Article

6min read

Destination: Different – How Gen Z is Rewriting the Travel Playbook

Travel and hospitality is a huge industry, estimated at 955.90 billion USD in 2025. It’s also one that’s changing rapidly, with online travel bookings projected to account for 75% of all revenue by 2029. That’s why we’ve put together industry insights in our e-book, Decoding Online Shopping: Travel and Hospitality Consumer Trends for 2025.

What’s clear from our research is that Gen Z is quickly reshaping the online travel journey. They’re doing things differently to previous generations, from where they find inspiration, to why they abandon a cart, and how they view personalization. And that has big implications for travel brands.

Google flights/hotels and social media are now their go-to

A majority of Gen Z say they now start their search for travel options on Google Flights/Hotels (52%) or social media (50%). This shows a major shift from all other generations, who prefer to start their online search on a search engine or an aggregated travel site like Booking.com.

These results indicate that social media will, if anything, be an even more crucial battleground for travel brands going forward. To grab Gen Z’s attention, you’ll need to budget for targeted social media ads. Influencer content also plays an important role here, not only in making Gen Z aware of potential travel options but in providing social proof of existing ones.

Gen Z travel options

Location still leads, but reviews and visuals are more important

One thing that hasn’t changed for Gen Z when booking accommodation and transportation options online is the importance of location. Proximity to key destinations is still the most influential factor in convincing Gen Z to book, as it is with other generations.

What does change for Gen Z is their even greater reliance on authentic reviews. They want their travel choices to be validated by their peers, and well-positioned authentic reviews provide them with the reassurance they need to feel confident in their decision. Use A/B testing to determine the ideal placement of customer reviews on the relevant pages of your website.

Growing up with digital technology and social media, Gen Z also thrives on visual content. Having visually engaging, up-to-date images and videos on your website will appeal to them more than any other generation. This also holds true for hotel listings on Google Hotels and aggregated travel sites.

Gen Z influential factors

Simplify checkout and increase payment options

The number one reason that Gen Z leaves a travel website without making a purchase is that their chosen payment method is not accepted. This again is in sharp contrast to previous generations, where the top reason for doing so is that they simply aren’t ready to buy. However, that does suggest that if Gen Z gets to your website, they’ll be more ready to buy. Adding additional payment methods, like Apple Pay or Google Pay, will reduce the chances of Gen Z leaving before they’ve booked.

Gen Z also say they leave a website if there are too many steps involved in checkout. Adjusting the checkout process to make it more streamlined will reduce unnecessary friction and increase the likelihood of Gen Z making a purchase.

Gen Z and the checkout process

Adapt with personalization and AI

Above all, Gen Z wants a seamless digital experience that’s tailored to their needs. And 65% of Gen Z embrace data-driven personalization as a helpful tool. Once again, this is a higher number than generations before them. Specifically, Gen Z wants a website to remember their preferences and offer them real-time recommendations based on those preferences.

Personalization gives you a perfect opportunity to build stronger relationships with Gen Z customers. You can do this by leveraging first-party data to offer tailored recommendations, simplify the booking process, and provide faster checkout.

Gen Z are also more open than any previous generation to using AI-powered tools, like chatbots or virtual assistants. Nearly half of Gen Z (49%) say they’ve used an AI tool when booking travel options and found it helpful. And just 7% of Gen Z say they’re not interested in AI at all.

Focus on making AI interactions feel natural, efficient and genuinely helpful. Set clear expectations about what AI can and can’t do, and ensure human support is easily accessible if needed.

Use of AI and chatbots

Examples of personalization done right

While there’s no one-size-fits-all when it comes to personalization, some companies seem to do personalization consistently well:

  • Netflix uses personalization to determine customers’ interests and promote related content and suggestions in real time. This is a perfect example of how personalization can remove friction by making it easier for customers to find what they’re looking for.
  • Stitch Fix collects information customers supply about their size, shape, and personal style. It then selects outfits based on each one’s taste and personality. This shows how personalization and AI can work together to offer customers a great website experience.
  • LinkedIn is a great example of a company that knows how to balance privacy concerns with utility. By providing personalized suggestions and links based on users’ current connections, LinkedIn makes it easier to network, look for work, or catch up with former co-workers.

Conclusion

The travel and hospitality industry is rapidly evolving, and Gen Z are quickly reshaping what the online travel journey looks like. Their expectations of what makes a good digital experience are also greater than ever before. To be successful, this needs to be seamless and tailored to their needs.

Key to this is greater personalization powered by data and experimentation. By optimizing Gen Z’s experience of booking travel options, you can build trust and loyalty and keep Gen Z travelers coming back for more.

Takeaways for travel and hospitality brands

  • Work on your social media presence to influence potential customers and increase brand awareness.
  • Showcase nearby attractions and must-see sites in listings to capture attention.
  • Feature high-quality reviews and images on key pages to build trust and credibility. 
  • Simplify checkout and offer more payment options to reduce drop off.
  • Personalize with relevant real-time recommendations for a more tailored digital experience. 
  • Use AI to provide instant answers and assist travelers in real time.

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Article

4min read

RevenueIQ: The New Standard for Proving ROI in Digital Experimentation

Let’s be honest: proving ROI in digital experimentation has often felt like trying to solve a Rubik’s Cube, blindfolded.

For years, teams have been stuck in the same old debate: “This test boosted conversion rate, but AOV dropped!” or “AOV is up, but conversions are down!” Which is better? Who’s right? And most importantly, how do you convince your CFO that your work is actually making money?

The Problem: Conflicting Metrics and Stalled Decisions

Picture a scenario familiar to many: one campaign variation boosts conversion rate but lowers AOV, while another does the opposite. Which is the real winner? Without a unifying metric, teams get stuck in endless debates, unable to confidently declare a result or justify next steps. As a result, a significant share of tests end up in limbo, and existing ROI dashboards suffer from low trust and adoption.

In fact, last year, 8% of A/B test campaigns with a transaction goal ended up in the dreaded “no decision” zone.

The Solution: RevenueIQ

Now, imagine a world where you don’t have to choose between conversion rate and AOV. Where you don’t have to explain why one number went up while the other went down. Where you can walk into any meeting and say, “Here’s a monthly revenue projection of exactly how much revenue this campaign is generating.”

That’s the world RevenueIQ is building.

RevenueIQ is AB Tasty’s new, patented metric—a result of years of R&D and statistical expertise. It takes all the messy, contradictory data and boils it down to one simple, business-focused number: monthly revenue projection. No more “unclear winners.” No more “conversion vs. AOV” dilemmas; just a clear, actionable view of financial impact.

Key Benefits of RevenueIQ:

  • Always a Clear Revenue View: RevenueIQ provides a direct view of revenue per visitor and per month, making it easy to see the financial impact of every campaign.
  • Eliminates “Unclear Winners”: Even in complex scenarios, RevenueIQ provides a definitive view of which variation delivers the most revenue. This means no more inconclusive campaigns and a significant reduction in “undecidable” tests.
  • Delivers faster results: Combining the two key metrics into a single revenue metric gives actionable insights more quickly than analyzing them separately
  • ROI Projections Before Going Live: Teams can now project the revenue impact of a campaign before full rollout, complete with confidence intervals for best- and worst-case scenarios. This transparency helps avoid surprises and supports more strategic decision-making.
  • Strong Differentiation: RevenueIQ is powered by a unique, patented Bayesian engine, ensuring robust, trustworthy results. It’s not just another metric—it’s the business truth.

Revenue IQ is able to give a confidence interval around the revenue prediction, allowing for better business decisions. With a clear best-case and worst-case scenario, business decisions are easier than just having one number without knowing its accuracy.

The best thing? No competitor currently offers an equivalent.

How RevenueIQ Works

RevenueIQ is deeply integrated into the AB Tasty platform. When a campaign runs, users see not just conversion rates or AOV, but a clear revenue uplift per visitor and per month. The system visually identifies the winning variation, quantifies the potential monthly revenue gain, and provides confidence intervals to show the range of possible outcomes.

For example, if a variation is projected to generate an additional €4,000 per month, RevenueIQ will also display the probability of this outcome and the range (e.g., €2,700–€6,000). This approach is both rigorous and transparent, helping teams make decisions with confidence.

The Impact: Confidence, Adoption, and Differentiation

With RevenueIQ, AB Tasty is setting a new standard for ROI proof in digital experimentation. The result is a simple, credible, and actionable narrative for QBRs and renewal discussions—one that restores confidence, drives adoption, and differentiates AB Tasty in a crowded market.

Revenue IQ lowers the risk of making business mistakes by focusing on revenue.

For teams tired of inconclusive debates and complex metrics, RevenueIQ offers a new way forward: clear, credible, and actionable proof of business impact.

FAQs about RevenueIQ

What is RevenueIQ?

RevenueIQ is a proprietary, patented metric developed by AB Tasty that provides a clear, unified view of how much revenue your digital experiments generate—expressed as revenue per visitor, per month.

How trustworthy are RevenueIQ’s numbers?

RevenueIQ is powered by a patented Bayesian engine, ensuring robust, transparent, and reliable calculations. All projections include confidence intervals, so you always see the full picture.

How does RevenueIQ handle complex or ambiguous test results?

RevenueIQ always provides a clear winner based on revenue impact, even in cases where traditional metrics are inconclusive (due to their lack of integration). This means fewer “stuck” campaigns and more decisive action.

How is RevenueIQ different from what competitors offer?

No competitor currently offers a metric like RevenueIQ. While others may provide “all-purpose” statistics for each individual metric, only RevenueIQ gives you a patented, unified view of revenue per visitor, per month—making it a true differentiator.