Why Are Travel Companies Tokenizing Their Services?

NFT and Its Role in the Travel Industry

An NFT, or non-fungible token, is a unique digital asset with its movement recorded on the blockchain. Unlike cryptocurrencies, which can be exchanged for one another, each NFT is one of a kind and cannot be duplicated or replaced. If you sell Bitcoin and later buy a different one, you still have the same amount in your balance. With NFTs, each token has its own unique characteristics.

For more details on these digital assets, read the article “NFTs: Why Get One?”

NFTs have already found their place in the travel and HoReCa (Hotel, Restaurant, Cafe) industries. They serve as loyalty program rewards, exclusive membership cards, and booking tools for unique services. Some businesses even create digital collectibles linked to travel experiences. Unlike traditional rewards, NFTs not only grant access to special programs but can also gain or lose market value and be sold or transferred to other users through blockchain transactions.

Real Use Cases of NFTs in Tourism

Travala and Travel Tiger Club

One of the first travel services to integrate NFTs into its business strategy was Travala, a platform specializing in hotel and flight bookings with cryptocurrency. 

Travala is part of a well-known European travel service with Ukrainian roots, Tickets.ua. The platform focuses on selling airline and train tickets for tourist destinations, making it one of the most recognized blockchain-based travel solutions on the market.

Travala allows customers to pay for flights and hotel bookings using more than 90 cryptocurrencies, including Bitcoin, Ethereum, and its native token AVA.

As part of the Travel Tiger NFT club, users could buy exclusive tokens that granted access to discounts, loyalty rewards, and VIP services. NFT holders benefited from:

• Discounts of up to 13% on hotels and flights
• Higher cashback rewards in AVA tokens
• Invitations to private events and exclusive travel packages
• Personalized customer support

Travala also works with hotels and airlines to implement blockchain technology, improving transaction transparency and strengthening data security. The platform continues to develop its NFT programs, making them more accessible not just to crypto enthusiasts but to a wider audience of travelers.

AirBaltic and Collectible NFT Artwork

Latvian airline AirBaltic was the first European carrier to adopt NFTs. In 2021, it introduced the Baltic Cities collection, showcasing digital artwork of landmarks from cities across Latvia. This initiative not only promoted local tourism but also served as an innovative marketing tool for customer engagement.

Later, in partnership with the OpenSea marketplace, AirBaltic introduced the NFT Planies collection as part of its loyalty program. 

Holders of these NFTs received:

• Exclusive discounts on flight tickets
• Faster bonus accumulation in the airBaltic Club loyalty program
• Invitations to private airline events
• The option to trade or sell their NFTs on the secondary market

By integrating NFTs, AirBaltic introduced a new way to engage with customers, enhancing passenger loyalty while offering unique digital assets with the potential to increase in value.

NFTs in National Tourism Initiatives

Government agencies are starting to adopt NFTs as a tool for promoting travel destinations. One example is the I Feel NFT project, launched by Slovenia’s Ministry of Economic Development in partnership with the blockchain platform Vandri. First introduced at Expo Dubai 2020 and later showcased at Bit Milan 2022, this was the first government-backed initiative to use NFTs for enhancing the country’s tourism brand.

The project’s collection includes 15,000 unique digital 3D icons, panoramas, and high-resolution photographs, all secured by blockchain technology. NFT holders gain exclusive access to various attractions, including museums, exhibition spaces, cultural events, and landmarks. Each NFT also provides up to 25% off admission fees for these locations.

The Future of NFTs in Travel

NFT technology is playing an increasingly important role in the travel industry, with further developments expected in the coming years:

1. Expanded loyalty programs. Travelers will be able to collect unique digital assets that can be redeemed for airline miles or resold on specialized marketplaces.
2. Integration into booking and ticketing systems. NFT-based tickets will help prevent fraud, eliminate counterfeiting, and make it easier to transfer tickets between users.
3. Exclusive travel clubs. Limited-edition tokens will grant access to private events, luxury resorts, and personalized services.
4. Growth of digital ownership. Travelers may hold virtual property rights or secure exclusive stays at certain hotels through NFTs.

NFTs in travel are no longer just a trend but a practical tool that is reshaping customer service and the way brands connect with travelers. Major companies are already exploring their potential for loyalty programs, bookings, and exclusive offers. In the near future, this technology could become a core part of the industry, offering travelers greater convenience and a more tailored experience.