Core Features and Benefits of Travel CRM Software for Modern Travel Companies

Customer Relationship Management system (or ‘CRM’) is a piece of software that modern businesses have been increasingly relying on over the recent years. It is one of the key instruments that helped modern companies step up their customer management along with sales and marketing by facilitating a much more client-oriented service. It is no wonder that CRM software development and distribution is gradually becoming one of the biggest software markets in the world.  It is currently projected to reach over $80 billion in revenue by 2025.

Travel industry is no exception, as modern high-end CRM solutions are more and more frequently introduced into day-to-day operations of tour operators, travel agents, online travel agencies, DMCs, TMCs and other travel companies.

In this article our team decided to explore what travel CRM software is, its key features, implementation patterns and benefits.

What is Travel CRM Software?

Normally the term «travel CRM» stands for a software system designed to help travel companies automate and streamline numerous critical customer-related processes, such as, for example, lead management, custom communication, real-time client activity alerts and more. In addition, CRM software in travel can be applied for managing tour packages, bookings, reservations, invoices, payments, reporting and other travel-related activities.

If to speak in more general terms, the basic and most prominent applications of travel CRMs are the following:

Types of Travel CRM Implementations

First of all, travel CRM software can be subdivided into cloud-based or on-premise.

Cloud-based travel CRM software is hosted online and accessed from any device and location. On-premise travel CRM software is installed on the travel business’s own servers and requires additional  maintenance and increased security.

Furthermore, by way of delivery CRM solutions can be further subdivided into:

• Standalone solutions – dedicated CRM solutions connected with an existing internal ERP system or a set of business-specific solutions. In this scenario established CRM solutions (like Salesforce, Hubspot or Zoho, for example) can be integrated into travel business infrastructure using their API interfaces;
• Pre-installed / Incorporated CRM modules.

In this case CRM functionality is pre-installed as part of a larger travel business automation system. This is usually the case with established ERP-class solutions. A relevant example is GP Travel Enterprise – a sophisticated travel business automation solution for tour operators, DMCs, TMCs, OTAs and travel product wholesalers.

Key Features of Modern Day Travel CRMs

Travel CRM software can vary in terms of functionality and complexity depending on the needs and preferences of travel businesses. However, there is a set of common features that are general ‘must-haves’ for travel CRM systems of today.

Lead management

Every day travel companies capture incoming customer requests, or ‘leads’, from numerous sources. These can include online contact forms on corporate websites, online chatbots, offline requests from phone calls or customers arriving personally to land-based offices.

Lead management functionality of travel CRM software serves to capture these requests, store and then assign to responsible managers. It usually provides extra automation by defining managers or service teams covering specific channels or product types (for ex., a manager / team assigned to flight bookings or just to leads coming from a contact form / offline requests etc.).

Lead management also incorporates functionality that is designed to:

• Track status of a lead / request;
• Re-assign leads in between individual agents or teams;
• Convert leads to higher-level entities (usually called ‘Deals’ or ‘Opportunities’) in order to keep an eye on larger deals involving big amounts or multiple travel services.

Customer management

Travel company customers can fall in numerous categories:

• Individual travellers and corporate clients;
• Customers by geographical markets (Europe / Asia / North America);
• Regular clients vs VIP, etc.

Customer management functionality serves to segment clients into the mentioned groups for more efficient management. It also stores personal details of users, travel history, preferences, feedback, loyalty program data and lots of other important items that benefit sales and distribution.

Quotation management

Quotation management in travel CRMs is a block of features designed for creation, sending and tracking of travel service offers and quotations sent to travellers. In particular, it enables travel managers to:

• Organize and sort through quotations by numerous criteria, such as reference number, destination, status, departure date and so on;
• Capture and manage passenger information, including name, special requests, contact details, etc.;
• Add travel products from various sources, for example from own inventory, third-party suppliers, or using manually added data;
• Create custom travel packages and itineraries using specified builder modules;
• Manage pricing for tour components, including setting up of markups, commissions, tax conditions, special offers, discounts, etc.;
• Generate professional-looking quotations, invoices, vouchers related to specific bookings;
• Apply validity and expiry periods to quotations and send out automated reminders to clients.

Workflow automation

Workflow management in travel CRM represents a sophisticated set of functions and modules designed for creating patterns for repeated automations associated with various tasks and activities of a travel business. It streamlines operations, improves customer service, increases sales, while keeping management costs to a minimum.

Active use of workflow automation functionality is extremely beneficial, as it allows to:

• Track, manage and follow up on leads, inquiries, quotations and bookings in a convenient and organized way;
• Create customized itineraries and packages for clients based on preferences and available budget;
• Set up efficient communication with clients and suppliers through various channels: email, SMS, chat or via phone;
• Generate real-time data and insights on business performance, customer behavior and market trends;
• Enhance automation by connecting to third-party tools and systems such as booking engines, payment gateways, accounting software and more.

Notification and alert management

One cannot underestimate the importance of timely and on-point communication with the client. And it is next to impossible to handle it with just the manual effort of your employees. That is where notification and alert automation comes to the rescue.

Travel CRM nowadays can create and trigger timely automatic messaging where required. This way both the travel company and its customers stay informed, communicate effectively and are hinted to take action when needed.

Alerts and notifications can suit different purposes. For example, one can create regular announcements, rule-based / record-based / event-based alerts. Moreover, notifications can be arranged in various formats, such as pop-ups, form notifications, email notification, etc.

Report and dashboard generation

Report and dashboard management section in travel CRM sets up the process of creating, analyzing and sharing reports and dashboards with key metrics and insights related to travel business performance. With the help of this functionality travel companies can monitor sales, marketing, customer service activities and also track performance against set goals and benchmarks.

Some of the most frequently used reports and dashboard are:

• Sales pipeline – a report type showing stages of your sales process – from lead generation to booking confirmation. It reflects the number of leads, opportunities and customers you have at each stage, as well as the conversion rates and revenue generated.
• Customer satisfaction report, which measures how happy your customers are with the travel services rendered based on feedback surveys, reviews and ratings.
• Marketing campaign report, showing the stats of marketing campaigns, which may include email newsletters, social media posts and online ads. The typical metrics used here include impressions, clicks, conversions and ROI.

It is also normal practice for modern travel CRMs to have report building tools that generate custom reports based on manually defined parameters.

Benefits of Travel CRM Software for Travel Companies

As shown above, modern CRM solutions incorporate the widest range of features that can benefit travel business performance in lots of ways. Some of the most obvious advantages of using travel CRM software are: