PANASONIC
Panasonic Avionics Corporation (Panasonic Avionics) has announced the appointment of Kim Creaven as Director of Advertising Sales.
Kim will serve as the organizational lead for all Panasonic Avionics’ market-driven, advertising-related solutions. She will be responsible for the development and oversight of the business to include product, sales, and marketing solutions that maximize opportunities for the monetization of passenger engagement through in-flight entertainment and connectivity (IFEC) systems.
In her role, Kim will report to Andrew Mohr, Panasonic Avionics’ Vice President, Digital Solutions. She will be working with customers, stakeholders, and third-party vendors to help develop and execute product and marketing strategies for its advertising services across the company’s business verticals.
Andrew Mohr said, “There is incredible room for growth in the in-flight advertising space, and Kim’s expertise and in-depth industry knowledge will contribute greatly to unlocking that potential through Panasonic Avionics’ IFE and Connectivity.”
Kim has more than 26 years of experience in advertising and sales roles with airlines, media, and IFEC providers. She previously held roles at Delta Air Lines, American Airlines, and Gogo and joins Panasonic Avionics from ANUVU (formally Global Eagle Entertainment), where she was Vice President of Sales, Strategy and Partner Marketing from 2014 – 2020.
Kim Creaven said, “Panasonic Avionics is a proven leader in digital aviation products and services, and I am delighted to be joining their talented team at such an exciting time for our sector.”
“As Panasonic Avionics continues its advances in digital ancillary revenue innovation, we will be taking today’s in-cabin entertainment experience to the next level of engagement with our industry-leading advertising services.”
“I will use my experience and passion for our industry to help Panasonic Avionics become the lead in onboard advertising and ancillary revenue standards and to deliver innovative customer partnerships across the globe.”
Since 2017, Kim has also been Chairwoman of the APEX (The Airline Passenger Experience Association) Advertising & Ancillary Revenue Committee – the first within APEX to elevate airline ancillary revenue related to advertising, sponsorships, and loyalty partnerships. In this role, Kim has led the creation of industry best practices and the first glossary of terms for creative airline advertising.
Kim attended the University of Kentucky, where she obtained a Bachelor of Science degree within the School of Business and Journalism.
INMARSAT
Inmarsat, a leader in global, mobile satellite communications, today confirmed that its strategic partner BSNL has received the necessary licenses to deliver Inmarsat’s world-leading Global Xpress (GX) mobile broadband services in India.
Under BSNL’s Inflight and Maritime Connectivity (IFMC) license from the Department of Telecommunications, GX will be available to Indian customers across government, aviation and maritime.
The announcement means that India’s airlines will be able to deploy GX for in-flight connectivity within India and throughout the world, while India’s commercial maritime companies will be able to enhance significantly the digitalization of their vessels for more effective ship operations and crew welfare services. BSNL’s license will also see the award-winning GX service offered to government and other users. There will be a phased introduction of services for customers and partners.
Rajeev Suri, Inmarsat CEO, said: “Today is a significant day for Inmarsat and our valued, long-term partnership with India, which was a signatory to the founding treaty establishing Inmarsat in 1979. Inmarsat is delighted to make the world’s only global high-speed mobile broadband Ka-band network available to the Government and businesses in India through our partner BSNL. We are committed to India and the company has been a trusted partner for the Indian government for four decades. Today’s announcement, which we share proudly with our friends at BSNL, will help to underpin the further economic growth that we all wish to see in India.”
GX, operating in the Ka-band, is the first and only high-speed broadband network designed for mobility and government customers to seamlessly span the world. This market-leading service delivers the high bandwidth, reliability and security that commercial and government-grade mobility customers demand. GX is continually evolving to offer even more capacity, capabilities and operational agility for Inmarsat customers now and well into the future. The company is launching a further seven GX satellites, including its next generation GX satellites, over the coming three years, each of which will add more capacity into a single region than the first four satellites combined. The GX gateway for India is located in Ghaziabad, Uttar Pradesh.
Chairman and Managing Director of BSNL, Mr P.K. Purwar said: “BSNL and Inmarsat are delighted to share this key milestone with our partners and customers in India. Global Xpress is recognized as the world’s best high-speed satellite communications service for government and mobility business customers and we are very pleased to make these capabilities available to users in India. All of us at BSNL appreciate the commitment to excellence shown by the Indian Government as we have worked on approvals to deliver this service to the country. Equally, we thank our partner Inmarsat for their spirit of collaboration in reaching today’s milestone to help power forward economic development in India through higher quality connectivity for our customers.”
Ajay Singh, Chairman and Managing Director of SpiceJet Ltd, said: “We are delighted that Global Xpress, the world-leading passenger inflight connectivity service, is now coming to India. We are looking forward to offering this ground-breaking connectivity service to our passengers later this year, when we introduce our new Boeing 737 MAX aircraft. It will enable our customers to remain connected in the air as they do on the ground.”
Gautam Sharma, Inmarsat India Managing Director, said: “Inmarsat is well-positioned to partner with the Indian government to address the ever-growing demand for reliable, mobile satellite communication services across a broad range of commercial and public sectors. Following the successful introduction of Inmarsat’s voice and broadband data communication services across India in the past, today we are announcing that Inmarsat’s award-winning Global Xpress services has now secured the necessary licenses through our valued partner BSNL. Global Xpress is the gold standard of high-speed satellite mobile broadband communications. It will enable Indian domestic airlines and international airlines flying over India to provide the world’s fastest inflight connectivity. It will also speed up the digitalization of Indian-flagged maritime vessels and give an edge to the Indian Government, including its defense forces. We are proud to be led by Rajeev Suri, an Indian-born global leader as we unlock the next phase of commitment to the Indian government and Indian market.”
Also From Inmarsat:
Inmarsat recently unveiled plans for ORCHESTRA, the communications network of the future, which will bring the company’s existing geosynchronous (GEO) satellite networks [GX and Inmarsat ELERA operating in the L-band] together with low earth orbit satellites (LEO) and terrestrial 5G to form an integrated, high-performance solution, unmatched by any existing or planned competitor offering. ORCHESTRA allows capacity to be boosted in high-density areas such as at airports and maritime ports, eliminating network ‘hot spot’ congestion forever and ensuring that the connectivity needs of mobility and government customers continue to be met for decades to come, with capacity scaled directly to match their requirements.
AVALON
Avolon, the international aircraft leasing company, and Japan Airlines (‘JAL’), announce a partnership to commercialize zero-emissions eVTOL aircraft in Japan.
Avolon, through its investment and innovation affiliate Avolon-e, has formed a strategic partnership with JAL to identify and target local partners and customers, infrastructure requirements, certification, and a range of commercial models to introduce one of the world’s first eVTOL ride sharing businesses in Japan. Through this partnership, JAL will have a right to purchase or lease up to 50 Vertical VA-X4 eVTOL aircraft from Avolon, with the option to purchase or lease up to 50 additional units.
BOEING
Boeing Forecasts 20-year Middle East Commercial Jet and Services Market Valued at more than $1.4 Trillion
- Commercial fleet expected to more than double to serve passenger and cargo demand
- Projected widebody deliveries will be the highest proportion of any region at 44%
- Aftermarket commercial services such as maintenance and repair worth $740 billion
Boeing said that airlines in the Middle East will require 3,000 new airplanes valued at $700 billion and aftermarket services such as maintenance and repair worth $740 billion, with the region positioned to capitalize on the recovery of regional and international travel and cargo demand. Boeing provided the estimate in its 2021 Commercial Market Outlook (CMO), a forecast of 20-year demand for commercial airplanes and services.
Middle East passenger traffic and the region’s commercial fleet are projected to more than double over the 20-year forecast period, according to the CMO. More than two-thirds of airplane deliveries to the Middle East will accommodate growth, while one-third of deliveries will replace older airplanes with more fuel-efficient models such as the 737 MAX, 787 Dreamliner and 777X.
“The Middle East region’s role as a global connecting hub continues to be important for developing markets to and from Southeast Asia, China and Africa,” said Randy Heisey, Boeing managing director of Commercial Marketing for the Middle East. “The region has been a leader in restoring confident passenger travel through multi-faceted initiatives that aid international travel recovery.”
Air freight represents an ongoing area of opportunity for Middle East airlines, with the freighter fleet projected to nearly double from 80 airplanes in 2019 to 150 by 2040. Notably, air cargo traffic flown by Middle East carriers has increased since 2020 by nearly 20%, with two of the world’s top-five cargo carriers based in the region.
The 2021 Middle East CMO also includes these projections through 2040:
To accommodate increased passenger and cargo traffic, airlines are predicted to grow their fleets to 3,530 jets.
The region will continue to see robust widebody demand, with 1,570 deliveries supporting a growing network of international routes.
The current single-aisle fleet of 660 airplanes is forecast to nearly triple to 1,750 jets.
Commercial services opportunities include fleet renewal, maintenance, repair and parts supply, and operations optimization.
Boeing’s 2021 Pilot and Technician Outlook forecasts that the region is estimated to require 223,000 new aviation personnel by 2040, including 54,000 pilots, 51,000 technicians and 91,000 cabin crew members. The complete PTO is available here. The complete CMO forecast is available here.
Boeing Forecasts Africa’s 20-year Commercial Aviation Market Opportunity Valued at Nearly $400 Billion.
- Africa’s commercial airplane fleet projected to grow to 1,560 over the next 20 years
- 80% of new deliveries are for African carrier growth as intra-continent traffic rises
Boeing forecasts that Africa’s airlines will require 1,030 new airplanes by 2040 valued at $160 billion and aftermarket services such as manufacturing and repair worth $235 billion, enabling growth for air travel and economies across the continent. Boeing shared the projection as part of the 2021 Commercial Market Outlook (CMO), the company’s long-term assessment of demand for commercial airplanes and services.
Africa’s strong, long-term growth prospects for commercial aviation are closely tied to the continent’s projected 3% annual economic growth over the next 20 years. Initiatives such as the African Continental Free Trade Area and Single African Air Transport Market are expected to stimulate trade, air travel and economic cooperation. Additionally, the region’s middle class and working population is projected to double by the end of the forecast period, driving increased demand for air travel, according to Boeing.
“Africa has healthy opportunities to expand travel and tourism, coinciding with increasing urbanization and rising incomes,” said Randy Heisey, Boeing managing director of Commercial Marketing for Middle East and Africa. “African carriers are well-positioned to support inter-regional traffic growth and capture market share by offering services that efficiently connect passengers and enable commerce within the continent.”
The 2021 Africa CMO also includes these projections through 2040:
- Airlines in Africa will grow their fleets by 3.6% per year to accommodate passenger traffic growth of 5.4% annually, the third-highest growth rate in the world.
- Single-aisle jets are expected to account for more than 70% of commercial deliveries, with 740 new planes mainly supporting domestic and inter-regional demand. In addition, African carriers are estimated to need 250 new widebodies, including passenger and cargo models, to support long-haul routes and air freight growth.
- 80% of African jet deliveries are expected to serve fleet growth with more sustainable, fuel-efficient models such as the 737, 777X and 787 Dreamliner, with 20% of deliveries replacing older airplanes.
Estimated demand for aviation personnel will rise to 63,000 new professionals, including 19,000 pilots, 20,000 technicians and 24,000 cabin crew members.
Commercial services opportunities such as supply chain, manufacturing, repair and overhaul are valued at $235 billion.
OTHER NEWS
- MORGAN STANLEY
– The White House is adopting a new air travel policy that relies primarily on vaccinations to advance the resumption of international air travel to the U.S. beginning in November.
– Southwest Airlines walks back its plan to place unvaccinated staff seeking medical and/or religious exemptions on unpaid leave after the December federal deadline.
– Southwest also announced a 10-year environmental sustainability plan in support of the airline’s overall goal of becoming carbon neutral by 2050. - This is unbelievable:”Apple disclosed the M1 Pro transistor count to be at 33.7 billion, while the M1 Max bloats that up to 57 billion transistors.” Apple Announces M1 Pro & M1 Max: Giant New Arm SoCs with All-Out Performance
- What is AI? Morning Brew OK, now, what is 5G? Morning Brew
- Want to see how Airbus retrofits aircraft wings for installation of Sharklets? Airbus’ Sharklets: Ready for retrofit – YouTube Oh, you don’t know about how winglets work and what they do? Understanding Winglets; Drag; & How the Winglets Improve the Aerodynamic Efficiency on an Aircraft! – YouTube
Forget the plane mode, it is time to switch to “Shopping mode”
Paris, France | September 21, 2018–The French start-up SKYdeals will present the first solution of inflight “Shoppertainment” at APEX EXPO in Boston from 24th to 27th of September 2018 at booth 154. This gathering is the industry’s largest PaxEx event exclusive to experts and decision-makers committed to elevating the level of the worldwide airline passenger experience.
SKYdeals offers a new shopping experience to onboard passengers
SKYdeals aims at becoming the leader of e-commerce for travelers.
Providing the best targeted deals on products and destination services to passengers during their time of travel and entertaining them with its innovative inflight shoppertainment features.
SKYdeals developed the first marketplace allowing brands and destination services to lively promote targeted deals and last-minute offers to all connected passengers while in the air. Depending on the vendor, delivery mode can be home delivered or collect at the gate of arrival.
This technology can be implemented in only two weeks and without any investment thanks to its “Plug & Play” catalogs.
Based on a revenue sharing model, SKYdeals also offers to airlines a new source of revenues from inflight connectivity. During this event, SKYdeals will present their technology and revenues simulations which show all the potential of inflight e-commerce.
Soon in the air
Further to a first test in 2017 on Paris-Punta Cana line from French Bee, SKYdeals will soon deployed on long and short-haul flights from major Asian and European airlines.
After Apex Expo event, SKYdeals will fly away back to France to expose to the TFWA Digital Village in Cannes (September 30th– October 5th), the Duty Free and Travel Retail Global Summit.
France & India | June 18, 2018–Latécoère, through its Interconnection Systems branch – No. 2 worldwide in onboard wiring – announce the opening of a new production facility in Belagavi, a city located in India’s aeronautics hub in the state of Karnataka.
The new site will help meet the requirements of contracts recently signed by Interconnection Systems with key accounts such as Dassault Aviation, Thales and a number of cabin suppliers including FACC. These new wins, which will earn additional annual revenues of around €25 million, will benefit from Latécoère’s know-how: engineering in France and production split between Mexico and India (see 24 April 2018 press release).
The new plant, which will start production in Q3 2018, will be initially assigned to harness assembly for Dassault Aviation and Thales. The first production runs will be temporarily housed in an existing 1,300 m² factory pending construction of a new 4,000 m² building complex in Aequs economic zone. The plant will benefit from an ecosystem specifically dedicated to the aeronautics industry.
Latécoère CEO Yannick Assouad said: “This new site is a testimony to the sales efforts to conquer new markets, one of the cornerstones of Transformation 2020. The know-how of the Interconnection Systems teams has once again won global recognition by the industry. The new plant is designed to make the Group more competitive and will help us to support our customers in their development initiatives.”
This week in IFExpress, we have two interesting stories, one on Guestlogix and their view of onboard sales/selling, and the other on one of the two hideous computer hardware vulnerabilities, Spectre and Meltdown. Lets get started with the IFEC focused one.
GUESTLOGIX
For starters, we should start by telling our readers that a few years back, we wrote an article on Guestlogix’s approach to onboard retailing and the use of special technology in the cabin. Quite a bit has changed at the company since then, and a recent note from one of their strategy folks caught our eye: “Guestlogix has undergone quite a few changes – new management team, new product roadmap, new vision for the airline industry.” Whoa, that’s a lot of “new”! We thought we had better take a look into the changes and Guestlogix’s new approach to selling merchandise onboard a commercial aircraft.
First, to set the stage, we should mention that Guestlogix is a global company that develops (and provides) airline commerce technology and solutions that help carriers generate ancillary revenue.
Recently, Guestlogix published a report that makes the connection between passenger experience and the psychological phenomenon of “learned helplessness.” What is learned helplessness? It’s a behavior pattern where passengers experience a lack of control from check-in to landing. This feeling leads to frustration (with the airline) and general apathy toward air travel. And this experience makes passengers less inclined to spend and more inclined to view air travel negatively.
For airlines, the first step to satisfying passengers and increasing revenue is to make them feel in control by empowering them to use their mobile devices at every touchpoint. The question is how will empowered passengers improve the airline’s bottom line?
Ever since the airline industry was deregulated, airlines have been “unbundling” fares and charging for ancillary services, which has helped drive down the cost of air travel. Passengers want low fares, but they don’t like the resultant trade-off where they are forced to sacrifice quality of service in exchange for low fares. They have accepted the trade-off – begrudgingly – but the result has been a long deterioration of passenger experience as passengers come to see air travel as an experience to be endured rather than enjoyed.
After decades of learned helplessness, passengers have reached their breaking point and are demanding change from airlines – and they are taking to social media to voice their frustration. Consequently, airlines have been forced to make changes. Guestlogix notes in its report that 20% of consumers are more likely to switch brands after just one negative experience, and 25% are more likely to complain about the company. The opposite is also true – just one memorable customer experience leads to a significant increase in purchases and recommendations. With airlines depending more than ever on ancillary revenue (which has increased some three-fold over the last few years), the problem of “learned helplessness” has to be solved if airlines hope to reduce the financial impact of negative passenger experience, and maximize ancillary revenue opportunities.
The important message here is that Guestlogix has identified and solved the connection between negative passenger experience and airline revenue, and have developed a technology platform that solves both problems at the same time, which will help the airline industry finally realize the unfulfilled promise of deregulation for better air travel. The report is available and free to download here at the Guestlogix website.
We spoke with Guestlogix about their new airline commerce platform, but before we go into more detail, here is a brief summary of the solution: “The new airline commerce platform from Guestlogix is built on the rails of the best on-the-ground e-commerce technologies which include passenger analytics and product mix optimization, data-driven sales and marketing tools and comprehensive payment functionality. Guestlogix delivers more opportunities for onboard ancillary revenues than any other alternative, while improving today’s typical passenger experience. For passengers, that means having control, comfort and choice.”
Here are some more detail: “The data-driven platform connects selling with passenger psychology – making customers feel like the airline knows them and can anticipate their needs and desires. Airlines that can execute on a personalized, ‘consumerized’ and mobile passenger experience will have tremendous advantage over competitors who can’t – or won’t – deviate from entrenched, legacy approaches.”
Furthermore: “The airline commerce platform is built around the combined power of a flight attendant POS and a consumer-facing passenger app. The passenger mobile app serves as a personal concierge allowing the user to browse the onboard catalog, make completely friction-less payments with multiple methods and currencies and take control of their comfort with personalized, relevant merchandise. Flight attendants can access the platform through the POS app on the airline’s device of choice, open and close ordering with a single touch, quickly review passenger orders (including pre-orders) and monitor inventory.”
So, we see that Guestlogix has developed a software solution (actually an entire full-suite platform) to improve passenger experience and onboard selling. You can get more detail (and pictures of the solution) at their website: www.guestlogix.com. For now, let’s dig a little deeper without getting too technical. The Guestlogix platform has three main components: Management Console, Flight Attendant POS, Passenger Experience App.
Management Console
The management console makes it easy for flight crews and sales and marketing teams to monitor sales performance across flights and run personalized, data-driven campaigns based on predictive analytics – giving them deep business intelligence on what individual passengers want or may need. From the management console, airlines can add any kind of ancillary merchandise, both physical goods (such as food and beverage) as well as non-physical merchandise (upgrades, media, destination activities). The management console also streamlines inventory management and uses data analytics to help airlines stock inventory more intelligently and reduce waste. The strength of the management console is its ability to synthesize multiple data streams and provide actionable business intelligence for improving onboard selling and significantly increasing revenue, while providing passengers with the quality of personalized retail they have come to expect from brands such as Starbucks and Uber. “Insights” is the tool group within the management console that enables airlines to manage their operations and build campaigns all in one platform, including reports, snapshots, performance, and forecasting (for example, to compare high-performing and low-performing routes). Above all, the software is easy to use and intuitive, making data analytics quick and easy.
Flight Attendant POS
The flight attendant POS is key to connecting operations and revenue management at the passenger (purchases) level, including the ability to make payments in multiple forms and currencies (including cash + loyalty points, cross-border payments), and the ability to up-sell and cross-sell with personalized, data-driven campaigns targeted to each individual passenger. The platform works on Apple or Android devices. With the flight attendant app, crews can open and close orders easily, keep track of sales, process payments and much more. The flight attendant app is tightly integrated with the passenger app for easy communication and order fulfillment that makes onboard selling easier and faster.
Passenger Experience App
The passenger experience app serves as a “digital concierge” that makes it easy for passengers to browse inventory, place orders and make payments. By creating a seamless, friction-less and personalized retail experience, the airline not only ensures higher revenue but increases satisfaction and builds loyalty. Airlines can add any kind of inventory to the catalog (not just food and beverage) and passengers can make purchases before, during or after the flight (seat upgrades, “jump the line” privileges, destination activities). Order tracking makes it easy for passengers and flight attendants to view, edit or cancel an order. The passenger app can also store a customer’s preferred payment method as well as mileage/loyalty points, making it easy for airlines to integrate loyalty programs with ancillary merchandising. Overall, the passenger app creates a personalized passenger experience where the passenger is in control and can take direct action when they feel frustrated, stressed or just feel like spending.
Currently, onboard sales and service are still largely dependent on legacy POS devices that were built to process orders and payments, but largely disconnected from any passenger systems. This is backward and inconvenient for both passengers and flight attendants increasingly accustomed to doing everything – from hailing an Uber to ordering pizza – on a mobile app or voice-controlled device. Guestlogix’s platform was built to make service faster and easier for flight attendants, improve passenger experience (and break the cycle of learned helplessness), and use powerful data analytics for more personalized, targeted selling and significantly higher revenue.
Check out the Guestlogix website and see how they have solved the “big picture” problem of improving passenger experience while increasing revenue at the same time. Good Stuff!
* Editor’s Note: The BUZZ backgrounder!
If you don’t know Max Lingua (G.U.E. Tech – CEO), well, you should. Why? Because, as a gaming genius, he always has something to say about virtually everything. We asked for a short BUZZ, and what he said (Play. Life is a game) is short and to the point – but what he sent was the BUZZ and More – a description and meaning of the short phrase. We thought you might like to read it!
“Most players are currently indulging in casual and RPG on the ground, with a ratio movie-watcher to game players of 2:1 in the sky, when we compare top-watched with top-played. We have scenarios where the top-played game is getting as many eyes as a blockbuster that has been flying for few weeks. Games generally age better, you can keep playing them, but you hardly watch the same movie twice (unless you have a very short memory span…) when you catch the next flight. When IFE is done right, travel is a continuation of your ludic [ you can see I studied Latin 🙂 ] experience, a homey comfort above the clouds. We all do. Play, I mean. We wear a suit or shorts. On our own or in a group. For fun or serious business. We adjust our role as we go. We win and we lose. A promotion, a lost love, a new car. What we play on a computer screen is just one of the many games and roles we play every day, an escape or a reflection. No wonder casual games (an evasion) and role-play games (an identity) are so popular. That’s all we do. Play. Life is a game of games.”
Isle of Wight | September 11, 2017– Visitors to APEX Long Beach 2017 will experience the latest in passenger interface, connectivity, personalisation and payment solutions thanks to In-Flight Entertainment and Connectivity (IFEC) specialists IFPL.
IFPL lead the way when it comes to deploying contactless Near Field Communication (NFC) payment systems on-board aircraft, with global OEMs and airlines now using IFPL’s technology for seat back in-flight retail and customer personalisation.
APEX 2017 will see IFPL demonstrate it’s NFC ‘Pin-On-Screen’ solution that enables high-value off line transactions by removing the current low-value payment barrier. This step change will allow airlines to expand and sell high-value items, therefore increasing ancillary revenues. This has the ability to completely change the dynamic of the IFE systems value proposition, as passengers now have a combined entertainment and retail platform allowing them to browse, order and pay at their own convenience. Combine this with connectivity, big data, passenger personalisation and broader distribution channels to deliver to the gate or at home, the airlines now have the opportunity to develop significant new revenue streams.
Visitors to stand #134 will also see IFPL’s ‘Charge 2’ concept. IFPL designed the ‘Charge 2’ to leverage its NFC Payment Terminal to control the switching on of passenger services at the seat. The ‘Charge 2 Charge’ demonstration allows the passenger to pay to turn the power on to the USB port, enabling them to charge a personnel device or other USB device.
In addition, due to its ability to transmit and read data, it can negotiate with data from an App on a PED or via an NFC loyalty card, enabling enhanced passenger personalisation and allowing targeted promotions or alerting cabin attendants to the customer presence or specific requirements.
IFPL’s established range of IFEC products and solutions will be on display and the expert team from IFPL will be on hand to discuss any requirement that visitors to APEX 2017 may have.
Visit IFPL at Booth #134