Drives Innovation in the. Daniel Friedly PSS Product Strategy, HP Enterprise Services

Transcription

1 WELCOME

2 Drives Innovation in the Travel Industry Daniel Friedly PSS Product Strategy, HP Enterprise Services 2

3 Business white paper Change the airport experience Learn how technology and innovation make it better for the traveller

4 Business white paper Change the airport experience Table of contents 3 Respond to the need 3 Differentiate with mobility 4 Benefit from wearable computing 5 Engage mobility in baggage handling 6 Use geolocation 7 Understand where biometrics fit in 7 Move forward 8 Gain from our experience 8 About the author

5 Business white paper Change the airport experience Make it personal Airline travel is at a crossroad, needing to make airport processes more personalised, social, and virtual. By looking at developments in self-service, mobile, and geolocation digital technologies and how they can change the ways ground handlers, and airline and airport staff work you can be even more mobile, flexible, and efficient. Respond to the need Digital technologies are transforming the way airlines and airports connect with customers and how staff goes about their daily work. The air travel industry is entering one of the most significant eras of change in its history. And it s powered by digital technologies that are transforming the way airlines and airports connect with customers and how staff goes about their daily work. Across the globe, large and small enterprises in all sectors are similarly navigating new business models enabled by mobile, cloud computing, Big Data, and social media. Airports, airlines, and ground handlers have a particular and visionary part to play in the new digital economy they have everything to gain and the most to lose if they fail to grasp the digital opportunity. And as the sector emerges from a recession stunned from combined fuel price pressure and plummeting discretionary travel spend, these technologies can increase operational efficiency and promise to transform the customer journey into one seamless, personalised experience. Two themes resound in this new, expanded world of travel; those of self-service and personalisation, driven by increased use of mobile communications and smart user devices. As organisations become better connected through their smartphones and other wearable devices, airports must become purveyors of not just the logistical journey, but an entire travel experience from the initial journey planning stages through to retail activities. Differentiate with mobility Mobility is the biggest game changer for all organisations as smartphones and tablets drive new expectations everywhere with anywhere, anytime, anyplace connectivity to products and services. The mobile experience has become the face of the business and the selfservice window into retail outlets as people become more proactive in consuming services and air travel is no different. In fact, if anything, opportunities are even richer for the air transport sector; as airline seats are increasingly commoditised, carriers need new ways to differentiate their service. Mobility offers ample ways to do this. Aer Lingus, for example, earned over EUR17 per passenger in ancillary revenues according to the 2012 Amadeus Year Book of Ancillary Revenue. Increasing the scope of ancillary services by offering them through additional channels, up to the last minute prior to flight and in flight through mobile services, is a very real prospect. But it s important to go about mobility the right way to think beyond the device and make mobile more than simply a matter of porting existing applications onto a fresh set of devices. Instead, mobility should open up a new way of thinking about how you engage with customers and become a route for delivering a whole new set of services. 1

6 Business white paper Change the airport experience Engage in the three C s of mobility HP developed a shorthand way of thinking about mobility to ensure you don t make expensive errors or miss opportunities to create new revenue streams and more efficient services. It s called the three C s and the essential components are connecting with employees and customers, converging tools and processes, and controlling and managing the mobile domain an all-important element for airports and ground handlers with their specific security concerns and requirements. Mobility opens up a new way of thinking about how you engage with customers and becomes a route for delivering a whole new set of services. Above all, mobile connectivity means more flexible ways of deploying staff and managing tasks such as baggage handling, check-in, and in-flight services. Plus, with over threequarters of travellers carrying smartphones and able to access information, there are new ways to engage with customers, according to the SITA 10th Annual Report. These include airport retail activity, pushing personalised offers to travellers in the airport vicinity, and providing premium, enhanced customer service options. Imagine Tablet as a Service Once the infrastructure is in place, it s time to focus on the tablet device and opportunity. Specifically, carriers need to: Increase customer loyalty by making their services to order Increase agents productivity Increase retailing for ancillary revenue The high costs of customising tablet applications (apps) for a narrow set of airline-specific capabilities combined with the complexity of managing a large number of devices can be offputting to airports and ground handlers. That s where Tablet as a Service comes in. Hardware loaded with software adapted for airport use includes agent software for particular airline roles, plus an airline-hardened service, a security layer, and lifecycle management. Imagine a new world where Tablet as a Service can complement your service offering in multiple customer-centric ways. You ll be able to dynamically deploy a mobile concierge to bust the lines and sell services making the customer journey more enjoyable and profitable. At the departure gate, tablets come into their own, dispensing customer assistance and logistical checks. And once on board, they improve crew productivity, act as a point-of-sale device, and personalise the customer journey with in-flight entertainment options. Benefit from wearable computing Wearable computing may seem in the realm of the futuristic and fantastical, but it s simply another aspect in the trend toward mobility. Computing accessories are a facet of the Internet of Things, which is gradually connecting of all the world s devices and objects. The most talked about wearable devices right now are Google Glass and the smartwatch, which are relevant and applicable to the air travel sector. In fact, this is the arena where some of the newest and most exciting applications will be played out, as recent trials, such as Virgin Atlantic, confirm. 1 Whilst it s up for debate whether consumers will wish to wear full-fledged computing devices strapped to their wrists or heads, there s no doubt about their value to airport staff. Employees at check-in, duty free, and in flight will find these invaluable in helping them perform their role, particularly when it comes to flexibly switching between duties and line busting. Create a personalised concierge service Feedback from the ground-breaking trial by Virgin Atlantic conducted February 2014 using wearable technology to create a personalised concierge confirms the arrival of wearable tech. Virgin staff wearing Google Glass or Sony SmartWatch 2 were able to personally greet first-class guests and provide flight updates and destination information using wearable technology. 1 com/2014/02/virgin-atlantic-launchesindustrys-first-wearable-technology-triallondon-heathrow-airline-exclusively-discussfindings-lessons-learned-fte-europe-2014/ Integrating wearables with a purpose-built dispatch app enabled the Virgin Atlantic passenger service system to provide a seamless information flow. In the future, Virgin Atlantic anticipates using wearable technology to communicate customers dietary and refreshment preferences in flight to cabin crew, in order to provide an even more personal, comfortable experience. 2

7 Business white paper Change the airport experience Integrate wearables Whilst many anticipated that wearables would be perceived as intrusive or gimmicky, the feedback from the trial didn t back that up. For the passenger identification and information features that were piloted, the more visible glass scored higher with customers because it didn t entail breaking eye contact when searching for information. Meanwhile, the watch may prove to be more apt for this high-touch environment and appropriate for other applications. This could be especially useful in airport retail settings, where an agent wearing a watch could become a virtual checkout, performing in a duty-free sales capacity. For example, Cameron brings an item to an agent who uses the watch to scan the products near field communication (NFC) chip and transmits this to the customer s smartphone. This invokes the customer s smart wallet to authorise payment, which is then sent to the agent s smartwatch. Finally, a digital receipt is sent to the customer s watch. Using the same transaction as the purchase, all boarding pass data could also be transmitted. The Airport IT Trends Survey 2013 found that airlines are committed to providing their travellers with more information about what is happening to their bags over the next three years. It also states, by the end of 2016, over 60% of airlines expect to be sending bag location updates and enabling missing bag reports via smartphones. 2 Spanish carrier Vueling also voted in favour of the smartwatch in March 2014 when it announced it had partnered with Sony to offer the industry s first wearable boarding pass. The wearable boarding pass will be provided via a new app from Vueling and Sony and has been available for download from the Google Play Store since the end of March. SmartWatch 2 owners will be able to store their boarding pass on their SmartWatch 2 and present it at airport checkpoints. Review other wearable contenders Alongside retail, check-in, and cabin crew staff, other employees likely to don wearables are baggage loaders. Whilst these workers carry out scanning duties using an additional device, most of them are rather heavy and bulky. By using devices such as the Motorola device recently deployed at UPS, baggage tracking and reconciliation will become faster, easier, and more reliable. Customers may or may not take to wearable technology, and appetite will probably depend on fashion trends. For nonwatch-wearing customers, the device of choice will most likely remain the smartphone. However, there is potential for gadgets smaller than a phone, which are clipped onto a handbag or belt. Longer term, take up will also be influenced by the fact that these devices are wearable personal information systems, whereas phones are a more personal communication system. With the launch of Google s Android Wear an operating system built specifically for wearable devices the industry most likely will see a myriad of new, innovative devices and functionality appear over the next months. Engage mobility in baggage handling The pervasive use of mobility with scanning and tracking technologies is behind another here and now success story; this time it s baggage handling. The 10th SITA Baggage Report pronounced 2013 as a year of massive improvement in bag mishandling rates for the air transport industry with a 21.2% drop over Incredibly, it was achieved against a 5.1% increase in the number of passengers flying. The secret to current and future success lies in increased self-service enabled by the smartphone around three-quarters of travellers carry them. 3 Furthermore, by enhancing how baggage handlers manage baggage using mobile devices for tracking and reconciliation, baggage location is not only better known, but baggage gone astray can be identified quicker and problems rectified sooner. Enable self-service and the bag drop When you connect consumers love affairs with their smartphone to the power of mobile communications and tracking technologies, there s a natural meeting place in self-service. This brings happy outcomes for airports and ground handlers through greater operational efficiencies and better customer experience for the flyer, too. 2 Airline IT Trends Survey 2013, issued 19 June 2013 by SITA and Airline Business 3 Passenger IT Trends Survey 2013, issued 2 October 2013 by SITA and Air Transport World 3

8 Business white paper Change the airport experience Electronic bag-tag trials and airport-based self-service bag drops are a current focus for attention. British Airways and Iberia have respectively been piloting self-tag kiosk-printed bag tags for certain routes, specifically Iberia s MyBagTag. The latter enables customers checking in online to download and print their bag tags from the airline s website. And there is more to come in the realm of self-service. Accessing up-to-date information about their journey whilst on the move is a primary requirement for today s customers, according to the 2013 Passenger IT Trends Survey. 4 Plus, the survey confirms that consumer requirements are broadening beyond flight updates knowing what is happening to their luggage is cited by the survey as one of their top three priorities. Use tracking and the permanent bag tag A growing number of applications enable end-to-end baggage tracking to be integrated into existing smartphone and tablet apps, and promise to make the passenger journey ever smoother. At the beginning of 2014, Air France-KLM unveiled another innovation to put baggage tracking more firmly in passengers hands. The permanent bag tag, called etag, is an electronic baggage label with two e-ink displays that attaches to the outside of the suitcase, whilst etrack is placed inside the luggage. Powered by industry standard global system for mobile (GSM), global positioning system (GPS), and Bluetooth communications, etrack was launched in response to customer demand, and the pair of devices is expected to be offered to travellers at year-end. The advance of permanent bag tags is not a question of if they will be widely adopted, but when and in which form will they succeed in the industry? Due to the dependencies among different airlines, airports, industry bodies, luggage makers, tag creators, standardisation bodies, and the consumer, this isn t quite as easy as adding an NFC tag to a suitcase. The solution that minimises changes to existing software, infrastructure, and processes will most likely succeed in the short term. Get on board All of these examples provide plenty of evidence that the air transport sector is savvy about their customer wants and is ready to satisfy them. The 2013 Airport IT Trends and Airline IT Trends Surveys, found that airlines are committed to providing their travellers with more information about what is happening to their bags over the next three years. It also states, by the end of 2016, over 60% of airlines expect to be sending bag location updates and enabling missing bag reports via smartphones. 5,6 HP estimates about one-quarter of airlines already provide real-time bag status information to their operational personnel. Various industry studies tend to conclude that the majority of airlines plan to offer this service to staff by Use geolocation Geolocation is another exciting facet of mobility and consumer attention that can be used to communicate logistical information and retailing opportunities to customers. The technology tracks where people are and it can be specific to individuals or anonymous, which aids in understanding human traffic flow through airports. Potential applications within the airport are numerous, and there s enormous scope to improve airport layout and design, increase security, make catering more effective, and enhance retailing activity. An instance of geolocation technology making the headlines is the ibeacon, used in conjunction with Bluetooth low energy (BLE) or potentially NFC. Once a BLE-enabled device such as a smartphone moves within range of the ibeacon s signal, the latter triggers an action, for example, displaying a contextually relevant message on the phone. In an airport environment, the beacon could trigger an app on a traveller s smartphone to send notifications or promotional coupons as the departure lounge is entered. 4 Passenger IT Trends Survey 2013, issued 2 October 2013 by SITA and Air Transport World 5 Airport IT Trends Survey 2013, issued 12 November 2013 by SITA, ACI and Airline Business 6 Airline IT Trends Survey 2013, issued 19 June 2013 by SITA and Airline Business 4

9 Business white paper Change the airport experience Virgin Atlantic confirmed its role as an airline pioneer in mobility with its testing of ibeacons to inform passengers at London Heathrow of discounts in the vicinity and provide automatic boarding updates. Whilst retail is seen as the driving force of geolocation, the 2014 SITA paper, Connecting to your passenger are beacons the breakthrough? identifies other potential uses including baggage reclaim, triggering e-boarding passes, and passenger location and navigational services. Give personalised passenger services When geolocation capabilities are personalised, there are a host of further potential applications. Assuming a customer agrees to active tracking, ibeacon sensors locate and identify a person, enabling airlines to inform individual passengers when they should make their way to the gate depending on their location and even forward them directions. Airport shops can advertise special deals as a customer passes and tailor offers to suit that customer s interests. Similarly travellers can be informed of security lines and wait-times and given directions to alternative security checkpoints, check-in kiosks, or baggage drop locations. Whilst driving onto the airport perimeter, customers can be guided to vacant parking locations, or opt for optimal parking a better parking position for a higher price. Use anonymised geolocation Nonspecific but nonetheless very valuable for airlines, airports, stores, and restaurants serving a mass market, anonymised geolocation assists in understanding where people are, when, and for how long. A lounge or restaurant can begin to understand which areas are used most, and how long an average consumer uses a facility, or which areas seem most inviting. In airports, airport authorities or airlines can identify where people are, when, and how travellers flow through the airport, pinpointing bottlenecks and empty zones. This virtual map of human traffic opens up a host of applications including redirection of travellers to lounges and restaurants, and efficient staffing of these amenities. Automated modifications can be made to billboard advertising according to the time of day in order to market to relevant demographics of each passer-by. Mix in a bit of personalisation; the technology can even show where the masses are as opposed to VIP customers. By understanding where people are in an airport, general traffic flows and architectural and infrastructure layout can be improved. Understand where biometrics fit in Biometrics has been an omnipresent topic, and there is belief that it can change the customer experience at airports. Embracing biometrics entails the twin challenge of applying highly sophisticated and powerful technologies whilst maintaining customer trust. Whether it s computerised facial recognition scanning irises, fingerprints, or heart rates, protecting customers privacy and respecting their personal space will be paramount for our industry. From single identification of a specific traveller to automated immigration and security control, biometrics offers a huge potential. Airport employees facilitated by biometrics will speed up identification and increase security within the airport, reducing the threat of fraud and identification misuse. Airports, including London s Gatwick Airport, use biometrics today; however, exploration of the technology s potential has only just begun. Move forward This walk through the technology landscape of today and tomorrow aims at visualising where you can transform the travel experience. One day soon, airlines will reach a very high level of comfort, which will enable consumers to move seamlessly and touch-free through an airport. 5

10 Business white paper Change the airport experience Combining biometrics with the other technologies discussed such as wearables, geolocation, or identification at baggage drops and security checkpoints will truly enable the airport experience travellers are seeking today. This destination requires the combined efforts of technology companies that continue to innovate, together with airlines, ground handlers, governments, and airport operators who are willing to use and adopt the new technologies. It also calls for carefully planned execution and transition to ensure this industry can cater to the differences in speed of change of participating parties. Ultimately, traditional processes will need to work hand-in-hand with highly innovative technologies over several years to come. Gain from our experience HP has invested 35 years in making comprehensive, intuitive passenger servicing solutions for airlines, airports, and ground handlers. Now we are investing in a raft of new technologies that push these solutions beyond these functions to touch the entire customer journey beginning with the planning stages in the home or business, the trip to the airport, within the airport complex and retail outlets, on-board, and beyond. Let us be your partner in this journey. Learn more at hp.com/go/consumer-travel About the author Daniel Friedli Daniel Friedli is senior product manager responsible for product strategy and innovations within HP Travel & Transportation. Sign up for updates hp.com/go/getupdated Share with colleagues Rate this document Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. The only warranties for HP products and services are set forth in the express warranty statements accompanying such products and services. Nothing herein should be construed as constituting an additional warranty. HP shall not be liable for technical or editorial errors or omissions contained herein. Google is a registered trademark of Google Inc. Bluetooth is a trademark owned by its proprietor and used by Hewlett-Packard Company under license. 4AA5-2472EEW, April 2014 This is an HP Indigo digital print.

11 Networking Break 14:45 15:30 3

12 SGHA 2013 Facilitators Nick Yeadon Managing Director, Air Dispatch International AGSA Task Force Vice-Chairman Henrik Ambak VP Ground Services & Commercial IT, Cargolux Mohamed Hanno Executive Chairman & CEO, ASE Group Bob Gurr Director Sales and Marketing, BidAir Services Martin Meyer Vice President Global Sales and Business Development, WFS Marsha Ragusa Director, Contracts, Ground Operations Procurement, British Airways Roger Walton Manager, Airport Services, TNT Airways 4

13 SGHA

14 Cure for none payment A proposed new The Parties shall reach agreement on the payment terms at each location which shall form part of the applicable Annex(es) B. Should the Carrier fail to make payment or dispute the invoice(s), within the agreed terms, the Handling Company shall notify the Carrier in writing of the failure to pay. In the event that the Carrier fails to pay the amount due within the agreed rectification period, as specified in Annex(es) B, the Handling Company shall be entitled to issue 7 calendar days notice of suspension of services to the Carrier. The Handling Company shall restore services to the Carrier within 24 hours of receipt of payment.

15 Other AHM 810 changes A revision of Annex A section 5 (Cargo) to incorporate e- cargo and to restore (irregularity handling)

16 E-Invoice standards In conjunction with IATA AGSA has accepted IATA s proposal for e-invoice standards and these will be voted on later.

17 AHM815 A review of the AHM815 ticketing agreement is being undertaken. Who uses it?

18 Safety Management Systems. Main agreement sub article 5.12 The Handling Company shall be able to demonstrate a Safety Management System in use following IATA AHM 610 and/or ICAO, local and international regulations, or other governing rules.

19 From AHM 801 Sub-Article 5.1 It is required that the Handling Company and it's Sub- Contractor(s) personnel are trained to meet the requirements and instructions of the Carrier, when providing services with a safety aspect such as load control, loading of aircraft and particularly the handling of dangerous goods. The Handling Company and it's Sub- Contractor(s) must ensure that their personnel carry out only the duties for which they have been trained.

20 From AHM801 Item is not designed to cover the provision of security personnel which is covered in This Item is designed to ensure the handler undertakes physical measures to protect loads requiring special handling e.g. VAL items to be stored in a secure area, temperature sensitive items to be kept out of the sun or snow.

21 From AHM801 Item (3) Hosting is meant to mean IT hosting and not the provision of front of house staff to assist in the use of the terminals which by definition are self-service devices.

22 Next AGSA meeting IATA HQ Montreal 9 th 11 th September

23 QUESTIONS 15

24 Exhibitors Networking Drop & Win Soirée 16:45 18:45 Enjoy a drink, network, and find out if you are a lucky winner. 16