Latest News
HomeAviationHow can airlines steal market share as consumers book flights to beat the winter blues?
Survey

How can airlines steal market share as consumers book flights to beat the winter blues?

Dark nights, post-festive season blues and the aftermath of three storms: it’s perhaps no surprise that January is a busy month for flight and holiday bookings.

Almost half of all summer holidays taken by UK citizens are likely to be booked before the end of January, according to Air Travel Organisers’ Licensing (ATOL). And with airlines locked in a highly competitive battle for the biggest share of the consumer purse, a new PwC survey asked travellers about the services and offerings that could help sway a purchase.

According to a PwC survey of over 1,000 UK adults, all of whom have flown at least once in the past year, free food and drink (34%) and brand reputation (21%) are the biggest factors that would influence a consumer to pick one airline over another. A further 16% would choose an airline based on the availability of WiFi in the air, including access to free media services such as Netflix or online games.

Based on the assumption that they could reach their destination for approximately the same cost, the survey reveals other added-value pre-boarding offerings with the potential to influence passengers’ airline choice:  

  • 35% would like to receive free, optional and customisable mobile phone notifications providing gate details, length of time from departure desk to the gate, and destination information such as weather.  
  • 30% would like information on and the ability to book transport to and from their departure airport that work seamlessly with their flight times.
  • 29% are interested in a loyalty scheme rewarding them for all purchases relating to their trip, from the flight through to duty free.
  • 33% would like their luggage sent on to their hotel ahead of them.

Ben Paul, UK airlines leader, PwC, commented: “While a number of airlines provide food, drink and mobile ticketing, it is interesting how consumers really value these – and the little improvements they’d like that would make a world of difference to them as they travel.

“Investing in mobile app and online ticketing updates that could add gate details and real-time information on how long it might take to get from check-in to the plane, for example, could have a real impact on booking numbers and, ultimately, an airline’s bottom line.

“Differentiating your business in ways that align with growing customer expectations doesn’t need to be cost intrusive either. Rather than incur the expense of full WiFi installation, airlines could invest in low-cost, onboard WiFi boxes with the potential to store and stream passengers’ pre-selected movies or TV programmes to their personal devices.

“By increasing customer choice and personalisation – factors that our survey show are highly valued – airlines boost their potential to generate extra revenues.

“And as in-flight personalisation develops and expands, it can trigger a virtuous circle of loyalty and usage: the more a passenger uses these in-flight services, the more data the airline can collect, and the more personalised services it can provide, such as having a passenger’s favourite drink, snack or magazine available. Often it is these small, simple acts that have the most powerful impact.”

But it’s not just airlines that have the opportunity to up their game when it comes to enhanced customer offerings – airports can also do more to influence consumer decision making.  

The survey reveals that while 28% would select the airport closest to their home regardless of other features, almost double that number (54%) would pick their departure site based on faster processing, for example at check-in and security, and shorter queues in general.

Ben Paul added: “When taken together, digital, data and analytics open up three main areas of competitive opportunity and risk across the industry. Applying the right balance of purchased, owned and earned data to deliver a seamless, data-enabled customer journey is the first step. Airports and airlines could also look to exploit this data to create differentiated value-added services that boost customer loyalty, re-bookings and revenues, as well as monetising this customer data by generating advertising revenues and selling it to third-parties.

“It’s clear that airlines and airports have the potential to transform the passenger experience, making it more personal, compelling and engaging than ever before.

“Harnessing innovation and digital technology to create the enhanced personalised pre-flight and on-board experience customers crave should be at the forefront of boardroom agendas as they define and develop future growth and investment strategies.”

Tatiana Rokou
News Editor - TravelDailyNews Media Network | + Posts

Tatiana is the news coordinator for TravelDailyNews Media Network (traveldailynews.gr, traveldailynews.com and traveldailynews.asia). Her role includes monitoring the hundreds of news sources of TravelDailyNews Media Network and skimming the most important according to our strategy.

She holds a Bachelor's degree in Communication & Mass Media from Panteion University of Political & Social Studies of Athens and she has been editor and editor-in-chief in various economic magazines and newspapers.

04/10/2024
03/10/2024
02/10/2024
01/10/2024
30/09/2024