Agency led growth - Mastering the “Digi” shift

Digital transformation is no longer a differentiator for travel agencies but a baseline expectation, with the focus now shifting to how effectively it is leveraged to drive growth and efficiency.

This was discussed during a panel discussion titled ‘Agency led growth- Mastering the “Digi” shift’ during SATTE Conference 2026, where the discussion was steered by Sandeep Dwivedi, Managing Director, Amadeus South Asia‏.

“Digital was a differentiator a long time back. Today it’s becoming hygiene,” said Dwivedi. “If everyone is becoming digital, what is going to be new? What will provide agencies with a competitive edge?” That question formed the crux of discussions around digital disruption, where stakeholders highlighted that while technology has democratised access, the real differentiation lies in how it is deployed.

Digital Disruption – The agency perspective

Panellists noted that while technology has significantly reduced turnaround times, improved efficiency and enabled incremental sales, the real competitive edge lies in its application.
Jaal Shah, Group Managing Director & Founder of RezLive.com, emphasised the foundational impact of technology on agency operations. “Technology has reduced turnaround time, improved efficiency and enabled more sales through digital interactions. Digital is here to stay, it will continue to evolve, and agencies must adopt it.”

However, adoption alone is not enough. According to Chirag Agrawal, Co-Founder, TravClan, the same set of tools can yield vastly different outcomes. “Within travel, people are building and using tools differently, some for marketing, others for CRM, productivity or customer experience. There are multiple use cases, and no single organisation can adopt everything. The key is to pick what fits best.”

The new competitive edge

For many, the next frontier lies in automation and artificial intelligence. Manan Bajoria, Group SVP – Growth, Product Marketing & Analytics, ixigo, pointed out that competitive advantage will increasingly depend on how intelligently agencies use these tools.
“At the end of the day, it’s about the kind of questions you are able to ask, the workflows you can automate, and where digital or AI can help, whether in customer acquisition, retention or repeat bookings. That’s where the edge will come from.”

Automation, in particular, is already reshaping internal operations. Manoj Samuel, CEO & Director, Riya Travel & Tours, noted, “Most of the workflows that were working in silos, till five years back, are now connecting together, like CRM, ticketing and other tools. Automation is the way forward, while AI is still some distance away for many agencies.”

He added that in India, the largest problem is the language, wherein one is required to have a regional team as well as a central team. The industry is transitioning from a largely offline model to a hybrid one. “We were completely offline. Today, it’s about 70% online and 30% offline. The industry has already adapted, we are catching up.”

From distribution to ecosystem enablement

Digital transformation is also fundamentally altering business models. Lim Ben-Jie, Chief People Officer, AirAsia MOVE & Head of Ecosystem & Partnerships, Capital A, highlighted how AirAsia’s shift from an airline platform to an OTA has expanded its role in the travel ecosystem.

“We transformed an airline website into an OTA, this is a unique business transformation. Earlier, we were only selling AirAsia tickets, now we've become an ecosystem enabler, that's the power of digital and what it’s done for all of us. It is important that we listen and we change ourselves. Today, we offer flights, hotels, attractions and more. Digital has enabled accessibility, affordability, transparency and inclusivity across the ecosystem.”

He added that customer behaviour has been central to this shift. “We’ve collected over 23 years of customer data and understand our users deeply. Around 80% of our traffic is organic. The focus now is on offering the most relevant products in the easiest way possible.”

Lim also pointed out that insights from ancillary sales have helped AirAsia refine its offerings. “Ancillary sales contribute almost upto 60% of our profit margins, and for any low-cost airlines,” he shared.

“We know our customer’s journey, if someone is travelling to Delhi for three days, we know they need hotels, transfers and more. This understanding allows us to meet their needs better.”

He added that Southeast Asia presents significant opportunities for Indian travellers. Addressing a common question, he said, “Many ask why we sell our competitors, such as IndiGo and others, alongside AirAsia tickets. It is because we believe the overall customer benefits, today’s travellers want choice, transparency and an aggregator that stays true to its promise.”
Transparency; evolving supplier–agency dynamics

Technology is also reshaping relationships between suppliers and agencies. According to Shah, increased access to data is driving transparency across the value chain.

“Suppliers now have a responsibility to provide more clarity and information. With technology, ideas can be executed faster than ever. This is making relationships more transparent, enabling faster turnaround times and clearer communication, right down to the last-mile customer.”

Empowering Small & Mid-Sized agencies

One of the most significant impacts of digital disruption has been on smaller agencies, enabling them to compete more effectively.

We have a platform that enables dynamic package builder and SaaS-based solutions, reducing dependency on traditional processes. “What earlier took hours or even days, waiting for a DMC response, can now be done in seconds,” Shah explained. “A simple WhatsApp query can generate a full holiday package within 20-30 seconds using data.”

He added that they also allow agencies to build their own digital storefronts quickly. “We are like Shopify for travel agents. They can create a website with flights, hotels and packages within minutes, enabling them to scale and reach a larger customer base. It doesn't really happen as much today because a fragment of customer still want some offline assistance, but we have created that ecosystem.”

Data – the new currency

As digital adoption deepens; data is emerging as a critical differentiator. Bajoria stressed that agencies already possess a wealth of untapped insights.

“It’s not about the breadth of data, but the depth. CRM systems are a goldmine. Agencies need to identify their top customer cohorts, understand behaviour, and deliver personalised offerings.”

He added that AI is simplifying data analysis. “Today, you just need to ask the right questions, AI will do the slicing and dicing. The focus should be on metrics like repeat bookings, customer lifetime value and retention.”

Balancing growth with cost structures

While technology has become more accessible, experts cautioned against rushed adoption. Shah advocated a phased approach. “Tech is affordable, but adoption should be gradual and need-based. Prioritise what you need, whether it’s for distribution or operations, and build from there.”

Samuel echoed this, emphasising the importance of eliminating manual processes. “We must reduce transactional work and automate it. The goal is to shift employees from transaction roles to consultative roles. We should eradicate the transaction job and automate that.”

He also highlighted a common industry concern: “There is always fear of job loss with automation, but the reality is that roles are evolving, not disappearing.”

AI reshaping discovery & engagement

Bajoria noted a shift towards AI-driven discovery platforms. “Travellers are now using AI tools to plan itineraries. The challenge for agencies and OTAs is ensuring visibility in this space.”

On the other side, AI enables faster, scalable operations, with the ultimate goal being to run multiple experiments, reduce acquisition costs, and drive scale effectively.

On the retention side, Bajoria said, “At ixigo, 90% of customer queries are handled by our AI chatbot, Tara, while the remaining complex cases go to human agents.”

He added that proactive communication through voice AI is improving engagement. “We handled nearly a million calls last month through voice AI, informing customers about schedule changes, refunds and more. These small interventions build trust and improve retention.”

Bridging the gap for traditional agencies

Despite rapid digitalisation, challenges remain, particularly in markets like India. “They buy a Mercedes, but don’t get a driver to operate it,” said Samuel, highlighting the gap between adoption and execution.

“Implementation is key. You can buy any technology, but if it is not implemented correctly, it becomes a useless exercise. In many cases, organisations invest in tech but fail to follow through with proper implementation and training.”

He further emphasised that training is critical to the success of any digital transformation. “If the team is not trained, they will not use it or sustain it. Continuous training and proper implementation are essential, otherwise the entire exercise loses its value.”

The Road Ahead

As digital disruption continues to reshape the travel ecosystem, the consensus is clear: technology alone is not the differentiator, its application is.

From automation and AI to data-driven personalisation and ecosystem expansion, agencies that adapt strategically will be best positioned to thrive in an increasingly competitive and transparent landscape.