Proposed Strategy to Improve Product Innovation and Service Quality at Pegipegi

Indonesian people’s interest in Online Travel Agents (OTA) is relatively high, even though it experienced a decline from 2019 to 2021 due to the pandemic. There are still many people who choose to use Online Travel Agents (OTA) because it provides convenience and comfort. However, in Indonesia, the competition is quite tight, and Pegipegi needs to innovate its Products and Services. The objectives of this research are to improve product innovation to distinguish Pegipegi from its competitors and to improve the quality of service to increase its competitive advantage over its competitors. Digital Innovation and SERVQUAL Framework have been used to analyze the issue and identify the root cause. It has been found that Pegipegi Products and Services needs to develop and improve because the indicators are low criteria. The recommendation for the company is required to innovate and improve the Products and Services of Pegipegi. Product Innovation can be achieved by creating new products with advanced technology, such as through Gamification, Owned Media channels, and improving User Interface. On the other hand, service improvement can be done by combining technology such as involving ChatGPT in daily work and training customer service.