Widespread Adoption, but with Limitations

A recent survey of 280 outbound travel agents by Dragon Trail Research has revealed that 82% of respondents already utilize artificial intelligence in their daily operations. However, many express reservations about the technology’s limitations. Agents rely on AI for a variety of tasks, including:

• Itinerary planning
• Translation
• Content suggestions
• Virtual travel assistants
• Customer service

These tools are helping agents focus on providing personalized service to their clients, who increasingly demand tailored experiences. Despite the widespread adoption of AI, agents point out several areas where the technology falls short.

Where AI Still Misses the Mark

Agents are concerned about the accuracy of translation tools, which often misinterpret dialects or fail to capture tone and context. This can lead to misunderstandings when communicating nuanced travel information. Another issue is the rigidity of itinerary planners, which are seen as too template-based. Agents want more weather-aware suggestions and tailored recommendations that cater to individual preferences. The 18% of agencies that have not yet adopted AI are hesitant due to functionality concerns. Many are waiting for better translation and more intelligent customer service tools before making the leap.

Outbound Travel Rebounds, Cautiously

The survey also provides insight into China’s outbound travel market, which is slowly recovering from the pandemic.

• 60% of agents reported improved business conditions in 2025 compared to the previous year.
• 17% reported that conditions have become more difficult due to economic instability, global conflicts, and a widening gap between traveler demands and agency capabilities.

Agents are focusing on older travelers, with 23% selling to the senior market, up from 14% in January.

European Travel Gains Popularity

Interest in European travel is growing, with agents now ranking Western Europe as the second most popular destination after East Asia.

• France, the UK, Switzerland, Iceland, and Italy are seen as top destinations.
• Only 35% of surveyed agents attended promotional events for European destinations in the past two years.

Agents are seeking more support, including up-to-date materials on cultural and historical attractions, safety, transportation, and local customs.

The Rise of Personalization

The demand for personalized travel experiences is on the rise, with agents saying that travelers now expect customized trips.

• Study tours, themed itineraries, and off-the-beaten-path destinations are viewed as growth areas.
• Small group tours, typically for 10 to 20 people, have become the most commonly sold and best-performing product.

However, this trend is putting pressure on smaller agencies, which may lack the resources or staff to deliver such tailored experiences.

Europe Is a Top Seller, but Engagement Lags

Agents are drawn to European destinations, but the marketing efforts often fail to match the interest. Only 35% of surveyed agents attended promotional events for European destinations in the past two years, with all of those events focusing on Western European countries. Agents are asking for more support, including up-to-date materials and marketing campaigns that cater to their specific needs.

Personalization Isn’t a Bonus, It’s Expected

The trend toward personalization is becoming the norm in China’s outbound travel market. Agents say that travelers now expect experience-driven, customized trips, with study tours, themed itineraries, and off-the-beaten-path destinations being viewed as growth areas. However, this shift is putting pressure on smaller agencies, which may struggle to keep up with the demand for personalized experiences.

Key Takeaways

• China’s travel agencies are embracing AI, but with caution.
• Agents are seeking more support and better tools to deliver personalized experiences.
• European travel is gaining popularity, but engagement is lagging.
• The demand for personalization is driving growth in the market.

Conclusion

The survey highlights the complex and evolving nature of China’s outbound travel market. As the demand for personalized experiences continues to grow, agents are adapting to the changing landscape by embracing AI and seeking more support. However, the technology’s limitations and the challenges faced by smaller agencies remain a concern. Agents must navigate the complexities of the market while providing high-quality services to their clients. Table: Key Statistics

Definitions:

Artificial intelligence (AI): Refers to the development of computer systems that can perform tasks that typically require human intelligence, such as learning, problem-solving, and decision-making. Outbound travel: Refers to travel outside of one’s home country, typically for leisure or business purposes. Personalization: Refers to the customization of travel experiences to meet individual preferences and needs.