Passenger Services & Experiences

Customer Centricity is a key factor for your success.


To be successful as an airline it is not only important to fly from A to B as cheaply as possible and to be punctual. In today's highly competitive world, an airline needs to meet or exceed the customer expectations.                                       

We are customer experience experts: we help your airline to gain and use customer insights, to implement personalized and digitalized services and to successfully leverage your ancillary revenues.                               


We will be happy to give you a concrete example:


Customer problem

  • A large European airline had a huge problem: the number of denied boarding compensation cases increased drastically.
  • The main driver was the EU regulation requiring higher compensation in the case of denied boarding due to overbookings, and delays.
  • Executing the compensation process led to longer handling times at the gate/service desk (approx. seventeen minutes per passenger) and hindered other processes.


Approach

The purpose of the concept was to design a streamlined handling process as well as its digital IT support. The steps we took were straightforward:

  1. Conducting a field study
  2. Drafting the digitalized processes
  3. Recommending IT technical solutions
  4. Conducting a financial analysis


Recommendation

 a.      Digitalization

  • Implementation of a self-service customer portal – access compensation options from everywhere at any time.
     

 b.      Product modification

  • Offer rebates on future ticket purchases instead of fixed deductions of ticket rates.
  • Limit the redemption options.
  • Limit voucher redemption on a single ticket purchase transaction.
  • Identify the ideal rebate level on the ticket purchase.
  • Verify customer acceptance through customer satisfaction surveys targeted to affected passengers.

 

Impact on client’s business

  • Reduction of cash compensations replaced by higher rate of vouchers - 5.27 million €
  • Additional revenues via ticket up-selling - 0.13 million €
  • Avoided loss of revenue by crowding out full-fare passengers - 0.09 million €
  • Avoided costs for ancillary reimbursement by third-party purchases - 1.00 million €

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