The future of ancillary revenue for airlines is Omnichannel. The traditional inflight retail model for creating ancillary revenue can neither meet the demands of today’s passengers, nor is it a suitable fit for today’s technology. Airlines need to rethink their business models to account for the dramatic decline in global passenger numbers due to COVID-19 while also taking advantage of the flexibility and scalability of digital platforms.
Only by implementing Omnichannel solutions will airlines be able to offer their passengers the convenience and touchpoints they have become used to from global E-Commerce players. By providing these channels, airlines take into account changing passenger buying behavior. Key issues for them to consider when developing new business models and digital platforms are personalization, premiumization, planned purchasing, potential of the brand and the power of data.
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