Here’s a look at a few key areas where digital transformation in the airline industry has really ‘taken off’. … You can see that Finnair’s digital transformation was not only about building its own digital platform or in-house digital teams, but also about a different mindset. Altogether, the flag carrier of Russia is geared around digital transformation across all of its … If you don’t believe me when I say that the airline … Mark Nasr, Air Canada’s vice-president of loyalty and e-commerce, has said that AI can help the airline be everywhere the customer wants them to be:  “Customers have certain preferences… of how they like to interact with their tablets, smartphones and computers, and the mode in which they want to communicate. I for one am excited to see what’s next. Digital transformation is a key initiative to bring about this change. … “I remember in the early days when self-check-in machines first came in, a customer survey asked people if they’d prefer to be checked in by a machine or a person. It’s Time To Fix Them, ‘Bike Is Best’ Argues Joined-Up PR Push From U.K. So forget Winterfell and the Starks. The Alliance provides end-to-end innovative digital solutions for airlines. According to Hanover Research, 68% of airline leaders polled indicated that the key to digital transformation was upgrading software and IT infrastructure. With summer in full swing and most of you getting ready to hop on and off flights, I thought this was the right time to check into the airline industry and evaluate how digitization is changing dynamics for the better…for the airlines… As an example, JetBlue Technology Ventures has partnered with Air New Zealand to help manage all of the opportunities for innovation in air travel coming out of Silicon Valley. IoT For All is a leading technology … Cycle Organizations And Bicycle Brands, Schwinn Collegiate To Be Re-Made In U.S. By Henry Ford II For Bicycle Brand’s 125th Anniversary, 677% Year-On-Year Sales Uplift Of £500+ Bicycles Due To Lockdown, Reports U.K. Bike Shop Sigma Sports, Install Pop-Up Cycleways, NHS Bosses Urge U.K. “Winter is coming” will be true for me this summer as I hop onboard a Qantas flight and take off into the digital skies! I have also done an executive course at the Kellogg School of Management. Follow me on Twitter: @Sarwant. Key components of digital transformation include leveraging technology to solve problems and identify synergies. What airlines are doing to master digital transformation. I am also the founder of a think tank group that works on future (Mega) trends. For instance, Air New Zealand has explored mixed reality, as well as simultaneous translation for its multilingual customer base using Google Pixel Buds. Airline Digital Transformation Takes Flight. If you guessed “airline digital transformation” and “airline ancillary revenue,” you got it right. Airlines are also getting into the venture-capital game, searching for, recruiting and sometimes acquiring start-ups working on technologies with interesting in-flight applications. Digitization is already fostering innovative business models, while rapidly transforming core and non-core functions. Promisingly, the digital transformation vision of most airlines centers on improving customer related processes, and implementing new technologies and innovation programs to engage … Airlines already have a significant advantage in boosting digital initiatives thanks to the vast volumes of data they have gathered over the years through frequent-flyer programs as well as statistics from customers’ online interactions. Although a slim 6% feel that they are leaders in digital transformation and are driving innovation through their investments. Interestingly, four different airlines topped each category. Aeroflot is keen to keep up-to-date with new systems. Ryanair Chief Marketing Officer, Kenny Jacobs, told travel news site Tnooz that new technology applications can increase revenue by offering customers tailored products throughout their journey, as well as providing relevant information, such as travel content and local guides, to create stronger bonds with customers. Pre-COVID-19, the company's website had 60 million monthly visitors, which adds up to a powerful database of loyal customers. While digital technology can help airlines build closer and more meaningful relationships with their customers — a ‘human touch’ remains the most important element of their customer service delivery. Opinions expressed by Forbes Contributors are their own. My team and I pioneered the “Macro to Micro” approach in analyzing Mega Trends in 2008, which has since been tried and tested with Fortune 1000 companies in developing white space opportunities. Against this backdrop, Frost & Sullivan’s recent customer research survey among airlines segmented as Tier I, II, III and IV, based on their annual passenger traffic volumes, came up with some interesting insights about airlines’ digital transformation: what do airlines understand by digital transformation; which functions are in the most critical need of a digital makeover; what gaps remain; which airlines are most and least prepared for digital transformation; and what airlines might, thanks to their digitization initiatives, give you a better experience the next time you take to the skies. Emirates set the benchmark for digital vision & strategy, Malaysian Airlines for digital maturity, EasyJet for innovation culture, and Qantas for financial commitment. Airlines were amongst the first businesses to insert … For more stats on the state of digital transformation in the airline … What really stood out is that amidst the pandemic, the investment in digital … VIEW ALL. The airline industry is using the current digital environment to experiment with cutting-edge technology to enhance the customer experience. As providers become connected and intertwined via standardized data interfaces, the travel experience will at first become individualized, then truly seamless.”. Such extraordinary value generation would derive mainly from improved productivity, cost savings, and new ancillary revenue streams. Tier I airlines (airlines with annual passenger volumes of 25 million and above) like Qantas, Emirates and other European airlines (EasyJet, KLM and SAS, among them) staked their position at the forefront of digital readiness. 2 Embracing Airline Digital Transformation Methodology For this report, Amadeus undertook primary and secondary research in association with Connections Events, The Telegraph and various industry experts. Digital Transformation in the airline industry: 10 emerging technologies that are reshaping the flying experience When the first commercial flight took off over a century ago, carrying 1200 passengers in a short span of 4 months, little did we know that airline … Tier I and II airlines from Europe and Asia Pacific had the largest digital transformation budgets, proportional to their revenues, compared to smaller sized airlines in other regions. … European low-cost carrier, Ryanair, has committed itself to becoming “the Amazon of travel” by building direct digital relationships with its customers. I consult Fortune 1000 companies (clients like P&G, Ford, Philips, BMW, Fiat group, Nissan, Toyota and UNIDO). Airlines, of course, realize this. Meanwhile, partnerships with technology solutions providers are driving overall corporate strategies—essentially, the vision of being among the most preferred airlines, improving customer satisfaction, and supporting sustainable profits. The airline now has development hubs (aka Travel Labs) in Ireland, Spain and Poland, employing more than 650 people. To battle the effects of COVID-19, the airline industry can utilize digital transformation to provide a solution that improves safety and customer experience. Airlines were asked to gauge their overall digital transformation readiness on the basis of four key criteria—maturity, vision & strategy, innovation culture and financial commitment. AI is also a popular area of focus, especially when it comes to airline customer service. Emirates is … Delta Air Lines, meanwhile, has made big leaps in tech, including RFID baggage tracking and biometric gate and lounge passes. You may opt-out by. Bikepacking, Transportation Business Models Are Broken. I am a well-known thought leader and a charismatic futurist who combines engineering acumen with strong commercial experience. Tier II competitors (airlines with annual passenger volumes of between 10-25 million)—including Swiss, Malaysian and Cathay Pacific—were lauded for their digital maturity and clear digital vision. The next step will see this individualization spread along the entire travel chain. In the future, a flight attendant will know if the lady in seat 13A likes tomato juice, the in-flight entertainment system will suggest the TV series she didn’t finish watching the night before at home, a taxi will automatically be booked at her destination airport, and her family will receive alerts about delays and gate changes when she travels back home. DIGITAL TRANSFORMATION IN THE AIRLINE INDUSTRY By Branchspace | 29 January 2020 For any airline heavily invested in and increasingly reliant on technology, keeping abreast of disruption is only … )—was unveiled as being the most digitally ready airline, globally. For airlines, having integral, back-to-birth digital records would be invaluable for maintaining aircraft, since data will be more easily available and traced, as well as feeding into predictive maintenance tools. These then are my top 10 takeaways straight from the cockpit: Airlines' understanding of digital transformation, On The Right Flight Path:  Who’s Digitally Ready. Get the latest insights and resources delivered right to your inbox. A key focus of the initiative is personalization, as Gleb Tritus, managing director of Lufthansa Innovation Hub, explained in a Medium post: “The steadily growing number of data points during a trip is fueling the topic of hyper-personalization, as premium airlines such as Lufthansa, as well as hotels and mobility providers will be able to individualize the customer experience. It proved that customer service is the single most important thing in the air-travel experience.”. A sense of urgency now pervades the latter. 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