The Covid 19 pandemic shook the operations of many industries worldwide, resulting in huge losses. Among the sectors that were hardest hit was the airline industry, which recorded a loss of USD201 billion between 2020 and 2022. As part of post-Covid recovery measures, airline industries have leveraged technology to increase their revenues. Airlines have been integrating digital strategies to transform their way of operations and give their customers a more rewarding travel experience. A digital transformation strategy illustrates how a business should reposition itself in the digital economy. Below we look at the digital transformation strategies that can improve the air travel experience:
- Utilizing Scalable Cloud Solutions
Digital transformation entails reinforcing the systems that an airline already has in place as part of its technologies and eliminating its inefficiencies. Many major airlines have systems that require modernization and lifting as part of a cloud transformation project.
Understanding how the design of an airline is intertwined is the first step in leading an airline towards digitization. Etihad Airlines, for instance, got into a partnership with IBM Cloud to improve its airport check-in by embracing a hybrid cloud strategy.
“Airlines that embrace digital transformation fast and effectively will take a lead in the industry and attract more customers.”
- Involving stakeholders to Solve Complex Problems
It is not common practice for airlines to engage their employees and other end users to understand the problems that are in the industry. Many times, business managers are blind to the troubles of their employees. Partnering with an outsider can prove to be integral to figuring out the challenges that employees face in dealing with customers and come up with solutions.
Recently, KLM Royal Dutch Airlines embarked on a project to enhance the turnaround experience for its aircraft employees, enabling them to access all the information they needed in one place. The airline partnered with Apple and IBM to get a platform to listen to their employees discuss their challenges. The partnership resulted in the airline’s mobile app, The APPron, which integrated cargo, baggage data and operations, making it easy for coordinators to have control over turnaround.
- Operation Testing of Business Rules
The airline industry tailors its pricing and packaging rules according to the specific needs of an airline. There are rules around passenger amount limits, selling of insurance policies, loyalty services and tax computation that airlines need to adhere to. Airlines embrace digital technology to test their application of business rules.
Travellers are now using online applications accessed through the browser on the laptop, mobile phones and laptops to conduct transactions and get information. Airlines’ app and responsive website testing are part of software testing in the aviation industry. Airlines should focus on the simplicity of use and aesthetics to retain users of their website or application. Airlines will need to partner with software testing centres to access Test accelerators who will offer on-demand testing services.
- Connect Airline Systems to Real-Time Data
Airlines can create connected systems by effectively using real-time data, improving passenger experience and turnaround times. For instance, when a passenger has an issue with the functioning of the inflight entertainment system, the flight attendant can note this in the system so that the maintenance crew can fix the problem on the turn and ensure that the next passenger will not have the same complaint.
This connecting systems to the transfer of real-time data is a digital transformation strategy that will significantly improve air travel. Predictive maintenance can also help transform the operations of airline businesses in real-time. Implementing predictive systems depends on each airline’s needs, people, technology and processes.
- Improve Efficiency with Artificial Intelligence
Artificial Intelligence is usually integrated with predictive analytics and machine learning to give customers a more connected and personalized experience. Forward-thinking airlines comprehend AI’s impact on the industry and are already investing in it. For instance, Easy Jet Airlines, based in the United Kingdom, embraces Artificial Intelligence for predictive analysis. The airline has been using this technology to develop personalized offers and services for individual travellers. The airline has also improved its data entry and management tasks by acquiring a recognition tool that can read passports and fill the customers’ information.
Additionally, France has an AI system called Sky Breath that deals with collecting data from the flights and performing in-depth analytics to establish opportunities to save fuel and increase efficiency.
- Having Power Personalized Interactions by Using Intelligent Data Systems
Airlines can use the data they collect from their customers with their consent to give the customers a more incredible experience. Airlines can intelligently utilize customers’ data to tailor proactive services for their customers and provide greater satisfaction.
For instance, the digital recognition of a high number of vegetarian passengers will increase the availability of a variety of plant-based meal options on the flight. An airline that has had success in utilizing intelligent data systems is Malaysia Airlines, which launched an email ad campaign and used Algorithms to send personalized pricing and offers to its customers. The airline noted a 34 per cent increase in bookings by customers that received the emails.
The effects of the Covid 19 pandemic have been harsh on the entire aviation industry. However, there is hope to be found in the continuous digitization of the aviation industry. There is no one size fits all strategy for airlines’ digital transformation. Each strategy can be applied differently according to the needs of the airline. Airlines that embrace digital transformation fast and effectively will take a lead in the industry and attract more customers.
