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Turning travel into a non-contact sport

Airlines are trying to shrug off a financially-plagued decade by promising passengers more low fares as well as a seamless, paperless and even ‘contact-less’ travel experiences, industry executives said.

After electronic ticketing and check-in booths, Dutch carrier KLM is trying out automated bag drop machines, while the Internat-ional Air Transport Association is promising queue-skipping mobile phone boarding passes, ID scans and ‘self boarding’.

“The travel experience is going to change, that’s for sure,” Philippe Bruyere, global head of passenger services, said. “Self-service is what passengers want.” “And by self service we don’t mean a kiosk, that’s where we began the conversation two years ago. We mean new web-based services, more things you can do at home instead of in an airport line.

“In some cases we are facilitating contact-less travel,” he added.

While airlines are trying to woo passengers, they are also scrambling to cut costs after they hae-morrhaged nearly $50 billion from 2000 to 2009.

“The question for all regions is how to move from the Decennis Horribilis to a wonderful decade - a Decennis Mirabilis,” said IATA director general Giovanni Bisig-nani, suggesting that wages were also part of the equation.

As the economy recovers, some 2.3 billion passengers are expected to take to the skies next year - close to a peak achieved in 2007.

Yet, mainstream airlines can expect more losses, with revenues some $30 billion below those achieved two years ago.

Hikes in air fares are not an option for IATA’s 230 member airlines, which exclude rival budget carriers such as Ryanair and easyJet.

“With two years at exceptionally low levels, consumers… will expect travel to remain cheap,” Bisignani cautioned.

IATA underlined that consumers, especially in the world’s largest air travel market, the US, have also emerged from the financial crisis with big debts to clear.

That could undermine household travel budgets for several years.

But “simplifying” the travel exper-ience could yield nearly $17 bill-ion in savings, IATA said.

Bigger airports are investing in the changes, but they are also feeling the pinch as airlines more readily pick and change destinat-ions, according to Airports Council International (ACI).

“Consumers want the lowest prices possible with the fastest service possible, and we sincerely believe the means to achieve that is by implementing automated processes and streamlining procedures,” spokeswoman Nancy Gautier said.

“It doesn’t necessar-ily mean a radical cut in person-nel, rather it’s a way of seeing how they can be better deployed.”

Gautier underlined that the smartphone-equipped flyer was ever more commonplace.

“We’re seeing a new generation of passenger that’s willing to go further. We need to look for the technologies that allow us to do that,” she said.

Self-service check-in kiosks are now available at 139 airports, although just 22 IATA member airlines allow passengers to self-tag their hold luggage.

However, airline and airport exec-utives admit that the transition is not as seamless as they would like.

Gautier acknowledged anecdotal evidence of teething glitches, while baggage handling ‘accuracy’ is an ongoing agenda for both carriers and airports.

ACI is also pressing airlines to acc-ept common kiosks at airports, rather than the costly installation of different systems for each group.

“Airlines have a lot of commercially sensitive data like frequent flier programmes, so they’re reluctant to share,” Gautier said.

Categorized | Business News

Tags : airports, also-scrambling, check-in-kiosks, conversation, decennis, financial, internat-ional, nancy-gautier, smartphone, such-as-ryanair, technologies, transition, transport, travel, want-the-lowest

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Turning travel into a non-contact sport

Categorized | Business News

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