DISRUPTION!

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governmentswww.tbjones.com

In Travel

In IT

I Started My Career As A Receptionist in a travel Agency - 45 years ago

Vega Travel

Used Hi Tech

Intourist

RQ two single room Rossia hotel

Fares

Schedules

IT Phase 1Systems of record

The Internet

Information found its

FREEDOM Flowing

one

way

Information

Connectivity = Opportunity

IT Phase IISystems of engagement

18,000 travel agents out of business

Users began to create information

InformationMade

it flowtwo

ways

People startedwriting

And selling

and rating

Rich BartonFounderExpedia

GlassDoorZillow

“If it can be ratedit will be rated”

Explosion of travel data creation

90% of worlds data created in last two years

80% Unstructured

Much of it is Dark DataSeat 4F

Highfloorroom

Digital Exhaust

Seat 4F

Seat 4F

Highfloorroom

Highfloorroom

Complexity = Opportunity

We have issues...Increasing amounts of unstructured dataTraditional computing unsuitedfor its analysis

And this requires a new type of computing

IT Phase IIISystems of Insight

Enter Cognitive Computing

COG NI TIVE / kog-ne-tivMental processes related to knowledge, memory, judgement, evaluation, reasoning, problem solving, decision making and language

COGNITIVE COMPUTINGSimulation of human thought processes in a computer model

Artificial intelligence

Business intelligence

Game Changer

Unstructured data

Create order

1

Learning Computer2

“It’s worth more when it’s old than when it’s new!”

Quesadilla MakerSearch

Search changed everything

Search only gives you clues

58,000,000 Clues

Watson gives you advicewith confidence levels

3

Natural Language

I want to go to Italy this summer with my family

4

I want to go to Italy this summer with my family

A system that can

•Make sense of unstructured data

•Offer advice

• Uses natural language

• Learn

• One Billion to be invested

• 1/3 of IBM Labs dedicated

• $100mm startup investment fund

• First separate division since the PC division in the 70’s

• Separate HQ in Silicon Alley NYC

Complexity = Opportunity

Ownthe

edge

Location, Location, Location

Edge is where the customer is

Why own the edgeAlways Available & More Choce = Loyalty & Revenue

Expanded revenue from current customers

Who ownsthe travel edge?

• Kayak has 50 million app users but most don’t use during the trip

• Tripit and Tripcase have millions of users who have limited utility beyond itineraries

• Yelp and Tripadvisor are used extensively during the trip

• Expedia is pushing hard on on site tours

Noone yet!

Who owns the travel edge? Self Service not the edgebut it can lead you there

Incremental Revenue

Everyone starts their booking with air!

Youarethe

front door

of Travel

Own the journey

As indispensable as Owing the journey pays bigPriceline $3.5 Billion in EBITDA in 2014

Owning the edge in travelrequires new tools

and techniques

• You have to distinguish yourself from OTAs and other intermediaries

• You have to own the journey

• You have to become the trusted advisor

A reason to use it for the journey

Simple

Trusted

Always useful

Today

Search only gives you clues

58,000,000 Clues

Talk to a friend and get

Manoj SaxenaFormer GM IBM Watson

Social & Review Data CRM &Learned

DataLocal Context Data

Structured Booking Data

Traveler'Searches'Traverse'Graph'to'Iden3fy'Recommenda3ons'

izakaya kou

pacific heights

japanese cuisine

ramen

dinner

$$

lunch

good for quick meal

san francisco

gyoza

trendy

good for groups

good for late night

good for special occasion

good service

sashimi

good for dates couples romantic

sushi

waraku ramen best

ramen

great value

outdoor seating

ICETM

INSIGHTSWayBlazer’s recommendation

and/or answer content

EVIDENCEThe is the “Why” or the actual

referenced proof of the quality of the response.

CONFIDENCE A calculation that indicates the level of confidence in the answer. Further

data input improves this rating.

How$do$we$develop$trust?By$suppor1ng$our$recommenda1ons$with$evidence$from$mul1ple$external$sources.$And$by$giving$the$recommenda1on$a$confidence$score.

EVIDENCEThe$is$the$“Why”$or$the$actual$referenced$proof$of$the$quality$of$the$response.$$

CONFIDENCE$A$calcula1on$that$indicates$the$level$of$confidence$in$the$answer.$Further$data$input$improves$this$ra1ng.

Confidence$meterProminent$Ra1onale$Trigger

Hotel$Data 3rd$Party$Data Halo$Effect$Data

Great snow right now

ICETM

Insight

Evidence

What’s a good family hotel83%Confidence

Wayblazer Services

Cogni1ve$ConversionYes,%you%have%hotels.%%Now%show%them%

why%it%is%the%best%one%for%them

CRM$Catalyst%Supercharge%your%CRM%with%traveler%search,%preference%and%behavioral%data

Cogni1ve$ConciergeDon’t%just%list%a%bunch%of%random%local%

aBracCons.%%Give%personalized%recommendaCons

Cognitive Conversion

Where & When

Why?What?

Discovery

Naturallanguage

inputPrompts &examples

Dramatic

increase in conversion

Comments“You can find hotelsyou might not think

to search for”

“Saved me hoursof searching”

“It was likeusing somethingfrom the future!”

“It took me to destinations Iwasn’t even considering”

Airlines? Youarethe

front door

of Travel

Simple entrydifficult problem

I need to be in New York tomorrowby 3pm for the meeting on my calendar

Stay at Hyatt near my meeting and have dinner at Bobby Vans

Anexcellentassistant

Just the right add on

BookingData

CRMdata &

Social Data

Perfectrecommendation

A easier way to useall those miles..

Simple entryDifficult question

I want to use my miles to go first class with my wife to a romantic resort in

January

A perfect answer

Revenue from mileage ticket = Zero

Revenue fromhotel? $300?

Own the journey Cognitive Concierge

Cogni1ve$Concierge

A concierge creates value by presenting a complete, personal travel experience to guests.

Extend the power of a concierge service in pre-arrival communications or in-destination via App or Kiosk.

Insights on the fly

All the parts of the journeyIn Flight

11571

Make it personal

Knowing the customeras a demographic

Understanding the customer as an individual

CRM Catalyst

CRM IntegrationWarm fun this month

Warm fun this month Air Travel Generates Questions

Off schedule operations? Instead of phone frustration

“Your flight has been

cancelled”

Press 2 for

more information

“I didn’t understandyour response”

“You can rebook toDallas tomorrow”

“AgentAgent

Agent!”

Simple entryDifficult question

I have to be in Paris tomorrow at 8amI have to be in Paris tomorrow at 8am

WayBlazer)fields)the)ques1on)on)your)behalf)and)runs)it)

through)our)Cogni1ve)Search)

engine,)genera1ng)a)response)by+machine

Tweet$your$ques1on$Q$Watson/Wayblazer$responds

132

2015 • CONFIDENTIAL • Do not use without permissionCognitiveScale.com 2015 • CONFIDENTIAL • Do not use without permissionCognitiveScale.com

2015 • CONFIDENTIAL • Do not use without permissionCognitiveScale.com 2015 • CONFIDENTIAL • Do not use without permissionCognitiveScale.com

2015 • CONFIDENTIAL • Do not use without permissionCognitiveScale.com 2015 • CONFIDENTIAL • Do not use without permissionCognitiveScale.com

Right offer Right moment

Not today!

Right OfferRight Moment

Build Trust

Owning the journey

More Revenue More Loyalty

Builds digital relationships

terry@wayblazer.com

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