According to the Global Forecast by JLL’s Hotels & Hospitality Group, investment in the tourism sector may increase by 15-25% in 2025. The TechBullion editorial team spoke with tourism industry expert, Oleksandr Frenkel, Director of the tourism company Argo Travel LLC and winner of the Cases&Faces award in the Best Entrepreneur category. Oleksandr has also previously received the TOP Sales Award and Star Quality Award from leading tour operators and international hotel chains.
The expert discussed the development of personalized tourism and the creation of corporate culture in an organization where almost all employees work from different cities. Oleksandr says success in tourism depends on digital processes, good leadership, and meeting client needs.
Oleksandr, you received the award as the best entrepreneur. What innovations in your company helped you achieve this recognition?
In our company, we actively use digital technologies to simplify the booking process and improve interaction with clients. We implemented a CRM system and an online platform for booking tours, which allows our individual and corporate clients to conveniently plan their trips and immediately receive all the necessary documents and recommendations. We also use social media and messaging apps for prompt communication, which helps us address emerging issues more flexibly and quickly.
In the corporate tourism market, we started working with major transportation companies in the US, organizing flights and travel for their employees. Our innovative approach not only helps companies save significant amounts on travel expenses but also allows them to be more flexible, which, in the face of the many factors and unpredictability they encounter daily, is an extremely important parameter.
What digital products do you use in your company?
We use a variety of services that allow us to get up-to-date offers from hotels around the world: Skyscanner, Momondo, Sabre, Galileo, and Amadeus. To understand our clients’ expectations, we monitor reviews about the company through Podium Reviews, which helps collect feedback from various platforms into a single information space. It’s impossible to offer the best travel deals without having complete information about the available travel options.
Digitalization allows us to be more flexible and accessible, and it also makes the travel process more comfortable and interesting. Right now, with our new IT partner, we are developing a new travel platform for the USA and the Caribbean countries. We plan to create a unique product not only for individual clients but also for corporations. We aim to launch it by the 2026 FIFA World Cup, which will take place in the USA, Mexico, and Canada, as we expect a large influx of tourists due to this event.
Oleksandr, you have 20 years of experience in the tourism industry and have received multiple awards for best sales and VIP service. How do you assess the growth potential of the industry and what investment opportunities do you see in the next 5-10 years?
Investment opportunities will depend on global trends, technological changes, and customer preferences. However, we can already see key trends that are worth paying attention to: the development of ecotourism, wellness tourism, and gastronomic tourism. Travelers are increasingly less interested in sitting in hotels or lounging by the pool. The thematic component of the tour and its significance are becoming more important.
If we continue the discussion of digital technologies in the industry, VR and AR technologies for virtual tourism, hotels with robotic service, and the development of AI technologies for service personalization will gain more popularity. According to forecasts, by 2032 the digital travel market will grow at an average annual rate of 15%.
I would also mention the development of exclusive tourism, which means a shift from mass tourism to niche and personalized offers. This trend will become one of the key directions for growth.
For the establishment of a successful business, working with staff is also crucial. How do you create a corporate culture that promotes a high level of service?
The main principle is that we do not offer our clients anything that we haven’t tried or “touched” ourselves. Therefore, the cornerstone of our company is visiting and inspecting the countries, resorts, locations, and facilities where we will later create our products and programs. This includes promotional and informational tours, familiarization trips, travel exhibitions, congresses, and conferences.
All our employees have been with the company for many years. The “youngest” employee has been with us since 2015. We follow principles of open communication and mutual respect within the team. Every employee understands the importance of their role in ensuring a high level of service and comfort. And although all our specialists, due to the war in Ukraine, are forced to work remotely—many from other countries—the level of service and accessibility for our clients has not been affected in the slightest.
But it seems you haven’t mentioned your own role as a leader. You’re currently preparing a scientific research paper on the effectiveness of managing a tourism product. Is it specifically about managing company specialists?
Not only that, but also about the transformations that need to be made. A tourism product, unlike traditional goods, is a combination of material, informational, and emotional components. In the framework of my research, I studied modern approaches to managing a tourism business, from logistical aspects to measuring the effectiveness of service. The challenge lies in the fact that it is important to simultaneously develop both technological transformations of service and sociocultural factors.
For myself and my company, I’ve determined that one of the key priorities is the integration of information technologies that allow for deep analysis of consumer preferences and the forecasting of market dynamics.
In your research, you also mentioned that the tourism industry is undergoing changes both in operational processes and in overall strategy. How does your company, Argo Travel LLC, enhance its competitiveness?
We aim to react quickly to changes in demand and supply, and we flexibly adapt our tours and products to meet the current preferences of clients.
And, of course, as a leader, I make sure to stay on top of absolutely all processes within the company. While I understand that delegating authority is necessary, I remain committed to the principle of full personal involvement in the company’s affairs. It’s worth mentioning that all of our clients, even those serviced by other managers, have my personal contact, which they can use in case any issues arise. This system proved its effectiveness during the COVID-19 pandemic, when this approach allowed us to quickly return all our clients home, while clients of other companies were left waiting for evacuation flights for weeks, wasting their money, time, and nerves.
Oleksandr, you have repeatedly shared your forecasts regarding the entire tourism industry in the media. What trends in tourism do you currently consider the most promising?
About five years ago, we realized that more and more tourists are interested in personalized, off-the-beaten-path tours that can be adapted to their personal preferences.
At the same time, there is growing interest in eco-friendly and local destinations, where travelers can learn about the region’s culture and visit places not overcrowded with mass tourism. For the past three years, we have been actively studying and promoting small group tours in the USA. As part of creating this product, we’ve visited nearly every corner of the country, establishing contacts and communication with many local providers, guides, accommodation and dining owners, and farmers. This allows us to move away from well-trodden destinations that our clients have already visited, offering new and exciting locations, which makes us not only competitive but also unique.
