Try before you buy: How augmented reality can drive travel bookings

Before the booking, before the traveler even begins to shop for travel products, the leisure travel process starts as an idea in the mind of a prospective traveler. Igniting that spark of travel inspiration – and turning it into an actual booking – can be a challenge for travel marketers. But new research suggests that augmented reality can play a key role in bridging the gap between travel idea and action, making AR an essential part of the media mix.   

Augmented reality has the unique ability to bring travel brands and destinations to life, giving travelers a chance to preview the travel experience before they buy. A 2023 study from Kantar Research commissioned by Snap Inc. shows how AR is driving travel engagement and bookings, particularly among Snap’s highly engaged networks of close friends and family.   

In contrast to video, which is a relatively passive format, augmented reality provides an interactive way to enhance any stage of travel, from inspiration to in-destination to post-trip sharing. Overall, 84% of people consider AR filters/lenses to be at least somewhat helpful at any stage of their travel journey, according to Kantar Research. And 91% of people claim that they are at least somewhat likely to find inspiration for a personal trip after engaging with a brand within any travel category via AR.  

From try-on lenses to travel, Snap leads in AR

With AR central to its user experience, Snapchat has emerged as the leading brand for travel AR. Over years of innovation, the company has built significant expertise – along with an audience that is highly engaged with AR content. In an online and social media landscape flooded with unwanted advertising, crafting branded content that people actually want to engage with is no easy feat. Not only is Snapchat attuned to the type of content Snapchatters are likely to engage with, but the company has succeeded in integrating brand messages in a way that appeals to its audience.    

For example, Snapchat has created a range of AR Lenses for shopping that allow community members to “try before they buy,” including the ability to virtually try on clothing before making a purchase. In the travel space, Snapchat has helped brands create AR experiences that allow prospective travelers to place themselves in destinations ranging from theme parks to snowy mountains to tropical beaches, with features that encourage interaction and sharing.    

How is Snapchat’s platform different from other social networks? Snapchat opens up to a camera, rather than a social media feed, encouraging Snapchatters to take photo and video Snaps and share with their closest friends and family. Five billion Snaps are created each day, and 250 million Snapchatters engage with AR on a daily basis. And as the company’s platform has matured, so has its audience: over 50% of Snapchatters in the United States are now over the age of 25, and Snapchat reaches 75% of Americans ages 13-34 each month.    

Not only does Snapchat have broad reach, but its audience is packed with travelers, with 8 in 10 Snapchatters planning to travel in the next six months, according to Kantar Research. Snapchatters are also more likely than non-Snapchatters to research their travel plans and serve as travel gurus for friends/family.  

Given Snapchat’s tech and travel-savvy audience, it is not surprising that Snapchatters have higher interest and engagement with travel AR. Snapchatters are more likely than non-Snapchatters to use AR across their entire travel journey – and they find AR Lenses on Snapchat more helpful. According to Kantar Research, Snapchatters are more likely to use AR for inspiration (2.2 times more likely), planning (2.3x) and booking (2.6x).  

Snap AR boosts travel intent and bookings  

For travel companies, the decision to invest in innovative marketing approaches like AR often comes down to return on investment. AR has the cool factor, but does it move the needle on travel transactions? In fact, Snapchat’s AR drives an increase in travel intent and positively impacts travel bookings, according to Kantar Research.   

Snapchatters have strong intent to engage with travel AR: 95% of Snapchatters would use AR during any point of their travel journey in the future. Crucially, after being exposed to AR on Snapchat, 94% of Snapchatters were inspired to take a trip and were more likely to consider the trip and book the trip.   

"It's critical to incorporate AR into your strategy as a travel brand,” said Andrew Jarvie, Snap’s head of marketing science for travel. “Clients that integrate AR into an overall campaign reach incremental customers, and most importantly, connect with these customers in an active, leaned-in environment.”   

“Snapchatters engage with AR by choice by selecting it from their Lens carousel, making it a high-intent format that naturally influences travel decision-making and sharing-based behavior with family and friends. Snapchatters also spend more time engaging with AR experiences than a typical video, which is why we see AR positively impact travel bookings."    

Recommendations from friends and family consistently rank among the top sources for travel research, according to Phocuswright. For example, more travelers rely on recommendations from people they know compared with any other source. And when travelers turn to social media for travel inspiration, they are more likely to be influenced by people they know than celebrities or influencers. In contrast to social networks that focus on amassing followers, Snapchat is designed primarily to help users stay connected with their close friends and family. And Snapchatters who engage with AR are often eager to share the experience with the people they love.   

Snapchatters are more likely to share AR filters/Lenses through chat with friends/family (78%) than any other method, according to Kantar Research. Additionally, Snapchatters who view a Snapchat AR filter/Lens through chat are more likely to take action afterwards compared with any other method.   

The power of AR in the marketing mix  

AR can be a highly effective way for travel brands to stand out in the crowded online travel marketplace. But adding AR to the mix doesn’t mean travel companies should abandon other types of online marketing. In fact, while AR can be used on its own, research shows that it is even more effective when used in combination with other marketing methods available in Snapchat’s ad product suite. For example, when exposed to AR ads in combination with video ads, 78% of Snapchatters are at least somewhat likely to take action, making the combination more effective than AR ads on their own (71%) or video ads on their own (69%), according to Kantar Research.   

Serving as an example, Priceline recently leveraged an AR Lens as part of its recent brand campaign on Snapchat, which also included more traditional video formats, and were able to effectively lift awareness for their campaign messaging. 

“We launched our Snapchat partnership with a Priceline-branded AR lens, using the native and most famous element of the Snapchat platform to entertain and engage users,” said Lesley Klein, senior vice president of strategy and brand marketing at Priceline.

“Building on that early engagement, we were one of the first Snap Star Collab Studio partners, and our resulting influencer content generated some of the highest completion rates seen for Snap Ads. It's been an exciting evolution to see how we can leverage both AR and influencers together to bring Priceline to life across the channel." 

Snapchat realizes that developing AR creative can often seem daunting for brands, and they handle the heavy lifting to make it turnkey to come up with effective AR concepts.

“At Snap, we help our clients tap into our team of AR experts to assist with initial concepting all the way through actual AR creative builds,” said Kelly Covato, U.S. head of travel for Snap.

“We can help travel brands translate their overall campaign or creative messaging into an immersive AR experience. For example, if you're a hotel brand, we can transport guests to your lobby or even give them the feeling of being in one of your destinations or experiences all through the power of the camera in their pocket.”  

Conclusion   

While traditional online travel marketing such as video targets a largely passive audience, augmented reality inspires engagement via immersive content worth sharing. AR has the potential to influence the travel journey from the first spark of inspiration to travel planning to the trip itself. Since those who engage with AR are highly motivated to share it with friends and family, the impact spreads among users’ trusted networks – a key source for travel inspiration.  

While AR shines on its own, including it as one part of a complete marketing strategy can further boost its effectiveness. With a highly engaged audience of travelers and deep expertise in augmented reality, Snapchat is the leader in helping travel companies leverage AR to influence the travel journey.