Page 28 - AAA JANUARY - FEBRUARY 2018 Online Magazine

FAST from door to gate, which integrates its operations there to improve its PAX
seamlessly into our own innovations on airport processes. Insights from
mobile and web,” said AirAsia Singapore the data will be used across its EXPERIENCE
CEO Logan Velaitham while speaking to entire group.
the media at an event in Singapore. Air
Asia, one of the first airline in the region “Through collaboration with
to go digital as well as launch a mobile airports and government
app, considers personalization as the agencies, we want to improve
most important component for digital operational, safety and commer-
transitioning. cial processes within the group
Airlines are using the large amounts of by integrating multiple data
data to uncover customer behavior pat-
terns to shape individualized experiences sources” - Tony Fernandes
for their guests. “As an airline, they have
the profiles of all the business-class and Apart from Air Asia, which is
first-class passengers being relayed on investing heavily in digital ser-
the crew’s screen. A crew-member walks vices like BIG Duty Free, BIG
up to the passenger and address him by Pay, BIG Loyalty, Touristly, roKKi
his name and asks ‘would you like to have onboard Wi-Fi and Xcite in-flight
a cup of peppermint tea that you liked so entertainment, many other airlines
much?’ Now, talking about digitalization, have jumped into the bandwagon.
these small personalized approaches and Earlier this year Lufthansa has
other similar factors significantly improve tried in an innovative way to sell
the value that airlines provide. It further upgrades to Premium Economy
helps them to make a decision on a stra- at the departure gate. The airline
tegic level, helping them figure out ways to used virtual reality (VR) glasses
monetize from the decision,” says Kruss. at its Frankfurt Airport hub as a
way to tempt Economy Class pas-
Not without Challenges sengers to purchase an upgrade
he biggest challenge with person- to Premium Economy right before
their departure. Passengers were
alization is difficulty in obtaining an invited to put on VR glasses and
overall insight of every customer. take a 360-degrees view of how
TMost of them are infrequent trav- the Premium Economy seat and
elers. Dependency on customer database cabin looks, with Lufthansa hoping
is not sufficient. Airlines must capitalize they would become more inter-
on insights from their operational system. ested to purchase an upgrade.
There can be many touch points during Lufthansa’s chatbot, Mildred,
the journey. However, data also needs to was also a “good start” according
be sourced from external sources to get to Kruss. “Scoot is also doing a
a multi-dimensional understanding of the good job. They are rather slim in
customer - from getting inspired, to con- terms of their set-up of the oper-
sidering a trip and eventually making a ational back office, yet they are
booking – it is important to get a clarity of managing a complex portfolio of
how they communicate with others.
products. “However, talking about
a digital leader, Kruss was quick
Customer intimacy is another challenge to add, “Unfortunately there isn’t
being faced by airlines in their journey of one airline which is there yet. In
digital progress. Unlike Facebook, Google another five years, people would
or even Amazon, the airline industry does get use to the idea that they are
not have an appropriate platform where it getting specific offers which can
can bond with passengers and get details be fundamentally different from
about their needs and future plans. With others. Right now, airlines need
its move to the new Terminal 4 (T4) at to create a highly differentiating
Changi Airport, AirAsia will use data from
product portfolio that catches

28 | January/February 2018 www.GBP.com.sg/AAA