Article | December 3, 2021
DataBridge recently released a new market research analysis on AI in aviation, and the findings are promising. The aviation industry has relied on artificial intelligence (AI) for years. The technology has assisted pilots through machine learning algorithms to collect flight data about altitudes, air traffic management, weather, and route distance. It has enabled them to optimize fuel usage and reduce fuel costs. And now, it is going further.
AI has been cascading into other areas of aviation. Here are some trends to note from the “Global Artificial Intelligence in Aviation Market” study.
Benefitting Ground Operations
AI is extensively used in real-time support systems and air traffic control. From automated baggage check-in to facial recognition, it is powering several ground operations. These functions contribute heavily to maximizing resources, reducing labor costs, and enhancing seamlessness across different processes.
Improving Performance and Processes with Machine Learning (ML)
The emergence of AI in aviation is thanks to a surge of capital investments by key aviation players. Cloud computing is being used by many organizations as a way to consolidate processes and deal with complexity better.
Impacting How Planes will be Piloted
AI will considerably impact the future of piloting as we know it. Building on Airbus’ first ever takeoff, landing and taxi using vision-based AI in 2020, prominent aerospace tech firms continue to work on self-piloting planes or passenger autonomous aerial vehicles (AV) that will employ AI-powered intelligent navigation to fly.
Improving Efficiency and Accuracy for Manual Processes
According to aviation experts, ML digital assistants are able to process massive volumes of historical data in order to support ground staff and pilots alike. With AI’s capabilities of enabling elusive insights into patterns and complexities of data, the technology is considered ideal for aviation, where there is no room for errors.
The Path Ahead
The COVID-19 pandemic highlighted the importance of new technologies in pushing the envelope and innovating solutions. The evolution of technology will only propel the adoption of AI further into the aviation industry. With multiple use cases and brilliant results from the use of AI, the aviation industry is all set for a digital transformation fuelled by data, machine learning and precision
Article | September 3, 2021
The airline industry has been an extremely tough marketplace. It takes a lot of effort to stand out from the competitors and to run business amidst everyday challenges to become top airlines in the country or worldwide. Yet, out of all this, the airline industry has maintained its dignity and has been successfully driven through market challenges.
Aside from the unique dynamics of the current COVID-19 crisis, marketers before used aviation marketing tactics in a standard way. But, the sudden outbreak of the COVID-19 pandemic made aviation marketing exceptionally challenging for airlines worldwide to forecast demand and kickstart airline businesses in the future.
But, as of now (after a year and half months from the pandemic outbreak), there is a lot of excitement about airline branding, airline marketing strategies, airline advertisements, and more. As a result, businesses are becoming confident that revitalizing their strategies would now take off effortlessly. Yet some challenges and many other uncertainties need to be addressed regarding the fast-changing business models, travel demand, revenue generation, sales, stability, and a lot more in the restart period.
Let’s put some light on those uncertainties in the airline industry.
As per IATA (2020), the change in the airline business model creates additional uncertainty. It has been observed that the present state of the economy is the ultimate game of risk to airline revenue management and planning. This includes airline marketing strategies, airline advertising campaigns, and prospects of branding as well.
The recent shift in business patterns have been caused and triggered by various events such as:
A sharp decline in demand stimulation techniques applied by airlines
Signs of disruption entering the market in the wake of the COVID-19 situation prevailing in countries
Disruption of profitable plans for future
Changing consumer behavior
Missing data connections and collection
As a result, these uncertain events demand a call for action across the entire airline sector value chain. The call must be initiated based on creative marketing strategy, prioritizing personalization, sustainability, and profitability.
Now, the question ascends, why does your marketing team need to think out-of-the-box altogether to re-create airline marketing strategies.
Read about it next!
Why Airline Marketing Strategies Need to be Out-of-the-Box
With the changes occurring in airline market dynamics, airline businesses have to reshuffle their marketing strategies. They have to be quick as novel opportunities are continuously pouring in. Despite the current situation that has put the airline market under stress, it has provided the foundations for a range of new blue ocean opportunities. This is where you can hop on those opportunities to re-scale your business.
Therefore, the internal and external variables have to be considered in any forecasting activities of airlines, including revenue management, pricing, network, and marketing planning. In other words, game-changing strategies are born of thinking out-of-the-box—a leap into the unexpected.
Here, creating effective aviation marketing strategies will fulfill the need to pursue a new product differentiation and revenue management angle. Doing so will also instill confidence back into the base of your airline business, including stakeholders. This is how your business can become successful again.
By now, you must have understood that this is where the power of marketing in aviation can play a vital role in diminishing all the challenges. But before your marketing head towards creating robust aviation marketing strategies, you should first know about the approach of 3 Cs to make a successful marketing venture.
3 Cs to Consider While Marketing Your Aviation Business
Marketing, as per the current scenario, will require rock-hard strategic preparation. Similarly, in aviation marketing also, your team needs to ensure consistent preparation. This continuous process will help the business build progressively in a constantly changing aviation business environment and fluctuating demands.
Following this approach will help better in building innovative strategies and simultaneously exploring a wide range of possibilities.
Before your marketing team heads to the stage of the plan, consider the assumptions bracing up in the current airline industry’s status. Then, your strategists should get hands-on to identify the possibilities to come ahead along with its results.
Keep a look at the limitations stirring in the current airline market scenario. Then consider how the prevailing weaknesses can be converted into strengths to become successful among your competitors.
To create out-of-the-box airline marketing strategies, which include airline advertisements, airline advertising campaigns, and more, you should plan to have a different context to stand out terrifically among other airline companies. In addition, marketing this way will give you surprising insights and help you emerge afterward through challenges that occurred due to the pandemic.
Now that you are aware of the critical things to consider in creating airline marketing strategies. It is time to go ahead with creating strategically planned strategies.
Here are some effective strategies discussed that would help to revitalize your airline business.
6 Airline Marketing Strategies
Introduce Loyalty Programs
The airline business is known for its range of offers of loyalty programs according to the target audience. Nearly all airline businesses create their ways to cater programs to a particular audience group or in general. However, loyalty programs work the same at the core, but to encourage audiences in the current time, you can offer different perks to them. So, be creative in creating campaigns, and you will find that your loyalty programs are capitalizing on your revenue and benefiting customers together.
Distinguish your Brand and Position Yourself
Branding and positioning have become essential for businesses operating in this pandemic time, where the market is now hugely competitive. So you have got to be quick to get your company identified by your customer base as well as the target ones.
While proceeding in this manner, your best strength will distinguish you from your competitors serving in the same area. To make your brand image outstanding, you need to study customer demographics related to airline services.
On the other hand, depending on the brand image you want to cultivate, you may need to create airline advertisements accordingly. It is because your brand will communicate a message to the worldwide population. And it’s important to consider how you want your target audience to think of you before you brand and position yourself through advertisements, social media platforms, and more. This is how you will be able to position yourself in every day changing aviation market dynamics.
Be Creative with an Airline Advertising Strategy
Out-of-the-box airline advertising strategies can help your business outshine amidst insane competition arising. It is because now you have to adjust according to the modern world scenario. Here, creative content plays an important role. Moreover, as you must be working remotely, the idea of using content marketing will massively support your advertising strategy. It would engage and inspire customers to leverage your services, and, ultimately, your revenue will take off once again.
Introduce Paid Ads
Now that you have a planned airline advertising strategy, you can also consider introducing paid ads in it. Yes! With the help of paid ads, you can target a location-wise audience more precisely.
Paid ads also help in revenue generation and collaborations. These aspects are directly proportional to the profit earned out of implementing strategies. For example, paid ads may involve videos creation on YouTube to create brand awareness on your website, landing pages, or content (articles, blogs, etc.) page. By doing this, your brand value is going to skyrocket than what was it before.
Set a Strategic Social Media Campaign
Social media campaigns are the best ways to reach your customers and target audiences under airline marketing strategies. Spreading your brand voice through different social media platforms will help you humanize your brand and deepen relationships with a larger population. In addition, other airlines use social media to reward customer loyalty, so you can also indulge in activities for the same.
For this, your marketing team should study which platforms your customer base visit frequently. Then, based on your research, you can do promotions, provide updates, make announcements, expand services or give some behind-the-scenes look of your company to customers as well as targeted audiences. It is because they appreciate participating in such events and get satisfied by relying on your company.
During an interview with Media 7, Didi Horn, Chief Executive Officer at SkyX, made a statement. He told,
“We have found that Linkedin has contributed the most to brand awareness over the years. In our business, there’s a very specific and niche target customer that we want to reach, so we don’t hesitate to invest in doing what it takes to build strong, lasting relationships.”
Marketing leaders like Didi Horn and more are becoming successful with their marketing activities on LinkedIn. Similarly, you also use LinkedIn—as one of the most influential social media platforms to spread the word about your business activities and reach out target audience easily.
Practice Influencer Marketing
Yes, you heard it right! Influencer marketing is booming in the current pandemic scenario. This is the best way of earning better ROI. Implementing influencer airline marketing strategies would help realize your business goals.
So, what goes under this marketing strategy?
The formula of storytelling through content is considered beneficial to increase airline business. Adding transparency in the strategies can also be one formula while practicing influencer marketing. Implementing this strategy will attract more audiences because they get influenced by interesting content, storytelling, company behind the scenes. This humanizes the brand altogether, giving audiences a factor of trust and loyalty.
As you have entered a completely different business scenario in the airline industry, your company needs robust marketing strategies.
It’s important to understand that change may be predictable, but growth isn’t. Business growth highly depends on all the little things you do consistently to make it happen. Since you’re competing with many other airline companies, developing a strategic aviation marketing plan can boost sustainable business growth.
Frequently Asked Questions
What is an airline marketing strategy?
An airline marketing strategy is a well-planned method in action that businesses create to fulfill goals such as boost revenue, surge engagement with customers, create brand visibility, positioning, target potential audience, and a lot more. Companies invest time and money to create a robust plan so that businesses can run effortlessly.
Why is airline marketing strategy important?
Airline marketing strategies are important for airlines to stand out firmly among the competitors, position their brand, create awareness among the existing customer base and attract more and more potential audiences through various online platforms.
What are the top 3 marketing strategies for the airline?
Although the marketing strategies involved in a business are critical, the top ones can be the following.
Paid media advertising
"name": "What is an airline marketing strategy?",
"text": "An airline marketing strategy is a well-planned method in action that businesses create to fulfill goals such as boost revenue, surge engagement with customers, create brand visibility, positioning, target potential audience, and a lot more. Companies invest time and money to create a robust plan so that businesses can run effortlessly."
"name": "Why is airline marketing strategy important?",
"text": "Airline marketing strategies are important for airlines to stand out firmly among the competitors, position their brand, create awareness among the existing customer base and attract more and more potential audiences through various online platforms."
"name": "What are the top 3 marketing strategies for the airline?",
"text": "Although the marketing strategies involved in a business are critical, the top ones can be the following.
Paid media advertising"
Article | August 31, 2021
Although airlines only contribute to 2% of global emissions today, research indicates that this number could rise if air travel continues to grow. As such, airlines need to adapt and find new ways to become more sustainable. Successful implementation of eco-conscious strategies will see carriers achieve higher profits and maintain the trust of customers.
SimpliFlying has a long history of helping airlines craft the future of travel and we believe that addressing climate change is essential to rebuilding trust in the aviation industry.
Article | December 28, 2021
The aviation industry is going through a lot of technological and operational transitions. Every day, new technologies in manufacturing, airports, passengers, security measures and more are being introduced or being implemented in the entire aviation ecosystem.
5G technology is one of the most critical technologies that is currently raising concerns. 5G technology is becoming a hot topic of discussion for governments worldwide in inferior ways. Many discussions are going on the shelf of safety of consumers. Similarly, there has been rising concern about the new 5G technology in the aviation industry.
Yes. 5G technology promises to bring some of the best opportunities for airlines. But what will be its impact on airline safety? Before we discuss the 5G rollout, let's highlight its ability to benefit the busiest industry globally.
The Ecosystem of 5G
Multiple technologies play a vital role in 5G technology in terms of coverage, such as EDGE, IoT, SD-WAN, and more. The ecosystem is rapidly expanding, even the industry of suppliers to aviation. It includes device manufacturing, network supply and maintenance, system integration, testing, and more suppliers.
IATA says with regard to the aviation industry, a projected $3.9 billion will be invested in 5G by 2026. Moreover, the projections are taking the entire industry to new altitudes. GSA also forecasts that the growth of 5G will be faster than 4G.
The Impact of 5G on the Different Aviation Sectors
The deployments and implementations of 5G can be profitable for every aviation sector if used appropriately. Speaking of the aviation sectors, the new 5G technology will transform the industry in four crucial areas. They are:
Airports & Airlines
The manufacturing sector has massively developed partnerships with telecom players. The partnerships have led to the launch of 5G initiatives.
Nokia and Lufthansa came forward for inspection of engine parts remotely. With AR visualization and 3D technology, customers can have a visual impact on cabin interiors. 5G technology is also being implemented to trace and track systems in aircraft parts and maintain of operations using transmissions, real-time signal processing, and more.
Airports & Airlines
With 5G technology, Gogo Business Aviation is developing new designs for antennas and modems. The designs will enable the world's first in-flight connectivity (IFC) and 5G air-to-ground (ATG) networks by 2022.
“Towards the end of 2022, we will have sites built, and we will start flight testing,”
-Mike Syverson, senior vice president of engineering at Gogo
Gogo's 5G network will be limited to North America. It will be leveraging the existing 250 towers with its current 3G and 4G IFC networks. The 5G network will use spectrum in the 2.4 GHz band with the help of other booming technologies to provide the airplane-to-ground station link with higher bandwidth.
Viasat Inc. is known globally for offering broadband digital satellite communications, wireless networking services, and satellite communications products.
Delta Airlines has partnered with Viasat for its next-generation Ka-band satellite in-flight connectivity (IFC) solution. Delta intends to integrate Viasat technology into 757-200 aircraft, A321ceo, and the 737-900ER (new aircraft) to provide customers with safe and secure air travel.
The European Aviation Safety Agency (EASA) discloses that an average of 1,000 attacks per month occur on aviation systems. Thus, it is becoming a real threat to airport security, safety, and reputation.
SmartSky Networks LLC is a leading satellite solution. It's also a wireless data and networking services provider globally. It caters to the commercial aviation industry. It offers its innovative air-to-ground inflight Wi-Fi network with 5G technology.
In June 2021, Honeywell and SmartSky introduced their high-speed connectivity. They announced it for their business aviation operators in North America. The partnership agreement boosts seamless connectivity in the commercial aviation market.
Looking at these developments made possible by the new 5G technology in the aviation industry, how has it become one of the industry's obstacles in terms of safety?
Let's highlight the picture here.
Aviation Has Expressed a Serious Concern
The Federal Aviation Administration (FAA) has warned about significant safety concerns in the 5G wireless network setup roadmap. The plan for theusage of C-Band spectrum is the prime reason. 5G network operations can interfere with the radar altimeter performance of aircraft.
"It is engaging with other agencies. So that aviation and 5G cellular technology can safely coexist."
-A Federal Aviation Administration spokeswoman
But with the modifications in the manufacturing processes of aircraft, the industry is encouraging manufacturers. Therefore, the manufacturers could conduct tests for 5G interference and modify aircraft designs.
5G Still Provides Hope for a More Friendly Flying Future
Aviation has a 5G rollout despite having no proof. The rollout is about interfering with safety concerns. Instead, 5G in aviation is burgeoning the importance of safety and security more efficiently. The emphasis on safety and security is now even more powerful. Pilots have been equipped with high communication tools with air control towers, especially in weather or technical challenges.
The new 5G technology is way near to providing superior in-flight bandwidth connectivity while improving operational efficiency. It is going to improve overall operational efficiency. Passengers will be able to take advantage of high-speed internet on planes. Also, business passengers can conduct their business activities while flying and saving precious time and effort.
Frequently Asked Questions
Is the new 5G technology harmful to airplanes?
According to the FAA, aviation operators should be prepared for the possibility that 5G technology could interfere with transmitters. The effects of 5G could cause certain safety malfunctions for airplanes. This could affect flight operations as well.
What are the disadvantages of 5G in aviation?
Aviation is getting benefits from 5G technology. But there is always the other side of the coin. So, the disadvantages could be as follows:
Obstructions in connectivity
High costs of technology
What is the market size of 5G in the aviation industry?
The overall market size of 5G in the aviation market was valued at $698.45 million in 2020. Now, it’s projected to extent $4,682.12 million by 2030.