World leaders in helping airports go social<br />
Airport Lost Revenues<br /><ul><li> FLAT Revenue growth
 No customer knowledge</li></ul>Source:  Blackstone Gates’ Study; Airports’ Annual Reports<br /><ul><li> $28Bn+ Retail Spe...
 No customer knowledge
 Loss of share of wallet</li></ul>Lost Retail Spend<br />Projected Retail Spend<br /># PAX<br />Source: IATA Airline Traff...
Customers Not Engaged<br />Booking<br />Rail<br />Check-in<br />Bag Drop<br />50%<br />2.7 Billion Customers<br />Gate<br ...
Customers In Control<br /> 8%31%         75%<br />   2009                      2010                          2011<br />
Airport  Customer Strategy?<br />
Airports Using Social Media<br />200+<br />Courtesy: Blackstone Gates,  Airport Customer Engagement Study<br />
KLIA Social Media & Retailers<br />
KLIA Customers on Social Media<br />
About the KLIA customers on social media<br />
Aviation Social Media<br />
AirAsia & Social Media<br /><ul><li> AirAsia needs no introduction
 Probably the first big Malaysian brand to adopt social media in a significant way
 Harnessed social media to build brand and global reach
 Perfect approach for a low cost carrier, with the low(er) cost of marketing through social media</li></li></ul><li>Case S...
AirAsia<br /><ul><li> Address customer’s biggest concern: how to get in touch if they have any problems
 On their website: hidden, takes more than 5 steps to get there
 On their Facebook page: prominently displayed
 Conversations and interaction with customers: commenting on photos or status updates
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How airports can use social media to drive retail

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This presentation was delivered by Robert Cook, Principal at SimpliFlying, at Kulala Lumpur International Airport's Retail conference.

The presentation highlights how airports are using, and can use social media to drive results and revenues, especially from in-airport retail.

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  • Social media allows identification/engagement with airport customers. Creating communities allows airports to engage at touch points for each demographic. Using a Market Research based approach within a community is a valid way to find out what preferences each group will identify with. By opting-in, context oriented offers can be presented without the risk of being perceived as ‘push’ marketing offers. As trends begin to emerge, business models can be tested against brand deliverables, identify potential retail opportunities, test pricing models etc. before launching new promotions. All promotions can be tracked/monitored for participation, sentiment and other analytics attuned to social media and internet marketing metrics.
  • How airports can use social media to drive retail

    1. 1. World leaders in helping airports go social<br />
    2. 2. Airport Lost Revenues<br /><ul><li> FLAT Revenue growth
    3. 3. No customer knowledge</li></ul>Source: Blackstone Gates’ Study; Airports’ Annual Reports<br /><ul><li> $28Bn+ Retail Spend Lost
    4. 4. No customer knowledge
    5. 5. Loss of share of wallet</li></ul>Lost Retail Spend<br />Projected Retail Spend<br /># PAX<br />Source: IATA Airline Traffic Forecasts; Blackstone Gates’ analysis<br />
    6. 6. Customers Not Engaged<br />Booking<br />Rail<br />Check-in<br />Bag Drop<br />50%<br />2.7 Billion Customers<br />Gate<br />Flight<br />Security<br />Shopping<br />US$17.6 Billion<br />
    7. 7. Customers In Control<br /> 8%31% 75%<br /> 2009 2010 2011<br />
    8. 8. Airport Customer Strategy?<br />
    9. 9. Airports Using Social Media<br />200+<br />Courtesy: Blackstone Gates, Airport Customer Engagement Study<br />
    10. 10. KLIA Social Media & Retailers<br />
    11. 11.
    12. 12. KLIA Customers on Social Media<br />
    13. 13. About the KLIA customers on social media<br />
    14. 14. Aviation Social Media<br />
    15. 15. AirAsia & Social Media<br /><ul><li> AirAsia needs no introduction
    16. 16. Probably the first big Malaysian brand to adopt social media in a significant way
    17. 17. Harnessed social media to build brand and global reach
    18. 18. Perfect approach for a low cost carrier, with the low(er) cost of marketing through social media</li></li></ul><li>Case Study #1: AirAsia<br />
    19. 19. AirAsia<br /><ul><li> Address customer’s biggest concern: how to get in touch if they have any problems
    20. 20. On their website: hidden, takes more than 5 steps to get there
    21. 21. On their Facebook page: prominently displayed
    22. 22. Conversations and interaction with customers: commenting on photos or status updates
    23. 23. Not just a marketing tool, but an effective one at that
    24. 24. Contests
    25. 25. Exclusive Deals for Fans</li></li></ul><li>AirAsia<br />
    26. 26. Retail 1<br />Check-In<br />Hall<br />Landside<br />Retail<br />Security<br />Search<br />Airside<br />Retail<br />Flight Information Messages<br />Retail 2<br />Retail 3<br />Gallery Walk<br /> Manchester Airport<br /> “Proximity Marketing”<br />What’s in it for the passenger?<br /><ul><li>‘Making the passenger journey easy’
    27. 27. Faster passenger transit time
    28. 28. More/better information for passengers</li></ul>What’s in it for the airport?<br /><ul><li>Increase commercial yields
    29. 29. Leverage of existing infrastructure
    30. 30. Service performance improvement</li></ul>Courtesy: Dr. Martin Smith, Group Director of Technology & <br /> Innovation, Manchester Airports Group<br />
    31. 31. London Gatwick Airport<br />“We achieved a redemption rate of 10.5%. We’re delighted with the results.”<br />Alan ChambersBusiness Development ManagerTTT Moneycorp<br /> “On-Airport Currency Project”<br /><ul><li> Joint effort: BAA + easyJet
    32. 32. Access opt-in passengers
    33. 33. Target passenger-provided profile
    34. 34. Hi-value passengers travelling outside EU
    35. 35. Business passengers travelling to France
    36. 36. All passengers on EZ5303 to Marrakech
    37. 37. Maximise conversion rates
    38. 38. Capture data at POS
    39. 39. Analyse redemptions: ROI</li></ul>Attract<br />Segment<br />Retain<br />Redeem<br />Offer<br />Dialogue<br />Powered by<br />Courtesy: Mike Atherton, Managing Director<br />
    40. 40. Geneva Airport<br />Nuance Tax + Duty Free<br />Retail A, B & C<br />BBO041 B25 15:30 <br />15MIN TO WALK FROM CHECK-IN TO GATE <br />The retail results<br /><ul><li> High sales penetration impact
    41. 41. 70% used their card for the retail offer
    42. 42. 200% increase - sales ratio for business travelers
    43. 43. Opportunity to generate a F2F sale
    44. 44. Opportunity to better target the customer profile
    45. 45. Customer loyalty – target specific customer types</li></ul>BBO041 B25 15:30 <br />1 CADEAU VOUS ATTEND AU TAX+DUTYFREE SHOP <br />BBO041 B25 15:30 <br />FLORENCE WEATHER SUNNY 22C<br />BBO041 B25 15:30 <br />PROCEED TO GATE LOUNGE BOARDING SOON<br />BBO041 B25 15:30 <br />LAST CALL GO TO GATE ENJOY YOUR FLIGHT<br />BBO041 B25 15:30 <br />FLIGHT DELAY TO 16:05<br />Courtesy: Brij Sahi, Chief Commercial Officer <br />
    46. 46.
    47. 47. robert@simpliflying.com<br />shashank@simpliflying.com<br />
    48. 48. The Customer Journey<br />Pre-Departure<br />Travel to airport<br />Destination<br />post-trip<br />Departure Airport<br />Flight<br />Arrival Airport<br />Travel to airport<br />Departure Airport<br />Flight<br />Arrival Airport<br />Pre-Departure<br />Travel to airport<br />Destination<br />Post-trip<br />Departure Airport<br />Flight<br />Arrival Airport<br />Travel to airport<br />Departure Airport<br />Flight<br />Arrival Airport<br />Destination<br />Customer ‘reality’: all journeys have origin & destination<br />outbound<br />return<br />

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