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Property of Bergmen Group Inc. Do not distribute or reproduce without approval. Organised in co-operation with LEAD SPONSOR Keys to Enabling Air Passes Bergmen Consulting ATPS LatinoAmérica 2013

Keys to Enabling Air Passes

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Page 1: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Organised in co-operation with

LEAD SPONSOR

Keys to Enabling Air PassesBergmen Consulting

ATPS LatinoAmérica 2013

Page 2: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Keys to Enabling Air Passes - 8/2013 2

Our philosophy:

Be frank,

clear, and

move forward

We call it: clarity forward™

We help airlines bring

technology projects

to the finish line.

We offer IT strategy and

project management services.

Our consultants have worked with:Rod Berger

Founder and [email protected]

• Over 10 years of IT leadership.

• Successfully led large IT

programs at airlines.

• MBA and MS in Computer

Science.

BK Adarsh

Director, Airline IT [email protected]

• Over 13 years of IT strategy

and management within

airline/travel industry.

• E-commerce expertise.

• MSc in Computer Engineering. …

bergmenconsulting.com

[email protected] | +1 888 801 2374

follow us on LinkedIn: in.bergmenconsulting.com

Page 3: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Keys to Enabling Air Passes - 8/2013 3

Let’s create a buzz – the challenge

Constraints and guidelines

Purchase. Redeem. Service.

From fun to business

Takeaways

Agenda

Page 4: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Enable loyalty

members to

purchase a travel

pass to flight

anywhere, and as

much as they want,

for a limited time

period.

Business Goals

Keys to Enabling Air Passes - 8/2013 4

Boost awareness of

the brand.

Attract new

customers through

trial.

Gain loyalty

members.

$1,234

Air Pass

Business Solution

Page 5: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Tick. Tock.Tick. Tock.Tick. Tock…

Time was of the

essence

Only few months

before go-live.

Keys to Enabling Air Passes - 8/2013 5

Resulting guiding principles

1. Timebox everything.

2. Leverage existing products and processes.

3. Limit development efforts to a minimum.

4. Automate common use cases.

5. Co-design product with the business and IT partners.

Page 6: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Taming the complexity

Keys to Enabling Air Passes - 8/2013 6

Use Case

Use CaseUse Case

Use Case

Use Case

Use Case

Use Case

Use Case

Use Case

Use Case

REDEEM

PURCHASE

SERVICE

Buy the

the pass

online.

Use the

pass to

book $0

fares.

Exchange

and

refund $0

fares.

Page 7: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Keys to Enabling Air Passes - 8/2013 7

REDEEM

PURCHASE

SERVICE

How to sell

the pass?

Can we leverage the

e-commerce platform?

Do we have time for

custom development?

How about using a 3rd party?

A seat that

looks like a

pass…

How to sell $0 fares

to pass holders?

How to limit the

risk of fraud?

Gift cards? Reward points?

Promo codes? What else?

Corporate

pricing

rules

How to exchange

and refund?

How to deal

with no-shows?

BOR?

CAT33 and

product

design

Page 8: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Keys to Enabling Air Passes - 8/2013 8

PURCHASE REDEEM SERVICE

1 FOP

1 distribution

channel

Automated

transaction

reviews

Cap on

available

passes

Required

membership

Adjusted

ticketing rules

Authenticatio

n

Adjusted rules

for $0

transactions

Profile change

lockdown

Read-only

passenger info

No-show

auditing

Offline

monitoring

Training

Reducing identify theft with

IT, processes and people

Page 9: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Customers are still talking about it today.

Customers were engaged.

Promotion attracted business travelers.

Displacement was manageable.

No-show turned out not to be an issue.

Increase in call volume and manual operations were manageable.

Keys to Enabling Air Passes - 8/2013 9

Resulting brand value

exceeded expectations

Page 10: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

System

was not

designed

for fast

reuse.

There’s always room for improvements.

System was not designed for reuse. It required

significant effort to get it up and running.

It could not limit the number of uses. Which

resulted in significant risk of displacement.

Keys to Enabling Air Passes - 8/2013 10

Page 11: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Keys to Enabling Air Passes - 8/2013 11

To attract business travelers and secure revenues.

Limited routes, limited number of uses, smaller audience.

Redesigned solution for fasted activation.

100%-off promo codes as FOP turned out to be a better alternative for smaller target audience and markets. Using promo codes can increase exposure to frauds. Appetite for risk

needs to be assessed.

from

Fun

to

Business

Page 12: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Key Takeaways

Do not be afraid to pair up Business with IT leadership from day one.

Build a team with all the stakeholders from the beginning. Airline technology projects usually impacts numerous systems and ultimately business units.

Choose your battles. Do not try to automate all operations. The benefits may be smaller than the associated costs and risks automation may introduce.

Seemingly complex projects can be handled by breaking them down into simple components.

Proactive risk management is the key to avoiding issues. Look ahead.

Keys to Enabling Air Passes - 8/2013 12

Page 13: Keys to Enabling Air Passes

Property of Bergmen Group Inc.

Do not distribute or reproduce without approval.

Organised in co-operation with

LEAD SPONSOR

Questions and Answers

ATPS LatinoAmérica 2013