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Purpose

This research aims to explore the role of digital transformation in the tourism sector, identifying both opportunities and challenges associated with advanced technologies.

Design/methodology/approach

A qualitative research approach was employed, utilizing primary data collected through semi-structured interviews with industry professionals.

Findings

The study finds that artificial intelligence enhances personalized travel recommendations and customer service through chatbots and virtual assistants. The Internet of Things, virtual reality, blockchain and robotics improve efficiency and customer experience. However, challenges such as high implementation costs, data privacy concerns and the need for continuous technological updates persist. Additionally, the digital divide remains a significant barrier for smaller businesses and emerging markets.

Practical implications

The findings suggest that while digital transformation presents significant opportunities for enhancing services and operations, addressing associated challenges is critical for sustainable growth. Industry stakeholders must adopt a strategic approach to technology implementation to ensure inclusive benefits and enhanced competitiveness.

Originality/value

This study provides valuable insights into the impact of digital technologies on the tourism sector, offering practical recommendations for leveraging digital transformation to improve efficiency and customer satisfaction.

Digital transformation in the tourism sector is fueled by a range of cutting-edge technologies that assist companies in overcoming obstacles and taking advantage of new opportunities (Hussein et al., 2024). This helps improve customer engagement, productivity and efficiency. Digitalization is the process of incorporating digital technologies into conventional business processes (Kerpedzhiev, König, Röglinger, & Rosemann, 2021). The way services are provided and used in the travel or tourism industry is changing. Digital solutions such as blockchain, cloud computing, the Internet of Things (IoT) and artificial intelligence (AI) help travel agencies to stay competitive, provide individualized experiences and develop new business strategies. AI is a tool that simulates human intelligence in machines capable of independent thought, learning and problem-solving (Halina, 2021). AI has completely changed customer service and operations in the tourism industry with solutions such as chatbots that provide travelers with real-time information and assistance. AI-driven customer support, data-driven marketing and online booking systems are just a few examples of how digitalization helps companies increase consumer outreach, optimize operations and adjust to changing market needs. The IoT is another digital tool that helps network physically connected objects that gather and exchange data (Laghari, Wu, Laghari, Ali, & Khan, 2021). With developments such as smart hotel rooms that allow visitors to manage lighting, temperature and entertainment systems from their smartphones, the IoT has significantly improved visitor experience in the travel and tourism sector. Virtual reality (VR) is another revolutionary digital transformation tool that allows users to immerse themselves in computer-generated environments (Chandra Sekaran et al., 2021). VR is an effective marketing tool for the travel industry that enables prospective tourists to virtually tour locations, lodging options or attractions prior to making a reservation. Cloud computing is another crucial component of the digitalization of tourism. Cloud computing provides travel agencies with the capacity to handle reservations, client information and other services with more flexibility and scalability by providing them with online access to data storage, software and processing power (Nadda, Chaudhary, & Arnott, 2020). Blockchain technology has emerged as a crucial digital tool for security and transparency (Acikgoz, Stylos, & Lythreatis, 2024). Blockchain technology protects and validates transactions, including payments, reservation information and loyalty points used in the travel and tourism sector, and it reduces the risk of fraud and data breaches by increasing openness and trust (Chaudhuri, Chatterjee, & Vrontis, 2024). Robotics is another digital tool that supports tourism’s labor-intensive procedures (Saputra, Buhalis, Augustyn, & Marangos, 2024). Robots are employed in airports and hotels to help with check-ins, cleaning and delivering room services (Saini, 2024).

A mere glance at the changing digital landscape is sufficient for understanding the magnitude of this transition. The tourist sector is undergoing a transformation, and terms such as AI, robotics, blockchain technology, VR and IoT are not just trendy terms (İştin, Eryılmaz, & Üzülmez, 2022). IoT devices provide real-time data on visitor behavior and preferences, whereas AI algorithms expedite booking procedures and customize recommendations (Farheen, Badiger, Kishore, Dheeraj, & Rajendran, 2024). Blockchain guarantees safe identity verification and transparent transactions, while VR requires users to move away from the comfort of their homes (Sarfraz, Khawaja, Han, Ariza-Montes, & Arjona-Fuentes, 2023). Meanwhile, efficiency and innovation brought about by robotics have revolutionized hospitality services. For example, according to a recent McKinsey report, travel personalization powered by AI could generate $450bn in value by 2025. IoT-enabled smart locations can also improve tourism experiences while cutting operating expenses by up to 25%, according to the World Travel and Tourism Council (WTTC). The rise in smartphone usage for travel planning and booking coincides with the growth in Internet reservations. Research on travel activities, lodging and locations was conducted by 72% of travelers globally in 2021, according to Statista. Given the increasing reliance on mobile technology, travel companies must ensure that their platforms are optimized for mobile compatibility to provide modern travelers with a seamless travel experience. Travelers are increasingly using online booking channels owing to their accessibility and convenience, as evidenced by this consistent increase over the last ten years (Sun, Law, & Luk, 2022).

Economic studies’ emphasis on the tourist industry is warranted given its substantial impact on national and international economies. Prior to the pandemic, tourism supported 334 million jobs and contributed 10.4% of the world’s gross domestic product (GDP), according to the WTTC, indicating its significance as a catalyst for economic expansion (WTTC, 2024). The industry is still very important even in the post-pandemic era, especially in poorer nations, where tourism accounts for a sizable portion of GDP. Customized strategies are needed to address the sector’s particular problems, including seasonality, crisis sensitivity and sustainability concerns. Furthermore, tourism promotes regional development by encouraging investment in infrastructure and creating jobs in rural areas, as well as functioning as a major export category for many countries (Sebayang & Sebayang, 2020). Tourism’s influence on international trade and the capacity to connect with other industries magnifies its economic impact. Given these characteristics, focusing on tourism is vital for understanding the overall economic resilience and sustainability (Shimizu & Okamoto, 2024).

The tourism industry’s digital transformation is a double-edged sword that offers opportunities never seen before but also requires skillful navigation of extremely difficult obstacles. This study aims to provide stakeholders with essential insights to fully exploit the potential of digital innovation while limiting its associated dangers by examining the complexities of this paradigm shift. The objectives of this study were as follows:

RO1.

How do digital technologies influence the personalization of tourism services from the perspective of experienced managers?

RO2.

What are the perceived barriers to adopting technologies, such as blockchain and robotics, in tourism enterprises?

This study investigates how tourism firms utilize technologies to enhance customer satisfaction, streamline operations, and improve service delivery. This study is organized into further sections, reviewing past literature, research methodology, results, discussion, conclusion, limitations and future research directions.

Digital technology is driving a significant revolution in the tourism sector. To identify the potential and difficulties brought about by the digital transformation of the travel sector, this review investigates the published literature. The integration of robotics, blockchain technology, VR, the IoT and AI are important issues.

The tourism industry has many opportunities to improve client experiences, streamline operations and reach a wider audience through digital transformation (Alrawadieh, Alrawadieh, & Cetin, 2021). The use of AI to enhance customer service and personalize travel experiences is one such potential. Travelers can receive real-time information and help during their trips using chatbots and virtual assistants driven by AI, which increases customer happiness and loyalty (Ansari, Singh, Pattanaik, Patnaik, & Suryawanshi, 2024). The tourism industry’s digital transformation involves implementing cutting-edge technologies to improve every facet of the travel experience, from reservations and lodging to on-site activities and post-trip interaction (Onesi-Ozigagun, Ololade, Eyo-Udo, & Ogundipe, 2024). Travelers may now look for, book and experience destinations more easily and conveniently because of the change in digitalization (Ettis, Pelet, & Zaichkowsky, 2024). With the development of a smart tourism service system based on the IoT and machine learning, travelers can receive individualized advice from IoT devices implanted in hotels, airports and tourism sites, all of which can gather data to optimize resource utilization and improve safety measures. Wörndl and Herzog (2020) assert that travelers can now customize their travel experiences by having access to a wealth of information because of the widespread use of cellphones and Internet connectivity. With the move towards digital platforms, the market has become more competitive and dynamic, forcing established businesses to change or risk going out of style (Leung, 2022). VR technology is another revolutionary instrument that has changed the travel experience. VR allows travelers to experience locations, activities and lodging in advance of reservations by submerging them in virtual worlds. This helps with destination marketing and promotion in addition to improving the pre-trip planning process. Blockchain technology has the potential to solve persistent issues in the travel and tourism industry, including identity verification, payment processing and counterfeit goods (Rashideh, 2020).

There are many opportunities for stakeholders in the tourism industry because of the digital transformation. Using immersive and customized technology, such as VR, to improve client experience is one such possibility. McLean and Barhorst (2022) found that VR has the potential to enhance travelers’ pre-travel experiences by offering virtual tours. Additionally, chatbots and virtual assistants powered by AI provide an additional means of enhancing customer support and interaction. Hanji, Navalgund, Ingalagi, Desai, and Hanji (2023) found that AI-driven chatbots can improve productivity by providing prompt answers to client inquiries, which can increase customer satisfaction and encourage repeat business. Furthermore, blockchain technology has the potential to improve transaction security and transparency in travel and tourism industries (Prados-Castillo, Guaita Martínez, Zielińska, & Gorgues Comas, 2023). Ozdemir, Ar, and Erol (2020) found that blockchain technology can enable safe, decentralized transactions, which will lower fraud and boost confidence between customers and service providers. Personalized experiences based on individual tastes and behaviors are among the main prospects that the tourism industry is offering because of digital transformation. For instance, AI-powered recommendation systems evaluate enormous volumes of data to make relevant travel, entertainment and lodging recommendations based on user interest (Huang, Chao, de la Mora Velasco, Bilgihan, & Wei, 2022).

Despite these bright prospects, the digital revolution in the tourism industry is not without difficulties. The digital gap is a significant issue that restricts the participation of demographics and geographic areas in the digital economy because they do not have access to digital technologies (Khan, Welser, Cisneros, Manatong, & Idris, 2020). To guarantee that everyone has fair access to the advantages of the digital transition, this gap must be closed. Moreover, concerns regarding cybersecurity and data privacy present serious obstacles to the use of new technologies. Paraskevas (2022) emphasizes the importance of implementing strong data protection procedures to secure sensitive information and uphold customer confidence. Despite its potential, the tourism industry faces several obstacles in implementing digital transformation. The digital gap, or uneven access to technology and digital skills among various people, is a major issue (Reverte & Luque, 2022). Rural and marginalized communities may not have the means and infrastructure needed to effectively engage in the digital economy, which would restrict their access to opportunities associated with tourism. Furthermore, the broad use of digital technologies in the tourism industry is severely hampered by concerns regarding data security and privacy (Yallop, Gică, Moisescu, Coroş, & Séraphin, 2023).

The tourism industry is about to undergo a transformation in many aspects because of emerging technologies such as robotics and IoT. Real-time data insights can be obtained from IoT-enabled devices, enabling more effective resource management and customized services (Karttunen, Pynnönen, Treves, & Hallikas, 2023). Similarly, robotics can improve the overall travel experience and save costs by streamlining operations in the hotel and transportation industries (Jamaluddin & Rahmat, 2022). Future developments in technology, including blockchain technology and robotics, have the potential to drastically alter the travel and tourism sectors. In the travel industry, blockchain technology has the potential to completely transform supply chain management, identity verification and payment processing owing to its decentralized and secure ledger system (Dutta, Choi, Somani, & Butala, 2020). Similarly, areas such as cleaning, concierge services, check-in, robotics and automation have the potential to improve visitor experience and streamline operations (Jabeen, Al Zaidi, & Al Dhaheri, 2022).

This study used a qualitative research methodology to achieve an in-depth understanding of the role of digital transformation in the tourism sector, with a special focus on the opportunities and challenges associated with advanced digital technologies (Naeem, Ozuem, Howell, & Ranfagni, 2024). The interview questions were meticulously designed to elicit comprehensive responses from industry professionals concerning the implications of advanced technologies on various aspects of tourism. To collect data, semi-structured interviews were conducted with professionals with significant experience and expertise in using digital transformation technologies in the travel and tourism sector to collect data (De Paoli, 2024). The interview questions were designed to address the important facets of blockchain, AI, IoT, VR and robotics, with an emphasis on how these technologies may improve marketing strategy, customer experience and operational efficiency. Participants were also requested to address the difficulties posed by these technologies, such as implementation costs, privacy issues with data, the digital divide and the tactics used to lessen these difficulties.

The sampling method employed in this study purposive sampling, which was employed to ensure a representative and knowledgeable sample (Mthuli, Ruffin, & Singh, 2022). Professionals from various tourism-related industries, including travel agencies, hospitality management, technology suppliers and tourism boards, made up the target audience. The researcher sent invitations to participate in an interview on the online social media professional networking platform LinkedIn and industry-specific forums, with at least five years of experience in Delhi and the National Capital Region (NCR) area in India. The researcher distributed the research questionnaire to more than 100 respondents via the LinkedIn professional networking site. A total of 38 respondents expressed interest in participating in the interviews. However, 15 of the 38 participants later declined because of their engagements. Ultimately, 23 interviews were conducted. These interviews were conducted virtually, facilitating greater flexibility and accessibility for the participants from October 2024 to December 2024. Each session lasted approximately 45–60 minutes and was recorded with the explicit consent of the participants. As the present study used the interview methodology to collect the data, the data were collected until response saturation was achieved (Hennink & Kaiser, 2022). The response saturation appeared heavily by the 20th interview, but researchers decided to conduct a few more interviews with the more firm-footed in data collection. In total, 23 interviews were conducted. The semi-structured format of the interviews allowed for the exploration of predetermined themes while also providing the flexibility to probe deeper into areas of particular interest or concern raised by the participants (Knott, Rao, Summers, & Teeger, 2022). Verbatim transcriptions of the recorded interviews were then analyzed thematically. To find emerging themes and patterns in the transcripts, researchers coded each transcript iteratively throughout the analysis process. This process was conducted several times to ensure that the themes were accurate and thorough. After achieving thematic saturation, no new ideas emerged during the final stages of coding.

Data analysis was conducted using the qualitative software NVivo. First, open coding was used to mark relevant text units. These codes were then organized into nodes in NVivo, allowing for axial coding and detection of interconnected themes. To discover co-occurrence patterns, query tools such as Word Frequency and Coding Matrix were employed. The annexure contains the NVivo-developed hierarchical node structure and a theme tree (Figures 1 and 2). As indicated in Table 1, the sample’s demographic profile shows a highly experienced, male-dominated set of professionals who hold postgraduate degrees and senior positions like general managers, vice presidents and chief technology officers.

Data analysis was performed using NVivo 12.0, a specialized program designed for qualitative data analysis (Allsop, Chelladurai, Kimball, Marks, & Hendricks, 2022). In total, 23 valid responses were sorted and entered into NVivo software for a thorough analysis.

NVivo’s analysis of the interview data is shown in Table 2, based on how frequently each of the eight major themes appeared.

The “digital transformation theme” highlights a paradigm shift in operational and service paradigms and captures the overall influence of sophisticated digital technology on the tourism industry. The theme of AI highlights its importance in improving customer service and personalizing travel advice through intelligent agents such as chatbots and virtual assistants. The customer experience theme highlights how digital tools may boost customer happiness and engagement while highlighting the development of more customized and engaging travel experiences. The integration of technologies, such as robotics and the IoT, has been linked to advances in operational efficiency. These technologies expedite the processes by automating regular tasks and providing real-time information. The IoT theme investigates how an improved connection between systems and devices increases operational effectiveness and makes smooth service delivery possible within the tourism ecosystem. VR demonstrates how VR can support marketing campaigns and increase consumer engagement by enabling prospective visitors to virtually explore destinations, which improves their decision-making process. The blockchain technology theme explores how blockchain might revolutionize payment methods, identity verification procedures and travel reservations to boost trust and reduce fraud. Robotics is recognized as a key enabler of client pleasure and operational efficiency through the automation of functions, including baggage handling, check-ins and concierge help.

The word cloud depicts the most frequently used and relevant terms from a body of content, which is most likely about digital transformation in the travel and hospitality business. The major themes appearing in this word cloud were customer-centric services, technological adoption and operational efficiency. Dominant keywords include customers, personalized, booking, data and digital, indicating a significant emphasis on generating individualized experiences for clients by employing digital resources. Other key terms, including privacy, blockchain, IoT, platforms, transparency and virtual, indicate a focus on integrating new technologies to improve service delivery, secure data and develop trust. Words such as efficiency, engagement and transformation reflect the deliberate goal of simplifying processes and improving consumer interactions. Overall, the word cloud encapsulates the hotel and travel sector’s transition towards technology-driven, personalized and secure client experiences, with focus areas including personalization, digitalization, innovation, data management and service efficiency.

The current study’s treemap visualizes the relative frequency or relevance of terms in a dataset most likely derived from text data relevant to the hotel or travel technology industries (Figure 2). Larger blocks reflect more commonly occurring or significant phrases, whereas smaller blocks represent fewer common phrases. Words like “customer,” “customers,” “data,” “systems,” “personalised,” “service” and “booking” stand out the most in this treemap, showing that these are significant topics. Other relevant phrases include “IoT,” “blockchain,” “privacy,” “digital,” “transparency,” “virtual,” “automation,” “chatbots” and “GDPR,” highlighting the sector’s substantial reliance on developing technology and data protection issues. The use of phrases such as “satisfaction,” “experiences,” “engagement” and “efficiency” indicates emphasis on improving client experiences via technology. Overall, the illustration depicts how data, technology and customer-centric strategies are essential in modern service sectors, notably in hospitality and travel. The treemap shows that the research focuses on customer-centric methods and the use of data and digital technology to improve service and operational efficiency. Emerging technology and privacy issues are also important, but secondary to the primary focus on consumers and data-driven personalization.

The treemap visualizes the frequency or importance of keywords in a study, likely related to digital transformation or technology trends in the customer service, travel or hospitality sectors. The size of each rectangle represents the relative significance or the frequency of each keyword in the dataset.

Dominant themes: The three largest blocks are “customer,” “customers” and “data,” suggesting that these are the most often addressed or emphasized terms in research. This implies a major emphasis on customer-centric initiatives and the significance of data in the analyzed environment.

Secondary themes: Other common keywords include “personalised,” “service,” “systems,” “booking” and “digital.” These words emphasize the importance of personalization, service delivery, system integration, booking procedures and digital transformation.

Emerging technologies and concepts: Keywords such as “IOT,” “blockchain,” “privacy,” “platforms,” “transformation” and “experiences” are also important, but less so than the main topics. This demonstrates an increasing interest in emerging technologies (the IoT and blockchain), as well as the value of privacy and transformational experiences.

Operational and efficiency focus: Words like “efficiency,” “operation,” “engagement,” “improving” and “satisfaction” emerge, indicating a desire to improve operational procedures and consumer involvement.

Supportive and niche topics: Smaller chunks include phrases like “training,” “analytics,” “virtual,” “fraud,” “GDPR,” “regulation,” “marketing” and “recommendation.” These are supporting issues or specialty interests within larger research, such as regulatory compliance, security and marketing tactics.

The results of the study shed light on the complex effects of digital transformation in the travel and tourism industry, igniting an insightful conversation about the opportunities and difficulties that come with this revolutionary path.

The theme of digital transformation, which appears 53 times, emerges as an overarching thread that weaves through all other themes, working as a catalyst for innovation, a facilitator of new business models and, at times, a disruptor of conventional processes. One critical element is the balance between integration and fragmentation. While digital transformation encourages the convergence of systems, stakeholders and service platforms, for example, centralized destination management tools or coordinated crisis response systems, it also exposes gaps in digital infrastructure and preparedness between regions and organizations. These shortcomings frequently result in fragmented implementation and uneven service delivery, particularly in underdeveloped countries and small-scale tourist operators. Another nuanced feature is the conflict between the transformation and tradition. As destinations use immersive technology to improve narrative and tourist engagement, there is rising concern over the dilution or monetization of cultural heritage. The issue is to ensure that digital innovations, such as augmented reality (AR)/VR experiences, enhance rather than replace the authenticity of local customs and traditions. Another contrast occurs between the strategic and reactive uses of digital technology. Some tourist businesses deliberately adopt digital technology to achieve a competitive advantage, such as using AI-powered personalization or VR-based previews to improve the client experience. Others, on the other hand, employ technology in a reactive manner, frequently in response to disasters such as the COVID-19 pandemic, when digitization became a survival requirement rather than a planned invention. This discrepancy affects long-term sustainability because reactive models may not be in line with wider digital strategies or customer-centric aims. In summary, digital transformation in tourism is much more than just implementing new technologies; it is about traversing a complicated terrain of integration, cultural sensitivity and strategic foresight, making it the most essential and nuanced issue in determining the industry’s future. It is similar to Respondent 5, who said, “By adopting mobile-first booking systems and cloud-based reservation platforms, we’ve been able to drastically improve operational speed, reduce administrative tasks, and enhance customer experience. The system integration has significantly streamlined resource management.”

The theme of AI, which has been highlighted 47 times, has emerged as a powerful and transformational force in the travel and tourism sector, actively transforming essential areas such as operations, marketing, consumer personalization and strategic decision-making rather than just operating as a tool. The relationship between hyper-personalization and privacy is important for the discussion. The capacity of AI to analyze large datasets provides highly specialized travel experiences, ranging from personalized itineraries to real-time service recommendations. However, this level of personalization frequently blurs the distinction between usefulness and intrusion, creating important concerns regarding data permission, surveillance and user autonomy. Conflicts between efficiency and ethics are closely linked. AI improves operational efficiency by improving demand forecasting, inventory management and automated customer service. However, its dependence on algorithm-driven judgments raises ethical issues. It is similar to a response of Respondent 9, which is “We use AI for personalized recommendations. By analyzing past travel data, our recommendation system suggests custom-tailored itineraries, leading to higher customer satisfaction.”

The theme of customer experience, which appears 44 times, emerges as a fundamentally experiential core of digital transformation, emphasizing the betterment of customer experiences, emotional involvement and overall pleasure in the travel and tourism business. One of the most important considerations is the balance between immersion and intrusion. Emerging technologies, such as VR and AR, are transforming how travelers visit locations by providing immersive previews and enhanced on-site experiences. However, if these technologies are not carefully applied, they risk overloading consumers or producing false experiences, thereby upsetting the sense of authenticity that many travelers crave. Another subtle conflict is between standardization and customization. While automation solutions, such as automated check-ins and AI-driven suggestions, provide uniformity and efficiency in service delivery, they may mistakenly undermine the warmth and flexibility of personalized, human-like encounters, which are frequently essential to hospitality. Furthermore, balancing experiences with expectations has become increasingly difficult. Customer expectations have skyrocketed as digital platforms and tech-savvy travelers have emerged. Guests expect smooth, intuitive and highly responsive experiences across all touchpoints. Thus, the changing world of customer experience necessitates a sophisticated approach that combines technological competence with empathy, authenticity and accessibility to enrich travelers’ encounters.

The theme of operational efficiency, mentioned 40 times, reflects the functional imperative behind digital transformation in the travel and tourism sector, where the drive to streamline operations must be thoughtfully aligned with service quality and adaptability. A prominent nuance is the balance between automation and empathy. While technologies such as chatbots, automated check-ins and smart inventory systems significantly improve speed and reduce manual errors, they can also diminish the personalized touch and emotional warmth that are fundamental to hospitality, potentially leading to sterile or impersonal guest experiences. Another critical tension emerges between the cost reduction and investment needs. Digital tools and platforms, although cost-saving in the long run through increased efficiency and reduced labor, often require significant upfront investment in infrastructure, training and change management, posing challenges for small or resource-constrained enterprises.

The IoT, which appears 35 times, has emerged as an interlinked subject that plays an important role in developing smart tourism ecosystems capable of monitoring, responding and adapting to passenger demands in real time. IoT-enabled technologies, such as smart thermostats, linked check-in systems, and wearable trackers, improve convenience by providing seamless guest experiences and operational automation. However, this ease comes at the cost of surveillance, since the ubiquitous use of sensors and monitoring systems raises ethical and privacy issues regarding the extent to which user behavior is observed and analyzed. Another key distinction is the conflict between real-time data and data overloads. While continuous data streams from IoT devices may provide significant insights into visitor behaviors, preferences and environmental conditions, managing and making sense of such massive amounts of data can be burdensome and wasteful if not properly filtered and analyzed. It is similar to a response of Respondent 13, which is “In our smart hotels, IoT devices monitor room conditions like temperature and humidity, ensuring comfort. Connected transportation systems also provide real-time updates to customers.”

The theme of VR, mentioned 29 times, symbolizes an immersive dimension of digital change, providing creative ways to improve storytelling and allowing travelers to pre-experience places before making decisions. This technology allows tourism companies to digitally exhibit experiences such as strolling around heritage sites or visiting hotel rooms, which may have a substantial impact on consumer interest and engagement. However, this benefit runs the risk of a pre-experience letdown, as the virtual picture may generate unrealistic expectations that the actual experience fails to achieve, thereby reducing tourist happiness. This technology allows tourism companies to digitally exhibit experiences such as strolling around heritage sites or visiting hotel rooms, which may have a substantial impact on consumer interest and engagement. However, this benefit runs the risk of a pre-experience letdown, as the virtual picture may generate unrealistic expectations that the actual experience fails to achieve, thereby reducing tourist happiness. Another element is the balance between substitutes and supplements. While VR may enhance trip experiences by providing immersive previews or educational insights, it should serve as a supplement rather than a replacement for real-world experiences, which are essential to the emotional and cultural value of tourism. Overreliance on VR as a replacement may erode the sector’s basic attraction, which is founded on physical exploration, sensory richness and human connection. It is like the response of Respondent 17, which is “We use VR for virtual tours of hotel rooms and destinations, which helps customers make informed decisions before booking.”

The concept of blockchain technology, which appears 20 times, is positioned as a trust-building tool that provides decentralized trust, safe transactions and more transparency in the tourist sector. An important distinction is the trade-off between openness and complexity. Although blockchain has the potential to significantly increase trust by ensuring transaction transparency (such as tracking bookings, payments and travel itineraries), it is still extremely complex and technically difficult for many stakeholders, particularly small businesses, to understand and implement. This intricacy may hinder its general acceptance and incorporation into the tourist industry. Another problem is finding a balance between the efficiency and energy usage. Blockchain’s proof-of-work methods, particularly in widely used systems such as Bitcoin, can consume enormous amounts of energy, contradicting the rising emphasis on sustainability and environmental consciousness in tourism.

The robotics topic, which is referenced 17 times, represents an automation-driven frontier in service delivery, particularly in professions that require repetitive work or high-risk operations. An important aspect is the balance between innovation and closeness. While robots excel in simple tasks such as room service delivery and cleaning, they frequently fall short of providing the personal touch required in the hotel business, where human connection and emotional intelligence play critical roles in client pleasure. Another distinction is labor substitution versus labor aid. While there is a fear that robots will replace low-skilled occupations, particularly in mundane operations, robotics may also be used to increase employee productivity, eliminate human error and improve safety by taking on hazardous or physically demanding duties. This represents a dynamic shift in labor management, with robots serving as helpers rather than direct substitutes.

This study offers a thorough examination of the opportunities and difficulties brought about by the digital transformation of the travel and tourism industries. This study highlights the revolutionary potential of digital technologies in transforming travel, destination experiences and interactions with tourism services through an examination of industry trends, technological advancements and stakeholder viewpoints. The research findings highlight the significant influence of digital transformation on several key areas, including managing ethical considerations within the tourism ecosystem, empowering inclusivity, supporting sustainability, creating trust and building resilience. Digital transformation presents a multitude of options for innovation, growth and value creation, ranging from customized travel experiences and immersive technology to blockchain-enabled trust mechanisms and flexible crisis response tactics. However, coordinated efforts to address concerns about privacy, security, inclusivity and ethical governance are necessary to realize the full promise of digital transformation.

This study primarily contributes to the extension of the digital transformation theory in the tourism and travel industry. The findings of this study integrate digital transformation, suggesting that digital platforms foster environmental consciousness and encourage sustainable tourism practices. This research adds to the knowledge concerning innovation diffusion, service management and organizational adaptability in service sectors by investigating the ways in which digital technologies impact customer experience, sustainability practices and resilience tactics. Second, the identification of critical elements that propel digital transformation initiatives, such as cybersecurity measures, personalization strategies and data-driven decision-making, offers theoretical insights into information systems, marketing and strategic management in the context of the travel and tourism industry.

For companies in the tourism industry, this study’s findings have important management ramifications. To improve customer interaction, expedite operations and spur revenue growth, this study first emphasizes the significance of investing in digital infrastructure and technologies. Managers should evaluate their digital capabilities to prioritize investments that fit consumer desires and industry development. Second, by utilizing data-driven insights, strategic choices can be made with greater clarity and corporate performance may be optimized. Making efforts to improve customer experience and personalization is a priority, such as making tailored recommendations and implementing focused marketing campaigns, which can increase customer loyalty and set companies apart from rivals.

Despite offering valuable insights into digital transformation in the tourism industry, this study has several limitations. First, the geographic scope of the study is confined to Delhi and the NCR of India, which may limit the generalizability of the findings to other regions with different economic, cultural or technological contexts. Tourism practices, consumer behaviors and digital infrastructure vary significantly across regions and countries, suggesting a need for comparative research to capture a more comprehensive understanding of the phenomenon. Second, the methodological reliance on qualitative interviews presents certain limitations. While in-depth interviews provide rich and nuanced data, they may not fully capture broader patterns or allow for generalization. The absence of quantitative data also limits the ability to test the relationships between variables or measure the impact of digital transformation across different segments of the tourism industry. Future research should adopt a mixed-methods approach that combines the depth of qualitative inquiry with the generalizability of quantitative analysis. Longitudinal studies could provide further insights into how digital transformation evolves over time and affects various stakeholders, including tourists, service providers and policymakers. Researchers may also explore cross-sectoral comparisons to examine how digital innovation varies across hospitality, travel agencies, transportation and allied tourism services.

The supplementary material for this article can be found online.

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Published in Revista de Gestão. Published by Emerald Publishing Limited. This article is published under the Creative Commons Attribution (CC BY 4.0) licence. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this licence may be seen at Link to the terms of the CC BY 4.0 licence.

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Supplementary data

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