In-Flight e-Commerce: A New Sales Channel?
In my recent business travels I have started noticing more and more airlines offering wireless internet services aboard their flights. Wi-Fi is being offered to all passengers, not just the business class fliers, essentially opening up a whole new world of e-commerce.
Currently airlines such as Jet Blue, Airtran, Delta, Virgin, and American have partnered up with services like Go Go to offer passengers a free pass during their flight to experiment with the online in-flight experience. Jet Blue even went as far as to invite you tubers and bloggers to a sample flight to write about their experiences and share amongst their audiences.
Aside from the convenience and efficiency it offers when traveling on a regular basis (which as a consultant I greatly appreciate), it also has the potential to drastically change the way we do business. Airlines have struggled with their duty free sales on planes, and their paper catalogs offering knick knacks in their Sky Mall are not maximizing on their potential to reach consumers. Having a consumer’s undivided attention on an airplane for an extended period of time could provide some very exciting opportunities. Here are some ideas…
SKY MALL
For example, the concept of an interactive sky mall online could be quite appealing. Passengers would be more inclined to browse through products, and might even apply product rating, and consumer comments to the products providing merchants with feedback on the products.
It would be great for example, for passengers to have a virtual mall of the duty free of the airport they will be landing in. This way they could browse, search, purchase online in the air, and have the purchases delivered to them while they land, or if they are in transit. Airports tend to be extremely vast and passengers don’t always have the time and energy to go through all the stores, but by having the chance to see what is available and making their purchase decision online it can increase the sales opportunities at airports and on airplanes.
ENTERTAINMENT
Through internet access, airlines can offer a much wider range of entertainment services to their passengers, through a library of movies and shows that are not always available in flight. Passengers on 16 hour – 24 hour flights could catch up on shows they are missing back home, or watch their Netflix movie off of their queue keeping themselves more entertained.
ADVERTISING
Mobile media companies such as JiWire have already started launching the world’s first ad-supported Wi-Fi network for commercial airlines. Row 44’s Skytown Center will incorporate a virtual shopping mall approach by calling upon 100 advertisers lined up to reach a very captive audience. JiWire is focused on an ad-supported model, where they would provide the equipment, which then helps airlines manage the costs of having to offer free Wi-Fi now simply as a cost of doing business for travelers expecting it.
The audience is apparently eager for such a service. According to the Wi-Fi Alliance, 76% of business travelers surveyed said they were likely to choose an airline based on Wi-Fi availability, while 70% would prefer Wi-Fi service over meal service on flights.
Now if only they could figure out how to let us keep our cell phones and ipods on during take offs and landings! Oh and battery outlets will also become a necessity to enable passengers to be plugged in and online during long international flights.
