Our airline industry experts cue you in on the top trends in the industry and analyze the impact of these trends for the year ahead. As smartphones make it quick and hassle-free to order goods online, watch a movie, or flag a taxi, the so-called has generated a sense of entitlement with consumers to fast, simple, experiences. Pre-select Business Class meal Many airlines today — ranging from Singapore Airlines to American Airlines — give passengers in Business with the option to pre-select their meal. Flying Food Group's Gin says she sees evidence of that nutritious trend in the uptick of fliers eating fish, white meat chicken and other lean proteins. As a result, European airlines are shedding volume on Europe—Asia routes while yields on intra-Europe flights are shrinking. They are not looking for an over the top airline experience. The mobile bag service feature allows passengers to file a bag claim at their final destination through the Fly Delta app, instead of having to visit the local Delta baggage service office, when Delta sees the bag has missed a checkpoint.
Highly competitive industries generally earn low returns because the cost of competition is high. Trend 5: Increased Focus on the Regulatory and Standardization Route Regulations and directives on standardization will continue to dominate the airline business environment now and in the future. Where the online channel fails, the offline channel — the customer service contact center can take over smoothly to solve customer queries or problems. But the big story from this trend is that airlines are increasingly looking at offshoring for strategic insights to enable better decision-making and superior customer service based on social media analytics. We also noticed a trend between the demographic, economic, and technological sectors when it comes to business travel.
The good news may be in the past, and now is the time for airlines to digitize and reassess their competitive positions. As studies indicate, today the volume of social media communication for some of the world's leading airlines, ranges between 15,000 — 200,000 tweets and between 60,000 — 1,000,000 Facebook fans, but in the near future, the numbers will increase phenomenally. Legacy airlines typically have a 30:70 ratio between fuel and non-fuel costs it should ideally be 40:60. Basic These are cookies needed for the website to work as per your preferences, for example allowing you to view this website at the correct screen size. In addition, online ticketing allows airlines to go after ancillary revenues through personalized and contextual services and offers.
With in-seat power for your laptop or other devices, you can send emails, update spreadsheets or write your presentation during an ultra-comfortable business class flight with Emirates. The opinions expressed are those of the writer. The airline also provides its business class customers with 18-inch entertainment screens. Technology is disrupting most industries today, and the airline industry is no exception. To quell desires for satisfying-yet-light grub, the peanuts and pretzels of airline-aisle infamy are being replaced with intricate snacks that more closely resemble mini-meals.
Probably not unless you are analyzing a luxury liner like the Concord Jet. Other airlines provide similar programs, like Turkish Airlines' Flying Chef service, though few in-flight chef services have been lauded quite as much as Etihad's; the airline won the 2012 World Airline Award for Best First Class Onboard Catering. By Raymond Kollau November 2017 Finnair has been the first European airline to take delivery of the A350-900 and the third carrier worldwide after Qatar Airways and Vietnam Airlines. They are expected to surpass mainline carriers 4. In the Diamond First Class cabin on most of Etihad's international flights, fliers are greeted by a formally trained chef who promises to handcraft meals that meet the needs of each passenger. Alliances allow airlines to integrate their resources and provide travelers a more satisfying experience.
Next stage innovation for airlines Having gone through challenging times as an industry, airlines are capitalising on new technologies to deliver the best possible experience and will continue to innovate by improving seating and catering, convenience, comfort and the check-in process, and even by creating business-focused flights. For legacy airlines, express cargo opens the door to new opportunities, and the Internet offers a great way for airlines to streamline the business processes involved in managing express cargo. Brand name recognition and frequent fliers point also play a role in the airline industry. Delta One — are available on long-haul international flights and on select long-haul domestic flights too. Airlines have been enjoying a very favorable cost position, primarily as a result of steep declines in fuel costs. Food Delivery Platforms One of the areas where the on-demand economy has had an enormous impact is food delivery.
June 2017 As ancillary revenues are on the agenda of every airline, much has been written and said about the grand vision of airlines as omni-channel retailers, in which the in-flight part is just another touchpoint in an end-to-end, personalized, seamless, digital travel eco-system. With air travelers becoming tech-savvy, airlines have the opportunity to leverage the digital medium to further optimize costs and improve customer experience. With its ability to extract crucial information from a huge pile of data that helps businesses make sound business decisions, analytics is emerging as a strategic enabler for the airlines business. Analysis includes market sizes and forecasts, market trends, market segmentation, competitive context, broken down segment performances, retail channels, consumer demographics and survey results, leading companies, brand share, marketing strategies, and more. Watch for major disruptive changes in air transportation. Going Mobile While on the Move The first business travel trend is not new, but is one that continues to evolve year after year as travelers are increasingly dependent on mobile devices and travel related apps.
Some private accommodation and ride-hailing brands just finding their legs in 2009 already sit side by side with the titans of travel. For this reason, there isn't a lot of cutthroat competition among suppliers. Business class passengers can enjoy high-quality cuisine recommended by top chefs on board a Lufthansa business class flight. By December 2015, the prices had declined by almost 45 percent and were at the same level as they were in 2005. Connected industrial equipment with sensors, actuators, and data exchange will drive new sales growth, but to invest in digital technologies, companies will have to free up capital by honing their product offerings. Similarly, Air Canada's NutriCuisine menu was developed through a partnership with the healthy eating program, Food with a Conscience.
You can also stay connected while traveling on United with WiFi available for purchase on most flights. Business travel is a huge portion of the airline industry, but as new technologies arise, such as Skype, business meetings can be held via internet video chat, rather than having professional fly to one another. While regulation envisages increased safety of passengers and improved sustainability of the business, compliance adds to the total cost of operations. At the same time, airlines need to use digitization to enhance and optimize operations — to reduce costs while improving service. In 2018, the chemicals industry may be approaching more profitability. Simply put, airlines must combat ticket commoditization by developing, alone or in partnership with global distribution systems, enhanced merchandising applications that will allow them to cross-sell and upsell using their privileged access to millions of global travelers. As indicated by market research data, almost 75 percent of air tickets today are bought online.
For many service-related complaints and challenges, passengers still prefer to 'speak' with a customer service agent. Since new regulations are a given for the global airlines industry, airlines must engage in a compliance program that can optimize business processes and transform operations. But with demand high, the sector could be heading into a supply crunch. With wider seats, you can turn, you can move your legs, and that compensates for pitch to a certain extent. It has also altered the way in which people live and conduct business by shortening travel time and altering our concept of distance, making it possible for us to visit and conduct business in places once considered remote. This is due to some lack of capacity discipline, especially involving Latin American routes, where yields have softened. With fuel costs continuing to rise, this greatly impacts the economic sector.