Future trends of customer behavior Convenience in the airline industry
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1 Future trends of customer behavior Convenience in the airline industry Frank Maier, Head of Product & Services January 2015
2 An introduction to Frank
3 Baby Boomer Frank and the technology generation gap s 1970s 1980s 1980s 2000s Current Baby Boomers Generation X Millennials/ Generation Y Generation Z Frank prefers to call or talk in person rather than /text technology sometimes scares Frank. Frank sees technology as a gift, not a given. Frank sees technology as a tool that he can use to improve his life. Use technology for convenience purposes, such as online banking and shopping. Technology has yet to become central to their social lives. View technology as a critical part of their life and work. Constantly on, and connected. Embrace new technologies for socializing and working. The Limitless Generation Connected nearly all waking hours of the day. Are able to quickly adapt to this rapidly changing media landscape. 3 Future trends of customer behavior
4 SWISS an introduction
5 SWISS key facts and figures: 84 destinations In 40 countries SWISS owns a total of 90 different aircraft 22 new Europe destinations opening in million Passengers fly with us every year Over 80 destinations All over the world flights operated 8250 total employees Available seat kilometers (millions) 5 Future trends of customer behavior
6 Our brand: perceived customer value We are true to ourselves and don t pretend to be something we aren t. It s the small things that bring us closer to our guests. We do things properly or we don t do them at all. PROXIMITY Customer Perception We are the airline from Switzerland. PRODUCT QUALITY Our sign is a promise. Customer Value 6 Future trends of customer behavior We are the airline of Switzerland
7 The Jungle approach
8 The Jungle approach future trends Future trends has many buzzwords: Multi/Omni channeling Innovation imperative Mobility frontiers Social Media 2.0 Behavioral targeting Accelerating urbanisation Smart Transport Customisation Seamless customer experience Customer insights Big data analytics Hyperconnected reality Multi/Omni channeling Consumer citizenship Mobile connectivity 3.0 Connected World Predictive analytics Mass affluenters 8 Future trends of customer behavior
9 The Jungle approach key factors Essentials from the 5 sources: Airbus, SITA, CAP, IATA & Skyscanner: Greying & growing society Hassles of modern air-travel impact stress level More context-related cabin packages Rising on-ground expectations No check in desks at airports by 2025 Trusted Travelers with no security checks Baggage Free Flights will be popular There will be 3 classes Business First, Business Value, Economy Total priority for premium passengers Immigration on arrival will be automated Much shorter journey times 24 hours operating airports From current broad-based orientation towards focused segmentation From mass customization to insightdriven development From mass-marketing to differentiated branding Changing buying behavior Self-service will come of age Mobile and social customer services Aircraft cabins zoned to suit your moods, activities and needs Big Friendly Data (BFD) 9 Future trends of customer behavior
10 Who is right or wrong? Which way will the future go? 10 Future trends of customer behavior
11 New world
12 Markets are changing fundamentally Empowerment New global players Importance Digital world Distribution Need Add-on services Up and Cross selling New pricing concepts Pricing Variety Service provider Flexibility & Realtime Product offering Production 12 Future trends of customer behavior
13 customer behavior is changing Multichannel approach Customer loyalty through emotions Multi location set up on customer devices Mobile world is increasing reach Location based offers Emotional binding through digital service portfolio Transparency/easy to use/trustworthy e-travelling Customer centricity Social networking Fulfill individual preferences Adaptive touchpoints Active product suggestions Community based recommendations Discounts and target group selection 13 Future trends of customer behavior
14 and what else? Customer perception & preferences are changing Consistent Quality SWISSness Customization Seamless Experience Offering the expected SWISS experience Unique service quality Customer centric individual product& services Customer Information & Entertainment everywhere 14 Future trends of customer behavior
15 Key principles for future Product & Services Portfolio Customized offers Seamless experience Always connected 15 Future trends of customer behavior At home Trip to the airport Check-in Boarding Pass Time at Boarding Inflight & Security the airport Deboard, Trip home baggage claim
16 From all in product to mass customisation Extension of add-ons Bundling / Branding Mass customization Light Economy Comfort Credit card charge Credit card charge! Excess baggage fee Rebooking fee! Excess baggage fee Rebooking fee UM Refund fee Upgrade/upsell UM fee UM Refund fee Upgrade/upsell UM fee!! VIP Hotel/car/insurance Hotel/car/insurance + Hold my booking + ASR Special surprise today step 1 step 2 future All in tariff structure Ancillary services Branded fare bundles Customized offers 16 Future trends of customer behavior
17 Basics: Upscaling of inflight experience ahead Investments in future aircrafts: C Series: Innovation leader on shorthaul 777: Next generation of premium approach 17 Future trends of customer behavior
18 Newcomer in our Product & Service portfolio Onboard fast track: Business Class Night Service New Cabin Interior CSeries Modular Business menues Quick lunch: finished after max 60 minutes flight time Contemporary Cabin Design Overhead bins for hand luggage 18 Future trends of customer behavior First Pop-Up Restaurant Live cooking in FCL&CCL with cooking crew of Andreas Caminada 19 Gault Millau points, 3 Michelin stars
19 Newcomer in our Product & Service portfolio Extension of Business Class Bus Special bus service open stands Extension in various markets 19 Future trends of customer behavior New food concept YCL Europe Flexbox using 50% less space Daily fresh made food Food branding realized. First Allergy-friendly Airline in the world Quality seal from the European Centre for Allergy Research Foundation (ECARF) Sole airline worldwide
20 Offers & Services are available everywhere Multi- & Omni channeling are influencing future travel experience: Products & Services portfolio on various touch points and channels available. Capable to switch dialogue channels within customer dialogue. Today Flight booking F&B / Duty free / shopping Upgrade (Cash / Miles) Duty free Duty free At home Trip to the airport Check-in Boarding Pass & Security Time at the airport Boarding Inflight Deboard, baggage claim Trip home Future All SWISS services available at various touchpoints 20 Future trends of customer behavior
21 Newcomer in Customer Dialogue Digital responsive design Digital adaption of functionalties Usage of wide range of devices 21 Future trends of customer behavior State of the art Contact Center Improved customer identification Media blending allows dialogue channel shift & digital telephony Real time Travel Manager Proactive customer dialogue Real time personal assistance
22 Future travel experience of a SME owner At home Trip to the airport ASR & Flexibility Flexible bundle including preferred seat. On time and seamless journey expected. 22 Future trends of customer behavior Check-in Boarding Pass & Security Time at the airport Premium meal Enhanced F&B ordered on day before departure due to a tight meeting day at the destination. Boarding Inflight At the airport Detailed plan on journey and timings within the SWISS app. Info on SWISS services around. Deboard, Trip home baggage claim Wi-Fi access Working or reading during the flight on own services.
23 Summary
24 What makes us SWISS? Balancing Values & Trends SWISSness Investing in a new fleet Customer service Digital experience Premium approach ground & air 24 Future trends of customer behavior
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