Singapore Airlines
Singapore Airlines’ KrisShop Next-Generation Airline Retailing
Our digital solution suite provides Singapore Airlines with the most advanced digital airline retail program in the world – thus making the solution truly future-proof.
Outcomes
Innovative Luxury Shopping
Wide array of premium brands and high-end products, customized shop-in-shop stores, with brand look and feel
Loyalty Opportunity
Increase attraction of the loyalty program, expand product portfolio as well as opportunities with luxury brands
Omnichannel Retailing
Data-driven, personalized communication and retailing addresses new and existing customers to increase revenues
About Singapore Airlines
Singapore Airlines is widely regarded as one of the world’s most-awarded airlines – lauded for leadership in service quality. The airline has also set the pace for innovation in the aviation industry for many years.
Singapore Airlines continues to pioneer new approaches to tackling the challenges confronting travel retail as well as aviation in general. The airline’s goal in relaunching KrisShop, its flagship retailer, was to build an easy-to-use Omnichannel commerce platform for convenient interaction with its customers. The new KrisShop provides passengers with a seamless and consistent customer experience across all channels.
One of the primary challenges faced by travel retail stakeholders is changes in passenger buying behavior. Spend per passenger is down and in-flight shopping has also decreased significantly. Numerous airlines have discontinued the service of selling in-flight goods altogether. The traditional on-board cart has also lost its attraction, both for passengers as well as for many top-selling brands.
Challenge
Grow in-flight sales revenue by creating a unique seamless omni-channel customer experience in highly competitive market with modern technology.
To solve the challenges facing the travel retail industry, airlines need to reinvent their business models for non-aviation revenues, especially in-flight service. On some airlines only about one percent of the passengers make in-flight purchases – despite in-flight conversion rates that are increasing every year. One reason for this is that an in-flight service can only offer 200 to 300 products. In-flight services must also compete with the general E-Commerce market, which is growing by double digits annually. As spend per passenger declines – despite overall passenger numbers growing worldwide – new business models based on digital solutions provide airlines with new opportunities. To account for these changes in the industry, KrisShop needed to offer its passengers a seamless and consistent customer journey along the entire path – regardless of time, location, device or channel being used. To achieve this goal, KrisShop had to set up the necessary framework: The challenge was to create a unique customer experience. This required sophisticated technology as well as the appropriate tools for logistical and operational implementation.
Solution
The new KrisShop enables an entirely new in-flight shopping experience, while at the same time extending the Golden Hour. Passengers can pre-order products until the very last minute before boarding their flight. KrisShop is customized to enable new business models for billing, payment, drop shipment as well as other digital processes. Our solution suite makes for easy integration with third-party channels.
Seamless and Consistent Customer Journey
Singapore Airlines chose our solution suite to rebuild its KrisShop, as it provides a powerful, reliable and scalable solution that supports all processes across the entire value chain in real time. To create a unique customer experience, KrisShop wanted to provide personalized content with custom sales- and marketing campaigns in real-time, which support numerous features and offer passengers a flexible, easily accessible port-of-entry to Singapore Airlines’ shopping world.
The seamless customer journey begins with the initial touchpoint of the online shop, for example via smartphone or PC at home or on the way to the airport. Customers can search for the perfect product. Based on search criteria, filters as well as previous buying behavior and individual preferences, personalized products are displayed to each customer. Product purchase can occur at the airport or even in-flight; after completing the purchase, the customer can choose from a number of delivery options, including home- or in-flight delivery.
New Travel Retail Joint Venture
The KrisShop.com brand and platform is part of a joint venture between Singapore Airlines, 3Sixty (formerly DFASS) and SATS.The joint venture creates innovative opportunities for all parties – airlines, airports, retailers, brands and passengers. Singapore Airlines benefits by having experienced, world-leading partners that offer their experience along the entire value chain. By optimizing the user experience, the airlines’ passengers enjoy the ultimate seamless usage, thus impacting customer loyalty as well as the generation of non-aviation revenue.
High-quality presentation through brand stores
In relaunching its in-flight offering, Singapore Airlines placed special emphasis on a high-quality presentation of premium brands in KrisShop. This approach has motivated brands that had discontinued in-flight sales to resume their in-flight sales efforts. The focus on premium brands benefits both the brand as well as the airline by providing new sources of revenue while opening up access to a larger customer base. The entire content and targeted campaigns can be handled by the KrisShop marketing team, offering increased flexibility, faster time-to-market and independence. This also creates a continuously growing foundation of knowledge and expertise in growing and maintaining the shop.
Premium positioning offers additional revenues
KrisShop is comprised of a three-tier structure, which features different customer journeys and user experiences. This offers selected brands the opportunity for highly visible positioning and a variety of advertising options, while providing the airline with additional sources of income. At a basic level, brands can feature their products on standard product pages. As a second option, brands can also be displayed on featured brand pages with dropdown navigation and their own subpages. Finally, in keeping with the premium business model, KrisShop features an exclusive brand section displayed in the main navigation. Each of these premium brands has its own subpage that takes brand CI and CD into consideration, including a preconfigured set of E-Commerce store elements such as banners, subnavigation, teasers, brand fonts and custom widgets as well as the brand’s logo.
Customized campaigns with concept stores
In addition to brand pages, KrisShop also features special Concept Stores, which can be used to create customized campaigns along events, such as the Formula 1 Grand Prix, or for special offerings, such as products offered during a specific season.
What other people say
Management Summary
Our digital solution suite provides Singapore Airlines with the most advanced digital airline retail program in the world – thus making the solution truly future-proof.
With the new solution, KrisShop is ready to tackle the challenges faced by today’s travel retail industry. KrisShop now has more flexibility in maintaining and expanding its in-flight and online offering. The premium look and feel of KrisShop.com as well as its product offerings underscore Singapore Airlines’ position as one of the world’s leading airlines. Passengers benefit from a state-of-the-art E-Commerce solution that is easy and convenient to use, providing them with the ultimate customer journey. By broadening the scope of Singapore Airlines’ non-aviation revenue base, KrisShop.com comprises a big part of the airlines’ growth strategy. The option of passengers to reedem earned miles is one of the many new features that makes KrisShop attractive for airline and passenger alike.
Business benefits
Exclusive Travel Retail Products
KrisShop regularly offers customers special travel retail products and sets
Payment Integration with Loyalty Program
Integration of the Singapore Airlines’ loyalty program “KrisFlyer"
Personalized content and campaigns
Content based on target groups for increased conversion rates