The business travel and hospitality industry is evolving at an unprecedented rate and to stay ahead of the curve, travel businesses today can no longer simply compete on product, price, and scale. Instead, businesses need to provide their customers, suppliers and corporate travellers a customer-centric experience, something that requires investment to increase digital maturity.

I describe digital maturity as the degree to which companies implement the digital elements needed to automate the customer experience and operating processes to drive improved performance. In a hotel, for example, raising performance could mean increasing demand for rooms, and converting it to more sales. In the previous decade this performance indicator was ring-fenced to marketing and distribution, but has shifted to focus on products, services and customer experience.

In the corporate travel sector, digital maturity is beginning to impact Travel Management Companies. Increasingly, we are seeing TMCs investing in technology to automate areas such as B2B buying. However, they will need to move fast to increase their digital maturity if they are to remain relevant in a digitally-driven world. To be profitable, TMCs need travellers to comply with managed travel programmes ¨C but compliance is fragmented, which can explain why most companies¡¯ compliance levels scores below 50%, and programmes are under continual pressure from empowered travellers who demand choice and are distracted by supplier loyalty programmes and direct offers.

TMCs could also see their business preyed on by digital natives and tech start-ups: A fast-moving digital-led disruptor like TripActions can quickly enter the market and slice-off share from the established players. However, incumbent organisations that invest in digital maturity will see the following benefits:

Improved productivity. Through digital processing, streamlining efforts and optimising internal processes organisations become flexible, efficient, innovative and highly competitive.

Enhanced brand reputation and management. Brand reputation is better managed in a company that has a higher digital quotient as their systems work together to make information readily available and easier to deploy. This helps support marketing brand consistency by providing the capability to control content and be proactive across channels.

Winning business from digitally empowered and well-informed clients. Digital maturity is driven by the customer, who is ¡°always-connected¡± and expectant of a customer centric focus. Being digitally mature enables businesses to engage with clients and offer them relevant choices; which mean they will be inclined to buy more, and be more likely to return.

Establishing client loyalty. With more than half the world¡¯s population connected to the internet, technology has created greater transparency of business practices. Customer experiences, positive or negative, may now be amplified to reach millions of potential customers immediately. The stakes are high to create lasting relationships and the initial contact tier of the service model should take a leading role.

Competitive edge against digitally stagnant organisations. Businesses don¡¯t have to be technology natives to achieve digital maturity. By increasing digital quotient, organisations are able to gain relevancy for clients as well as market share.

Higher revenues. The higher the digital maturity a company can achieve, the higher revenues it will see.??

Improvements to the employee experience feeds back to customers. Staff interaction with customers can be improved by providing better customer insight enabling staff to better empathise with guests, and route guest enquiries directly to the staff member empowered to address the guests¡¯ needs.?

Achieving digital maturity doesn¡¯t happen overnight. The above outcomes require discipline, consistency and the right timing. One thing is for sure: Those grasping and mastering digital maturity can anticipate a pronounced shift in clients looking for them to buy in digital channels.