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
Travel/Tourism
FAAN Launches Energy Efficient Shuttle to Support Abuja Airport
By Adedapo Adesanya
The Federal Airport Authority of Nigeria (FAAN) has unveiled 30 airport electric shuttle which will be used to complement airside and landside logistics.
The shuttle, which comprises 10 vehicles and 20 saloon cars, will cost N10,000 per passenger from the Nnamdi Azikiwe International Airport, Abuja to the City Centre.
Speaking at the event, the governing board chairman of FAAN, Mr Abdullahi Ganduje, said: “Electric vehicles offer clear operational and environmental benefits. They are cleaner, quieter and more energy-efficient, significantly reducing carbon emissions and helping FAAN minimise its ecological footprint. Their use will contribute to healthier airport environments and a more comfortable work and travel experience.
“From a logistics standpoint, electric vehicles also enhance monitoring, coordination and compliance. Their predictable performance and lower maintenance demands improve operational planning, accountability and service reliability. Ultimately, this translates into more efficient, transparent and passenger-friendly services.
“This initiative directly supports global sustainability targets, including International Civil Aviation Organisation’s goal of achieving net-zero carbon emissions by 2050. By embracing electric mobility, FAAN is positioning Nigerian airports to remain competitive, responsible and future-ready.”
Mr Ganduje pledged the commitment of the board to ensure that the initiative is utilised, maintained, and expanded to other airports in the country.
On her part, the managing director of FAAN, Mrs Olubunmi Kuku noted that the agency has secured approval to deploy 100 electric vehicles to operate as airport shuttles at Lagos and Abuja airports.
“We have secured approval to deploy 100 Electric Vehicles (EVs) to operate as airport shuttles at both Murtala Mohammed International Airport, Lagos, and Nnamdi Azikiwe International Airport, Abuja. It is a monumental step towards greening our operations and reducing our carbon footprint.”
“We proudly begin this journey with the first phase: the launch of these 10 state-of-the-art electric shuttle buses. They represent more than just transport; they symbolise cleaner air, quieter terminals, and a to pioneering sustainable infrastructure in Nigerian aviation”.
She expressed optimism that the initiative would be replicated across all airports in the country.
The head of Fleet Operations of Possible EVS, Mrs Abimbola Gyer while stating that the transport fare would be subsidised for passengers, added that operations would commence from 7am to 7pm daily.
“We partner with NEV Electric, the manufacturer of the electric buses. We would be moving passengers from the airport to the city centre at the rate of N10,000 and as demand continues, we will expand our hub. The operations will start from 7 a.m. to 7 p.m daily,” she noted.
Travel/Tourism
Quickteller Travel Secures IATA Certification
By Modupe Gbadeyanka
The travel and tourism service powered by Interswitch, Quickteller Travel, has been issued a certification from the International Air Transport Association (IATA).
With IATA certification, Quickteller Travel is now fully equipped to connect African travellers to global destinations, support airlines and partners with reliable distribution and settlement, and set a new standard for trusted, digitally enabled travel across the continent.
The IATA accreditation reinforces Quickteller Travel’s operational credibility, compliance standards, and ability to deliver secure, efficient, and globally recognised travel services.
It also strengthens the platform’s positioning as a reliable partner for airline bookings, corporate travel management, and end-to-end travel solutions across Africa and beyond.
The certification is a milestone that places the brand among a global network of trusted and accredited travel service providers.
This achievement comes at a time when Africa’s travel and tourism sector is experiencing renewed growth, driven by increased business travel, regional connectivity, and digital adoption.
With IATA certification, Quickteller Travel is poised to offer individuals, SMEs, corporate organisations, airlines, and other travel stakeholders a seamless digital experience, supported by Interswitch’s trusted payment infrastructure.
Integrated into the broader Quickteller and Interswitch ecosystem, Quickteller Travel combines global accreditation with local insight, offering African travellers and businesses a secure, seamless, and digitally empowered experience.
The Vice President for Transport Ecosystem at Interswitch, Ms Nnenna Ajanwachuku, said, “The IATA certification is a strong validation of Quickteller Travel’s operational standards, governance, and commitment to excellence. It enhances trust for travellers, corporate partners, and global airline stakeholders who rely on accredited platforms for secure and transparent travel transactions.
“For Interswitch, this milestone reinforces our mission to build technology-led solutions that unlock access, simplify commerce, and connect Africa to the global economy.”
Ms Ajanwachuku added that the approval would enable Quickteller Travel to deepen partnerships with airlines and travel service providers while offering customers greater confidence, choice, and value.
“Quickteller Travel is not just a booking platform; it is part of an ecosystem designed to make travel more accessible, reliable, and digitally enabled for Africans. Powered by Interswitch’s heritage of trust and innovation, we are building a platform that meets global standards while responding to local travel needs,” she said.
Travel/Tourism
Emirates, Air Peace Enhance Seamless Global Connectivity
By Modupe Gbadeyanka
Two key players in the Nigerian aviation industry, Emirates and Air Peace, have activated a bilateral interline agreement aimed to expand air connectivity between Africa, the United Arab Emirates (UAE), and London.
The two airline operators are building on their existing partnership to offer their passengers frictionless, single-ticket travel and with through-checked baggage, on select routes, resulting in greater travel comfort and convenience for customers.
Beyond the 13 cities in Nigeria already available for Emirates passengers on Air Peace’s network, the enhanced interline agreement now enables travellers to connect with Banjul in Gambia and Dakar in Senegal, both via Abidjan; and with Freetown in Sierra Leone and Monrovia in Liberia, both via Accra. The additional gateways allow more passengers in Africa to access Emirates world-class product and services, and vast global network.
The agreement allows Air Peace to connect its extensive West and Central African route system into Emirates’ hub in Dubai, and on key destinations including London Heathrow, London Gatwick and London Stansted, Abidjan, Accra and, of course, Lagos.
With huge demand for travel between Nigeria and the United Kingdom, providing Air Peace passengers with increased choice, flexibility, and global reach.
Emirates operates a Boeing 777-300ER on its Dubai-Lagos route, providing travellers with one of the best experiences in the sky.
Passengers can dine on regionally inspired multi-course menus developed by a team of award-winning chefs complemented by a wide selection of premium beverages, while tuning in to over 6,500 channels of global entertainment – including Nollywood classics – on ice, Emirates’ award-winning inflight entertainment system.
As one of only two airlines operating a First Class cabin into Nigeria, Emirates offers an unrivalled travel experience defined by comfort, privacy and luxurious touches.
With a fleet of over 50 aircraft including Boeing 777s, Boeing 737s, Embraers, Air Peace operates an expanding network of domestic, regional, and international services, connecting major cities across Africa and beyond.
The airline remains committed to strengthening intra-African connectivity, supporting trade and tourism, and contributing meaningfully to economic development across the continent.
“Enhancing our interline partnership with Air Peace allows us to expand our footprint across more of Africa, creating new opportunities for people to fly better with Emirates, while helping international tourists explore more of the region, via Lagos.
“We remain committed to working with strategic partners such as Air Peace to further strengthen Nigeria’s aviation, tourism and trade sectors,” the Chief Commercial Officer for Emirates, Mr Adnan Kazim, said.
His counterpart at Air Peace, Nowel Ngala, while commenting, said, “This interline agreement with Emirates represents a major step in Air Peace’s strategic vision to connect Africa more efficiently to global markets.
“By combining our strong regional presence with Emirates’ extensive international network, we are delivering seamless connectivity, improved travel experience, and greater access to key global destinations for African travellers. This partnership further reinforces Air Peace’s role as a critical bridge between Africa and the global aviation ecosystem.”
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