Travel is at another inflection point thanks to agentic AI and airlines were encouraged to embrace the technology to provide clarity, transparency and consistency.
Ruth Spratt, UK country manager for Affirm and former European head of sales at easyJet, was speaking at last week’s UATP Airline Distribution conference in Barcelona.
She said customers are looking for flexibility and want content that’s discoverable, a journey that’s clear, and, importantly do not want to be faced with any hidden costs.
A survey Affirm conducted among 2,000 millennials found 78% want flexible payment options and 70% said that would determine their choice of airline.
“It’s not a new form of payment, it’s an expected form of payment,” she said. This did not surprise us. We believe this is the right thing for consumers.”
Spratt said Affirm, which was founded by PayPal co-founder Max Levchin, is embracing AI and very positive about the benefits it will bring.
“AI is already out there; 25% of people in the UK have used AI for trip planning,” she said.
Affirm is using AI to test and learn how it works with clients and expands into new markets like Europe and the UK where regulations are more strict than in the US.
After the disruption caused by the low cost carriers, and then aggregators, she said travel finds itself at another inflection point due to agentic commerce.
“The difference with this is, it’s consumer-led. It’s not a case of there is a new business out there, this is passenger choice.
“Then it’s about how an airline can win from the point of view of AI. It’s about clarity, transparency and consistency.
“If you’re getting unexpected costs or fees added that leads to a really bad customer experience.
“It’s making sure the content is discoverable and it’s clear, Making the journey clear for the customer is important.
“I was at a retail conference last week and the view was this will go hockey stick in the next few years. I think travel will follow that curve but it will take a little bit longer”
Consumer trust and the customer experience will determine how quickly agentic commerce is adopted in travel and aviation, concluded Spratt.