EXCEEDING EXPECTATIONS

As ever more people fl y more often, passengers are demanding more

from their infl ight experience. How are airlines delivering?

WORDS BY RAYMOND KOLLAU

88

QUARTER 3 / 2011

“Responding to the needs of informed travellers, airlines are becoming more transparent”

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Passengers can even check to make sure their

luggage has been loaded onto the aircraft while in

fl ight, by accessing Delta’s website for free via the

otherwise paid Gogo infl ight WiFi service.

REAL-TIME INFORMATION

Personal mobile technology is also further raising

passenger expectations. In today’s environment

of instant information, consumers want constant

updates on the status of their fl ight or current

waiting times at security. # is recently led Air

France and KLM to introduce a new service called

Connect, which keeps passengers informed of

delays, cancellations, gate changes and possible

lost luggage in real time. Using the mobile phone

number and email address customers give when

booking their ticket, the airlines will inform

passengers either by phone, text message or email

of any cancellation, delay or change of boarding

gate or, after take-off , of any delayed baggage

delivery. # e Connect service is free of charge and

is available in eight languages.

Aiming to reduce passenger anxiety, several

airports in Europe have deployed Bluetooth

technology to measure and display passengers’

waiting times in real time. When passengers

enter and exit security lines, small receivers

pick up the Bluetooth signal emitted by their

electronic devices. Approximately 15 per cent

of travellers have the Bluetooth functionality

enabled on their mobile phone, which makes it

possible for the airport to calculate the average

waiting time at the security check. # e real-time

data allows airports to react rapidly to short-term

peaks in queues. Airports including Brussels and

Copenhagen also display real-time queue times

on signs throughout the airport.

INNOVATIONS IN OTHER INDUSTRIES

Customer expectations are also fuelled not only

by how well a company performs versus its

competitors, but also against standards set by

other industries. Innovative products and services

in one industry raise the bar for all industries. In

the words of trendwatching.com: “Every industry

has its own ‘innovation competence’, and the

innovations they’re bringing to market not only

excite their own customers, they also shape

their expectations for other industries, whether

it’s Singapore Airlines’ mastering of hospitality,

Over the past two decades, air travel has

witnessed massive growth. Globalisation has led

to an increase in international business travel,

while liberalisation has resulted in the rise of low-

cost airlines. Meanwhile, average airfares have

stayed at the same level or even decreased, despite

infl ation and rising fuel costs, while disposable

income has grown. # ese days, many people in

emerging economies are taking their fi rst fl ight.

As people fl y more often, the novelty of the

experience fades and they become increasingly

aware of the positive and negative elements of

travel. Further adding to the emergence of what

Amadeus calls “amateur-expert travellers” has

been the internet, which has made the whole

business of travel much more transparent by

putting detailed information at the fi ngertips of

the average traveller, enabling them to make more

informed choices than ever before. Empowered

by the likes of TripAdvisor, SeatGuru, Bing Travel,

InsideTrip and Zoover, travellers these days often

know more about what to expect from their fl ight,

accommodation and destination than many

travel, airline or hotel agents.

As consumer trends fi rm trendwatching.com

puts it: “Experienced, well-informed consumers

have a long list of high expectations that they

apply to each and every good, service and

experience on off er. # eir expectations are based

on years of self-training in hyper-consumption,

and on the fl ood of new-style, readily available

information sources, curators and fi lters.”

TRANSPARENCY

Take Expedia subsidiary TripAdvisor, best

known for its popular user-generated hotel

reviews. In early 2011, the company became the

latest player in the airline-ratings fi eld when it

rolled out TripAdvisor Flights in the US and the

UK. # e new feature encourages TripAdvisor’s

20 million members to rate on a scale of one to

fi ve their airline experience. Scores are awarded

in eight categories, including check-in, baggage

handling, seat comfort, infl ight service and

amenities. # is allows travellers conducting

fl ight searches on TripAdvisor to also fi lter fl ight

results by airline ratings instead of just by price

or schedule alone.

Responding to the needs of informed travellers,

airlines are becoming more transparent. Delta

Air Lines, for example, shows the availability of

onboard amenities, such as WiFi, live satellite

TV and power ports, for each fl ight, by means

of diff erent icons in the booking path. In a move

to make the baggage process more transparent

for customers, Delta passengers on US domestic

fl ights can track their baggage in real-time

as it makes its way through the Delta system.

NICE

Flight AF6205

Nice - Paris

PARIS

Flight AF346

Paris CDG -

Montreal

PARIS

DELAY AT

DEPARTURE

MISSING

LUGGAGE

BOARDING

GATE CHANGE

LUGGAGE

DELIVERY

MONTREAL

FLIGHT AF6205

Your baggage item

N.123456 will not

be delivered upon

arrival. It is still in

transport. Please

go to the Air France

Baggage Services

desk.

- AIR FRANCE

FLIGHT AF346

Your fl ight CDG-

YUL on 04/05 is

delayed. Departure

is expected at

18.00. Please

note: the Check-In

Deadline remains

at 15.10.

- AIR FRANCE

FLIGHT AF6205

Your baggage item

N.123456 will soon

be delivered to

the address you

provided. The deliv-

ery company will

contact you directly

about this.

- AIR FRANCE

FLIGHT AF346

Please note: the

departure gate for

your fl ight CDG-

YUL on 04/05 has

been changed to

E58. We wish you a

pleasant fl ight.

- AIR FRANCE

CONNECT

CONNECT CONNECT

CONNECT

INFLIGHT SERVICES

APEX | AIRLINE PASSENGER EXPERIENCE

A GREATER DIVERSITY OF TRAVELLERS

Besides a more informed and demanding audience, airlines are

also increasingly welcoming a more diverse audience. Airlines

have traditionally catered to the male business traveller in his

forties, but the growing economic power of women, the greying

of society, and the emergence of more travellers from non-

Western countries is changing this stereotypical passenger.

Many companies today are developing new products and

services aimed specifi cally at women. In the US, women

already make up more than 40 per cent of business travellers,

and 50 per cent of frequent-fl yer programme members.

Although still limited, some airlines have begun to off er specifi c

amenities for female passengers that go beyond the traditional

amenity kit. Lufthansa and Air France publish dedicated

lifestyle magazines for premium female passengers with titles

such as Woman’s World and Madame, while airlines in East

Asia, including Korean Air, ANA and Japan Airlines, have

designated women-only bathrooms on long-haul fl ights.

Another growth segment is senior travellers, most notably the

post-war, baby-boom generation, which is healthier, wealthier

and better educated than previous generations, made up of

people who often want to make up for not being able to see the

world earlier in their lives when air travel was less accessible.

Research shows that senior travellers are willing to spend

money on comfort, such as trading up to extra-legroom seats

and premium economy, as well as on services that take some

of the hassle out of travelling, such as remote check-in and

airport transfers. Senior travellers are also more receptive to

the personal touch; often not confi dent with new self-service

technologies, they prefer to have the option of face-to-face

service. Since many airports are not designed for the older

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Starbucks’ understanding of indulgence, H&M’s obsession

with making up-to-the-minute fashion aff ordable, or Apple’s

prowess in design and usability.”

' is is especially true in the area of IFE as rapid developments

in consumer electronics have been fuelling consumer

expectations of the entertainment off ered onboard. Passengers

want to have access to IFE and connectivity options akin to those

available on the ground. “Technology is the new steak dinner for

the airline world,” says Henry Harteveldt, principal analyst at

Forrester Research. People want to stay charged up, be in control

and stay connected, and airlines must provide that premium

service.” A similar statement comes from former Cathay Pacifi c

CEO Tony Tyler: “' e bar is being set very high by Apple and

others, and our customers don’t understand why we can’t match

it. Meanwhile, by the time an airline IT project comes to fruition,

things have already moved on. ' e consumer market is now

driving innovation, rather than the business market.”

CO-BRANDING

' e popularity of devices like the iPad has led several airlines

to opt for off -the-shelf technology to enhance passenger

experience. For example, American Airlines will replace the

current handhelds in fi rst class with Samsung’s new Galaxy

tablet on routes served by Boeing 757 and 767 aircraft; KLM and

Cathay off er iPads in their lounges, while low-cost airlines such

as Jetstar and Iceland Express rent out iPads onboard.

Many airlines have also teamed up with well-known

brands that stand for quality in a specifi c fi eld in other parts

of the passenger experience. ' ink Starbucks coff ee served

onboard fl ights by United, Alaska Airlines and Porter Airlines,

Nespresso coff ee in SWISS’s First Class, Bulgari amenity kits

for premium passengers on Emirates and Alitalia, and Bose

noise-cancelling headphones in First Class for those fl ying

with American Airlines and Japan Airlines. On the ground,

Paris Charles de Gaulle airport has partnered with brands such

as Sony and Samsung to off er travellers waiting at the airport

free gaming consoles, video rooms and charging poles.

Taking a co-branding approach may also generate

additional revenues for airlines, as consumer brands are

increasingly willing to pay for letting passengers try their

product in a relevant setting.

LIKE HOME

A Sony

Playstation

centre at Paris

CDG airport

INFLIGHT SERVICES

APEX | AIRLINE PASSENGER EXPERIENCE

traveller, with hard-to-read signs, long walking

distances, and lines at check-in, security and

boarding, there is an opportunity for airlines and

airports to develop more premium services on

the ground, which can be fee-based.

Rising disposable income in emerging

economies such as the BRICs and the N-11s

has allowed the rapidly growing middle classes

in these countries to start travelling by air.

According to IATA estimates, the number of air

travellers worldwide will grow from 2.5 billion

passengers in 2009 to 3.3 billion in 2014, with

China alone accounting for more than a quarter

of this growth. Air travel in these countries is

still mainly on domestic and regional routes, but

an increasing number of leisure and business

travellers are fl ying overseas.

" is has led several Western airlines to

employ Asian cabin crews, off er ethnic food

and beverages on board, as well as local

movies, music, newspapers and magazines.

Emirates, whose Dubai hub is strategically

located at the crossroads of major travel routes,

already employs crew from over 130 diff erent

nationalities and rosters cabin crew on each fl ight

who speak English, Arabic and the language

of the destination – in reality, several more

languages may be spoken by the multilingual

cabin crew on each fl ight.

GREEN SKIES

Committed to reducing CO2 emissions and more

fuel-effi cient fl ying, airlines are investing heavily

in new aircraft, cleaner engines and lighter cabin

materials, as well as carrying out trials with

greener fl ight paths and biofuel. " ese initiatives

take place behind the scenes, so to show

passengers that they practise what they preach,

several airlines have set up more customer-

facing green initiatives as well.

For example, UK low-cost airline Flybe

has devised an extensive labelling scheme

providing passengers with information about

the “local environment” (noise rating, CO2

and NOX emissions on landing and take-off ),

“journey environment” (fuel consumption and

CO2 emissions per seat by journey length) and

“passenger environment” (leg-room and the

number of seats) of each of its aircraft. Flybe

displays these eco labels to customers booking a

ticket online, on large stickers at the outside of all

Flybe aircraft and in seat-back pockets.

Onboard recycling is off ered by major airlines

such as Delta, Southwest and Qantas, but also

by relatively small leisure carriers such as UK-

based Monarch Airlines. In 2009, when Monarch

introduced recycling of all aluminium, plastic,

paper and glass used by passengers and crew

during fl ights, Tim Jeans, the airline’s Managing

Director at that time, said: “Feedback from

passengers and crew highlighted the fact that

the recycling of paper, plastics and cans is a part

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of everyday life now, which people wished to

continue. If they were at home they’d be recycling

the items, so why should they not do so on fl ights?”

And to show that they discard old materials in

a responsible way, airlines such as Delta, Virgin

Atlantic, KLM and Finnair have teamed up with

outside designers to “upcycle” old uniforms,

aircraft seats, seatbelts and curtains into stylish

bags and other accessories.

CREATIVE DESTRUCTION

Last but not least, passenger expectations

keep being raised by the upgrade programmes

of airlines, which sees them introduce more

innovative or luxurious products and services,

be it private suites in fi rst class, full-fl at beds in

business or the latest in infl ight entertainment

and connectivity. " e upgraded experience

diff erentiates the airline from its competitors,

who then over the course of several years start

matching the new standard, initiating another

“creative destruction” cycle.

As in other industries, these product cycles

have become shorter. As Air New Zealand’s

General Manager International Ed Sims observed

when the airline introduced its redesigned cabins

earlier this year: “" ere was a time when airlines

in our position could imagine six to seven years

between product refurbishments. " ese days,

customers are so impatient for new developments

that we think, realistically, that product cycles

should be closer to three to fours years.”

Of course, most passengers – especially

business travellers – will continue

to choose their fl ights based on

criteria such as the availability of

direct routes, frequencies, corporate

contracts and frequent-fl yer

membership. However, a growing

number of experienced and

informed travellers are becoming

more value sensitive, and they

will pay for a better experience.

Liberalisation of the aviation

industry means that passengers

now have the choice between many

airlines and business models, and

airlines increasingly must compete

on the overall experience in order to

win and retain customers.

FLYBE ECO-LABELS

UK low-cost airline Flybe

provides environmental details

to their passengers Shoulder bag manufactured

from recycled cabin materials

INFLIGHT SERVICES

QUARTER 3 / 2011