ABSTRACT
From the digital strategies being followed in the airline industry, it is evident that the commercial side of the business is being transformed with digital technologies in areas relating to retailing, customer experience, personalization, and distribution. Leading airlines have been attempting to create 360-degree views of the increasingly changing expectations of customers to make the right offer to the right customer at the right time with the right price and through the right channel. The object is to generate additional revenue and improve customer experience at the same time. While progress has been made in these areas, first, there is still a need to make marketing mainstream if airlines are to adapt to the step-changing dynamics of the marketplace in the next ten years to capitalize on opportunities. Second, the commercial side of the airline business has received much more attention for digital transformation relative to the operational side. Consider, for example, the value of using digital technology to get 360-degree views of maintenance situations to get the right part, the right mechanic with the right tools, for the right plane at the right time, and at the right location. While progress has been made in both areas, more on the commercial side than the operational side, as stated earlier, it has been relatively slow on both sides due to the continued lack of sufficient integration, not only within each of these two functional areas but also between the two functional areas. This chapter starts with discussion on making marketing mainstream, followed by a discussion on leading operations into the digital age. Next is a perspective on bonding these two major functional areas within airlines – marketing and operations – while improving both customer experience and employee experience. A similar need exists within the airport sector, a subject covered in Chapter 5.
