The Important Role of Big Data in Airport Transformation

Oct. 29, 2018

At our current pace, there are 2.5 quintillion bytes of data created each day. This boom in data creation has brought with it challenges when it comes to using it to its full potential. However, at its core, data is the catalyst that can power the engine of innovation for airports.

We live in the age of the “connected traveler.” More people rely on their mobile phones than ever before, especially as part of their travel experience. Just consider how many people you see using their phones when you walk through an airport: it is that ability to harness data in the right way that is the key to an airport’s long-term success – both from an operational standpoint, as well as a customer service differentiator.

The Benefits of Analytics

The potential benefits that advanced analytics can provide extend throughout the entire airport ecosystem. However, analytics by itself represents only part of the solution. It is the combination of data analytics coupled with the predictive prowess of machine learning techniques that truly allows airports to benefit in a variety of ways.

Consider passenger flow. Long lines are frequently cited as a top frustration of air travelers; however, by processing data of those travelers coming through the facility, advanced analytics can help airport operators easily visualize the busiest spikes for their gates and security checkpoints. Over time, machine learning - powered by artificial intelligence - can generate predictive models that can allow the airport to better plan for and allocate resources where they are needed most, before there is an urgent need to do so, creating a better customer experience by helping passengers move through queues faster.

If travelers can get through security faster, it stands to reason they will have more dwell time in a terminal with which to shop. And in that regard, analytics can play an even bigger role in shaping the customer experience for airport dining and retail. For example, recent advances in analytics, using machine learning algorithms, make it possible to understand the nuances of whether passengers can or are willing to pay for additional ancillary services related to air travel. Consider your own travel patterns: you likely frequent a particular airport, and have preferred dining options when you visit. Through the intelligence gained from advanced analytics, airports can further hone their services based on passenger preferences – offering discounts on the types of food or retail that they know the passenger prefers – which ultimately leads to customer loyalty and retention, in addition to establishing new opportunities to generate revenue.

The bottom line is clear: in order to keep up with these changes, airports must now treat customer behavior insight as a primary resource for gaining a differential edge in the market.

The Internet of Things in Action

With the benefits of advanced analytics understood, the question turns to how the data is gathered. Enter the Internet of Things (IoT).

At its core, the IoT ecosystem relies on three primary components: the device, sensors or internet access to enable connectivity, and analytics resulting from the data being generated. As a customer uses his or her smartphone or personal device, internet access enables it to communicate information to key stakeholders, in this case, at the airport. However, accessing the data does not work without the ability to (1) make it actionable and (2) alter how they engage with their customers as a result.

Additionally, by collecting data from and connecting to travelers directly via their smartphones or personal devices, airports have an additional avenue with which to further engage with customers, either through push notifications or via mobile apps. In this manner, they are equipped to deliver real-time ‘day of travel’ information services and updates directly to passengers so that they can adequately plan for their journey without disruption.

The Future of Air Travel

The data airports and airlines receive is incredibly valuable – not just as an enabler of a smooth passenger experience, but for how passenger services can be personalized based on individual preferences. The challenge for airports lies in cutting out the noise of Big Data to zero on actionable behavior insights from data. In this regard, a vendor with expertise in IT services and data management can be a steady, dependable resource to help any airport seamlessly implement an IoT platform that simultaneously addresses the challenges that come with IoT device management.

Machine learning and predictive analytics represent the next big wave in airline digitization that uses data, analytics and predictive algorithms to determine a traveler’s propensity to spend, and presents airports with a wealth of opportunities. The key lies in harnessing the ability not only to tap into the vast quantity of data being collected, but to establish a data-based platform that allows you to visualize the data and use it to improve operational efficiency and the quality of customer service, setting a foundation for long-term success.

Dheeraj Kohli is Vice President and the Global Head of Travel and Transportation for Blue Bell-based Unisys Corporation. He can be reached at [email protected].