Digital ecosystems and the passenger experience

36

Transcript of Digital ecosystems and the passenger experience

Page 1: Digital ecosystems and the passenger experience
Page 2: Digital ecosystems and the passenger experience

World Passenger Symposium 2016World Financial Symposium 2014

World Passenger Symposium 18 – 20 October 2016 JW Marriott Marquis – Dubai, UAE

Page 3: Digital ecosystems and the passenger experience

World Passenger Symposium 2016World Financial Symposium 2014

Passenger Experience

Page 4: Digital ecosystems and the passenger experience

World Passenger Symposium 2016World Financial Symposium 2014

Digital Ecosystems and the Passenger Experience

Page 5: Digital ecosystems and the passenger experience

World Passenger Symposium 2016World Financial Symposium 2014

How to Use Big Data to Drive Customer Insights

Angelo ContrerasSr. Manager, Global Product Marketing

Sabre

Page 6: Digital ecosystems and the passenger experience

1confidential | ©2016 Sabre GLBL Inc. All rights reserved.confidential

Creating A Digital Ecosystem To Empower A Customer-Centric Digital Experience

19 Oct 16 • Angelo Contreras

Page 7: Digital ecosystems and the passenger experience

2confidential | ©2016 Sabre GLBL Inc. All rights reserved.

The Game Has Changed For Airlines: A New Paradigm Of Customer Engagement

Need For Differentiation

Owning the experience

Risingcustomer

expectation

2confidential | ©2016 Sabre GLBL Inc. All rights reserved.

Page 8: Digital ecosystems and the passenger experience

3confidential | ©2016 Sabre GLBL Inc. All rights reserved.

Customer Expectation: The Bar Has Been Set By Other Service Experiences

33confidential | ©2016 Sabre GLBL Inc. All rights reserved.

Page 9: Digital ecosystems and the passenger experience

4confidential | ©2016 Sabre GLBL Inc. All rights reserved.

Differentiation: Deliver On Your Brand And Capture The Customer’s Willingness To Pay

Selling Seats(reservations)

Selling Products(merchandising)

Selling Holistic Experiences (retailing)

Source: http://www.oracle.com/us/dm/ora-rightnow-whitepaper-12-10719-1882784.pdf

444confidential | ©2016 Sabre GLBL Inc. All rights reserved.

%Of customers are willing to pay a premium for a superior sales and service experience

Page 10: Digital ecosystems and the passenger experience

5confidential | ©2016 Sabre GLBL Inc. All rights reserved.

Own The Experience: Airline Digital Customer Engagement Must Improve To Compete

Influencing customers is

difficult when you don’t control the

engagement

Inspire Personalize ConvertAcquire Fulfill

Day of travel Post-tripBook Pre-tripInspire Shop

High Competitive Pressure Airline In Control

SearchEngines

OTAs

SocialNetworks

TravelApps

Airline App

SocialNetworks

OtherAirlines

TravelAgents

Page 11: Digital ecosystems and the passenger experience

6confidential | ©2016 Sabre GLBL Inc. All rights reserved.

Present Your Unique Offering With A Customer Centric Retailing Platform

6confidential | ©2015 Sabre GLBL Inc. All rights reserved.

Page 12: Digital ecosystems and the passenger experience

7confidential | ©2016 Sabre GLBL Inc. All rights reserved.

SabreSonic Digital ConnectAPI-Enabled Digital Ecosystem

SABRE CUSTOMER-CENTRIC RETAILING PLATFORMNDC-Enabled

Airline-CustomDigital Channels

SabreSonic Digital

ExperienceSabreSonic Interact

Agent Interface

Sabre Red Agency

Workspace

SabreSonic Mobile

Concierge

Page 13: Digital ecosystems and the passenger experience

8confidential | ©2016 Sabre GLBL Inc. All rights reserved.

51M

$

*Study based on 20 million PB carrier with $4 billion annual revenue and 40 percent international passengers over 5 years

*

confidential | ©2016 Sabre GLBL Inc. All rights reserved. 8

Efficient App Development

Consistent Experience

Increase Conversions

Third Party Integration

Scale

Time to Market

Customizable

The Value Of An API-Enabled

Digital Ecosystem

Page 14: Digital ecosystems and the passenger experience

9confidential | ©2016 Sabre GLBL Inc. All rights reserved.

Enables New Capabilities

Core Technology Innovation Delivering Flexibility and Control To Our Airlines

Key Investments With Strategic Partners

Airline Control And Flexibility• Dynamic API Ecosystem• Full Functionality• Tight Core Integration• Decoupled Releases• Fully Customizable

Page 15: Digital ecosystems and the passenger experience

10confidential | ©2016 Sabre GLBL Inc. All rights reserved.

H e a d q u a r t e r sMexico City, Mexico

P a s s e n g e r s B o a r d e d~20 million (2015)A n n u a l R e v e n u eMXN $47.9 B (2015)

Objective

Aeromexico: New Digital Capabilities To Realize Revenue Opportunities

Results• Improve customer payment options• Enable consistency across channels

with responsive design• Inspire and engage travelers

• Drove total conversion increase of 8%• Increased online sales by 3x from 2014

to 2016• Increased mobile traffic by 40% in 2016

Total IncreaseIn Conversions

+8%confidential | ©2016 Sabre GLBL Inc. All rights reserved. 10

Page 16: Digital ecosystems and the passenger experience

11confidential | ©2016 Sabre GLBL Inc. All rights reserved.

• Redefine digital brand• Enable new capabilities post-

booking and day of travel• Develop a mobile app that is

scalable and customizable

Goal

• Deployed new native app using SabreSonic Digital Connect in April 2016

• New indoor map of AUH• Significant increase in mobile

visits and total visits

Results

Etihad: Accelerate Innovation To Improve Customer Engagement

H e a d q u a r t e r sAbu Dhabi, UAE

P a s s e n g e r s B o a r d e d17.4 million (2015)A n n u a l R e v e n u eUSD $9.02 B (2015)

confidential | ©2016 Sabre GLBL Inc. All rights reserved. 11

YOY Growth Of Mobile Visits

+60%

Page 17: Digital ecosystems and the passenger experience

World Passenger Symposium 2016World Financial Symposium 2014

The End to End Passenger Experience and Digital Innovation

Henry HarteveldtFounder

Atmosphere Research Group

Page 18: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited

End-To-End Passenger Experiences

19 October 2016Henry H. Harteveldt, Founder, Atmosphere ResearchTwitter: @hharteveldt

1

Page 19: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited

About Atmosphere Research

• Founded September 2011

• Independent, objective travel industry researching analysis

• Focused on intersection of travel brands, travelers, and technology

• Digital commerce, distribution, loyalty marketing, product strategy, brand strategy, messaging

2

Page 20: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited

Initial Steps Towards End-To-End Experiences Have Been Launched

3

United Airlines/Uber Lufthansa/Rimowa Arke-TUI F&B/Duty-Free

Photo credits: Harteveldt, Wired, MI Airline Via AirlineTrends

Page 21: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited4

A “Story Arc” Spans Each Passenger’s Journey

© Atmosphere Research Group, LLC

Destination

Check-In

Pre-Trip

Book

Plan

Dream

Share

DreamCheck-Out

Channels, content, offers, etc.

Passenger journey(“Story arc”)

Page 22: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited5

The “Three I” Construct Can Provide Focus In Developing End-To-End Experiences

ImmediacyStemming from an increasingly mobile-based, “always connected” society.

IndividualismReflecting travelers’ expectations of hyper-personalized experiences and interactions

InspirationTo meet travelers’ expectations set by non-travel digital experiences, and the need to distinguish brands/products from competitors

Page 23: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited6

End-To-End Experiences Start And End In Our Hands

ImmediacyStemming from an increasingly mobile-based, “always connected” society.

Page 24: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited

Mobile isn’t “a” channel. Mobile is the channel.

7

Page 25: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited8

US Airline Passenger Mobile Device Forecast, 2015-2021

84% 83% 81% 79% 76% 73%69%

85%91% 94% 96% 97% 98% 98%

71%75%

80%84%

88% 91% 93%

7% 8% 9% 11% 13% 16% 19%

0%10%20%30%40%50%60%70%80%90%

100%110%

YE 2015 YE 2016 (f) YE 2017 (f) YE 2018 (f) YE 2019 (f) YE 2020 (f) YE 2021 (f)

Laptop Smartphone Tablet Smartwatch

(f): ForecastSource: Atmosphere Research Group forecast

Page 26: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited9

UK Airline Passenger Mobile Device Forecast, 2015-2021

85% 85% 83% 82% 80% 77%73%

76%81% 84% 87% 89% 91% 93%

63%67%

72%78%

84%88%

92%

6% 6% 7% 8% 10% 12% 15%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

YE 2015 YE 2016 (f) YE 2017 (f) YE 2018 (f) YE 2019 (f) YE 2020 (f) YE 2021 (f)

Laptop Smartphone Tablet Smartwatch

(f): ForecastSource: Atmosphere Research Group forecast

Page 27: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited10

“Mobile” Extends Into New Areas, Form Factors

Photo credits: Samsung, DuoSkin/MIT Media Lab, OnTheGo/MIT Media Lab, Google Images

Page 28: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited11

End-To-End Experiences Must Serve The Customer Of One

ImmediacyStemming from an increasingly mobile-based, “always connected” society.

IndividualismReflecting travelers’ expectations of hyper-personalized experiences and interactions

Page 29: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited12

Airlines and airports need to use their customer data to get to know passengers almost as well as their

best friendsPhoto credit: Google Images

Page 30: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited13

Passengers want airlines and airports to use their data to create customized offers and promotionsPhoto credit: Google Images

Page 31: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited14

Passengers want airlines and airports to track the optional products they buy and inform them when

availablePhoto credit: Google Images

Page 32: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited

Passengers want airlines to text them relevant offers for their flights and at their destinations

15

Photo credit: Google Images

Page 33: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited16

Make Passengers Care About What You Offer

ImmediacyStemming from an increasingly mobile-based, “always connected” society.

IndividualismReflecting travelers’ expectations of hyper-personalized experiences and interactions

InspirationTo meet travelers’ expectations set by non-travel digital experiences, and the need to distinguish brands/products from competitors

Page 34: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited17

Create rich, immersive experiences across platforms

Photo credit: HM.com

Page 35: Digital ecosystems and the passenger experience

© 2016 Atmosphere Research Group, LLC. All rights reserved.Reproduction and redistribution prohibited

Thank You

Henry H. [email protected]: @hharteveldt

18

Page 36: Digital ecosystems and the passenger experience

World Passenger Symposium 2016World Financial Symposium 2014

Digital Eco SystemsModerator:Ö Henry Harteveldt, Founder, Atmosphere Research GroupPanelists:Ö Christina Cassotis, CEO Pittsburgh AirportÖ Neetan Chopra, Senior Vice President- IT Strategic Services, EmiratesÖ Max Coppin, Partner Development Manager, Travel Practice, GoogleÖ Neil James, VP Middle East and Africa, Panasonic AvionicsÖ Rogier van Enk, Head of Commercial Strategy, Distribution & Data Science, Finnair

Slido.com Code: 6246