What are the top digital trends you see having the most significant impact on the airline industry? How do you think airlines can navigate these trends?
Generative AI. It can revolutionise customer service with more personalised and efficient interactions through chatbots and virtual assistants. It also helps with office productivity such as information search, document preparation and checking of contracts or regulations.
Airlines can invest in AI research, experimentation and development, developing perspectives and centres of excellence that combine the technical know-how and industry knowledge. They can collaborate with tech companies, and start with pilot projects to gradually integrate Gen AI solutions into operations.
Another trend is robotics. As autonomous technology advances and becomes more reliable, it’s important for airlines to leverage this technology to augment our operations without compromising the human touch in our service delivery, from lounge operations to robotic cleaning services, thus increasing efficiency and reducing human error.
To integrate robotics into our work, companies can define use cases and get frontline staff involved in innovation workshops. Keep gathering feedback to enable a human-in-the-loop approach, ensuring that robots complement rather than replace human efforts.
It’s also important to train staff to work alongside robots and maintain these systems, which are crucial for successful implementation.
What are some challenges to digital innovation that airlines may face?
It can be difficult to establish a clear mandate for the innovation team, especially in large organisations where roles can overlap. Innovation could mean differently to different people.
Organisations should clearly define the innovation team’s goals, scope, and metrics for success. This ensures alignment and clarity across the organisation.
It can also be challenging to foster a company culture that embraces digital innovation, particularly in traditional industries. In such an environment, the management should actively promote a culture of continuous learning and experimentation. This can be done by supporting and participating in innovation initiatives and providing training to upskill employees.
How do you balance the need for innovation with the operational realities of the airline industry?
We adopt the DFV (Desirability, Feasibility, Viability) framework. Following this ensures that any innovative idea we pursue is not only desirable from a customer perspective but also feasible from a technical standpoint and viable in terms of business impact.
Feasibility is often the critical factor, ensuring that innovations can be realistically integrated into our existing operations without disrupting service quality.
What are some tools or technology that can support airlines’ digital transformation?
At Cathay, we’ve integrated virtual reality into our cabin crew training modules to improve skill acquisition and retention.
We have also implemented advanced remote working tools, redesigned office spaces to support hybrid work models, and revised policies to promote a healthy work-life balance.
What topics will you focus on at Digital Travel APAC 2024?
I will be sharing about demystifying and strategising the use of Generative AI in the airline industry.
Why should people not miss Digital Travel APAC this year?
I anticipate that more airlines have entered the cycle of recovery and reinvestment post-pandemic. As such, industry leaders will be able to share a wealth of new innovations and insights, and the audience will gain valuable knowledge on the latest trends and strategies that are shaping the future of travel.
Hear from Chu and other industry leaders at the upcoming Digital Travel APAC 2024 from August 15 to 24.
TTG Asia is the lead media partner for Digital Travel APAC. Quote “TTG20” at checkout to enjoy a 20% discount off prevailing ticket rates. Tickets can be purchased here.
Indonesia president Joko Widodo (Jokowi) is aiming to boost more international arrivals to the country in order to catch up with the achievements of its South-east Asian neighbours.
While the latest Travel and Tourism Development Index (TTDI) shows Indonesia’s position jumping up 10 ranks (from 32nd to 22nd), the country is still lagging behind Malaysia, Singapore, Thailand and Vietnam.
According to Jokowi, who recently spoke at the launch of the Digitalization of Event Licensing Services, he said that Indonesia has many great attractions. However, he opined that the best way to draw more crowds in is by holding international events, such as concerts, business events, summits, and sports.
Meanwhile, the tourism budget for the Ministry of Tourism and Creative Economy (MoTCE) this year is set at only 3.3 trillion rupiah (US$236 million) with a target of 14.3 million arrivals.
Its minister Sandiaga Uno remains optimistic about the arrival growth, and voiced that if connectivity is expanded, then the goal of 14.3 million arrivals, or even more, is a possible one.
“Indonesia is still top of travellers’ minds with Bali as the major attraction – what we need to do is to improve connectivity,” he said, adding that he has discussed with the minister of transportation to launch more flights from India, Australia, and Russia; increase services from Dubai, Doha, and Istanbul, as well as from North Asia, particularly from Tokyo, Seoul, and Hong Kong.
In tackling the limited budget, the ministry is intensifying communications with business partners and expanding co-branding cooperation with private sectors to promote Indonesia as a destination.
On another note, Nia Niscaya, senior adviser and expert at MoTCE, observed the weakening of the Indonesian rupiah against the US dollar as an opportunity to attract more international arrivals.
“Indonesia offers a variety of attractions with various segments – what we can currently offer to foreign tourists is affordable luxury,” she said.
Ketut Ardana, managing director of Bali Sunshine Tour, told TTG Asia that the ministry could maximise its promotions through international travel marts in the country, such as the Bali and Beyond Travel Fair (BBTF).
He explained: “With the promotion budget small, rather than spending huge money for international events like ITB Berlin and WTM, it is best (for MoTCE to leverage on events like) BBTF to become its international promotion platform by inviting bigger number of buyers and allowing more Indonesian sellers to participate.”