The travel and tourism industry is worth nearly $1.6 trillion globally and accounts for one-tenth of the world’s GDP. Despite this vast market, the industry is dominated by monopolies.
This is quite evident in the space for travel booking services. Major players like Booking.com, Expedia, and Airbnb have become the go-to places for finding hotels and rooms but they all charge fees for the vendors while payment processing charges a fee on the customer.
According to the Vietnam-based travel tech startup Concierge, up to 50 percent of transaction value goes to middlemen like booking services and not the actual service provider. The blockchain, decentralised ledgers, and smart contracts have the potential to radically change how the tourism and travel industry works for both customers and vendors.
Concierge is now building a decentralised travel booking marketplace on the NEO blockchain for an industry that it believes is stuck using these outdated processes. The startup goes on to claim that its transaction costs for customers are around 30% lower than the typical fees seen in the industry today while vendors will pay no commission at all.
Breaking down many of these hurdles with the blockchain will streamline the entire travel booking process. The Concierge marketplace will open “direct communication between traveller and provider” by cutting out the intermediaries, diverting power away from the monopolies and back to the service providers. Read more from thenextweb.com…
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