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August 10, 2015
McLean, Va. — Against a backdrop of what is quickly becoming the busiest summer travel season in United States history, Booz Allen’s airline and travel experts have highlighted the key drivers of a quickly changing traveler experience.
“The airline industry has done a tremendous job of maintaining capacity discipline and identifying opportunities to unbundle and monetize ancillary products,” said Booz Allen Chief Scientist Alex Cosmas, head of the firm’s travel practice. "However, while these have contributed to the industry’s record profitability, both have unfortunately applied pressure on the customer experience.”
To that end, Booz Allen’s market analysis models have revealed consistent trends - validated by industry insiders and the firm’s clients - that provide a new look at the contemporary passenger experience:
Source: Booz Allen’s research employed data from Airlines for America (A4A), U.S. Department of Transportation (BTS and DOT), schedule data and individual airlines and technology providers.
Dr. Jinane Abounadi, an airline distribution expert with Booz Allen, advises that, as airlines increasingly leverage complex systems to optimize their operations and revenue, customers will find fewer and fewer “steals” to celebrate. Today’s airlines are not only servicing higher volumes of passengers but are also held to the high service standards of the digital age. Contemporary travelers demand accurate information on-command as well as the ability to make changes and requests in real-time.
According to analysts at Juniper Research, one-third of all boarding passes will be issued on mobile devices by 2019, quickly making planning ahead, self-service and selective buying the new airline industry normal.
“Early planners will prevail in this new era of travel, and procrastinators will pay in both time and money,” said Dr. Christoph Wollersheim, a senior aviation economist for Booz Allen. “The focus must now shift to how the travel industry can service record demand while recapturing the hearts of the traveling public by redefining customer service.”
In light of the growing trend toward consumer self-reliance, the firm has observed tourism organizations increasingly using analytics to deliver more personalized customer service – mirroring trends seen in the retail sector.
“These innovators will soar above the competition in the next 12-18 months,” Cosmas said. “And we’re committed to helping them turn customers’ digital breadcrumbs into actionable insights that allow them to better predict – and explain – the choices those customers make.”
About Booz Allen
For more than 100 years, business, government, and military leaders have turned to Booz Allen Hamilton to solve their most complex problems. They trust us to bring together the right minds: those who devote themselves to the challenge at hand, who speak with relentless candor, and who act with courage and character. They expect original solutions where there are no roadmaps. They rely on us because they know that—together—we will find the answers and change the world.
We solve the most difficult management and technology problems through a combination of consulting, analytics, digital solutions, engineering, and cyber expertise. With global headquarters in McLean, Virginia, our firm employs approximately 24,600 people globally, and had revenue of $6.17 billion for the 12 months ended March 31, 2018. To learn more, visit www.boozallen.com. (NYSE: BAH)