Planning a holiday can be a daunting task, with numerous logistical challenges to overcome. From matching flight arrivals with hotel check-ins to figuring out transportation to distant attractions, the process can be overwhelming, even for seasoned travelers. However, digital travel platform Agoda is seeking to transform the travel experience by leveraging artificial intelligence to manage travel logistics. The company is shifting its focus from being a booking site to an AI-powered travel companion that assists users in navigating the complexities of travel planning.
At the heart of Agoda’s AI strategy is the use of AI-assisted coding, which has revolutionized the way the company builds its technology. According to Idan Zalzberg, Agoda’s chief technology officer, traditional programming is effectively dead, with the company now relying on AI coding assistants to generate code rapidly. This shift has enabled Agoda to streamline its development process, with AI code reviewers processing over 50% of all code changes with a 92% developer satisfaction rate. The company has also developed an agentic platform that injects Agoda-specific context, databases, and deployment protocols into standard AI agents, allowing them to operate like human engineers.
## The Role of AI in Travel Planning
Agoda’s AI strategy is focused on empowering employees with AI capabilities, rather than pushing untested tools to consumers. This inside-out approach has enabled the company to test and break AI tools safely, while also allowing it to see immediate value from its AI investments. Over 85% of Agoda’s workforce now uses its internal AI platforms weekly, with the company measuring investment returns based on whether tasks are operational or generate new revenue. On the consumer side, Agoda uses AI to enhance user experiences, including property page chatbots, real-time multilingual customer support translation, and personalized review summaries.
Agoda’s AI initiatives are supported by a range of technologies, including AI coding assistants, AI code reviewers, and agentic platforms. The company uses half a million tokens per second on average, reaching as high as a million tokens per second across different AI technology suppliers. To manage token costs, Agoda opts for fine-grained control, with developers allocated specific budgets for critical projects and unlimited access to cheaper models for experimentation and pet projects. The company also prefers to use smaller proprietary models for specific tasks, which can be just as cost-effective as open-source alternatives.
## Managing AI Disruption
Agoda’s approach to managing AI disruption is centered on empowering employees with AI capabilities, rather than pushing untested tools to consumers. This approach has enabled the company to test and break AI tools safely, while also allowing it to see immediate value from its AI investments. The company has also developed a range of AI-powered tools, including property page chatbots, real-time multilingual customer support translation, and personalized review summaries. These tools are designed to enhance the user experience, while also providing Agoda with valuable insights into consumer behavior and preferences.
## The Future of Travel Tech
Agoda’s new technology hub in Bangkok is a testament to the company’s commitment to innovation and experimentation. The campus-style hub is specifically engineered to support the operation of a global technology platform, with a dedicated network operations centre, connected collaboration rooms, and professional content production studios. The company plans to hire in the low hundreds for its technology teams this year, balancing growth against global macroeconomic conditions. With its focus on AI-powered travel planning and its commitment to innovation and experimentation, Agoda is well-positioned to shape the future of travel tech.
In conclusion, Agoda’s AI strategy is transforming the travel experience by leveraging artificial intelligence to manage travel logistics. The company’s use of AI-assisted coding, AI code reviewers, and agentic platforms has streamlined its development process, while its focus on empowering employees with AI capabilities has enabled it to see immediate value from its AI investments. As the travel industry continues to evolve, Agoda is well-positioned to shape the future of travel tech, with its commitment to innovation and experimentation driving growth and innovation.
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