless of social status, we all seem to be united by two things: our aspirational lifestyle and our individual and collective urge for excellent service delivery. Embracing digital innovation (technology) would help fast track the attainment of these social and economic realities.

 

While travelers around the world may differ in their hospitality tastes and preferences, the Internet has helped to flatten the world. Commercialization of the Internet has also introduced digital innovation into the travel and tourism industries, bringing with it a raft of new products, services and experiences. The digital influence is daily transforming the entire value chain of the hospitality sector, and this digital disruption is being embraced by travelers and operators alike. Take online checking in and self-service terminals at airports, for instance.

 

What about software which allows travelers to select destinations, flights and airlines, hotels, car hire companies and concierge services from the comfort of their laptops or hand-held devices? 20 years, you would have needed to visit or place a phone call to an airline or travel agent to access these sorts of services.

 

In hospitality establishments across the country and even around Africa, innovative technology is gradually bringing disruption to business models and customer expectations. Digital innovation is creating new challenges and opportunities for the travel industry. As with other industries, travel services customers have grown accustomed to individualized arrangements.

 

Whilst service quality levels may not be optimal in the fast-developing economies of the world, travelers in these regions are also not shy of demanding more comprehensive and consistent experiences and are becoming less tolerant of both inconsistency and imposition. Travel customers now expect streamlined processes, convenient self-service options and one-of-a-kind experiences. They are willing to quickly shift buying behaviors and preferences if they do not get what they are seeking.

 

This is the way it should be. However, this is not always how things have been over the last 20 years or so for members of the public who need to patronize airlines, hotels, transportation providers and other service providers in the business or leisure travel value chain. While hospitality industry analysts have called for increased public sector investments in the sector and in some cases, sectoral reforms which will galvanize domestic and foreign direct investments, there is also the need to realize that the entire hospitality landscape is undergoing disruption, as new entrants continue to leapfrog established travel businesses by applying digital technologies in innovative ways, whether it’s businesses that rent private homes to strangers or provide one-way car services.

 

Executives in the industry recognize the ongoing disruption and the impact of digital innovation on their industry. In 2016, an IBM Institute for Business Value’s Global Ecosystem Survey, conducted in collaboration with the Economist Intelligence Unit, consulted the opinions of more than 2,000 cross-industry leaders. Study findings include:

 

63 percent of the surveyed travel industry executives report that traditional value chains are being replaced with new value models.

Half of the surveyed travel industry executives indicate that boundaries between their industry and others are blurring.

57 percent of surveyed travel industry executives say that competition from new and unexpected sources is beginning to impact their businesses.

 

According to another report from the IBM Institute for Business Value, the global travel industry can sustain its momentum by meeting and hopefully, exceeding travelers’ personal expectations by embracing the philosophy of a Digital Reinvention.™ There is a three-step process, which includes:

 

1) Digitization improves efficiency by applying technology to individual resources or processes. Within the context of travel, digitization involves setting up digital systems that support processes such as online ticketing, but has evolved into online services where customers book directly with providers rather than through traditional travel agents.

 

2) Digital transformation involves the integration of digital functions or processes across an organization. By combining a set of systems and processes, digitally transformed travel businesses can offer their customers individualized experiences. An example of increasing importance is the ability of travel providers to combine data collected through travel booking sites, as well as customers’ personal social media channels, to deliver highly customized vacations.

 

3) Digital Reinvention of travel goes even further. Digitally reinvented travel involves a fundamental re-imagining of the way an organization operates and engages with customers and other stakeholders. Digital Reinvention at its most fundamental puts the customer first in all of the organization’s dealings to deliver travel experiences that are personalized for individual customers.

 

Digital Reinvention combines multiple digital technologies, including cloud, blockchain, mobile and the Internet of Things (IoT), to transform customer and partner relationships and to create new business ecosystems. Often, the most successful digitally reinvented businesses establish a platform of engagement for their customers and partners.

 

These are the steps, the benchmarks if you like, that many Africa-based travel industry operators need to adopt to take their game to the next level. Digital disruption is a reality of the global travel industry. The earlier and faster we embrace digital disruption locally, the more efficient our travel and hospitality systems will be.


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Ugo Onwuaso is an ICT enthusiast. He believes technology should be used for general good. He holds a Master of Public Administration (MPA) degree from the Lagos state University. Dear Reader, Your support matters. But we believe that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. That is why, we have devoted our energy to independent reportage of technology and finance and how they affect lives. Our incisive and analytical view of how technology news affects the daily life help individuals and organizations make up their minds. Quality journalism costs money. Today, we're asking that you support us to do more. Kindly support our effort to deliver technology and finance journalism to everyone in the world. Donate as little as N1,000. Bank transfers can be made to: UBA Plc 1017156876 Communication Week Media Ltd

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Nigerians to Use NIN Cards for Payments, Cash Withdrawals — NIMC

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National Identity Management Commission (NIMC) has said that the new National Identification Number (NIN) card can be used by Nigerians for financial transactions including payments and cash withdrawals, in addition to being used as a means of identification.

Nigerians to Use NIN Cards for Payments, Cash Withdrawals — NIMC

Kayode Adegoke, head of Corporate Communications, and Peter Iwegbu, director of Card Management Services, of NIMC, disclosed this during an interview on Channels TV.

Speaking on the card’s multi-functional use, Iwegbu said it will enable users to conduct transactions such as ATM withdrawals, online payments, and money transfers, adding that its chip integrates seamlessly with Nigeria’s banking system, allowing users to withdraw money or transfer funds regardless of the bank they use.

For his part, Adegoke pointed out that to streamline the process, banks would issue the cards.

“The way the card is going to be issued this time around, quite unlike the past, is that you have to get it through your respective bank,” he noted.

Adegoke further explained that while the NIN remains the core element of identity verification in Nigeria, the linked card offers extensive utility.

“The NIN is free, and we are enlightening Nigerians that whenever they go to any of our centres, the enrollment and issuance of the NIN are entirely free.”

According to the officials, NIMC is partnering with various stakeholders, including the Central Bank of Nigeria (CBN) and the Nigerian Interbank Settlement System (NIBSS), to implement the card’s financial features.

This initiative is expected to provide value to banks while including previously underserved Nigerians in financial systems.

“We are bringing to them almost over 100 million possible customers who they can bank with,” Iwegbu stated.

In addition to its financial utility, the NIN card has been designed to enhance security and identification in remote areas.

“It also enables us to financially include some of these people who have been excluded and provide identification for those without means like an international passport,” Iwegbu added.

According to Adegoke, “You can decide the bank you want, the branch you want to pick it from, or even choose to have it delivered to your doorstep.”

Iwegbu assured Nigerians that the initiative is designed to address past challenges, including distribution and acceptance issues.

“The card will solve problems of financial and social exclusion, making life easier and smarter for Nigerians,” he added.

 


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Meet the Winners of 2024 Africa Tech Alliance Excellence Awards

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Africa Tech Alliance (ATAEx) Awards has, again, lived up to expectations by honouring individuals, organizations, and initiatives that have made significant impact on Africa’s tech ecosystem, focusing on categories such as digital transformation, cybersecurity, ecommerce, financial inclusion, sustainability, and emerging technologies.

For the year 2024, Kashifu Inuwa Abdullahi, the director-general Nigeria’s National Information Technology Agency [NITDA] received the Digital Transformation Leadership Award. The Digital Transformation Leadership Award is a national technology impact award that recognizes individuals or organizations that have made significant contributions to advancing technology in ways that drive national development and positively impact society.

ATAEx Award screening committee for 2024 nominated Kashifu Inuwa Abdullahi for the award in recognition of his role in transforming Nigeria’s technology landscape, fostering innovation, and supporting inclusive digital progress.

 

Dr. Ayotunde Coker is one of the leading players in the development of the data centre industry in Africa and is the Chairperson of an influential industry group, the Africa Data Centres Association.

Before joining OADC as Chief Executive Officer, Dr Coker led Rack Centre to become a household name in Nigeria and a leading brand in Africa, with global recognition and numerous prestigious international awards.

Throughout a distinguished international career as a technology and business leader, Dr Coker has held senior positions in finance, energy, management consulting and U.K. Government.

His achievements have been recognised by numerous awards, including the Distinguished Manufacturing Alumni Award (Cranfield Institute of Technology) 2020, and in the same year, he was recognised as one of the Global Top 30 Edge Computing Leaders by Data Economy Magazine.

He holds an MSc from Cranfield Institute of Technology and a PhD (Honoris Causa) from ESCAE University.

Other awardees include;

Blockchain Advocate of the Year – JUDE OZINEGBE, founder/Convener, Cyberchain; AI Startup of the Year – NeuRaL AI; African Cybersecurity Mastery Award – DIGITAL ENCODE LTD; ATAEx Internet Exchange Point of the Year – INTERNET EXCHANGE POINT OF NIGERIA [IXPN]; PR Champion of Africa Award – NEWMARK GROUP LTD; Africa Tech Community of the Year – InnovationBed Africa; ICT Company of the Year – TECOM CONCEPTS LTD; Best Data Centre Colocation Provider of the Year – DIGITAL REALTY [Nigeria]; Outstanding ICT Solutions & Innovation Personality of the Year – HAPPINESS OBIOHA, MD/Sales Director, Tecom Concepts Limited; Mobile App Defense Excellence Award – CED TECHNOLOGIES; Most Innovative Digital Bank Award – PALMPAY, and Life Time Achievement Award in Data Centre Management – DR. AYOTUNDE COKER, CEO, OADC.

Other ATAEx 2024 awardees are; ICT Innovation Storyteller Award – CHINENYE ANUFORO, Head, ICT Desk, Sun Newspaper; Digital Reporting Excellence Award – MARTIN EKPEKE, Publisher/Editor In-Chief, ITPulse; Trailblazer in Tech Award – MONIADE ADENIYI; Global Technology Innovator Award – AYODEJI OGUNMOLA; Tech Visionary Award – OLUWAKAYODE DURODOLA; Rising Star in Tech Award – OLANIYI IBRAHEEM; Business Intelligence Mastery Award – ADEDAMOLA BOWALE; Blockchain Community of the Year – LAGOS BLOCKCHAIN WEEK; Champion of Public Tech Infrastructure Award – GALAXY BACKBONE LIMITED; Direct Selling Company of the Year – QNET.

In his congratulatory message to the award recipients, Mr. Chike Onwuegbuchi, the co-convener, said that ATAEx Awards is part of the annual Africa Tech Alliance Forum (AfriTECH), which brings together tech leaders, policymakers/regulators, industry experts, and key stakeholders to discuss the latest advancements and challenges in Africa’s digital landscape.

“Recipients are celebrated not only for their achievements but also for their vision and commitment to leveraging technology for Africa’s development”, he said.


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NIMC Introduces Paid National ID Card Amid Low Revenue

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Nigerians will start paying for the new national identity card due to low revenue, according to National Identity Management Commission (NIMC).

NIMC Introduces Paid National ID Card Amid Low Revenue

Dr Peter Iwegbu, head of card management services at NIMC, said the payment was to ensure that it was produced for only those who needed it.

Iwegbu stated this at the  two-day conference organized for journalists in Lagos.

He also added that the decision was made to avoid repeating the mistake of the past efforts to issue physical cards to Nigerians for free, which many did not collect.

“The government’s limited revenue is also a major factor in the decision to make Nigerians pay for the new ID card,” he said.

Iwegbu explained that due to the low revenue generated, the government could not fund the production of ID cards.

Mr Lanre Yusuf, director of Information Technology at NIMC, explained that the idea of a free national ID card in the past was not productive.

“To get the new national ID card, Nigerians will need to make a payment, select a pickup location, and then collect their card from the chosen location.  The government has implemented programmes to make the card accessible to the less privileged Nigerians who cannot afford it but require it to access government support.”

“This initiative demonstrates the government’s commitment to inclusivity and equality,” Yusuf said.

He said that the versatile cards were scheduled to launch soon, and sample test cards had already been received.

“NIMC is working with banks across the country, which will make it possible for people to walk into any bank closest to them and request the card.”

“The new national ID card is a multipurpose card that can serve the purpose of identity verification, payments, and even government services,” he said.

The card will be enabled for all government interventions and services across various ministries, departments, and agencies. The card, powered by AfriGO, was launched in partnership with the Central Bank of Nigeria and the Nigeria Interbank Settlement System.

 

 


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