IATA's Simplifying the Business Initiative
IATA's Simplifying the Business Initiative
2013 2014
Simplifying
the Business (StB) Simplifying the Business
Transformation in progress Leading transformation
and explorations underway for customer-centric air travel
Making the industry easier to do business with
for both customers and partners.
2015 2016
Over the past 13 years, the StB program has Similarly, Blockchain is promising seamless, friction-
progressed in improving the passenger experience less payments. Technology enables many benefits
through bridging gaps between processes, exploring and we need to focus on its impact on the human
new initiatives and involving various stakeholders to interaction part of customer experience.
ensure the customer remains the focus. The 2020
vision of the perfect journey continues to guide the Besides all of these initiatives, we can continue
development of current and new projects. to improve the speed of design and implementation
of new standards. IATA has focused recently on ac-
The scope remains on the customer experience, celerating the formation of ideas, through the Ideation
but has expanded into other areas. For example, Hub and hackathons; on speeding up the develop-
this year, the scope evolved to look into payments ment of solutions, through incubation and funding
for passengers and the benefits for customers in programs; and on getting solutions to market faster,
airport automation. Innovation and digital are the key through events and networking. IATA aims at com-
StB drivers for enhancing customer experience. This bining these modules in an innovation ecosystem,
was demonstrated through current projects based to accelerate adoption of new industry standards.
on product differentiation, providing customers
with more choice and transparency, customer I look forward to the discussions and potential
identification and allowing for a secure and initiatives that the new ideas elaborated in this
seamless experience through the airport. document will incite.
Progress in technology has never been so impres- A special thank you to the StB Ideation Hub
sive. It plays an increasingly integral part in the StB participants and IATA staff that created this
ideas, initiatives and projects. Artificial intelligence document and continue to lead innovation
and machine learning encourages many benefits in our industry.
from better personalization of content, offers, and
experience to automated vehicles and processes. Sincerely yours,
StB Big Picture
IDEAS
Executive Summary
The IATA Simplifying the Business (StB) program is a Overview of the content
transformative driver of innovation through key projects and
initiatives that aim to improve the passenger experience. Led
by a group of innovation-focused airline representatives that Section 1
are key transformers within their proper organizations, StB
Executive Summary – introduces the StB White
has become a cornerstone of innovation in IATA and across
Paper
the industry. The program will be explained in more detail in
the next section of this document.
Section 2
One of the key pillars of the program is the StB Ideation Hub
(IH), consisting of key strategic stakeholders from across the StB Overview – introduces the StB program,
industry, including airlines, airports, IT providers and other methodology and governance
partners. Led by IATA, this team of transformative individuals
meet to brainstorm new ideas and develop them throughout
the year. Section 3
Update on 2016 Ideas – provides updates on
The outcome of the 2017 StB IH is explained in this docu-
the 2016 ideas
ment. In addition, Proof of Concepts (PoCs) are developed
to further articulate the ideas. These PoCs are presented at
the annual IATA World Passenger Symposium, where the
Section 4
larger audience is encouraged to discuss the ideas even
further. The document also includes an update on the 2016 2017 New Ideas – introduces the three new
ideas (Baggage, One ID, Open API and Payments), including ideas
their progression and evolution since the 2016 White Paper.
This year the three StB Ideation Hub ideas are: Section 5
Conclusion – outlines the next steps and
conclusion
1
Autonomous Vehicles
2
Passenger Payments
3
Personalization
Over the years, the StB program has evolved from the original focus of improving processes to more forward transformational
thinking. The core activity is still based on improving the passenger experience and cost reduction, but the shift of focus is
based on transforming the way we operate, rather than simply improving it. In other words, the program tries to reimagine the
industry and how we would build things from a blank page.
This unique perspective allows us to focus on ideas that were later pursued into projects. The cycle is becoming increasingly
faster. However, we need to push more and become more innovative and deliver benefits to the industry faster.
The StB program benefits all involved stakeholders including Using program cycles, the projects go through five different
passengers, airlines, airports, travel agents, ground handlers phases:
and system providers.
1) Conceptualization: Illustrate and sketch the concept.
Identify KPIs and reasons for the concept to be explored.
Unique methodology
2) Exploration: Assess feasibility and develop an industry
The key elements of StB are based on its methodology, business case based on the identified KPIs.
consisting of:
3) Development: Develop the “product” (e.g., industry stan-
• Idea generation dard, recommended practice, implementation roadmap,
etc.)
• Project delivery
4) Implementation: Implement the project, including indus-
• Industry mobilization and engagement try mobilization and market adoption – according to the
target roadmap.
• Solid governance structure and robust communica-
tions strategy (including a dedicated industry event) 5) Closure: Ensure the vision/target was achieved, benefits
were realized and close the project as a StB project. The
initiatives are now transferred to normal operations.
In addition, there is a rigorous project selection process,
based on specific criteria and these projects are processed
through five phases, driven by stage gate reviews. The meth-
odology is necessary to ensure a successful StB program.
The StB IH consists of an annual rotating membership of
several StB SG members and other partners from specific
industries – depending on the topics discussed. The IH fo-
cuses on ideation and new initiatives that can potentially be
pursued as a StB project. The StB IH publishes this annual
White Paper to stimulate conversation and share innovative
ideas that will lead to industry transformation.
StB Overview
Industry mobilization and engagement IATA World Passenger Symposium
Another unique attribute is how StB mobilizes the industry The WPS gathers stakeholders from across the industry
to deliver the target when projects are in implementation to focus on the passenger. The WPS is important for the
phase. There are designated airline champions that own StB program, since it is an opportunity to highlight and dis-
the process within their own airline. The mobilization effort cuss the StB projects as well as the work completed by the
also relies on strong support from IATA’s Board of Governors Ideation Hub – more specifically, the White Paper. It is the
(BoG) and Strategy and Policy Committee (SPC) – which forum where IATA provides the industry agenda and strategy
reports to the BoG. In addition, there are workshops, and for the years to come on everything relating to passenger.
campaigns that are regularly delivered to the industry as well It’s also the place where standards are adopted and deci-
as communications including dedicated IATA webpages and sions are made through the various industry meetings
social media. taking place simultaneously.
Governance
StB Steering Group
BAGGAGE XML 2
Live Implementations
NDC
(New Distribution Capability)
45
NDC Airlines
One ID
Payments
Baggage
Open API
These four ideas were articulated into the 2016 StB White
Paper. In addition, the team developed proof of concepts
for each and presented them at the IATA World Passenger
Symposium in Dubai, UAE.
In 2016, one of the new ideas underpinning the third StB Key concepts and principles
pillar of a “seamless and hassle free” travel experience was
to connect the dots across the end-to-end passenger pro- • One ID will rely on a trusted digital identity to facilitate
cess from an identity management perspective. Moreover, improved customer experience, speed and security. This
the vision was to create a streamlined, friction-free process should be introduced as early in the passenger process as
that allows an individual to assert their identity (online or in possible, with the validation of identity-related information
person) to the required level, while maintaining the privacy at the time of booking or shortly thereafter.
of personal data and enabling significant improvements to
operational efficiency and security. It is paramount that this • One single capture of passenger data will be used by
vision will be delivered through true collaboration between all stakeholders across the end-to-end journey including
airlines, airports and government agencies. outbound and inbound.
Token
Timeframe Support proof of ID Necessary conditions
Pre-departure At airport
In the near term, the main focus will be on the pre-departure process, in particular how identity related information can be
verified early on in the process, as well as how biometric information can be used as a single token to facilitate the depar-
ture and/or arrivals process within a given airport ecosystem. The e-passport will still be used to authenticate identity.
In the longer term, we will start to see wide scale interoperability between airport ecosystems enabling cross-border
scenarios linking departures to arrivals.
Ultimately, we expect to see the use of a digital identity allowing an individual to assert their identity, online or in person,
to the required level and throughout the end-to-end process, entirely replacing the use of a physical passport.
Update on 2016 Ideas
One ID
The focus in 2016 was on business-to-business payments. Acting as aggregator on various forms of payments and
There is considerable global variation in preferred types different payment providers, it reduces the complexity of
of payment, banking services, payment acceptance and connecting to various services and simplifies the payment
shopping methods. In addition, the payment and settlement process through a single global connection. IFG aims to ad-
process and service level for airlines varies considerably dress the airline’s need to increase the availability of various
by region and channel. Payment relies on complex legacy forms of payment in different sales channels including the
processes that include a diverse and multifaceted regulatory direct and indirect sales.
framework. The intent was to make payment processing sim-
ple, consistent and secure for the entire air transport industry IFG provides the ability for airlines to manage the accep-
while reducing payment processing costs and related fraud. tance of various forms of payment, select payment providers,
and even restrict or allow specific forms of payment for each
The vision was to enhance the passenger experience by individual payment transaction.
enabling payments anywhere (omni-payment) as well as
reducing the complexity on the merchant side. Access to multiple payment providers is important but this is
not the only benefit the IFG provides. It also enables IATA-
The team worked the idea into the scope of the IATA project managed forms of payment such as BSP Cash or EasyPay
called the IATA Financial Gateway (IFG). The IFG focuses for the non-GDS sales channel of the airlines; it makes other
on online payments – facilitating and optimizing the online IATA card services such as Fraud Clear available as part of
payment process for airlines and other travel suppliers. the processing as well.
AFOP - Alternative Forms of Payment PSP - Payment Service Providers BSP - Billing and Settlement Plan ARC - Airlines Reporting Corporation
Update on 2016 Ideas
Payments
Benefits
• Global Reach •C
ost Efficiency
Extends market reach and improves Improves operational savings
user experience to enhance sales and management of Service
opportunities Level Agreements and risks
while reducing agency settle-
ment costs by deploying BSP
settlement in all non-GDS
Travel
Travelers Suppliers distribution channels using IFG
• Simplification real-time capture services for
Reduces complexity and in- both ET and ticketless carriers
creases operational efficiency
through a single global connec-
tion with access to all payment
processors, including the BSP
Agency Service
Community Providers
• In Control
Be in control of when each
• Security payment is made and the form of
Improves system security payments accepted while having
by providing a highly reliable the freedom and flexibility to se-
system and secured connection lect or change payment partners
with Payment Card Industry Data without any systemdisturbances
Security Standards certification
and data privacy
Key features
Designed to meet the payment needs of all airline business models, IFG offers:
In 2016, the StB Ideation Hub explored different areas of Current innovations
baggage handling transformation. Existing baggage infra-
structure is at full capacity and no longer sufficient for future There are a number of innovations to current processes,
passenger volumes and customer expectations. The vision where standards exist to enable industry cooperation.
is to re-invent the baggage process by providing real-time These include:
tracking and tracing and robust identification.
Following the StB IH, IATA reviewed current baggage han- 1. Identification
dling processes and completed an assessment of baggage
tracking technologies and baggage delivery. These ideas are A new identifier (.M) can be applied by any stakeholder in
continuing to be further developed and the below outlines the baggage journey, from bag manufacturer to passenger.
the progress made. The only requirement is that the airline is capable of receiv-
ing this identity from the bag. In addition, airlines can take
New entrants to the market are bringing into question the advantage of technology to make the automatic capturing of
way that airlines handle baggage. The unbundling of the baggage identities possible. While additional technologies
baggage product from the ticket price has been a fact for exist for identification, they are either cost prohibitive when
several years in many markets. With this unbundling comes applied to many tracking points or not yet proven.
choice - passengers can choose how their bag will travel.
These additional services are not quite ready for the main-
stream, but will be in the near future. 2. Communication
Passenger expectations are not a new pressure, but they Airlines are now able to use modern Internet of Things (IoT)
constantly increase. The passenger will soon demand “real- technology to send messages formatted in XML over the open
time” notification of their baggage location. Some passengers internet with complete security and confidence in delivery.
are already taking this into their own hands by buying track-
ing devices for their baggage. It is a great shame that with IoT uses the Message Queue Telemetry Transport (MQTT),
the airlines 99.4% success rate of delivering bags, passen- a machine-to-machine /IoT connectivity protocol. This is a
gers feel the need to buy an electronic comforter to reassure lightweight publish/subscribe messaging transport with built
them where their bag actually is during their journey. IATA in resilience for connectivity drops. It uses a small bandwidth,
Resolution 753 requires airlines to collect the tracking data and is easy to implement making it perfect for large numbers
for baggage but does not require that this is shared with of small messages – such as those found in a baggage
the passengers, as this is an airline business decision. tracking implementation.
Update on 2016 Ideas
Baggage
Concern over the capability to swap baggage labels The industry invests billions in state of the art baggage
or produce fake ones is severely hindering the ability of screening machines, especially in the run up to the
airlines to use home printed and electronic baggage tags. adoption of Standard 3 in Europe (EU law to bring new
Regulators need to examine and address the fundamental explosive detection machines capable of Standard 3 in
problems (i.e., insider criminals and lack of observation in place by 2020). With this investment and the certainty of
the customs hall, antiquated customs processes) rather safety that it delivers, this gives the opportunity for bags
than penalize the billions of honest passengers who would to take a separate routing than the passenger and enable
like to avail themselves of new baggage tags. The trans- end-to-end baggage delivery still under the contract of
formation needed is to make use of technologies such carriage of the passenger. This would dramatically change
as Radio Frequency Identification (RFID) that can pro- the transfer process as bags would cease to follow the
actively inform customs if a bag is in the wrong channel, passenger and could be free to take an optimized route.
and machine learning to monitor Closed Circuit Television
(CCTV) in restricted areas and identify unauthorized
baggage access. 4. Business intelligence and big data
• Flight information
• Check-in
• Boarding tokens
• Baggage tracking
Release 1
Transfer Flight
High
Boarding Baggage
tokens
Strategic Importance
Transit tracking
information (R753)
Immigration Security
queues queues
Traffic Security
to/from req
airport Self-
In airport service
Parking and route Immigra- immigration Lounge
charges planning tion docu- guide information
mentation
Smoking
area
Low
The team also got to start off 2017 with a group of industry
transformers and start-ups, inspiring new thoughts and ideas
that would continue to inspire us throughout the year. This
initial meeting was held in the Silicon Valley in partnership
with Plug and Play (a startup Innovation Platform that the
StB Think Tank engaged with in 2016). This time, the group
met with start-ups with an aviation industry scope as well as
start-ups from other industries that had adjusted their pre-
sentations to help us think differently and adapt our thoughts Passenger
to new possibilities and perspectives. As a result of these
start-up presentations and brainstorm exercise, three ideas
Payments
were selected: autonomous vehicles, passenger payments
and personalization.
Personalization
2017 New Ideas
Autonomous Vehicles
Current AVs trials and developments Automating the connection and disconnection from
the aircraft will develop over time. Careful consideration is
The members of the StB Ideation Hub offered some required to optimize where aircraft can disconnect and limit
examples of current uses of AVs: the impact on airfield congestion. Some solutions offer an
electric motor fixed to the nose landing gear and powered by
the aircraft’s auxiliary power unit. The aircraft can push back
a. Passenger boarding bridges and taxi under the command of the pilot.
• Planes (for damage, lightning strikes, etc.) while at the The StB Ideation Hub reviewed numerous AV trials and
gate or during operations such as de-icing case studies to produce recommendations for AV implemen-
• Runways (foreign object detection and damage detection) tations at airports. The focus is primarily (but not exclusively)
• Airport perimeter (for security) on the role of AVs and equipment on the airfield rather than
in terminal buildings for several reasons:
• Airport complex (for security, maintenance, and
construction)
• Easier to control and alter to suit an autonomous
environment.
Some of these inspections could be done by terrestrial
vehicles, but many of them could also be done using drones. • Standard nature of airfield operations means that suc-
There have been multiple trials in the last year showing cessful trials can easily be transferred to other airport
mostly remotely-piloted (rather than autonomous) drones operations.
conducting inspections. Features like collision avoidance
and other safety measures would be required in the airport • Airfield operations are heavily dependent on driver and
environment. vehicle/equipment.
Equipping drones with differential lenses enables the gather- • Several tasks or functions on the airfield are time con-
ing of insight beyond visual range of the human eye to deliver suming/pressured, require intelligence to perform and
better inspection accuracy and from many different angles are prone to costly human error (automation helps drive
simultaneously and negotiating obstacles that are risky for conformity and regularity).
human inspection. Drones can patrol surfaces and gaps in
airport perimeters to provide additional security and mitigate • Aircraft move from one airport to another and across
hazards such as bird strikes by mimicking the appearance borders. Interaction between aircrafts and ground vehicles
and behavior of predators. In addition, drones can be sent into needs to be universally governed through standards to
harm’s way to aid airport security in crisis response situations. avoid accidents.
From an IT perspective, the increased frequency and en- • Airfield operations are distinct to our industry and therefore
hanced precision via automated data collection may reveal require our own focus to make changes happen.
unexpected insights overlooked in contemporary operations.
The regulations around the use of drones is a key area that The combination of these factors make the airfield a strong
needs development to support the future rollout of drones candidate for autonomy.
to conduct inspections.
Top 15 damage caused by equipment (Source: IATA Ground Damage Database – Winter 2016-17 Analysis)
2017 New Ideas
Autonomous Vehicles
While demand for air travel is set to continue to rise, struc- undocking of the passenger loading bridge. Self-docking
tural changes needed in airports to cope with demand will loading bridges can significantly address the problems of
take longer to implement. AVs offer a near-term option to shortage of staff created by staff turnover and the increased
improve airfield efficiency and effectiveness without signifi- cost and training lead time for new staff. Moreover, if an air-
cant capital outlay. craft needs multiple boarding bridges, then it is very expen-
sive to assign staff to each for such a short time to connect
Separately, environments in which AVs operate fully, or near all. Additionally, loading bridge accuracy in docking and
fully, are likely to be considerably safer and more secure, undocking can reduce the human errors in these operations
reducing the insider threats and accidents. Most airfield and which is the leading cause of aircraft and jet bridge damage.
landside accidents are caused by human error where regula-
tions or operating procedure were not followed or a judgement
error was made. The majority of aircraft damage is caused AV applications
while at a gate or stand connected to the passenger terminal.
The team identified a series of AV use cases, which highlight
Critical to passenger satisfaction, gate efficiency and re- the potential of AVs in air transport. Several airlines and airports
duced aircraft turnaround time is the efficient docking and are planning to pilot AVs and equipment in the next two years.
AVs offer an exciting and vital solution to many problems The value of AVs will not be the same to all airlines and all
in the air transport industry. A structured and coordinated airports. Higher labor costs, environmental differences and
approach by industry leaders is necessary to ensure the different regulatory requirements/imperatives will determine
widespread adoption of, and most value from, autonomous local appetite for AVs. However, this does not remove the
vehicles in the air transport industry. need for a widely-agreed approach to AVs.
Developing and deploying AV solutions require a coordinated AVs will require a review of traditional laws and regulations
approach by airlines, Ground Service Equipment manufac- to ensure with the right risks are apportioned to the right
turers and airports alike to create standards, frameworks and parties. Such a legal framework and must be developed so
solutions necessary for widespread acceptance and imple- that potential liabilities are understood and risk are ad-
mentation. equately quantified to warrant appropriate investment.
In a highly-controlled environment, like an airfield, the idea Within an airport setting, it is important to determine which
of unattended machines performing critical functions is stakeholders are responsible for which components of the
concerning to many people. Strict policies and standards AV environment so that proper levels of coordination be-
governing the use of AVs on the airfield must be established. tween AVs and their operators are guaranteed. Airports op-
For the purposes of deploying AVs, the air transport industry erators will need to work closely with city, county and state
already benefits from having safety-centric frameworks and government bodies to ensure their use of AVs is compatible
mechanisms. with local laws.
2
McKinsey & Company Global Payment Map, as reported in "Global Payments 2015: A Healthy Industry Confronts Disruption," McKinsey & Co., October 2015; The Bos-
ton Consulting Group (BCG) report entitled ‘Global Payments 2016’; http://www.consultancy.uk/news/12651/global-payments-revenues-to-hit-2-trillion-by-2025-emerg-
ing-economies-lead
2017 New Ideas
Passenger Payments
Multiple industry initiatives have been launched over the StB Proposal
last few years to help airlines cope with this significant cost,
particularly in the indirect sales channel. Nevertheless, the Payment solutions for the future must address five thematic
cost of payments is forecast to increase yearly, potentially requirements to be successful:
doubling by 2025.
Convenience
Despite the rise in costs, friction in payments continue to
be a significant impediment to improving checkout conver- The solution must fit the digital lifestyle of consumers today
sion rates – with highest conversion rates correlated with and promote channel conversion. Frictionless is of the es-
fewer number of clicks, lower transaction time, zero profile sence and transparent (Uber-like) payments are in the vision
requirements, retail incentives, and higher number of pay- with a natural integration with the IATA One ID project.
ment methods.
Omni-channel
In response, the pace of innovation in the payments space
has accelerated with multiple FinTechs proposing alternatives The solution must transfer funds directly from the payer
to established players. Apple Pay, Google Pay, Samsung to the payee or vice-versa. Travel providers must be able
Pay, AliPay, Venmo, Fast payments, etc. are tackling issues to provide consistent payment methods across direct and
of convenience, flexibility and security – further taking control indirect channels.
away from retailers. Airlines are rapidly adopting these forms
of payments to improve conversion on their channels, Security
despite additional transaction costs.
The solution must be secure, allow for third-party identity
While the financial performance of the global airlines has providers, multi-factor authentication, and reduce the attack
improved over the years, margins remain thin – with harsh footprint for potential cybersecurity threats (e.g. PCI footprint).
economic environments in some areas due to weaknesses in
local markets and currencies. The current cost of payments, Efficiency
and the projected increase – pose a disproportionate finan-
cial burden to the industry. The solution must bridge the gap between payer and payee in
order to improve transparency and trust. It must offer a more
Given this complex challenge, the StB IH examined the efficient settlement process at lower processing fees.
problem and defined a set of future state requirements for a
strategic industry payments initiative – that can help airlines Flexibility
and other travel providers serve their customers better and
improve revenue, while reducing costs. The solution must be future-proof and be extensible to
support plug-and-play banking APIs, authorization engines
and payment types, including emerging cryptocurrencies. The
solution should enable a platform for value-added third-party
services like insurance, installments, currency services, etc.
2017 New Ideas
Passenger Payments
At this point, the industry would like to analyze the potential Key benefits
creation of a new form of payment that would help deliver the
above requirements. This proof of concept is the IATA Wallet: Beyond the PoC, the group would like to deliver an industry
solution that would enable the following benefits for payers
• Convenient digital wallet that can link to bank accounts, (passenger) and payees (airlines), as shown in the diagram
or other forms of payments below.
Next steps
Given the successful PoC, the key next steps include market validation, business model and technology definition and
a targeted pilot.
• Focus groups, corporate and passenger surveys could be effective tools in validating market demand.
• Additional discussions with both direct and indirect distribution channels – including GDSs, travel agencies and
corporate travel buyers – will help in validation of the business and technical model.
• From a pilot perspective – selection of a core set of payment technologies and geographic markets would be important
to ensure global adoption of the Wallet by travel providers.
2017 New Ideas
Personalization
Case for change • Airports could leverage data about the location, time to
board, and preferences of the customer to offer services,
Ample evidence from both inside and outside the travel information, and retail products tailored to the needs of
industry suggests that many customers are willing to share individual travelers.
subsets of their travel data between airline and non-airline
travel providers. • Rental car companies could improve their demand plans
and staffing levels using non-specific customer informa-
Unfortunately, no single member of the travel ecosystem has tion about arriving customers who also have reservations
the capability to optimize the end-to-end journey on their with their company, perhaps even getting aggregate data
own. Even the most capable and ambitious travel provider about the number of customers who have checked a bag,
would need the cooperation of others to deliver integrated and might therefore be waiting in a baggage area.
and contextual end-to-end travel services to its customers,
and to do that, a coordination framework is needed. • Hotels may wish to offer upgrades or other assistance to
travelers whose flights have been delayed or whose con-
By contrast, the benefits of a system of secure, open, trusted nections have been canceled, in the very same message
and customer-authorized data exchange are clear, as shown airlines use to share the news about other travel options.
in the table below.
• Parties like security/immigration or booking providers
like Travel Management Companies (TMC) would like
access to reliable data about where customers are in their
journey to either provide better customer service or be
better prepared.
Potential benefits for the main aviation stakeholders, along six levers and three benefit types:
Irregular operations management • Improved prediction of • Potential services fees • Improved experience during IROPS (pax)
– facilitate ecosystem data sharing IROPS effects (providers) • Reduced impact of IROPS (pax)
to reduce the impacts of delays and • Better and more • Additional sales from • Stronger travel brands (providers)
disruptions coordinated IROPS ecosystem partners
management between (providers)
stakeholders
• Enhanced and more
customer-centric
IROPS recovery
Enhanced merchandising – improve • Fewer service recovery • Higher per-trip expendi- • Fewer untargeted offers (pax)
offers based on deeper, contextualized payments tures (providers)
insights about passenger needs and • Less marketing waste • More revenue due to
preferences (providers) higher visibility of services
Service personalization – apply • Much less effort to • Increased ancillary sales • Improved interaction context (pax and providers)
insights from customer approved data anticipate passenger (providers)
sharing and operations to personalize needs (providers)
and customize travel experience • Improved resource-
planning and allocation
(providers)
Distribution personalization – en- • Lower intermediary • More inclusive (larger) • More targeted service of more narrow segments
hance customization of travel bundles, costs (providers) travel bundles (providers) (pax)
prices, and products on customer
insights
Journey management – deliver seam- • Fewer process dupli- • Increased attractiveness • Less coordination required of traveler (pax)
less experiences across providers cations (pax) of air travel and time
leveraging shared data about prefer- • Less effort to manage spent at airports
ences and operational conditions travel (pax) • Exchange of money for
• More time-efficient valuable service (pax and
travel (pax) providers)
2017 New Ideas
Personalization
1. Data sharing taxonomy: a simple traveler data taxonomy 1. Diverse travel ecosystem: Establishing a data shar-
will serve as the basis around which customer data will be ing framework that can meet the needs of diverse travel
organized shared, and used across the travel ecosystem. ecosystem participants while leveraging the industry-wide
developments and systems that are emerging and already
2. Data interface and control guidelines: travelers will in place.
enjoy full access to and control of the data in their travel
profile. This data will be viewed, changed, and applied 2. Control of data: Developing open standards and technol-
only with the explicit approval of each customer. A clear ogy ground rules that individual actors can use to enable
set of guidelines and recommended technologies will be travelers to control and manage their individual travel data
provided to ensure consistency across members of the and preferences. This is a mostly technical challenge
travel ecosystem. that will leverage distributed ledger technology, open API
frameworks, and industry standard data definitions. These
3. Data integrity mechanisms: data integrity will be en- make it clear how developers can create apps, websites
sured by enabling customers to control which companies and other platform that harvest, analyze, and deliver travel
and entities, if any, will be granted access to their data, data to members of the travel ecosystem in a manner that
e.g., using shared ledger technologies. Additionally, each is visible to and controlled by the traveler.
time customer data is viewed, changed or accessed, a
record of that usage will be retained and secured for use
of the customer. Next steps
With these three components, the IATA Personalization IATA, through its StB program, is working with airlines and
program complements existing initiatives. It relies on Travel solution providers to develop a demonstrational prototype
Communication to provide travelers and any suppliers with that will embody the principles of this White Paper and en-
the quality information they need to know. Open API is the lighten members of the travel ecosystem about the benefits
prime enabler for information exchange while ONE ID identi- such a system could bring to the whole travel value chain.
fies the passenger to all stakeholders (including authorities).
Finally, NDC and ONE Order allow stakeholders to book
contracted services to the specific journey.
Airline Delegates
Airports
Supporting Organizations
Strategic Partners
Hasse Joergensen
Manager, Passenger
StB Contributors
Andrew Price
Head, Global Baggage Operations
www.iata.org/StB