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CRM Practices in the Airlines Industry

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CRM Practices in the Airlines Industry

  1. 1. CRM Practices in the Airlines Industry Presented by – Shweta Pulee Mandar Ghanekar Anuradha Nikumbh
  2. 2. Agenda <ul><li>CRM practices in the Airlines Industry </li></ul><ul><li>Bonds associated with each of the above practice </li></ul>
  3. 3. Travel Market Analysis Even though the market is expanding, airlines are still experiencing pressure from all sides.
  4. 4. The CRM for Airlines
  5. 5. Significance of CRM for Airlines <ul><li>Global passengers to rise by 5 billion in 2011 and more than 9 billion by 2025 </li></ul><ul><li>Passenger traffic in Africa forecasted to increase by 7% & Asia –Pac by 6.8% a year, respectively, by 2011 </li></ul><ul><li>83% of travelers say that personalized service and attention to their needs provides value </li></ul><ul><li>40% of satisfied customers switch suppliers without hesitation </li></ul><ul><li>65% to 85% of customers who choose a new airline claim to be more satisfied with their former airline </li></ul><ul><li>Between Feb’09 and Feb ‘10, there was a 49.6% increase in the number of passenger complaints </li></ul>
  6. 6. Travel Customer Management Continuum <ul><li>Web-site </li></ul><ul><li>Call center </li></ul><ul><li>Ticket office </li></ul><ul><li>Customer mailbox </li></ul><ul><li>Sales force </li></ul><ul><li>Check-in/priority </li></ul><ul><li>check-in </li></ul><ul><li>Multi-purpose </li></ul><ul><li>automat </li></ul><ul><li>Lounge </li></ul><ul><li>Gate </li></ul><ul><li>Onboard crew </li></ul><ul><li>Inflight entertain-ment system </li></ul><ul><li>Transfer desk </li></ul><ul><li>Baggage claim </li></ul><ul><li>Baggage service </li></ul><ul><li>Arrival lounge </li></ul><ul><li>Transfer-Partner </li></ul><ul><li>Web-site </li></ul><ul><li>Call Center </li></ul><ul><li>Customer mailbox </li></ul><ul><li>Feedback or Surveys </li></ul><ul><li>CRM in Airlines extends beyond the traditional sales, service, marketing, loyalty & includes all the touch points in the customer’s travel experience. </li></ul>
  7. 7. CRM architecture for a major scheduled airline
  8. 8. Relationship Bonds
  9. 9. CRM Practices
  10. 10. Pre-Flight Services Call Centers/Travel Helpdesks <ul><li>Customer Information ( Accurate and meaningful analytics) - Structural Bond </li></ul><ul><li>Query resolution/Complaint management – Structural Bond </li></ul><ul><li>Two-way Personalized Dialogs – Customization Bond </li></ul>
  11. 11. Pre-Flight Services - Company Website <ul><li>Simplified Online flight bookings – Structural Bond </li></ul><ul><li>Separate accounts for member, agency and corporate - Customization Bond </li></ul><ul><li>Arrival/departure schedule – Structural Bond </li></ul><ul><li>‘ Create your trip’ - Customization Bond </li></ul><ul><li>Online Check-in – Structural Bond </li></ul><ul><li>Travel Extras like Hotels, vacation planner, car rentals etc. Social Bond </li></ul><ul><li>Frequent, conveniently timed flights - Financial Bond </li></ul>
  12. 12. Pre-Flight Services - Offers/Deals/Discounts <ul><li>Mileage Promotions (Frequent Flyer programs) – Financial Bond </li></ul><ul><li>Low Price offers - Financial Bond </li></ul><ul><li>Upgrades – Social Bond </li></ul><ul><li>Lounge vouchers - Social Bond </li></ul><ul><li>Loyalty program, Executive Club - Customization Bond </li></ul>
  13. 13. In-flight Services <ul><li>Well groomed / courteous flight crew – Social Bond </li></ul><ul><li>In-flight shopping – Social Bond </li></ul><ul><li>Food and Beverages are allowed inside the flight – Social Bond </li></ul><ul><li>Skyflyer Solo Service for unaccompanied children – Social Bond </li></ul><ul><li>Emergency Response & Business </li></ul><ul><li>Continuity – Structural Bond </li></ul>
  14. 14. Ancillary Services <ul><li>Comfortable, air conditioned buses for airport transit – Structural Bond </li></ul><ul><li>SMS Notification in case of flight delay/cancellation - Social Bond </li></ul><ul><li>Refund in case of flight delay – Financial Bond </li></ul>
  15. 15. Post – Flight Services <ul><li>Baggage Tracer - Structural Bond </li></ul><ul><li>Lost Baggage/Claims - Structural Bond </li></ul><ul><li>Transfer to Partner - Structural Bond </li></ul>
  16. 16. Social Media <ul><li>Airlines like Virgin, Delta have separate Twitter and Facebook channels - Social Bond </li></ul><ul><ul><li>For Emergencies like the Ash cloud, Snow </li></ul></ul><ul><ul><li>To serve customer complaints and questions promptly </li></ul></ul><ul><ul><li>Facebook booking </li></ul></ul>
  17. 17. Just Plane Smart  Thank You !
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