11 Mar 2025

Hyper-Personalisation in Travel: The Next Frontier of Targeted Marketing

Published: 11 March 2025
By: Jonathan Carter-Chapman, Marketing Director, Northstar Travel Group
Topics: Personalisation, Travel Marketing, Customer Experience, AI in Travel, Data Strategy
Read Time: 8 minutes

Quick Summary

Hyper-personalisation is fast becoming the gold standard in travel marketing. By harnessing artificial intelligence, real-time data, and behavioural insights, travel companies can now offer truly bespoke experiences.

From predictive offers to dynamic itineraries, the industry is shifting towards a one-to-one marketing model that puts the traveller—not the transaction—at the centre.

Travel Tech Show | 19-20 June 2025 | ExCeL London

Introduction

In a travel landscape increasingly shaped by technology, hyper-personalisation is emerging as the next major competitive differentiator. While personalisation has been a buzzword for years, the move toward hyper-personalisation—driven by AI, machine learning, and real-time behavioural data—is ushering in a new era of precision marketing and customer experience design.

As highlighted in the Forbes Travel Trends Report 2025, “travellers no longer just want a great trip—they want a trip that feels as if it was designed just for them.” And thanks to technology, that ambition is now within reach.

What Is Hyper-Personalisation in Travel?

Hyper-personalisation goes beyond using a customer’s name in an email. It’s about leveraging real-time data and predictive analytics to deliver customised content, offers, and experiences tailored to each individual’s preferences, context, and behaviour.

According to McKinsey & Company, companies that excel at personalisation generate 40% more revenue than those that don’t. In the travel industry, this translates to higher conversion rates, increased customer lifetime value, and stronger brand loyalty.

Why It Matters in 2025

The modern traveller expects more. With rising demand for seamless, intuitive, and emotionally resonant journeys, the industry is being pushed to adapt. Today’s consumers are:

Data-savvy and privacy-conscious
Experience-led, preferring meaningful trips over generic packages
Mobile-first, often researching, booking, and reviewing in real time
Loyalty-agnostic, unless offered genuine value and personal relevance

As Paul Stephen, Co-founder of Remarkable Group, noted during a recent Travel Tech Show panel:

If you’re not offering a personalised experience in 2025, you’re not just behind the curve—you’re off the map entirely.

Core Technologies Powering Hyper-Personalisation

Artificial Intelligence (AI) and Machine Learning (ML)
These technologies crunch vast datasets to identify individual patterns—where people travel, how they book, what they like—and generate tailored recommendations, dynamic pricing, and targeted messaging.
Real-Time Behavioural Analytics
Platforms now track user actions across websites and apps to trigger instant responses, such as live chat offers or alternative destinations when a traveller abandons a search.
Customer Data Platforms (CDPs)
CDPs unify data from multiple sources—CRM, email, web, social—into a single view of the customer, allowing travel companies to design consistent, personalised journeys across all touchpoints.
Generative AI and Conversational Interfaces
Chatbots powered by large language models are already helping users plan complex multi-city itineraries in minutes. Some, like Expedia’s AI trip planner, allow for real-time dialogue and adjustments, providing a white-glove digital experience at scale.

Practical Applications in Travel

Dynamic Itineraries: Platforms like Utrip and Kayak are using AI to build day-by-day travel plans based on user preferences and current events at the destination.
Intelligent Offers: Airlines and OTAs are leveraging ML to surface personalised flight upgrades, bundled packages, or ancillary services based on prior behaviour and price sensitivity.
Location-Based Messaging: Hospitality brands use geolocation to send real-time messages—e.g., restaurant discounts, late checkout offers—to enhance the in-destination experience.
Voice and Visual Search: Voice-activated search tools and visual trip inspiration engines are making discovery more intuitive and relevant.

Key Benefits for Travel Brands

Increased Conversion Rates: Personalised offers are more likely to convert—sometimes by up to 202%, according to Salesforce data.
Improved Customer Retention: A traveller who feels understood is far more likely to return.
Reduced Marketing Waste: Hyper-targeting reduces the cost per acquisition and improves campaign efficiency.
Higher Revenue Per Booking: Up-sell and cross-sell opportunities become far more effective when aligned with individual preferences.

Challenges and Ethical Considerations

Of course, the hyper-personalisation model isn’t without its challenges:

Data Privacy: With GDPR and similar legislation expanding, companies must walk a fine line between personalisation and intrusion.
Data Silos: Many travel companies still operate with disconnected systems, limiting their ability to unify and activate data meaningfully.
Algorithmic Bias: Care must be taken to ensure AI does not reinforce stereotypes or exclude less common preferences.
Customer Fatigue: Over-targeting or irrelevant messaging can backfire, eroding trust instead of enhancing it.

As Vicki Miller, Director of VisitScotland, put it:

We have a responsibility to use data ethically—not just to sell more, but to serve better.

The Road Ahead

Hyper-personalisation is not a nice-to-have; it’s fast becoming a baseline expectation. Travel brands that lead in this space will be those who combine:

Smart use of real-time data
Transparent, consent-based data practices
Human-centred design thinking
Scalable tech infrastructure

With tech giants like Google, Amazon, and Airbnb doubling down on personalised experiences, the bar is being raised across the board. Independent travel brands, too, have an opportunity to differentiate by delivering relevance, empathy, and value at every stage of the journey.

Final Thoughts

Hyper-personalisation represents the next frontier of targeted marketing—one that’s redefining how travel is marketed, booked, and experienced. In 2025 and beyond, the winners in travel will be those who stop speaking to audiences—and start speaking to people.

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