Welcome To A New Era In Airline Travel

Oct. 1, 2014
The glamorous, high-flying, glory days of airline travel now must take place on the ground

This airline had customer service down to a science. Hot food served on real china, extra comfy seats with plenty of legroom, a warm blanket and pillow, cookies and champagne. Truth be told, I never minded business travel in those days.

Fast forward to today.

Airlines now offer their customers cramped seats (keep in mind I don’t have enough legroom and I’m just shy of 5 ft. tall), cold planes without blankets or pillows, and a hot meal is going to cost you—plenty!

The reality is that what was once provided on a plane is now expected at the airport, according to Laura Samuels, vice president of communications, Hudson Group. Today’s travelers, she says, expect to find what was once offered by airlines at retail shops in the concourse. Top selling products include electronics (ear buds and headphones being among the top needs), travel pillows and blankets, healthy foods, and duty-free items.

Then there are the restaurants. Besides needing food on the go, airports must offer real meals too. Consumers expect a mix of high-end, sit-down restaurants with a local flavor to fast food restaurants and grab-and-go food stands. The days of only offering hot dogs, nachos or a warm pretzel are over.

Services are important too. Your passengers expect quiet spaces to work, WiFi, electronic plugs, kids play areas, spas, yoga rooms and more. Thankfully many airports are starting to oblige.

There's lots to think about. Lots to add. And it will take plenty of money to get there. The good news is there's also an opportunity to build non-aeronautical revenue in a top-notch concessions and retail program. In 2012, according to the FAA, U.S. airports generated $9.31 billion in aeronautical revenue, and that was 55.2% of total operating revenue. Non-aeronautical revenue wasn’t too far behind, amounting to $7.56 billion, or 44.8% of total operating revenue. The reality is that airlines have left a revenue door open that airports can readily step in.

It’s a new era in airline travel. The glamorous, high-flying, glory days of airline travel now must take place on the ground.

What services do you have? What might you be adding? Where are you at in the quest to build the passenger experience from the ground up? Drop me a line and let me know: [email protected]