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Strategy Briefing

Airlines: The New Retailers

25 pages, Mar 2018

US$1,325

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About This Report

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If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extract FREE!

Airlines are changing their business models to reflect the increasing digitalisation of the airline segment. They are embracing new retailing practices in a bid to go beyond the commoditised transactional seat sale, while delivering frictionless travel experience for the end consumer. Improved customer engagement and customer experience supported by relevant product offerings to a specific customer segment are seen as major growth drivers.

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Overview

Why buy this report?

Gain competitive intelligence about market leaders. Track key industry trends, opportunities and threats. Inform your marketing, brand, strategy and market development, sales and supply functions.

Airline retailing to follow the Amazon model?

To transform their dated internal technological structures, airlines are keen to learn from other industries, particularly retailing, as well as the sharing economy, in a bid to change their business models. Pure internet retailers such as Amazon are seen as ideal ecosystems on which airlines can base their strategic makeover.

Constant Price changes

Dynamic pricing is amongst the key tools airlines employ to sustain a strong flow of revenues. Carriers are upgrading their technological capabilities to allow the operation of dynamic practices across all distribution channels, which embrace browsing and purchasing habits.

The end of Duty-Free?

In-flight duty-free is increasingly losing traction, with many airline players keen to shift their activity entirely to digital retailing. This is a major shift from traditional practices,which could help transform retailing services altogether and bring carriers into the age of Internet of Things.

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Scope

Key findings

Changing the mindset

What constitutes modern airline retailing?

Mechanisms for better merchandising

The good and the bad

Financial improvement through relevant products and a captive audience

Connected customers demand better on-board connectivity

Better connectivity = increased profitability

NDC opening the door for more retailing practices

Passenger Service System (PSS) becoming obsolete

Farelogix : Shaking the status quo?

Omnichannel retailing for airline players

Dynamic pricing at the heart of digital airline retailing

Why the appeal of Amazon?

Ryanair keen to become the Amazon of the airline industry

MyRyanair launched

Emirates: Diversification of economy class

Qantas: Passengers to benefit from Uber deal

Lufthansa: In-flight grocery shopping with Rewe

Wizz Air: Teaming up with Heinemann stores

Air New Zealand: Re-imagining sleeping options in economy class

Etihad Airways: Airline tickets in instalments

Major takeaways

Why buy this report?

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Megatrends

Strategy Briefing

Airlines: The New Retailers

New Report Guarantee

About This Report

New Report Guarantee

Overview

Why buy this report?

Airline retailing to follow the Amazon model?

Constant Price changes

The end of Duty-Free?

Want to find out more about this report?

Table of Contents

Scope

Key findings

Changing the mindset

What constitutes modern airline retailing?

Mechanisms for better merchandising

The good and the bad

Financial improvement through relevant products and a captive audience

Connected customers demand better on-board connectivity

Better connectivity = increased profitability

NDC opening the door for more retailing practices

Passenger Service System (PSS) becoming obsolete

Farelogix : Shaking the status quo?

Omnichannel retailing for airline players

Dynamic pricing at the heart of digital airline retailing

Why the appeal of Amazon?

Ryanair keen to become the Amazon of the airline industry

MyRyanair launched

Emirates: Diversification of economy class

Qantas: Passengers to benefit from Uber deal

Lufthansa: In-flight grocery shopping with Rewe

Wizz Air: Teaming up with Heinemann stores

Air New Zealand: Re-imagining sleeping options in economy class

Etihad Airways: Airline tickets in instalments

Major takeaways

Why buy this report?

Want to find out more about this report?

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