The Amazing Benefits of Blockchain in the Aviation and Travel Sector

1. Get started Open in app The Amazing Benefits of Blockchain in the Aviation and Travel Sector Follow Ajay Kapoor Mar 10 · 5 min read What hits your mind when you hear the word Blockchain? Undoubtedly, it’s bitcoin or ethereum for which blockchain technology was invented. But, this is not the fact. With time, the technology is eyeing a landing in multiple industry verticals, hence making it accessible to almost every organization’s operations.

2. And with no such exception, the travel and tourism sector is one such industry that is no longer untouched by the wide range of applications and use cases of blockchain. It is poised to revolutionize the way we travel and book travel tickets and hotel rooms. As per the latest stats, the aviation sector has realized the potential benefits of blockchain and applying the technology in expanding the sector further. With this blog, you will get to know how blockchain can bring smiles to the aviation and tourism sector. Use Cases of Blockchain in Aviation and Travel The technology has a plethora of interests in the aviation and the travel sector. You can hire blockchain developer to make full use of it. Have a look at some of the ways through which blockchain can improve the travel experience of customers engaging with service providers.

3. Baggage Tracking and Management Blockchain has proved itself to be one of the most useful technologies when it comes to luggage tracking and management. Loss of luggage is a big issue for travelers and one of the critical aspects for the airline companies in the aviation sector. The baggage gets transported between multiple parties when they are transported across different sources like an airline, ground staff, airport, and security. Using Blockchain’s smart contract, liability, and reimbursement for the lost luggage can be easily identified and automated. With blockchain, data is used to identify, trace and monitor baggage. The technology when combined with AI and sensor technologies can determine the location of the luggage if in case the baggage is misplaced. The sensors attached to the bags help in eliminating the baggage loss faced by the aviation sector. Rewards System / Customer Loyalty Schemes Loyalty Schemes are one of the best ways to entice the travel and tourism sector but customers find it restrictive and limited to a small set of rewards. Blockchain offers digital tokens that provide a good opportunity to bring transparency, security, and exchangeability to these rewards. This enhances the customer’s experience who uses these loyalty schemes. The benefit of this loyalty scheme is that rewards can be easily exchanged between schemes if points are tokenized into digital assets. As a result, customers would be able to compare the relative value of schemes and the rewards that they offer.This will help the customers to compare the relative value of schemes and rewards that the aviation sector offers. Blockchain is Decentralised We all know that the aviation sector is dominated by online travel agencies(OTA). There are many intermediaries between the travelers and the end providers such as hotels and the tourism sector. The intermediaries also known as centralized entities are unnecessary entities in the decentralized booking marketplace. Eliminating these middle entities will help the service providers connect directly to the customers.

4. Blockchain’s smart contracts bring efficiencies for individuals by serving as intelligent, automated middle entities. It acts as an automated travel agent. It utilizes the data oracles to source a range of relevant services. At times, it could also hold the funds in escrow and release them if services are fully and properly provided. Identity Services Tracking the identity of travelers is essential for all sorts of different parties within the industry, but none more so than those involved in ensuring the security of transportation and national borders. While the traveling public understands the rationale behind identity checks, they also view them as the most time-consuming and repetitive steps in a journey. The most annoying, repetitive, and time-consuming steps while traveling are frequent identity checks that are obviously essential for all sorts of different parties within the industry. Blockchain’s zero-knowledge proof will help in verification of passport and other documentation without the need to share sensitive information. Passengers automatically feel that it makes their journey easier without intruding on their privacy. Travel Insurance The Blockchain’s decentralized network brings a case in the travel insurance policy as it could spot if the claims threshold had been met or not and if it has been paid automatically or not. Smart contracts have the ability to automate the data based on the information. Transparent Business Ratings The competitive market scenario in the aviation sector has forced the competitors to do fraudulent activities and do fake reviews for them. Many travel and tourism companies put fake reviews for themselves and their competitors. However, with Blockchain, the data being fetched is highly secure which enables great transparency and customer trust.

5. Travel & Tourism Companies using Blockchain Singapore Airlines The airline in partnership with KPMG and Microsoft developed a digital wallet named KrisPay that turns air miles into a digital currency and pays for a broader range of services than just flights. The digital wallet enables blockchain-based loyalty schemes for frequent passengers. Marriott The Marriott hotel chain worked with Accenture and the World Economic Forum to ease the bottlenecks and chokepoints that occur within the security checks. They developed the KTDI acronym for Known Traveler Digital Identity that enables seamless travel through the checkpoints and hence eliminates the need for paperwork. Conclusion The blockchain use cases in the aviation & travel sector will keep going in the long term. It has improved the level of trust among the parties involved and offers the sector both stability and security. It’s high time that the travel sector should use blockchain technology and see its meaningful impact on it in a bigger way. If you are also planning to get into the travel and tourism sector, hire blockchain developers from a top blockchain development company in India and see the difference it will bring to your business. Sign up for DDIntel By DataDrivenInvestor In each issue we share the best stories from the Data-Driven Investor's expert community. Take a look. Your email

6. Get this newsletter By signing up, you will create a Medium account if you don’t already have one. Review our Privacy Policy for more information about our privacy practices. Blockchain Blockchain Technology Aviation Travel Technology 51 WRITTEN BY Ajay Kapoor Follow Hey, I’m Ajay, a tech blogger working with PixelCrayons who loves to share his extensive tech-related knowledge with like-minded people. DataDrivenInvestor Follow empower you with data, knowledge, and expertise More From Medium 8 Disruptive Blockchain Projects to Be On the Lookout For in 2021 Leon Okwatch in DataDrivenInvestor The Tesla Implosion is Imminent and Their Bitcoin Purchase is the Catalyst Asger Bruhn in DataDrivenInvestor My Portfolio Is Down 20% This Month. Here’s Why I Don’t Care Marc Guberti in DataDrivenInvestor To Have the Great Life You Deserve, Do These 6 Things Karen Nimmo in DataDrivenInvestor Stay Away From Bitcoin? Why I’m Not Buying Marc Guberti in DataDrivenInvestor The Market is Crashing & Why Treasury Yields Are So Important

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