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The introduction of new services and fees that demand behavioral change by consumers require communications and marketing tactics resembling the community activism of an Obama campaign where all the political constituents receive special handling. The task is difficult, often requiring transparency and persistence. This is perhaps why some network carriers are choosing a ‘follower mentality’ when new fees are involved. Every major player fears possible consumer backlash. As the world’s leading provider of onboard retail systems, we frequently witness airline consternations about new approaches to unbundling fares. First thing, let’s remove ‘extra’ from the marketing vocabulary. Next, remember ‘replacing free with fee’ is not unbundling if the price of the airline ticket continues to be the same. Finally, appreciate that unbundling is a broad and familiar phenomenon as consumers have experienced a-la-carte models with other travel, eating out, theater going, mobile phone usage, TV cable services, and even car washes. The a-la-carte end experience is all about customized and personalized service.
Timing and Planning Considerations
The introduction of the a-la-carte onboard retail model should be designed as a thoughtful process, not simply an event or an ad hoc project. Begin with offers that differentiate your service and approach from the start. Think about how this change will affect your brand. Don’t simply charge for plain coffee and flat water. Work with leading brands to upgrade the quality of beverages and snacks that drive immediate value with consumers. It’s the quality delta with Wolfgang Puck versus Maxwell House that can often make the difference in customer satisfaction. Run a pilot, capture customer feedback, monitor sales trends, and continue to tweak your a-la-carte offers to improve your sales and create positive passenger reception. Revenues will surely follow. Develop guidelines and standards for your team’s business processes, and become the envy of other major carrier brands.
Opportunities with Consumers
Don’t simply segment your customers by cabin class and frequent flyer miles for new initiatives. Think about the passenger needs along psychographic profiles to innovate, personalize service and get into the mindset of travelers. Make sure your passengers know what to expect. Create the value perception for the consumer through thoughtful information and innovative offers.
Describe your a-la-carte program on your website. Announce your offerings and the acceptance of credit cards during your opening in-flight message as soon as the passengers are seated. Direct them to your menu offering found in your seat back publication. Seek customer feedback during flight. Invite passengers to submit suggestions for new offers. Above all, be transparent about how the new model will impact service and ideally achieve a much more unique and personalized consumer experience.
Learn how you can work with employees, unions, media, and reward miles programs to differentiate your onboard programs here.
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