Cloud Computing: how does it effect the travel industry?

Cloud Computing and Software as a Service – SaaS – are the two buzz words of the moment. But do they have any implications for the travel industry?

In our opinion they do. For a number of years there have been a few software companies selling their software as Application Service Providers, which basically meams they rent users the software and host the application on Servers at a single central location. Great so far!

Cloud Computing and with it SaaS, offers the travel trade an opportunity to greatly reduce costs and improve services. The first round will give every kind of travel company the ability to introduce Cloud Computing which will introduce economies of scale and reduce I.T. staffing needs by a service where customers rent their I.T. desktop services, data is securely stored and distributed across the ‘Cloud’. The savings should be in the order of 50% of current costs. Phase two will hopefully see application suppliers for specific sectors such as travel agent and tour operator reservation systems also offer a Cloud rental model, which will also significantly reduce users costs significantly.

Using the Cloud and SaaS, also greatly reduces ongoing costs by keeping systems constantly updated and removes the need to consistantly upgrade expensive software licenses.

So, regardless of the niche you are in, from Hotels to Car Rental or from Hotels to Theme Parks; your company can lower costs and improve business efficiency – WIN 🙂