NB: This is a guest article by Jonathan Alford from Seattle-based consulting firm Lenati.
We’ve all seen a little and opineda lot about what Google could do with ITA Software, but could one of the most potentially innovative elements still be flying under the radar?
This is the convergence of mobile, natural language speech, and cloud technology forces that could enable Google-ITA, likely Apple, and maybe Microsoft to really change the travel search and transaction landscape?
I thought I’d take a look after the milestone launch of Siri as part of the release of the iPhone 4S
By now, you might have flirted with Siri, and usage has reportedly been 10x what even Apple anticipated. Android searches were already 25% voice a year ago, but I’m guessing Google isn’t going to let Siri have all the fun.
Along with Microsoft’s voice integration through Windows Phone, Xbox Live, Kinect, and coming Windows 8 platforms, natural language voice engagement is finally going mainstream.
This time last year, voice search was projected to be 15% of all searches by 2015. That may now be an underestimate.
What if you could say:
"Book a flight on Alaska Airlines from Seattle to San Francisco at 3pm on November 14th"
...and then be taken directly to Alaska’s best-matched flight ready to buy with a few more voice commands?
And, then, would a business traveler on the run want to be able to say:
"I need to change my flight to 8pm"
...and then have his ir her itinerary and voice-directed flight change functions load immediately?
Android voice search is already tremendous, but still produces the blue links that seem to take you everywhere but the specific thing you want.
And as we’re seeing from some advertiser pushback to its online flight search tool, Google is facing some tough decisions on whether and how to disrupt its own advertising model.
In the meantime, Siri tells you she doesn’t do flights right now. But imagine when she does.
Siri is different. Its personal assistant model is engineered to deliver the user directly to a desired answer – or transaction point.
But make no mistake, despite Siri’s pleasant personality, the cold business truth is that Apple is mapping it toward high-opportunity transactional industries – like travel.
Could the impact shift the travel search landscape? Could Apple push Google to disintermediate its own travel search advertising model?
We’re currently witnessing the dynamic online information, advertising, and social media ages of travel, but travel is still fundamentally a commerce category. The beauty of Expedia and others is that they gave consumers the ability to cut inefficient offline search and intermediary steps and costs and go directly to the transaction.
Could natural language voice help cut inefficient online search and intermediary steps and costs? Current online booking UI’s and Google’s blue links were great advancements, but still create friction. GDS’s create friction and cost.
Could GDS data structures adapt to receive voice object inputs? Perhaps not, and voice is also a great candidate for direct connect. Can Farelogix integrate with voice object inputs?
Regardless, Google already owns all three platforms necessary to integrate seamless voice-driven search for domestic airfares – Android mobile/tablet, speech, and ITA.
What about flights?
Apple owns two platforms and has clearly targeted travel, but needs the third element - travel platform/supplier partners. With $27 billion in cash/short-term investments and incredible market currency, it could also easily acquire the third platform. Could Farelogix be a flight Direct Connect answer? Could Vayant be a flight search answer?
How about hotels?
Microsoft also owns two of the platforms, and while some might say Bing Travel is underwhelming, keep in mind Microsoft also has plenty of cash/short-term investments, a strong incentive to spend on search, mobile and tablet share, 35 Million Xbox Live members, an install base of perhaps 15 million Kinects after this holiday season, and hundreds of millions of Windows users.
By the way, Amazon just acquired a voice platform for its new Kindle lineup, too.
The technology and cost barriers are high to develop user-acceptable speech technology. Google, Apple and Microsoft will offer robust APIs that OTAs and travel suppliers could integrate.
But the commercial models are not yet formed, and would consumers bypass home screen voice search to download, activate and use more cumbersome mobile applications even if they integrate with speech APIs?
So what’s going to happen? It remains to be seen, but keep listening AND talking.
NB: This is a guest article by Jonathan Alford from Seattle-based consulting firm Lenati.