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If there were any lingering doubts about artificial intelligence being more than just the industry’s favourite buzzword, they’ve now been politely escorted out of the departure lounge.

Fresh data from the TravelTech Show 2026 suggests the travel sector is not merely flirting with AI, it’s preparing to put a ring on it. A solid 64 per cent of travel operators say they will increase their investment in artificial intelligence over the next 12 months, with ambitions that are as practical as they are ambitious: better customer experiences, stronger loyalty, improved booking conversions and, in a nod to the finance department, lower operational costs.

In an industry long defined by razor-thin margins and relentless competition, this is not so much a trend as it is a strategic pivot.

A calculated gamble with intent

Of the 103 travel professionals surveyed in April 2026, more than one in five (21 per cent) are planning to double their AI budgets outright. Another 31 per cent will increase spending by up to 20 per cent. That is not experimentation; that is commitment.

And where is all this money expected to land? The priorities are telling:

  • 32% want to elevate customer experience and loyalty
  • 18% are focused on boosting booking conversion rates
  • 16% are targeting cost reductions

In short, AI is being deployed not as a shiny toy, but as a commercial engine designed to both charm the customer and satisfy the CFO.

Technology spending broadens beyond AI

Yet, as seasoned operators will tell you, betting the house on a single technology rarely ends well. Encouragingly, the data suggests the industry hasn’t forgotten that lesson.

Nearly half (48 per cent) of respondents plan to increase their overall technology budgets in the coming year. Ten per cent will double their tech spend entirely, while others are taking a more measured approach, 15 per cent lifting budgets by 50 per cent and 23 per cent adding a more modest 20 per cent.

It’s a reminder that AI does not exist in isolation. It needs infrastructure booking engines, CRM systems, payment platforms and robust data management to deliver anything resembling value.

Indeed, when asked which technologies will attract investment, AI still leads the pack for a third consecutive year, though its dominance is beginning to soften:

  • AI: 43% (down from 52% in 2025)
  • Booking and reservation systems: 25%
  • CRM platforms: 23%

That slight dip in AI enthusiasm may not signal retreat, but rather maturity. The industry is shifting from fascination to integration, and that’s where the real work begins.

The knowledge gap no one is talking about

Here’s where the narrative takes an interesting turn.

For all the enthusiasm and the spending, there remains a rather inconvenient truth: many operators don’t fully understand how AI is being used by their own customers.

A notable 31 per cent admit they don’t know how travellers engage with their business through generative AI tools. Even more concerning, 21 per cent remain unclear about where their bookings, traffic and customers are actually coming from through online search.

In an era where data is meant to be king, that’s less a blind spot and more a blackout.

It raises a pertinent question: Is AI solving problems faster than the industry can define them?

Industry perspective: clarity amid complexity

Commenting on the findings, Thauan “Ty” Albuquerque, sales manager for the TravelTech Show, offered a measured view that cuts through the hype with welcome pragmatism.

“Given the commitment we’re seeing to invest, the integration and acceptance of AI in the travel sector is set to advance at an accelerated pace in the months to come,” he said.

“But it’s important to note AI is only one part of a much broader technology ecosystem. Travel companies can’t afford to take their eye off the ball when it comes to investing in the entire tech stack, including bookings and reservations systems, CRM, payment solutions and data management, if they want to unlock the full value of innovation.”

In other words, AI may be the headline act, but it still needs a capable supporting cast.

Albuquerque also acknowledged the confusion many operators are feeling as the AI landscape rapidly expands.

“It’s no surprise operators can feel confused by the sheer volume of AI tools emerging as well as how and where they can impact their business,” he added.

“The conference agenda for this year’s TravelTech Show will provide answers to many of these quandaries and a clear direction for operators to embark on the AI pathway.”

London calling: where theory meets practice

For those seeking clarity or at least a sense of direction, the TravelTech Show will take place from 24–25 June 2026 at Excel London.

Billed as Europe’s only dedicated travel technology marketplace, the event is free for travel technology specialists and consultants tasked with selecting and implementing tech solutions. (Suppliers, naturally, will need to reach for their wallets; tradition still holds.)

Further details and registration are available via the official site: 👉 TravelTech Show.

A sector at a crossroads

What emerges from this data is not simply a story about AI adoption, but one about an industry at a crossroads.

On one hand, travel operators are investing with conviction, chasing efficiency, personalisation and growth. On the other hand, gaps in understanding suggest that the industry is still finding its footing in a rapidly evolving digital landscape.

It’s a familiar pattern. New technology arrives with promise, adoption accelerates, and only then does the industry pause to ask whether it truly understands what it has built.

The difference this time? The pace.

AI is not waiting politely for travel companies to catch up. It is moving quickly and decisively, reshaping how customers search, book, and experience travel.

Those who keep up will reap the rewards. Those who hesitate may find themselves reading about it instead.

And in this business, that’s rarely a comfortable place to be.

by Sandra Jones – (c) 2026.

Read Time: 4 minutes.
About the Author.
Sandra Jones - BIO PicSandra has spent a working lifetime quietly rescuing journeys, one itinerary, one anxious caller, one impossible connection at a time. Years in Australia’s finest travel agencies taught her the art of calm, how to find a flight in a fog of cancellations, how to soothe a traveller when luggage wanders, how to turn nine frantic days in Europe into something resembling sense. Qualified, seasoned, endlessly patient, she learned that good travel advice is part logistics, part listening.
But the storyteller in her was always waiting its turn. Writing offered a new map, a way to turn experience into reflection, detail into delight. At Global Travel Media, Sandra now writes the truths only insiders know: the mishaps, the laughter, the grace found between gates and goodbyes. She reminds us that travel, for all its fuss, is still one of life’s better ideas.

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