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					Airline Online Distribution Emirates
4th May 2005

Theunis Potgieter
Manager E-Commerce

Emirates and Online Distribution

• • • • •

As a global carrier, Emirates has seen and acknowledged the impact of the internet on our distribution channels. Our main objective is to provide an additional sales channel for customers who wish to interact with us via the internet. However, it is important to balance our online offering with our other sales channels. Internet distribution covers all online sales via Emirates.com and online travel agent portals. The key benefit to Emirates is the opportunity to lower our interaction costs across all customer segments.

Emirates e-Commerce today
• • • • • • Bespoke Internet booking engine integrated with airline reservation system using a Datalex platform. Online booking available from 33 countries in 5 languages, supported by individual country sites. 4 easy and convenient ticketing options including e-Ticketing. A secure payment gateway (BIBIT). Average of 1.5 million unique visitors per month 76% of our visitors ranked the site very good or excellent

10% average revenue growth each month since April 2003

Top 5 online booking markets UAE UK Australia Germany New Zealand

Top 5 sectors DXB-LON DXB-JFK MEL-AKL DXB-BKK DXB-DOH

Apr2003

May2003

Jun2003

Jul2003

Aug2003

Sep2003

Oct2003

Nov2003

Dec2003

Jan2004

Feb2004

Mar2004

Apr2004

May2004

Jun2004

Jul2004

Aug2004

Sep2004

Oct2004

Nov2004

Dec2004

Jan2005

Feb2005

Mar2005

Apr2005

Emirates.com functionality
Travel planning and booking
Online booking Retrieve a booking Skywards online redemption Flight schedules and status Emirates contact information Emirates value-add offers Monthly special fare offers Destination offers Promotion via email & online marketing as well as traditional channels

Special offer promotion

Traveller information Future enhancements
Additional languages - including Arabic Online check-in Improved self-service functionality Ancillary services booking Holidays

Dubai and the UAE information Emirates product and airport information Skywards membership

Emirates.com awareness
Word of mouth Advertisement in paper/outdoor Using a search engine 32% 30% 29% 28% 24% 26% 26% 28% 25% 23% 24% 23% 21% 22% 23% 23% 13% Via Skywards website 11% 11% 13% 13% 13% 12% 13% 19% 22% 20%
Winter'05
Autumn'04
Summer'04
Winter'04

Travel agent

TV advertisement / cinema

Internet advertisement

16%

The word of mouth is increasing as an influence to visit emirates.com

Repeat versus first time visitors to Emirates.com

50%

2004

2005

40%

30% 45% 36% 29% 10% 24% 27% 20% 20% 10% 0% Australia UK UAE India US 28% 25%

20%

Attracting more repeat online customers across all markets

Differing travel behaviour of Emirates.com customers
EK 15% 24% 8% 5% 18% 27%

Australia

31%

16%

5% 3%

7%

36%

US

20%

13%

23%

5%

11%

18%

India

17%

19%

3% 5%

26%

28%

UK

12%

30%

7%

5%

16%

25%

UAE

6%

26%

7%

7%

30%

24%

A destination within my own country

Europe

North America

Africa

Middle East

Asia/Oceania

Online customers are predominantly long and medium haul travellers

Emirates Online target segments
Different Customer segments require different online products and services.

Leisure Traveller
• Need to provide an interactive journey management service online. • Customer requirements differ per market for self service solutions. • Online service adoption has increased substantially for all online products. • An opportunity to drive down cost in our Call Centres.

Business Traveller
• Servicing of Corporate Travellers and Corporate Accounts are becoming more complex as the Emirates network grows. • Opportunity exists to service these customers and their fulfilment agents more effectively. • Reporting, online check-in, seat selection etc.

Travel Agents

• The Travel Agent remains an important distribution partner. • Need to develop new and innovative online services to service the agent. • A new Online Travel Agents portal has been launched to service the trade more efficiently and at a lower cost base.

Emirates Travel Agent online
Provide the Emirates Travel Agent with a one stop local website to for reference, interaction and transaction with Emirates.
Current Future

• Launched in Australia and UAE and soon in other primary markets. • 5 Modules to the product:
1. Information 2. Register and update details 3. Download all local policies and procedures 4. Broadcast of all local promotions and offers, including private offers 5. Emirates local and Network news

• Roll out to all Emirates markets globally • Ownership by the local Emirates stations to ensure usage and relevance to the market • Implementation of interactive solutions for Agents to lower their interaction cost with Emirates

Increasing business coming from Online Agents
Emirates is actively pursuing relationships with online Travel Agents as customer expectations are that Emirates needs to be visible and competitive.

USA
• • • • • CENDANT Price line ORBITZ Travelocity EXPEDIA • • • • •

Europe
Opodo Travelocity E-Bookers Lastminute Go Voyage

Far East
• Priceline • ZUJI

Aus, NZ
• Travel.com.au • ZUJI • Web-jet

• Emirates does not differentiate between Online and Traditional Travel Agents. • Partnerships are evaluated based on local market share, ability to drive volume, strong customer base and marketing power.

Self-service – the way forward
• • High adoption of self-service channels across many industries Online self-service solutions enable the customer to take control of their own travel requirements when it suits them Customers are demanding the same from airlines, this is evidenced by a massive increased usage of Emirates online services Expansion of Emirates online will focus primarily on meeting this demand and empowering our customers to chose how they wish to deal with us

Look for and compare fares

Check destinations/timetables

Check flight availability

•

Access FFP account information

Look for a specific fare/discount I saw adv.

•

Check for flight status

Purchase tickets

Conclusion
Global travel distribution is changing. The internet has become an integral part of airline distribution channels. This change is developing at different speeds across our markets and Emirates is tailoring its’ strategy to meet these needs. Emirates is well positioned to further capitalise on the growth of the internet and changes in consumer purchasing behaviour.

Thank you
Theunis Potgieter
Manager E-Commerce Emirates


				
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