Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita...
Transcript of Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita...
![Page 1: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/1.jpg)
#ATPCOelevate
Kevin Zhang, Travelsky Limited
Development and Trends of Airline Retailing in China
![Page 2: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/2.jpg)
01 Market Change and New Opportunity
![Page 3: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/3.jpg)
Elevate 2019Note: The s tat is t ics don' t inc lude the fore ign a i r l ines
Source :CAAC
Gro
wth
Trend
of
Air Passen
ger Traffic in
Ch
ina
Air Passenger Traffic in China is still growing, but Growth Rate slows down
9.70% 10.30% 13.70%
18.80%
33.30%
22.70%
7.40%
10.00%
6.80%9.50%8.80%
10.60% 10.10% 9.40%10.70%
13.70%15.00%
11.90%
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
0
100
200
300
400
500
600
700
2011 2012 2013 2014 2015 2016 2017 2018 2Q 2019
Number of Passengers Growth Rate (%)Domestic Routes Growth Rate (%)International Routes
![Page 4: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/4.jpg)
Changes in China tourism market with the increase of GDP per capita 2001-2018 (Unit : US$)
Total Tourism Revenue in China 2001-2018 (Unit: Trillion RMB)
0.50.560.490.680.770.891.11.161.291.57
2.252.59
2.953.73
4.134.69
5.4
0 2 4 6
In 2011 , When GDP per capi ta was more than 5000 US dol lars , Ch ina became a mature le isure and vacat ion market .
$ 5000
In 2008 , When GDP per capi ta was more than $3000 , le isure tour ism is booming
.
$3000
In 2001 , When GDP per capi ta was more than $1000 , tour ism market entered a rap id
development era .$ 1000
In 2006 , When GDP per capi ta was more than $2 ,000 , le isure tour ism took of f
.
$ 2000
GDP Per capi ta:64520 .7RMB(About $9509 .8753)
$9509 2018
2017
2016
2015
2014
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
2002
2001
5.97
From 【Business Travel Market】 to 【Leisure Travel Market】
Source: National Bureau of Statistics
![Page 5: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/5.jpg)
Consumers'
Demand
Became
Diversified
Consumers
Prefer Shopping
on the Mobile
Device
Consumers
Developed Online
Consumption Habit
Consumers'
Requirements for
Product
Consistency
Elevate 2019
From 【Stone Age】 to 【 Internet Age】
![Page 6: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/6.jpg)
02 Airlines' Strategy and Change
![Page 7: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/7.jpg)
All Domain of Travel All Touch Points of Passenger
Airlines' Strategy
All Domain of Airline
All Domain ofTransportation
All Domain ofTravel
Booking
Pre-Trip OutBound On Board
Transfer Return Post-Jounrney
ShoppingDream&Planning
![Page 8: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/8.jpg)
Airlines' Change: Promote Airline Direct Channel
Source : Trave lSky
China Air Market Share by Channel
![Page 9: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/9.jpg)
Elevate 2019
【Airlines' Change】
Expand New Channels
![Page 10: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/10.jpg)
Social Media
WeChatMini Program
![Page 11: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/11.jpg)
E-commerce Platform
FliggyFlagship Store
List of Flagship Store in Alibaba's Fliggy
Flagship Store Entrance of China Eastern Airline
![Page 12: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/12.jpg)
NDC
Airline: China Southern Airlines is certified by IATA NDC Level 4 certification
Elevate 2019
IT Provider: TravelSky is certified by IATA NDC Level 4 certification - IT Provider and Aggregatorand working with OpenJaw on Cathay Pacific'sNDC project
Agent: The six big Chinese OTAs/wholesalers are taking NDC contents from both Chinese and foreign airlines
![Page 13: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/13.jpg)
Elevate 2019
【Airlines' Change】
Sell New Products
01
02
03
Branded Fares
Optional Services
Air-Rail Intermodality
![Page 14: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/14.jpg)
Branded Fares
![Page 15: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/15.jpg)
Optional Services
In 2018, Seventeen Domestic Airlines
Five kinds of Optional Services
Cabin Upgrade,17.38%
Baggage,
46.28%
Seat Assignment,36.33%
Other, 1%
Cabin Upgrade
Baggage
Seat Assignment
Other
![Page 16: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/16.jpg)
Air-Rail Intermodality
![Page 17: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/17.jpg)
我们正处在【数字化转型】的十字路口…
We are at the Crossroads of the Airline Retailing Revolution…
![Page 18: Development and Trends of Airline Retailing in China...2019/10/02 · In 2011, WhenGDP per capita was more than5000 US dollars, China becamea mature leisure and vacation market. $](https://reader034.fdocuments.net/reader034/viewer/2022042316/5f04e59d7e708231d41040a3/html5/thumbnails/18.jpg)
#ATPCOelevate