The aviation industry is a dynamic, ever-evolving sphere, constantly adapting to meet the demands of an increasingly global and interconnected world. As we move towards 2024, the industry is gearing up for significant transformations that will redefine how we travel, conduct business, and connect with one another. These shifts are powered by advancements in technology, changing geopolitical landscapes, and a renewed emphasis on sustainability.
In this article, we’ll take a deep dive into the ten biggest trends set to reshape the aviation industry in 2024. We’ll explore the rise of sustainable aviation fuels, the impact of geopolitical disruptions, the shift from air to rail, the potential global recession, and the role of artificial intelligence. We’ll also delve into advanced air traffic management, the burgeoning Asian market, personalized passenger experiences, health and safety measures in the post-Covid era, and the exciting prospects of drone delivery and urban air mobility.
As we navigate these trends, our focus will be on how the industry can transform challenges into opportunities. We’ll highlight the strategies that airlines and airports can adopt to stay ahead of the curve, delivering superior services to their customers while also driving growth and sustainability.
This comprehensive analysis will offer valuable insights for anyone associated with the aviation industry and those keen on understanding its future trajectory.
1. Sustainable Airline Fuels (SAF) and Bio-Fuels
SAFs have the potential to significantly reduce the carbon footprint of aviation. They are produced from sustainable resources such as waste oils and agricultural residues, offering a viable and environmentally friendly alternative to conventional jet fuels.
Airlines and airports must work together to develop the necessary infrastructure and logistics to accommodate this transition, ensuring that the switch to SAFs is both sustainable and economically viable.
The move to SAFs will also require regulatory support and incentives. Governments and aviation authorities can play a key role in facilitating this transition by providing policy frameworks and financial incentives that encourage the use of these fuels. For airlines, the switch to SAFs can offer significant benefits such as improved public image, potential cost savings in the long term, and alignment with global environmental goals.
Moreover, the use of SAFs can help airlines attract eco-conscious customers, who are increasingly considering the environmental impact of their travel choices. By offering greener travel options, airlines can differentiate themselves in a competitive market and enhance their customer appeal.
The Push Towards SAFs: Key issues
- Transition to SAFs to reduce CO2 emissions
- Development of infrastructure and logistics to support SAF usage
- Regulatory support for SAF adoption
Challenges and Possible Solutions
- High cost and limited availability of SAFs: Investment in SAF production and supply chain could reduce costs and increase availability.
- Regulatory barriers: Collaboration between airlines, governments, and regulatory bodies to develop supportive policies.
2. Geopolitical Disruption
In an increasingly interconnected world, geopolitical disruptions can have far-reaching effects on the aviation industry. From conflicts to economic sanctions, these disruptions can lead to sudden changes in oil prices, affecting the cost of jet fuel and ultimately the pricing of fares. Airlines need to develop robust strategies to manage these risks, including hedging fuel costs and dynamically adjusting routes and schedules based on evolving geopolitical situations.
Virtual interlining offers a promising solution to these challenges. By enabling airlines to provide seamless travel across multiple carriers, virtual interlining can help airlines adapt to sudden changes in routes due to geopolitical disruptions. This flexibility not only ensures service continuity but also enhances customer satisfaction by minimizing disruptions to their travel plans.
Moreover, airlines can leverage advanced data analytics and AI to predict and respond to geopolitical disruptions. By analyzing historical data and current geopolitical trends, these technologies can help airlines forecast potential disruptions and develop proactive strategies to mitigate their impact.
Navigating Geopolitical Challenges: Key Issues
- Development of strategies to manage risks associated with geopolitical disruptions
- Adoption of virtual interlining to maintain service continuity
Challenges and Possible Solutions
- Sudden changes in oil prices and flight routes: Leveraging data analytics and AI for predictive modeling and proactive decision-making.
3. The Shift from Air to Rail in the EU
The trend towards rail travel in Europe is driven by both environmental concerns and government policy. Rail travel generates significantly less CO2 emissions than air travel, making it a more sustainable option for short to medium distance travel. In response, many European governments (with France leading the charge on this issue) are encouraging this shift by investing in high-speed rail networks and implementing policies that discourage short-haul flights.
While this trend presents a challenge for airlines, it also offers opportunities. Airlines can partner with rail companies to offer seamless multi-modal travel experiences, combining the speed of air travel for long distances with the environmental benefits of rail travel for shorter segments. This can enhance customer convenience while also reducing the environmental impact of travel.
In addition, airlines can leverage their expertise in logistics and customer service to diversify into the rail sector. By offering high-quality rail services, airlines can not only retain their customer base but also attract new customers who prefer more sustainable travel options.
Embracing Multi-modal Travel: Key Issues
- Partnering with rail companies to offer seamless multi-modal travel experiences
- Leveraging airline expertise to diversify into rail sector
Challenges and Possible Solutions:
- Reduced demand for short-haul flights: Development of hybrid models combining air and rail travel for optimal efficiency and sustainability.
4. Economic Headwinds
The potential for a global recession presents significant challenges for the aviation industry. Reduced consumer spending can lead to a decrease in passenger movements, impacting airline revenues. In response, airlines need to develop flexible business models that can adapt to changing economic conditions. This includes offering more affordable travel options, optimizing routes based on demand, and finding ways to reduce operational costs.
In uncertain economic times, customer loyalty becomes even more important. Airlines need to focus on enhancing the customer experience, from booking to arrival, to ensure customer retention. This includes offering flexible booking options, providing exceptional customer service, and leveraging technology to streamline the travel process.
Moreover, airlines can explore new revenue streams to mitigate the impact of reduced passenger movements. This includes ancillary services such as in-flight entertainment and connectivity, premium seating options, and personalized services. By diversifying their revenue streams, airlines can better weather economic downturns and ensure long-term sustainability.
Adapting to Economic Uncertainties: Key Issues
- Development of flexible business models to adapt to changing economic conditions
- Focus on enhancing customer experience to ensure customer retention
Challenges and Possible Solutions
- Decrease in passenger movements and airline revenues: Diversification of revenue streams through ancillary services and partnerships.
5. Artificial Intelligence (AI) and Automation
AI and automation are transforming the aviation industry, offering numerous benefits including operational efficiency, cost savings, and improved customer experience. In aircraft maintenance, predictive analytics can help identify potential issues before they become major problems, reducing downtime and maintenance costs. In baggage handling, automation can speed up processing times and reduce the risk of lost or delayed baggage.
In customer service, AI can provide personalized experiences based on customer preferences and behaviors. This could include personalized marketing offers, tailored in-flight services, and dynamic pricing. By providing a more personalized service, airlines can enhance customer satisfaction and loyalty, driving increased revenues.
Moreover, AI can help airlines optimize their operations and decision-making. From dynamic route planning to demand forecasting, AI can provide valuable insights that enable airlines to operate more efficiently and effectively. As the technology continues to evolve, the possibilities for AI in aviation are virtually limitless.
Leveraging AI for Operational Efficiency: Key Issues:
- Use of predictive analytics for aircraft maintenance
- Automation of baggage handling processes
Challenges and Possible Solutions
- High upfront investment in AI technology: Exploration of partnership models or phased implementation to manage costs.
- Privacy concerns: Adoption of robust data governance practices to ensure privacy compliance and build customer trust.
6. Advanced Air Traffic Management
Advancements in air traffic management technologies are set to transform airspace systems, increasing efficiency, reducing delays, and enhancing safety. AI-powered aircraft routing can optimize flight paths, reducing fuel consumption and minimizing flight times. Dynamic airspace configurations, enabled by real-time data analysis, can adapt to changing traffic conditions, ensuring efficient use of airspace. And enhanced ground operations, leveraging automation and data analytics, can streamline airport processes, reducing turnaround times and improving passenger experience.
For airlines, these advancements can improve operational efficiency, reduce costs, and enhance service reliability. By reducing delays, airlines can ensure more on-time arrivals, enhancing customer satisfaction and loyalty. Furthermore, efficient air traffic management can enable more flights without requiring additional infrastructure, supporting growth without significant capital investment.
For airports, advanced air traffic management can enhance capacity and throughput, enabling them to handle more flights without compromising safety or efficiency. This can attract more airlines to the airport, driving revenue growth.
Moreover, by reducing ground delays, airports can improve the passenger experience, enhancing their reputation and competitiveness.
Transforming Airspace Systems: Key Issues
- AI-powered aircraft routing for optimal flight paths
- Dynamic airspace configurations for efficient use of airspace
Challenges and Possible Solutions
- High cost and complexity of implementing advanced technologies: Phased implementation and leveraging of partnerships to share costs and expertise.
7. Rise of the Asian Market
Asia’s growing middle class, with its increasing disposable income and appetite for travel, presents a significant opportunity for airlines and airports. Countries like China and India are seeing a surge in air travel demand, driven by economic growth and urbanization. To tap into this growing market, airlines need to understand the unique needs and preferences of Asian travelers and tailor their offerings accordingly.
However, the Asian market also presents challenges, including intense competition, regulatory hurdles, and infrastructure constraints. Success in this market requires a deep understanding of local cultures, business practices, and regulatory environments. Airlines need to build strong local partnerships and invest in market research to navigate these challenges and seize the opportunities.
Moreover, the rise of the Asian market is reshaping global aviation networks. Traditional hub airports in Europe and North America are facing competition from emerging hubs in Asia. To stay competitive, these traditional hubs need to adapt their strategies, focusing on service excellence, connectivity, and efficiency.
Tapping into the Asian Market: Key Issues
- Understanding the unique needs and preferences of Asian travelers
- Building local partnerships to navigate market challenges
Challenges and Possible Solutions
- Intense competition and regulatory hurdles: Deep market research and local partnerships to understand and navigate the market effectively.
- Virtual interlining technologies can enable smaller, regional airports to become more agile and offer additional connections and travel locations for passengers in expanding regions.
8. Personalized Passenger Experience
Personalization is becoming a key differentiator in the aviation industry. Thanks to advances in data analytics and AI, airlines can now understand their customers better than ever before. They can use this insight to provide personalized services and offers, enhancing customer satisfaction and loyalty.
For instance, airlines can tailor their marketing messages based on individual customer preferences and behaviors, increasing the effectiveness of their marketing efforts. They can also personalize inflight services, such as meal choices, entertainment options, and seating preferences, enhancing the travel experience.
However, personalization also raises privacy concerns. Airlines need to ensure that they handle customer data responsibly and transparently, complying with data protection regulations and respecting customer privacy. By doing so, they can build trust with their customers, which is crucial to the success of their personalization efforts.
Enhancing Customer Experience through Personalization: Key Issues
- Tailoring marketing messages and services based on customer preferences
- Leveraging data analytics to enhance personalization
Challenges and Possible Solutions
- Privacy concerns: Ensuring responsible and transparent handling of customer data to build trust and comply with regulations.
9. Health and Safety Measures Post-Covid
The Covid-19 pandemic has brought health and safety to the forefront of the aviation industry. Enhanced cleaning protocols, social distancing measures, and contactless technologies have become the norm, and are likely to remain so in the foreseeable future.
These measures not only protect passengers and staff, but also help to rebuild customer confidence in air travel. Airlines that prioritize health and safety can differentiate themselves from competitors and attract health-conscious travelers.
However, implementing these measures can also pose challenges, including increased operational complexity and costs. Airlines need to find ways to efficiently implement these measures without compromising operational efficiency or customer experience. This could involve leveraging technology, such as AI and automation, to streamline health and safety procedures.
Prioritizing Health and Safety: Key Issues
- Implementing enhanced cleaning protocols, social distancing measures, and contactless technologies
- Rebuilding customer confidence in air travel
Challenges and Possible Solutions
- Increased operational complexity and costs: Leveraging technology to streamline health and safety procedures and manage costs.
10. Drone Delivery and Urban Air Mobility
Drone delivery and urban air mobility are set to transform the aviation industry. Drones offer a fast and cost-effective way to deliver goods, particularly in urban areas with heavy traffic. For airlines and airports, this presents an opportunity to diversify their services and create new revenue streams.
Urban air mobility, which involves the use of small aircraft for short-distance travel in urban areas, could also become a reality in the near future. This could transform the way people travel, offering a fast and convenient alternative to traditional ground transportation.
However, these trends also present challenges, including regulatory hurdles, safety concerns, and public acceptance. Airlines and airports need to work with regulators, technology providers, and the public to address these challenges and make drone delivery and urban air mobility a reality.
Transforming Aviation with Drones and Urban Air Mobility
- Exploring drone delivery as a new service offering
- Preparing for the emergence of urban air mobility
Challenges and Possible Solutions
- Regulatory hurdles and safety concerns: Collaborating with regulators, technology providers, and the public to address safety and regulatory challenges.
Introduction: The Power and Potential of Regional Airports
Regional airports, often overshadowed by their larger counterparts, serve as vital connections for many Europeans. These hubs are essential for residents in peripheral areas, fostering economic growth and providing pivotal links for businesses and families alike.
However, they’re not without challenges. The growth of these airports has been stymied, largely due to the operational limitations posed by carrier restrictions. This is where the power of virtual interlining enters the fray.
The State of European Regional Airports
While regional airports cater primarily to low-cost or regional carriers operating seasonal routes to leisure destinations. When it comes to low cost carriers, their main limitation is the absence of interline agreements. This absence can sometimes create a ripple effect across other airline operations at regional airports and compounds the need for virtual interlining.
Limited Direct Connectivity
For destinations not served by these airports, passengers must often resort to ground transportation to larger hub airports, resulting in longer, more convoluted travel itineraries.
Inconvenient Scheduling: The infrequency of some routes means travelers often cannot find roundtrip options on their preferred dates, pushing them towards larger hubs.
These challenges invariably affect profitability and the broader growth trajectory for regional airports.
Decoding Virtual Interlining
Once an obscure industry term, virtual interlining is now gaining traction. Here’s a simple breakdown:
What is it? OTAs, over the past decade, have popularized the concept of combining flights from carriers without interline agreements, offering passengers cohesive transfer or roundtrip itineraries.
The Benefit? This strategy can significantly enhance the connectivity of regional airports, offering passengers increased flexibility ” with one -stop to reach the world” from your home airport, in turn, augmenting airport growth.
Strategizing Virtual Interlining: The Extended 4Ps Approach
We delve deeper into the benefits and list a few ways how airports can optimize their approach to virtual interlining:
Roundtrips: Beyond offering additional services like fast-track or lounge access, regional airports can consider partnerships with nearby hotels or tourist attractions, creating bundled deals that enhance traveler experience.
Mix & Match: Existing carriers can adopt an mix and match approach to their routes via single leg virtual interlining for example.
Transfers: Beyond the through-check of luggage between non-interlined carriers, consider initiatives like dedicated transfer desks or express security checks for passengers with tight connections.
Exploring pricing dynamics:
Carriers: Establish a tiered incentive system where carriers that achieve certain virtual interlining booking thresholds receive progressively higher discounts on aviation fees.
Passengers: Create a loyalty program offering discounts or rewards for passengers who frequently book virtual interlining flights via specific OTAs.
Broaden the distribution channels:
Local Travel Agencies: Organize workshops and training programs, ensuring travel agents are well-versed in the benefits and processes of virtual interlining.
Airport Websites: Integrate interactive tools and widgets that educate travelers on the benefits of virtual interlining, enhancing their booking experience.
Airline Websites: Explore collaborations where airlines’ marketing materials highlight the benefits of virtual interlining, leading to informed decisions by passengers.
Direct Marketing: Use targeted email campaigns, leveraging analytics to tailor promotions to frequent travelers or those previously interested in destinations not directly served by the regional airport.
Reinforce promotion strategies:
Local Influencers: Identify and partner with micro-influencers who have a niche, engaged audience that matches the airport’s target demographic.
Traditional Methods: Organize community engagement events or roadshows, creating a direct dialogue with potential travelers.
The Bigger Picture: Virtual Interlining’s Long-term Impact
Virtual interlining doesn’t merely present an immediate solution; it promises a transformative impact on the regional aviation landscape in Europe. As regional airports embrace this, they:
Enhance Passenger Experience: Seamless connections, reduced travel times, and added services mean happier travelers.
Boost Profitability: More bookings directly translate to higher revenues.
Promote Sustainability: By reducing the need for ground transportation to larger hubs, virtual interlining can contribute to decreased carbon emissions.
We can help
Embracing innovation is not a luxury but a necessity for regional airports in Europe. With virtual interlining, these airports have a golden opportunity to redefine their operational landscape, promising growth, enhanced passenger experiences, and a brighter future.
Airsiders can help your regional airport take the first steps towards interlining. Get in contact with us to see what is possible.
In today’s hyperconnected world, industries across the board are tapping into the transformative power of technology. The aviation industry is no exception, yet there remains a glaring anomaly.
Despite the proliferation of mobile apps, only a scant 7% of travelers use an airport app. What lies behind this disconnect, and what might the future of airport digital engagement look like?
The Enigma of the 7%
To understand this startling figure, we must first delve deep into the factors responsible for the minimal adoption of airport apps:
- The Engagement Timing Dilemma: By and large, passengers initiate their interaction with the airport at a point where the journey is about to commence. This late engagement diminishes the window for digital influence. Before this point, interactions largely revolve around airlines and travel platforms, leaving airports out of the equation.
- The Local Traveler Bias: Local and frequent fliers are the primary beneficiaries of these apps. For them, downloading and engaging with the app is a valuable proposition. In contrast, a vast majority of travelers resort to ad hoc internet searches or navigate the airport website, opting against the perceived inconvenience of an additional app download.
- The Personalization Gap: While airport apps present structured data, they often fall short in delivering a personalized user journey. The absence of bespoke itineraries, offers, or information tailored to an individual traveler’s needs severely impacts the user experience and overall app retention.
It’s intriguing to consider that in an age marked by a global surge in app adoption, airports have channeled significant capital into app development. Still, without robust promotional channels and tangible user value, the investment yield remains subdued.
Repercussions for the Airport Ecosystem
The implications of low app adoption are multifaceted and resonate deeply within the airport ecosystem:
- Opportunity Cost: The failure to engage passengers prior to their airport arrival signifies lost revenue opportunities, especially for lucrative services like parking, lounges, and fast-track security.
- Compromised Service Delivery: Once the traveler steps into the airport, the chance to offer real-time updates, guidance, or a hyper-personalized experience is greatly reduced, detracting from the overall service quality and passenger satisfaction.
Envisioning a New Era of Digital Engagement
If traditional mobile apps aren’t the panacea to the airport’s digital woes, what could be the way forward?
1. Expanding Reach Through Strategic Alliances:
To tap into the elusive 93% who remain disengaged, collaborations with airlines, retail providers, and travel platforms are paramount. These entities can actively promote the airport’s digital offerings, channelling their expansive user base towards increased airport engagement.
2. Prioritizing User Accessibility:
The era of app saturation has instilled a sense of app fatigue among users. To circumvent this, a digital platform accessible via the web, sans the need for downloads, can prove invaluable.
3. Pioneering Personalization:
The future of digital engagement hinges on personalization. Platforms must be designed to offer curated experiences, taking into account individual travel details, personal preferences, and specific travel circumstances.
4. Savvy Monetization Strategies:
Once users are onboarded and engaged, monetization avenues multiply. Dynamic, contextually relevant promotions, both from the airport and affiliated third parties, can be introduced to enhance revenue streams. The key lies in offering timely and tailored promotions at pivotal points in the traveler’s journey, ensuring relevance and maximizing engagement.
Airsiders’ Revolutionary Approach with the Airport Webapp
This vision isn’t confined to the realms of ideation. Airsiders’ groundbreaking Airport Webapp offers a tangible glimpse into the future of airport digital engagement.
Here’s how it’s revolutionizing the landscape:
- A User-Centric Interface: Passengers can seamlessly input their itineraries and personalize their travel details.
- Immersive Visual Experience: A visually arresting interactive map offers a step-by-step preview of the journey, making trip planning intuitive and enjoyable.
- Dynamically Curated Promotions: With sophisticated algorithms at play, users are presented with promotions that align with their preferences and journey stages, optimizing conversion rates.
- Real-time Wallet Pass Feature: This innovation ensures users stay updated in real time, cementing the platform’s utility quotient.
The plug-and-play nature of the WebApp allows seamless integration into diverse channels – from airport websites to interactive monitors. The cherry on the cake? As a web-based solution, it’s primed for easy integration with travel platforms and websites, amplifying its reach.
The Flight Path Ahead
In the grand tapestry of the aviation industry, digital transformation remains an ongoing journey. The onus lies on airports to keep pace, continuously innovate, and offer enhanced user experiences. The pivot from traditional app models to more expansive, web-based platforms signifies a step in the right direction.
As airports globally seek to redefine passenger experiences, the collaborative synergy between airports and entities like Airsiders presents a promising horizon. With tailored solutions like the Airport Webapp leading the charge, the future of airport digital engagement seems not only bright but boundless.
For those at the crossroads, pondering their next digital strategy move, the answer might just lie in broadening horizons and embracing this new era of engagement.
If this paradigm shift resonates with your vision, it’s time to join the journey. Engage with us to explore the possibilities.
In a world that is rapidly advancing with innovative technologies at its core, the travel industry is undergoing a radical transformation. Airports, which once solely stood as physical landmarks for travel transitions, are now emerging as pivotal nodes in the digital ecosystem of the travel experience. One such revolution in enhancing the traveller experience is the ‘Door-to-Gate’ concept.
The Pre-travel Passenger Engagement Dilemma
Currently, airports have a conundrum. Their myriad of services and offers remain, for the most part, unseen by passengers until they physically arrive at the airport. Up until that moment, it’s predominantly the airlines or travel platforms through which passengers have made bookings that stay in constant touch. Airports, though bustling with options, often remain a silent partner.
Travellers today have an array of concerns before they even reach the airport. For first-time travellers or visitors, the common queries include:
- “When should I leave for the airport?”
- “Which transport method would get me there the fastest?”
- “How long will it take for me to navigate through the airport?”
- “Where can I find good food options once I’m there?”
While a quest for answers might direct them to the airport website, the information they get isn’t personalized. It’s a generic overview. This impersonal interaction not only leaves many questions unanswered but also means they are less likely to revisit the airport’s digital platforms.
Painting the Ideal Picture
Imagine a digital platform where a traveller can get answers tailored precisely for them. This platform would function as follows:
- Personalised Flight Itinerary: Passengers would key in details of their specific flight, adding nuances like whether they need to check-in, if they’re carrying luggage, and even specifics like restricted mobility.
- Visual Journey Preview: They would then receive an interactive map showing them a bird’s eye view of their entire journey. From walking paths within the airport to estimated processing times at various checkpoints, passengers would get a complete picture.
- Tailored Transport Recommendations: By simply adding their departure address, passengers would receive transport suggestions best aligned with their flight time and personal preferences.
- Customized Airport Offers: Depending on their flight details and the destination, travellers would receive offers ranging from discounts at airport eateries to exclusive lounge access.
- Inbound Assistance: This tool isn’t just for those leaving the city. Incoming passengers can input their destination in the city, and the platform would advise on the best transport methods, coupled with expected processing times at the airport.
Benefits Beyond Passenger Convenience
While this might seem like a tool designed for the convenience of the passengers, the implications for airports are profound:
- Early Passenger Engagement: The platform would allow airports to engage passengers before their actual travel date. Early engagement means better service visibility and potentially higher conversions.
- Contextual Promotion: Services like parking, fast-tracking, and more could be promoted based on the passenger’s exact journey details. This contextual approach can significantly enhance conversion rates.
- New Revenue Streams: Airports could tap into affiliate marketing, integrating offers from transport services or third-party companies into the platform. Each click, each purchase from these third-party offers could mean a commission for the airport.
- Wider Reach through Integration: Since this would be web-based, integration with airline websites and travel platforms could be seamless. The more the platform is promoted post-booking, the higher the engagement rates.
The Future is Here with Airsiders Webapp
This might sound like a traveller’s utopian dream, but the future is already here. Enter the Airsiders Webapp. Crafted meticulously, keeping in mind the complex needs of airports, airlines, and travellers, the Airsiders Webapp is changing the face of pre-travel engagement.
With a plug-and-play design, it offers adaptability to the unique brand personalities of different airports. It’s not just a tool; it’s a comprehensive solution that promises a complete transformation in how airports interact with their passengers.
Moreover, with the potential to be set up in a matter of weeks, it represents a swift transition to the future, without the teething troubles of traditional digital transformations.
The door-to-gate concept isn’t just a digital tool; it’s a paradigm shift in the travel experience. By bridging the gap between passengers and airports in the pre-travel phase, it promises a smoother, more informed journey for travellers and a plethora of commercial opportunities for airports.
Are you an airport, an airline, or a travel platform keen on being at the forefront of this revolution? It might be time to explore the Airsiders Webapp. Dive into the future, today.
Interested in learning more? Reach out to Airsiders.
Learn how Airsiders‘ innovative airport wallet pass technology revolutionizes the passenger journey on airport websites. Discover how this plugin enables real-time flight tracking and updates without the need for app downloads, providing a seamless and convenient experience.
The challenge with airport websites
Passengers rely heavily on airport websites and apps to access flight information, making the online FIDS page the most visited section. However, many airports face the issue of low app adoption among non-local passengers.
Since it is currently not possible to send users push notifications from the browser, this leads to repetitive website refreshing and inconvenience for passengers in accessing the latest updates about their flights.
The solution: Airport Wallet Passes
With Airsiders’ airport wallet pass, passengers can effortlessly track their flight status directly in their browser and receive real-time updates without the need for app downloads. Here’s how it works:
1. Flight selection: Passengers visit the flights page on the airport website and locate their flight.
2. Add pass: By clicking the “Add to Wallet” button next to their flight, passengers instantly receive an airport-branded mobile wallet pass tailored to their mobile device (iOS or Android).
3. Push notifications: Whenever there’s a new announcement from the AODB (Airport Operational Database), passengers receive push notifications directly on their home screen, even without an app download.
One pass, multiple use cases
Apart from real-time flight updates, the airport wallet pass plugin offers additional features and benefits:
- Seamless redirection: Clicking on a notification takes passengers back to the airport website or the webapp provided by Airsiders, ensuring a seamless browsing experience.
- Traffic status information: Airports can provide relevant information on traffic conditions to passengers before they depart from home, enhancing their journey planning.
- Personalized marketing notifications: With passengers opting in by saving the pass, airports can send targeted marketing notifications, including personalized retail and parking offers, promoting a tailored and engaging experience.
Jam-packed with benefits loved by airport marketing teams
The airport wallet pass plugin brings several advantages for airports and passengers alike:
- App-free updates: Passengers can receive timely flight updates without the need to download an app, improving accessibility and convenience.
- Enhanced passenger engagement: By delivering push notifications directly to users’ home screens, airports can engage passengers effectively and ensure they remain informed throughout their journey.
- Accessible airport information: The plugin makes airport information readily available, enabling passengers to stay up-to-date without constantly refreshing the website.
- Browser-based reach: The wallet pass plugin empowers airports to reach passengers directly in their browsers, eliminating the barrier of app adoption.
- Targeted promotions: Airports can deliver personalized retail and parking offers to passengers who have opted in, enhancing customer satisfaction and generating revenue opportunities.
Discover the power of the airport wallet pass plugin by Airsiders, empowering airports to provide seamless flight tracking, real-time updates, and personalized engagement for passengers. Experience the benefits of easy integration, improved accessibility, and enhanced passenger satisfaction. Contact us today to explore additional use cases and unlock the full potential of your airport’s digital transformation.
Implementing the airport wallet pass plugin is a breeze for airport marketing and digital teams. Airsiders, a Berlin-based travel technology company backed by Beumer Group, a global leader in airport systems, provides scalable and end-to-end solutions for airports to innovate and digitize the entire airport journey.
We’re entering the era of self-connecting travel. According to data we’ve observed, self-connecting flights have grown fourfold within the past year. These self-connecting passengers, or ‘travel hackers,’ book two or more connecting flights independently from each other with airlines that don’t have interlining agreements in place. They’re willing to take the risks and downsides that come with it in exchange for more flexibility and more choice around flight times, prices and destinations. Above all, they are looking to save money and time.
So, what can airports do to get on board and reap the full benefits of this latest travel trend? Let’s first take a look at the obstacles for self-connecting passengers, then discover how airports play a role in creating a seamless self-connected travel experience.
Challenges for self-connecting passengers
For many travellers, the very idea of the self-connection process is anxiety-inducing. Air travel can be stressful enough without the addition of making your own connections, which brings plenty of challenges.
A lack of information is central to the anxiety around self-connecting flights. Without a clear idea of minimum time needed between flight transfers, door-to-gate distances, risk factors in terms of delays etc., passengers are left with the feeling that they are taking a major gamble – or worse, they may decide to stay away from booking altogether.
Another major pain point is the need to re-check and reclaim baggage with every connection. Endless luggage queues are enough to put many would-be self-connecting travellers off. The time lost when re-checking and reclaiming luggage is vital, as is the time lost from flight delays. For a self-connecting passenger, every minute counts – the longer the delay, the more likely they are to miss a connecting flight. And if passengers miss flights, they run the risk of being stranded and having to scramble to re-book tickets themselves, likely without a refund.
Even if travellers do like the idea of making their own connecting flights, it’s often hard to know where to start and the whole process can seem daunting. Questions over where to go upon arrival at the airport, when and where to check-in and what to do if a delay causes them to miss a connection all create a feeling of uncertainty.
All these factors combine to create confusion, worry and wasted time for travellers when they should be free to spend their time dining, shopping or simply relaxing in between flights.
How Airports can provide more transparency for self-connecting passengers
As an essential part of any connected journey, airports play a key role when it comes to the self-connecting passenger’s journey. Airports have the opportunity to shape the self-connection process and alleviate pain points, while building strong customer relationships, increasing revenue and providing a truly connected travel experience.
This is where Airsiders comes in.
As the travel industry’s first genuine door-to-gate and virtual interlining solution, we bring the products and processes to bridge the gaps across all stages of the passenger journey.
Airsiders’ Door-to-Gate – a standardised airport map & itinerary builder
Airsiders’ Door-to-Gate aggregates specialised data feeds from airports all over the world to improve the self-connecting passenger journey and build a trusting relationship between the airport and the traveller.
It all starts with journey times. Using our extensive airport map database, we accurately predict the time it would take for a passenger to go from door to gate at any transfer airport in the world. Our maps are standardised and integrated with flight schedules, passenger itineraries and operational data. We also use specialised global data to calculate risk scores for transfer flights, bringing added peace of mind and encouraging passengers to book connecting flights.
All this enables airports to increase passenger flow by predicting and visualising passenger journeys, offer personalised guidance for travellers, manage data and analytics in real-time, and integrate custom data. The bottom line? An increase in revenue, cost reduction and a seamless, personalised travel experience for self-connecting passengers.
Best of all – our solution can be implemented in the way that works best for your airport. Either as a standard API that easily integrates into your passenger-facing platform Volario Go or as a white-label tool, enabling you to use it in-house with your own branding.
Virtual interlining – a seamless self-connecting solution
Yes, travel hacking comes with plenty of baggage, but, having collaborated with BEUMER Group, a global leader in baggage handling systems, we’ve got the fundamentals of luggage checks in the bag. Our software and automated processes make luggage through-checks a breeze, even when an interline or alliance agreement doesn’t exist between flight handlers. We also take the edge off flight disruptions, with a connection guarantee that makes sure passengers are rebooked in the event they miss a flight.
All in all, an improved self-connecting traveller experience means more airport passenger traffic and happier customers which, ultimately, translate in increased revenue and customer loyalty.
Airsiders is already helping airports, airlines and travel tech companies provide a standardised travel experience. To discover how we can help your team today, book a demo now.
For the past few years, the air transport industry has been left reeling from the economic, societal and structural effects of the Covid-19 pandemic. Now, airport managers are thinking beyond the pandemic to a brighter future – one where innovative technologies will take the industry to a new level.
A fully-fledged, future-proof recovery is on the horizon. But how exactly will airports go from doom to boom, maximising their potential to deliver a sustainable, efficient airport of the future? In this article, we look at six main trends that will mark the future of airport management.
Future of airport management: 6 main trends
Health and wellness will restore confidence
Restoring passenger confidence post-Covid will be pivotal. In order for the aviation industry to recover and move forward, travellers will need to feel safe. And, while the easing of the effects of the pandemic will be the main driver of this renewed confidence, there are a whole host of innovative technologies airports can implement.
It all starts with a breath of fresh air. IoT systems can have a profound effect on indoor air quality, with smart sensors that can measure and adapt ventilation and filtration based on occupancy levels. This will be key for airports in the long run, as will state-of-the-art analytics software. This kind of technology could also be used for more efficient cleaning and reporting within the airports, with integrated janitorial software enabling staff to report sanitation of common areas and facilities in real time.
In the future, touchless technology will be the standard for every airport in the world. While the likes of paperless boarding passes are already well-established, soon every step of the airport journey will be touchless – from the kind of biometric facial recognition technology that’s already used at the likes of Gatwick Airport to touchless payments at every concession stand. An entirely touchless airport experience, from check-in to boarding gate, would have a huge impact on airport hygiene and, ultimately, traveller health.
Speaking of health, an often underlooked area is fatigue and quality of rest. Instead of sleeping on the issue, many airports are thinking ahead and, with the help of innovative Finnish napsters GoSleep, sleep/nap pods in airports are now a reality, with Helsinki, Heathrow, Dubai and Munich already helping their passengers catch some much-needed rest. By 2030, sleep pods will be a common sight in airports all over the world.
Innovative new platforms will rise to the fore
The key behind the digitalisation of airports will be customer experience, as airports implement cutting-edge ‘as-a-service’ platforms to better understand and meet the needs and expectations of their passengers. With more access to real-time data, airports can have greater control over their services, products and revenue streams, providing customers with a personalised, seamless travel experience, while building a flexible infrastructure that connects everyone in the travel chain.
Virtual interlining platforms, such as the one developed by Airsiders, also make it possible to generate new revenue streams. An increase in connections and flight routes brings extra landing revenue, along with a rise in passenger traffic. This, with the fact that fewer connections will be disrupted, means more downtime for passengers – which, in turn, means more retail revenue.
Meanwhile, for the passenger, the ‘made-to-measure’ aspect of the travel experience will be like nothing they’ve ever experienced. Airports could see a blend of the nostalgic simplicity of the 50s and 60s, with the state of the art precision and innovation of the 21st century. With the help of the technology offered by emerging ‘as-a-service’ platforms, profitability, efficiency and customer loyalty will flourish.
“There is no substitute for innovation. Original, revolutionary ideas will always rise to the top.”
– Richard Branson, Founder of Virgin Group
The future of airport management will be green
During the Covid-19 pandemic, there was a 7% drop in global CO2 emissions. This is an unprecedented drop in pollution for modern times. An unforeseen consequence of lockdown measures, this dramatic decrease has given the aviation industry a wake-up call.
The future of aviation must be green. Airport management, and the wider aviation industry in general, must address the environmental impact of air travel. This can be achieved by developing deep learning models to identify and predict the pollution of certain flight routes.
Norwegian’s fuel management software SkyBreathe, for example, uses big data algorithms to analyse flight operations and reduce fuel consumption. And, while some have concerns about the carbon emissions of deep learning itself, AI will become more energy-efficient while having a major influence on the push for a more sustainable future.
It’s not just in the air where sustainability matters to the aviation industry – back on the ground, carbon neutrality remains the goal for airports too. In 2020, Sweden’s main airport operator became the first in the world to achieve carbon neutrality – across 10 different airports. Over the next decade, airports across the globe will compete to reach this standard.
Because, while health and hygiene have understandably come to the fore of public consciousness in recent years, sustainability in aviation will once again become a major talking point. For airports catching up with Sweden, switching to renewable heating and going fossil-free is the first step. Denmark is already on board, pledging to make all domestic flights fossil-free by 2030.
The age of automation will bring unparalleled efficiency
Automation will play a big role in shaping the future airport experience. The end goal for airport managers is to create a seamless journey for their customers while implementing systems and technologies that allow for optimal efficiency.
This means automated systems such as facial recognition or iris capture, both of which are replacing fingerprinting at Singapore Airport. Paper boarding passes will, of course, be a thing of the past. But its recent replacement – the smartphone QR code boarding pass – will also soon become redundant, as airports make the shift towards biometric technology, giving passengers a hands-free, walkthrough experience. And, potentially, an end to stressing about forgetting your passport!
All of this points towards a far more fluid system, with shorter queues, less waiting around and far more passenger downtime. There are, of course, privacy concerns – understandably so. Airports will have to work with tech providers and governments to find the best solution while always keeping the passenger at the centre of the story.
As passenger levels return to pre-pandemic rates, airport managers will need to integrate technology and automation to support a workforce that has seen a 60% reduction. Seoul’s Incheon, via its Smart Airport Team, is thinking ahead by using robotic temperature checkers and kiosks, while also prioritising operational efficiency. They’re also developing a big data platform to help optimise airport operations and plan to establish an AI-driven air traffic control (ATC) platform that will “bring a brand new way of working to ATC officers.”
Meanwhile, in the UK, British Airways is trialling robot guides at Heathrow Terminal 5. The polyglot bots – they can interact with passengers in five different languages – are designed to answer thousands of questions, including real-time flight queries. They even can move around the airport.
Breakthroughs in baggage handling will take the weight off
The future of baggage handling could be very different to the current model. Already, companies like AirPortr are breaking the mould, with methods that take a lot of weight off the shoulders of travellers – quite literally.
A London-based luggage technology company, AirPortr, provides passengers with a secure baggage collection and check-in service. The company’s CEO and founder, Randel Darby, predicts that in the same way that most aspects of passenger processing will be done ‘off-airport’, via biometrics etc., so too will luggage check-ins. He envisages passenger-only terminals, where baggage is self-handled as and when, then “collected from home and processed at an Amazon-style fulfilment centre”, before being loaded onto your flight.
AI X-rays are also being developed by SoftonNet, LG CNS and IIACC. By embedding state-of-the-art AI technology into the X-ray algorithm, the burden of security and detection officers is significantly reduced. Security is enhanced too, thanks to the increased rate of detection of prohibited items.
Meanwhile, in the US, the Port Authority of New York and New Jersey is investing in AI-based baggage screening equipment for both check-in and carry-on bags. Through self-learning algorithms, the machines can identify any bags that might pose a security risk, deliver them to a TSA agent to check, then return them to the aircraft or the passengers. The technology was implemented at Laguardia’s new terminal last year and will be in place in several other airports by 2025.
Finally, for self-connecting travellers, ‘virtual interlining’ will provide a breakthrough when it comes to baggage through-checks. Airsiders is a pioneer in this area. We partner with BEUMER Group, a global leader in baggage handling systems to make automated luggage through-checks simple – even when an interline or alliance agreement doesn’t exist between airlines.
Airport revenue will increase through creative sales and marketing
Since the beginning of the pandemic, European airports have suffered an estimated $73 billion worth of losses. In order for airport managers to recoup these losses and work towards exponential revenue growth, they will need to look towards ever more innovative marketing methods.
AI and machine learning are technologies at the forefront of this innovation. Predictive analysis of passenger behavioural patterns, whether visiting retail stores, VIP lounges, restaurants, or other spaces within the airport, can help to create a personalised airport experience. Meanwhile, airports will increasingly look to the creative use of space for advertising potential, with giant digital video screens and lightbox static ads just part of the interior transformation to come. This ad potential could be showcased via VR tours – just as Sidney Airport did recently, which led to an immediate increase in retail and ad revenue.
Of course, it’s not about bombarding customers with messages. To be successful, airports will balance subtle customer marketing with creative features – look to Singapore’s jaw-dropping indoor waterfall for an idea of how future terminals will captivate their customers.
Still, in order to enchant them with advertising and eye-catching features, airports must keep the customers coming. The above methods can be utilised to increase airport revenue by attracting more airlines and new routes, using dynamic MCTs and virtual interlining solutions. Encouraging passengers to purchase services before they arrive at the airport will also raise appeal and help airports develop into an ideal layover hub.
New tech & innovation will mark the future of airport management
All this points to the future of airport management consisting of far more interconnected digital infrastructure that brings efficiency, fluidity, flexibility and sustainability.
Yet, all these groundbreaking technologies – from deep learning and IoT to big data analysis and robotics – will always be in service to one central concept.
With the passenger’s experience at the centre of the drive for innovation, airports can be the launchpads for a new golden age of travel.
Despite the huge impact of the pandemic and the restrictions that ensued, there are plenty of reasons for optimism when it comes to the future of the airline industry.
Driven by new technologies that focus on safety, sustainability, efficiency and a smoother travel experience, let’s take a look at the emerging trends set to transform the airline industry in 2022 and beyond.
Top 8 Airline Trends for 2022
The biometric boom
According to IATA’s passenger survey, 73% of passengers are willing to share biometric data to improve the travel experience. In 2019, this number was 46%, showing just how much the public perception of this technology has shifted over the last few years.
What’s behind this change of mind? Well, for a start, there’s a willingness to compromise on sharing personal data if it leads to a safer environment. Also, following the pandemic, travellers value a stress-free, efficient travel experience more than ever. And biometric technology can certainly deliver that.
In the States, United Airlines trialled a SITA-powered face recognition system, enabling customers to sync their ID documents with their facial biometric. This meant travellers could check in and board simply through facial scanning – not a boarding pass in sight.
Of course, speed is a major factor in the biometric boom. In early trials, Lufthansa managed to get 350 passengers safely seated on board an Airbus A380 in a mere 20 minutes. In fact, it’s estimated that biometrics helps reduce check-in and boarding times by up to 80%.
Then there’s the increased security factor. Biometric systems will replace manual checks, of which human error is a factor – after scanning hundreds upon hundreds of documents, who can blame an agent for making a mistake? A biometric camera performs at an incredibly high level of accuracy for a long period of time. There’s also increased safety as, by its very nature, biometric technology is entirely touchless.
Still, while passengers are coming round to the idea, privacy concerns remain. Airlines will need to further gain the trust of their customers if these concerns are to be eased; although, for travellers, the promise of safer travel might just seal the deal.
Bag-free air travel
Let’s talk baggage. One of the key reasons travellers feel weighed down when they travel – quite literally – is the luggage problem. If we’re to ever arrive at the truly seamless, relaxing traveller experience, something’s going to have to give.
Firstly, for self-connecting passengers, collecting and re-checking luggage at their layover airport is a big pain point. Airsiders solves this issue by offering automated baggage check-thru, even when an interline or alliance agreement doesn’t exist between flight handlers.
Re-checking and re-collecting luggage may be an issue specific to self-connecting passengers, but actually carrying the luggage affects every traveller. Luckily, there are some big innovators out there keen on lightening the load. While it’s not yet part of a ‘regular’ airline service, there are already several companies tackling the inconvenience of processing luggage.
AirPortr is one such company driving the shift towards contactless, bag-free air travel. Through AirPortr, the traveller’s luggage is weighed and collected from their door, the boarding pass is printed and delivered, then the baggage is checked in at the airport and even loaded onto the plane. At the other end, AirPortr delivers the luggage directly to the traveller’s destination. All this is supplemented by insurance, live tracking and CCTV, for added peace of mind.
On a large scale, this shift points to vast Amazon-style depots where baggage is handled before being loaded onto your flight. Still, there’s a big environmental question hanging over this kind of system, with an increase in pollution from such a large scale pickup/delivery service a major factor. If companies like Dubz and AirPortr are to genuinely change the baggage handling game, they’ll need to deliver efficiency in an ecological way.
A renewed focus on sustainability
Having taken a backseat behind health as the most important consideration for the aviation industry, sustainability will come to the fore once more. This year’s SITA report shows that sustainability has moved higher on airline CIOs’ agendas – 56% have already implemented new technologies to improve sustainability, while a third (32%) plan to do so by 2024. This means that by 2024, if all goes according to plan, 9 out of 10 airlines will have set up technologies to boost sustainability.
At last year’s IATA meeting, the air transport industry pledged to reach net-zero carbon emissions by 2050. It’s a huge target and really underlines aviation’s commitment to a green future. If it’s to be met, critical medium-term solutions, as well as robust long-term solutions, will need to be implemented.
One of the key drivers of these solutions is the Aviation Climate Taskforce (ACT). A collaboration of Virgin Atlantic, Air France-KLM and Delta Air Lines, ACT aims to discover and accelerate breakthrough technologies to decarbonise aviation. Emerging innovations include synthetic fuel, direct air capture (DAC) and new zero-emissions energy sources such as electric and hydrogen.
DAC, in particular, is being touted as a major breakthrough. United Airlines certainly sees it as having a potentially groundbreaking impact, having become a partner in a project to build the world’s first commercial DAC facility, where 1 million tons of CO₂ will be sucked from the atmosphere every year.
If the zero-emissions target is to be met and our future is to be green, these kinds of innovations will be crucial.
IATA’s 2021 survey found that 55% of travellers believe boarding queues have to improve. Now, after successful implementation at sporting events, theme parks, hospitals and government agencies around the world, virtual queueing systems are set to deliver that improvement, with airlines queuing up to take advantage of this emerging trend.
Last year, British Airways trialled a virtual queuing system by tech company Qmatic at Heathrow’s Terminal 5. Customers received an online ticket and could monitor their place in the queue via their smartphone. With customers able to pre-book their slot remotely in advance, waiting times and congestion were dramatically reduced.
Meanwhile, airlines including Delta and Qantas were part of a trial at Seattle-Tacoma Airport. Implemented by Copenhagen Optimization, the trial system, SEA Spot Saver, was a huge success that saved time for 90% of customers. As a result, SEA Spot Saver is now a permanent feature at the airport.
If done correctly, virtual queueing has the potential to make a huge impact on the passenger experience. From check-in desks to boarding lines, travellers will see waiting times drop dramatically. Of course, this leads to more downtime – a chance to relax or shop.
At a time when large queueing is not just an inconvenience but a health and safety issue, virtual queueing seems a safe bet for the airline industry. As the technology improves and any early teething problems are addressed, expect to see virtual queueing systems rolled out around the world.
In the age of the subscription model, with Netflix, Spotify and the like totally transforming the way we consume entertainment, it makes sense that the travel industry should explore how it could follow suit. In February, Alaska Airlines launched a ‘Flight Pass’ subscription program, using Caravelo’s innovative service, which offers subscription and revenue optimisation solutions for the airline and travel industry.
Airlines like Alaska Airlines are looking to convert travellers into loyal ‘subscribers’, bolstering ancillary sales and including passengers in their optimisation strategy. For frequent flyers, it offers far more flexibility and big cost reductions, while airlines reap the rewards of incremental revenue and guaranteed income. This is good news for investors too, who can predict a certain amount of income for flight operators.
The loyalty angle is certainly a big one. Having a permanent open channel of communication with their subscribers enables airlines to upsell and cross sell, while solidifying that crucial brand relationship.
As travel habits evolve, passengers are increasingly keen to take more control over their journeys. This points to the emergence of self-connected travel – an increasingly popular way of doing things. But booking two or more connecting flights independently from one another, with airlines that don’t have interlining agreements in place, has plenty of potential pitfalls for travellers in the current system.
That’s why airlines are starting to look towards virtual interlining (VI) solutions to better serve their customer base. Companies like Airsiders give airlines the ability to create a ‘virtual network’, identifying viable routes by accurately calculating dynamic MCTs (minimum connection time or door-to-gate transfer time) using advanced patent-pending technology. Amongst the factors taken into account are not only static data points like baggage MCTs, visa requirements and health regulations, but also real-time updates on shuttle bus availability and flight disruption information. Software and processes, too, enable luggage to be automatically checked through to the final destination even when an interlining or alliance agreement doesn’t exist.
What’s more, VI requires minimal technical input from flight carriers and is fully scalable – a major asset for airlines with big growth potential.
Passenger preparation and assistance
Airlines are beginning to go the extra mile when it comes to making sure passengers feel prepared for their journey. Airsiders is offering innovative services that act as a virtual assistant in the palm of your hand. Our door-to-gate solution, for instance, is used by airlines to provide passengers with personalised wayfinding as well as precise gate-to-gate connection times and transfer risk based on live data, both before and after booking a flight. Standardised airport maps and a unique wayfinding solution, which integrates the passenger’s flight itinerary as well as real-time queue times at all the possible checkpoints (e.g. passport, security), automatically takes travellers to the quickest route. Additional information such as the latest retail offers and opening times help make the most of airport downtime, too. With all of this information available in one place, passengers can rely on a single solution to manage their entire journey.
Giving travellers centralised control yet, at the same time, more personalised guidance and security, will be key to the passenger experience over the coming years. If airlines are to help shape this experience, while reaping the benefits of increased customer loyalty and conversions, they will need to get connected to passenger preparation.
Essentially an all-encompassing platform that allows users to accomplish several different things within one central platform, superapps will be a big theme for airlines and other aviation enterprises over the next decade. In fact, they are already beginning to influence the industry.
AirAsia recently unveiled its own superapp, integrating more services up and down the value chain and offering flights of their competitors to capture a larger portion of the market. The app is based around three core pillars: media – in the form of chat and TV entertainment; commerce – in the form of a duty-free shopping and food delivery service; and financial products – in the form of AirAsia Money, which includes a mobile wallet, currency exchange and a loyalty platform. This one-stop travel and lifestyle e-commerce app allows you to book tickets (not just with AirAsia, but with hundreds of other airlines too), get deals on hotel stays, activity packages and transportation as well as buying food, health and beauty products.
The ability to cater for all these various consumer needs within one ecosystem is set to break new ground for airlines, both in terms of revenue diversification and being able to offer a new kind of travel experience for passengers.
As the after-effects of the pandemic on aviation gradually tail off, the travel industry has a lot to look forward to.
The most innovative airline managers will be the ones who harness the trends and technologies above, to stand out in a crowded market and play their part in creating a new golden age of travel – for passengers and airlines alike – with safety, security, efficiency, flexibility and sustainability at the centre of a push towards a brighter future in our skies.
Airsiders is already helping airlines the world over to reshape the travel experience. To discover how we can help your team today, book a demo now.
Virtual interlining with innovative solution for transfer baggage
Düsseldorf Airport and Berlin-based company Airsiders are cooperating on a new type of virtual interlining solution.
A seamless combination of flights, even without interline or code-sharing agreements, is intended to enable passengers to make completely new transfers and connections via DUS. The highlight: an innovative handling technology that automates the sorting and handling of luggage. Passengers of multi-carrier flights will be able to check their baggage in to the final destination, even if they fly with airlines that don´t have an interline agreement.
Airsiders wants to integrate offers and content from airlines and airports on one platform using an API interface. This will include ticket sales, onward carriage of baggage, flight-related insurance and minimum connection times between connecting flights without an interline agreement. Travellers thus gain a high level of transparency about flight options, maximum security for connecting flight times and a whole new experience of comfort: they no longer have to worry about their luggage until their final destination after dropping it off at the departure airport.
“We want to offer a much more flexible and convenient alternative to traditional interlining and current virtual interlining solutions,” explains Yavuz Karadag, CEO of Airsiders GmbH. “With Düsseldorf Airport, we now have a strong, forward-looking partner at our side to create new connections and enable a smooth passenger journey between point of departure and final destination.”
Düsseldorf Airport sees great potential in Airsiders technology. “We want to integrate the solutions of our new cooperation partner into the infrastructure of our airport and thus offer new added value to our airline partners as well as to our retail partners in the terminal and, last but not least, to our passengers,” explains Andreas Kraus, Senior Vice President Corporate Development at Flughafen Düsseldorf GmbH.
“Airlines can increase their capacity utilization and sell additional seats via new connections, passengers have a wider choice of routes with a consistent travel experience and they gain time because they do not have to check in their luggage again. Our store and catering trade partners can then benefit from this.”
Besides Düsseldorf Airport as one of the first airport partners, Airsiders is collaborating with airlines and major aviation partners.
The new virtual interlining offer is to be launched in DUS by summer schedule 2023.
The Covid-19 pandemic has had a seismic impact on the aviation industry. Since the outbreak, European airports have lost an estimated $83.5 billion, with the effects still being reverberating today. And while we’ve seen an upward trend in airport traffic in the last months, increasing uncertainty about the global pandemic situation means that progress will be slow for the foreseeable future.
In light of this development, airport managers are facing one top priority: how to increase airport revenue heading into 2022. This article aims to answer exactly that, looking at the new approaches and technologies airports can leverage to optimize revenue, reduce costs and reshape the customer experience.
How to increase airport revenue in the pre-travel phase
Getting passengers to invest in services before they arrive at the airport is crucial. Pre-ordering and pre-booking strategies have been implemented across hospitality and retail sectors for many years. And while the aviation industry has engaged pre-travel revenue, there’s now an opportunity to take things to the next level.
With an increased emphasis on safety, security and organization, Airports can capitalise by offering passengers useful data and information to help them plan their journey.
Attract new routes with Dynamic MCTs & virtual interlining
Through the implementation of dynamic MCTs, with intelligent and seamless MCT calculations that come with advanced gate prediction algorithms, airports can pinpoint layover times and baggage through check-in precise detail. Providing this data to airlines, and showcasing the airports efficiency as a transfer hub, helps them make better decisions and increases opportunities for new business.
Airports can also adopt virtual interlining systems to further improve their attractiveness as a suitable layover hub. This offers two advantages: Firstly, they can provide automatic baggage through-check technology for flights where no interline or alliance agreements are in place. Secondly, it enables airport connection guarantees to ensure passengers are rebooked in case they miss their flight due to disruptions.
The combination of dynamic MCTs and virtual interlining technology means airports can grow aeronautical revenue, by increasing routes and airline partnerships, and passenger related revenues, thanks to more traffic and better experience.
Online booking services
Airports can implement more online booking services to increase pre-travel revenue. Passengers are already well-accustomed to buying tickets using search engines and online travel agents (OTAs). In fact, OTAs have captured 40% of the global market, including hotels, airlines, packaged tours, rail travel and cruises, and the global online travel booking industry is now worth $517.8 billion.
All this speaks of incredible sell-on potential. Enabling passengers to book everything in one place – such as parking, VIP lounges, priority boarding, hotels, porter-services and reduced-mobility assistance – is essential to drive up that pre-airport revenue.
How to increase onsite airport revenue
We know that passengers are key to recovery. The Netherlands Airport Consultants (NACO) report states that almost 90% of airport revenues are passenger related. Meanwhile, a 1% increase in passenger satisfaction leads to 1.5% growth. So, it stands to reason that building an extra level of empathy for passengers, while genuinely understanding and acting on their concerns, will have a profound impact on airport revenue.
At a time of uncertainty and instability, earning the trust and confidence of passengers means going beyond standard regulations. By putting the customer front and centre, airports have the chance to construct consistent solutions throughout the travel chain.
Here are some tools, technologies and systems that airports can implement to increase onsite revenue.
Standardised maps and data
Airports can take advantage of new technologies to provide passengers with precise gate-to-gate predictions, along with standardised onsite maps integrated with flight schedules, passenger itineraries and operational data. This all serves to provide passengers with added control over their journey, instilling a peace of mind that enables them to relax and enjoy the airport services on offer.
Having the right software and automated processes in place can also bring a much-needed simplicity to luggage through-checks, even when an interline and or alliance agreement doesn’t exist. Airsiders’ collaboration with BEUMER Group – a global leader in baggage handling systems – makes all this possible. All this leads to an improved self-connecting passenger experience. This means more airport passenger traffic and happier customers which, ultimately, translates to increased revenue and customer loyalty.
Cut the queues with cutting edge tech
A large part of maximizing the passenger experience is reducing waiting times. Airports can implement AI-based deep learning technology in the form of video analytics software, to increase situational awareness, predict passenger volume and optimise airport traffic flow.
Video analytics data visualisations can track the number of passengers who travel through an airport or terminal for any length of time. This technology can also be used to maximise safety – key to avoiding bottlenecks and overcrowding during times of Covid-19 restrictions – while ensuring the streamlining of security checks, passport control, Covid-19 digital passport checks and visa control, etc. Ultimately, cutting down on passengers’ waiting or queuing time drives on-site airport revenues since they have more free time to relax, shop or eat.
In order to provide a first-rate passenger experience, airports must zero in on exactly who their passengers are. Airports can use data, such as video analytics data, to not only figure out how to make use of terminal space with maximum efficiency, but to also enable an understanding of customer habits and behaviours – whether visiting retail stores, restaurants, VIP lounges or any other part of the airport.
Airports can also carry out passenger profiling by using survey data. This enables retailers to position the right kind of products in the right spaces, bringing a more personalised experience for passengers, while boosting revenues and building a loyal, long-term relationship between the traveller and the airport.
Making use of advertising space
While online ad space is now the dominant form of advertising, there are still plenty of ways to engage customers within the physical space. And, with plenty of space available to airports, creative use of advertising within the airport is a very effective way to increase revenue.
With a subtle advertising strategy that harmonises the aesthetic themes of the airport with the advertising space, airports can offer sponsors excellent opportunities to advertise their products, while engaging passengers with products that are relevant to them.
Within the context of the all-round improvement of the passenger experience, customers will be in a relaxed mindset, making them open to compelling messages. Plus, with less queuing time and more dwelling time in which to relax, the advertising space takes on more value.
Wooden benches could be engraved with logos, seats in gates areas could have upholstered advertising, waste and recycling bins could advertise new retail spaces within the airport and giant digital video screens and lightbox static ads could adorn wallspace.
Airports could even showcase their advertising potential to sponsors with a VR tour, just like Sydney Airport’s advertisers did, leading to an increase in retail and ad revenue despite an overall drop in passenger traffic.
Optimize car park occupancy
Dynamic pricing models for airport car parks are a great way to optimize occupancy and maximize revenue for airports. In fact, these models work similar to the ones deployed by Uber and Lyft, who enjoyed rapid success on the back of this exact strategy. Concerns about detrimental effects on passenger experience are legitimate, but can easily be circumvented with appropriate planning and implementation. Particular emphasis must be thus placed on customer research to establish a model and boundaries that prevent excessive and numerous price fluctuations for passengers.
What’s more, if implemented with care and combined with new technology, airports can actually improve the overall passenger experience when introducing dynamic pricing models. For instance, implementing an intuitive app that showed parking space availability in real-time would be a particularly useful customer-first feature, as would an increase in the number of payment options, including mobile pre-payments for parking spaces.
Another important tool for improving airport revenues is peer airport benchmarking. It allows hubs to compare and contrast their on-site performance with that of other peer airports. By using comprehensive data collection and analytics, airports can thus zero in on core competencies and areas of improvement. This leads to an increased understanding of pain points, a clearer strategy for modernising and innovating, and an all-round increase in revenue and cost-efficiency.
Technology and innovation: the key drivers of airport revenue
In a post-pandemic world, airports need to look to new concepts to not only recover revenues lost since the beginning of 2020 but to go beyond. Tapping into new technologies is crucial – in terms of cutting costs and unlocking new revenue streams, but also when it comes to creating a safe, relaxing, compelling experience for the modern traveller.
By genuinely focussing on the needs of passengers and being open to new approaches and breakthrough technologies, airports can see significant revenue growth, while catering for all stakeholders across the value chain.
Airsiders helps airports boost revenues by taking the leap to the new age of travel, providing cutting-edge solutions for virtual interlining as well as airports data and maps.
To find out how our solutions can help your airport increase revenues, contact our experts here.