There is no denying that airlines must transform their business. The imperatives of energy costs and emissions reduction, global security concerns, new business models, low-cost airlines, online transactions, the ‘always-on’ approach to life – all these elements are requiring airlines to radically alter the way they manage.
Many have already moved to new ways of doing business but others are not there yet. For example, although many airlines have embraced the IATA initiative of 100 percent e-ticketing by 2007 with open arms, it is creating a real challenge for some airlines.
There are many other ways the industry is changing. More and more services are being demanded – and offered by third parties – online. Passengers want to take control of processes and be given self-service options, whether choosing their flight, checking-in their bags or selecting their seat. In addition, new channels such as mobile phones are becoming increasingly popular and passengers are looking for services to be provided this way too.