Travel/Tourism
Unlocking Africa’s Travel Tech Potential Within $13trn Global Travel Industry
By Adam Aziz
In 2019, tourism was a global powerhouse, accounting for 10% of GDP, or roughly $9 trillion. After weathering the pandemic storm, we expect 2023 figures to show a full recovery to pre-COVID levels, in line with data from leading travel platforms and the World Bank. But the story doesn’t end there.
A transformative shift is underway, fuelled by evolving consumer preferences and habits, which could push tourism spending even higher to $13 trillion by 2030. Amidst this dynamic landscape, the travel tech sector is witnessing noteworthy developments. Online Travel Agencies (OTAs) are still capitalising on the shift from traditional to digital platforms, gaining a greater share of the travel and tourism market.
In more developed markets, OTAs are increasingly focusing on improving the user experience by leveraging generative AI. Companies such as Wego, MakeMyTrip, and Trip.com compete and dominate in the Middle East and Asian markets.
At the forefront, Expedia and Booking.com, major industry players, collectively command 60% of all travel bookings in the United States and Europe. This emphasis on technology underscores the industry’s commitment to innovation and adaptation in the evolving realm of travel.
While major travel companies recognise the growth potential in emerging markets like Latin America in their annual reports, the African tourism sector remains relatively underdeveloped and is seldom acknowledged. Nevertheless, Africa presents a considerable opportunity for local online travel agencies (OTAs) to establish extensive inventories on the continent, a feat challenging for non-African entities like Booking and Expedia.
Additionally, there are substantial prospects for businesses that serve as facilitators or catalysts, aiding hotels, restaurants, and leisure operators in establishing an online presence.
Curated trips and Gen AI disruption
Leading travel platforms like Booking.com are transforming into comprehensive trip-planning hubs, covering flights, accommodations, dining, car rentals, and activities. This shift towards “connected trips” is aimed at enhancing customer service and boosting retention and conversion rates, a trend also pursued by Expedia and Trip.com on a global scale. Trip.com emphasises AI’s role in curated trips as a key strategy in its annual report.
Generative AI, particularly AI-powered chatbots, plays a pivotal role in this concept. These chatbots, considering factors like budget and preferences, streamline the process of creating personalised itineraries. Currently, 20% of Google Bard users utilise AI chatbots for travel planning, with this number expected to rise as technology matures.
Why we see Africa as a significant opportunity
The case for online travel in Africa aligns with many global themes driving the online travel industry, such as increased efficiency and greater choice. However, Africa also holds unique advantages that make it an exceptionally promising market for tech companies operating in this space.
In the past three decades, Africa has experienced a remarkable surge in its middle-class population, which has now surpassed 300 million people – a threefold increase. This burgeoning middle class has the means and desire to explore their continent and the wider world and is poised to drive significant growth in the demand for travel services.
The continent’s growing and increasingly globally-minded young population will further strengthen this demand. Many countries boast a median age below 20, and populations are skyrocketing. The 2020s will see the arrival of 450 million new Africans, and by the 2040s, this number is projected to reach 550 million, constituting 40% of all global births.
The transition from offline to online is another pivotal accelerator worth noting. While online travel booking has made substantial headway worldwide, Africa still trails behind. Only 30% of travel bookings in the Middle East and Africa occur online, falling short of the global average of 50%. This gap presents a significant opportunity.
While Internet penetration in Africa stands at 36%, programmes like the World Bank’s Digital Economy Initiative for Africa will enhance Internet accessibility in the coming decade. At the same time, an ever-younger and more tech-savvy population will drive demand for online travel services. Companies facilitating the transition from offline to online travel are well-positioned to harness this immense growth potential.
Enabling travel in Africa
The opportunities in Africa’s travel industry are partly due to its unique landscape characterised by its nascent and fragmented travel market. Within this dynamic environment, two primary categories of technology companies have emerged: companies focused on aggregating inventory (OTAs) and a newer cohort dedicated to providing the digital infrastructure required to bring travel and tourism businesses online.
One common thread connecting these categories is payment processing, a pivotal component for enterprise software providers as they facilitate the transition to online operations. OTAs are venturing into the payments arena, aiming to capture transaction revenue while enhancing the user experience through a more seamless booking process. This trend extends beyond Africa and is evident globally, as the Booking.com annual report highlights.
What’s coming next in travel tech?
The global travel industry has recovered to pre-COVID levels and offers intriguing prospects for 2024 and beyond. Globally, there’s a growing consumer trend of prioritising experiences over material possessions, which could see travel’s share of GDP grow even further, especially considering rising incomes in emerging markets.
In the African market, tech companies are addressing what we refer to as “first-layer challenges.” These encompass optimising intracontinental travel, facilitating the online expansion of businesses, and broadening inventory to strengthen the network. In developed markets, these foundational issues have largely been resolved.
Nevertheless, given the rapid progress in overcoming these challenges in Africa, the increasing tech proficiency among a burgeoning younger demographic, and the trends observed in other emerging markets, we anticipate the preferences of African travellers will swiftly converge with the global trend toward curated, end-to-end travel experiences.
Africa’s next generation of travel technology companies will reap the benefits from an ever-expanding data pool as the offline-to-online transition gains momentum. Their primary focus will be to create refined digital travel products powered by artificial intelligence, all with the singular aim of enhancing the user experience to new heights.
Adam Aziz is an Analyst at DAI Magister
By Adedapo Adesanya
The presidential candidate of the Nigeria Democratic Congress (NDC), Mr Peter Obi, has called for a comprehensive investigation into the runway excursion of an Enugu Air aircraft during landing at the Benin Airport on Thursday.
He also expressed relief, describing the safe evacuation of all passengers and crew as a cause for gratitude in a statement on X on Friday.
Mr Obi said he received the news of the incident “with profound relief,” noting that all 68 passengers and crew members on board disembarked safely without injuries or fatalities.
Business Post reports that Flight 4264 (registration 5N-ENR) from Lagos (LOS) to Benin (BNI) got involved in the runway excursion after overrunning the end of Runway 05 during landing.
Also, the Nigerian Safety Investigation Bureau (NSIB) has commenced an investigation into the incident involving the Embraer E170 aircraft at the Benin Airport.
“I join all Nigerians in thanking God Almighty that all 68 passengers and crew members on board disembarked safely, with no injuries or fatalities recorded. The preservation of human life must always remain our highest priority,” he said.
Mr Obi commended the pilot, cabin crew, and airport emergency response teams for their swift and professional response, saying their actions helped prevent a more serious outcome.
“I commend the pilot, the flight crew, and the airport emergency response teams at Benin Airport for their swift, professional, and coordinated handling of the situation, which helped avert what could have been a far more serious incident. Their composure and decisiveness under pressure deserve the highest commendation,” he stated.
While expressing gratitude for the safe outcome, Mr Obi described the incident as a reminder of the need to strengthen aviation safety measures across the country.
“The incident serves as a sobering reminder of the importance of unwavering adherence to aviation safety protocols, rigorous aircraft maintenance, and sustained investment in airport infrastructure and operational standards across the country,” he said.
The former Anambra State governor also called on the Nigerian Civil Aviation Authority and the Nigerian Safety Investigation Bureau to carry out a thorough, transparent, and timely investigation into the circumstances surrounding the runway excursion.
“I urge the relevant regulatory and investigative authorities, particularly the NCAA and the NSIBo, to conduct a thorough, transparent, and timely investigation into the circumstances surrounding this incident and to make their findings and recommendations public,” Mr Obi said.
He added that every aviation incident should be treated as an opportunity to improve safety standards and reinforce public confidence in Nigeria’s aviation sector.
“Every aviation occurrence presents an opportunity to strengthen our safety systems. Learning from this incident will further reinforce public confidence in Nigeria’s aviation sector and help ensure that our skies remain among the safest possible,” he added.
By Adedapo Adesanya
The Nigerian Civil Aviation Authority (NCAA) has threatened to impose tougher sanctions on Royal Air Maroc, including pushing for the suspension of its operations in Nigeria, over what it described as persistent violations of consumer protection regulations and poor treatment of Nigerian passengers.
The Director of Public Affairs and Consumer Protection at the NCAA, Mr Michael Achimugu, said the Moroccan carrier had become a repeat offender in cases involving baggage infractions, poor passenger handling, and delayed resolution of customer complaints despite previous regulatory sanctions.
According to him, Royal Air Maroc was sanctioned in 2025 for consumer protection-related infractions, but the airline has failed to significantly improve its service delivery.
He alleged that passengers continue to experience incidents of short-landed baggage without timely notification, inconsistent payment of compensation and prolonged complaint resolution, with many cases only addressed after intervention by the NCAA.
Mr Achimugu also accused the airline of showing disregard for the authority’s regulatory oversight, alleging that invitations from the NCAA were often treated with “a degree of insolence that is unacceptable.”
He alleged that Royal Air Maroc’s Country Manager, Mr Ahmed Boussouf, routinely declined invitations to attend meetings at the NCAA headquarters in Abuja, opting instead to remain in Lagos while delegating representatives without the authority to resolve pending cases or make binding commitments on behalf of the airline.
The NCAA spokesman further alleged that during a recent engagement over the recurring issues, Mr Boussouf responded to the regulator’s concerns by saying, “Whatever you want to do, do.”
While describing regulatory work as “thankless and exhausting,” Mr Achimugu said the authority would not tolerate what he termed “brazen disregard and non-compliance” from any airline operating in Nigeria.
He stressed that international airlines operating in the country are expected to comply with Bilateral Air Service Agreements (BASA) and uphold global standards in passenger service and consumer protection.
“As regulators, we support airlines to remain in business, but that support cannot come at the expense of Nigerian passengers,” he said, adding that those affected by unresolved complaints are paying customers who deserve fair treatment.
Mr Achimugu disclosed that his department would recommend stricter enforcement measures against Royal Air Maroc, including advocating a suspension of the airline’s operations in Nigeria until it demonstrates a firm commitment to improving passenger service.
He also argued that Nigerian travellers often continue to patronise airlines despite poor service, unlike consumers in some other jurisdictions who resort to boycotts, a situation he said has reduced pressure on some operators to improve standards.
“There is nowhere Royal Air Maroc flies that passengers do not have alternatives such as Air Algérie, EgyptAir and Ethiopian Airlines,” he said.
He maintained that the NCAA would enforce the country’s aviation consumer protection regulations “without fear,” insisting that no airline would be allowed to take Nigerian passengers or the regulator for granted.
By Modupe Gbadeyanka
The hospitality subsidiary of Transnational Corporation (Transcorp Group), Transcorp Hotels Plc, has posted its unaudited results for the second quarter ended June 30, 2026.
In the results submitted to the Nigerian Exchange (NGX) Limited, it was shown that the performance for the period was driven by disciplined cost management and continued operational excellence despite moderated revenue, with post-tax profit rising by 21 per cent to N10.5 billion from N8.7 billion in the same period of 2025.
However, due to softer market demand in its International Business segment, revenue for the period moderated to N44.4 billion from N46.9 billion in Q2 2025, though Operating Expense Margin improved by 3 percentage points, demonstrating continued operational efficiency and prudent cost management.
These results validate Transcorp Hotels’ resilience and focus on operational excellence, cost efficiency, and customer-centric innovation, reinforcing its leadership in Nigeria’s hospitality sector.
Commenting on the results, the chief executive of Transcorp Hotels, Ms Uzoamaka Oshogwe, said, “Our Q2 2026 performance reflects the resilience of our business and the disciplined execution of our strategy in a dynamic operating environment.
“While market conditions remained challenging, we continued to deliver strong profitability by staying focused on operational excellence, commercial agility, and creating exceptional experiences for our guests.
“We remain committed to strengthening our market leadership, investing strategically in our business, and delivering sustainable long-term value for our shareholders.”
Also, the Chief Finance Officer of Transcorp Hotels, Oluwatobiloba Ojediran, said, “Our disciplined approach to cost management, revenue optimisation, and operational execution delivered a 12 per cent increase in Profit Before Tax to N13.7 billion, alongside a 21 per cent growth in Profit After Tax to N10.5 billion, compared with N8.7 billion in the corresponding period last year.
“These strong financial results reinforce the resilience of our business, provide a solid platform for sustainable growth, and position us to continue investing strategically while delivering long-term value for our shareholders.”
Beyond the numbers, Transcorp Hotels continues to strengthen its portfolio of iconic assets. Transcorp Hilton Abuja remains one of the company’s flagship properties, while Transcorp Centre, one of West Africa’s largest purpose-built event and conference venues, is fast becoming a landmark for business, tourism, and world-class events in Nigeria.
Since its launch, the venue has hosted several landmark gatherings, further cementing its position as a premier venue for high-profile corporate and social gatherings.
