Study: Direct booking on the rise as Google AI tools change how people plan trips
A new study by Propellic, carried out in collaboration with Clickstream Solutions and Growth Memo, reveals that even 56 % bookings made via Google AI Mode were fulfilled directly with the hotel or activity provider., which confirms that direct booking is on the rise as Google AI Mode changes the way travel is planned, while fewer than 10% of trips were completed through online travel agencies (OTAs).
These results clearly show how generative artificial intelligence redefine every step of the travel planning and booking process.
AI is disrupting the traditional funnel
The traditional “dreaming-planning-booking” passenger funnel is now merging into unique AI environment. Google AI Mode is increasingly becoming the place where users make decisions about destinations, hotels, and activities, while classic search results are falling by the wayside.
For brands, this means that visibility within AI responses is becoming a key advantage – those who appear in AI recommendations also have a higher chance of conversion.
Google Business Profile as a new digital frontage
The study highlights the importance Google Business Profile, which increasingly replaces the role of the hotel website. When users in AI Mode click on local packages or inline profiles, they are more likely to continue exploring through photos, reviews, and prices directly within the Google environment.
For hotels and tourist companies, this means that Optimisation of profile with updated, AI-tailored content It is becoming crucial for attracting guests.
Trust in AI recommendations
AI-generated recommendations for destinations, hotels and activities in the study were rated with an average trust score of 4,3/5. This trust directly impacts a higher conversion rate, as travellers are more inclined to click and book content highlighted by the AI within the response.
Conversational queries instead of keywords
Instead of short keywords, users are now using longer, conversational queries which imitate natural speech. This allows AI to offer personalised and contextually relevant results, making traditional SEO strategies obsolete.
Companies are encouraged to adapt content precisely new conversational search mode – not only on websites, but also on Google profiles, in the media and in adverts.
The future of OTAs under pressure
A small share of OTA reservations indicates The pressure that generative AI places on intermediaries. To remain relevant, OTA platforms will need to invest in AI-ready content, GEO strategies and personalised offers.
Travel decisions are now made quickly, transparently and with a high degree of trust – almost entirely within AI Mode. Those who adapt in time have the opportunity to secure the loyalty and trust of the next generation of travellers.
Read the entire study Here
