The aviation industry is a prominent sector with an annual growth reaching $865 billion in 2019. This increasing growth vertical paired with the unpredictability of the business cycle has enabled the industry to focus on two divided components: non-aeronautical and aeronautical revenue.
While an airline’s aeronautical revenue comes from airport revenue, non-aeronautical is a vast industry including parking, retail, advertising, food and beverages. Undoubtedly this component of the airline industry is rapidly gaining importance. As a result, customer experience management is being tasked with improving the revenue of the non-aeronautical sector.
Sources of Non-Aeronautical Revenue
According to available data, there are various sources of non-aeronautical revenue. Some of the major sources are given below:
- Food and beverages
- Fuel supply stations
- Duty-free shops
- Currency exchange offices
- Car rental services
- Parking services
- Advertising of products
- Vending machine services
Which Sources You Should Consider
From the above list, most of the non-aeronautical revenue of the industry arises from retail, parking, and food and beverages. Think about it, what do you purchase when you are at the airport?
Vehicle rental and parking facilities are the major source of airport income. It is currently generating 58% of the non-aeronautical revenue in North America.
However, these statistics are facing disruption due to transportation services and ride-sharing. Hence, airports are implementing methods such as valet parking to encourage customers.
Retail is another strong contributor to the non-aeronautical sector, with approximately 28% of revenue. This percentage is 56% in the middle east.
However, this sector is also not immune to market changes. Airports are focusing more on data-based customer experience enhancing techniques. We will discuss one of these techniques later in this article.
Food and Beverages
Did you know that approximately 59% of airport passengers purchase food and beverage? Can you sense the importance of improving the experience for these customers?
The airline industry is improving the experience of this sector by offering more dedicated food and beverage choices according to demographics.
Focusing on Customer Experience Management
Customer experience management is intertwined to all the above sources of non-aeronautical revenue. This is because positive customer experience helps improve the overall experience at the airport, which becomes an effective driver of revenue. You make your customers happy to help them return and repurchase.
The major reason for focusing on customer experience management is because no one likes waiting at the airport – an unavoidable paradox of the aviation industry.
If the airport processes are finished quickly, leaving more time to the customer, then the overall experience can be improved by utilizing that extra time. What if you free the passenger from customs early and they are just waiting around getting bored?
Achieving Better Customer Experience with Customer Feedback Management
The Solution: Customer Feedback Analysis Tool
Tatvam Insights offers a feasible solution to the above problem. Using the customer feedback analysis tool by Tatvam Insights, you can:
- Collect constructive feedback.
- Analyze data to understand the correct response.
- Increase revenue and user satisfaction.
Using Customer Feedback Management for Improving Customer Experience
Here’s how Tatvam’s customer experience management tool can help you:
- You can create an everlasting experience by listening to your customers. Through this customer experience management tool, you can not only listen to your customers but also act upon the feedback.
- You don’t have to spend any amount of time gathering feedback left by your users online. A good customer feedback analysis tool helps you manage every review in one platform.
- Most of the time guesswork is the major reason for CX strategy failure. You can eliminate this drawback by using actionable insights given by the customer feedback analysis tool.
- With all the available data and sentiment analysis insights it becomes possible to create better, more productive campaigns.
What You Should Know About Feedback
- Online reputation management helps you understand your online image. For instance, how a negative review from a customer is impacting your audience and revenue. Using this data, you can take steps to improve that online image.
- Online review management gives you insights on customer’s expectation of your product. Using this data you can modify your services or product strategy for better revenue.
- Sentiment analysis is necessary for brand loyalty. It helps you understand the type of emotions (negative, positive, or neutral) towards your brand. A positive sentiment means a high number of loyal customers.
- Social media analysis helps in tracking mentions of your brand online. This assists in understanding the outreach, sentiment related to the brand, and the impact of outreach.
Customer feedback management is necessary for non-aeronautical revenue of the aviation industry. With improved CX it is possible to increase brand sentiment, loyalty, and ultimately the ROI of these services.
Tim works as the VP of Sales and Marketing at NetServ Applications and oversees the development and client relationships for NetServs’ proprietary product Tatvam. Tatvam is a Customer Feedback Analytics product that leverages technologies like Machine Learning and AI to help companies monitor and improve their customer experience. Tim both manages the product log and the development teams to ensure they are consistently innovating and delivering a true value-add product, as well as continuously works with Tatvam customers to help them improve their data strategies and customer experiences.