Looking two years ahead: Functional objectives along with technology related challenges and top five areas of investment for airlines. Learn more: https://accntu.re/34LzLZn

1. Right Cloud
Mindset in Travel
Survey Results
Airlines*
*Featured survey responses are ‘Top-three Ranked’ (%)
(i.e., ranked by respondents as either Rank 1, 2 or 3)

2. Survey Results
Airlines
Operations and
Maintenance
Strategy and Planning,
Network Management and
Scheduling
Sales and Marketing
Revenue and
Yield Management
Distribution
Information
Technology

3. Operations and
Maintenance

4. Key Functional Objectives Within
the Next Two Years
Operations and Maintenance
80% of COOs desire predictive operations through AI/IOT/ML,
within the next 2 years
Technology-Related Challenges,
in Achieving the Objectives
33
53
63
70
80
Realize Predictive Operations
through AI/IOT/ML
Embed AI/Analytics, to
automate processes
Simulate operations and
transform workflows using
Digital Twins
Integrate 3rd party ecosystem
and proprietary data in digital
platforms, for synergies/benefits
Realize sustainable operations,
through improved
environmental/utility monitoring
40
57
57
60
83
Difficulty in accessing, handling
and provisioning the data
needed
Too much time required to
launch innovative solutions
Lack of integration of various
tools
Too much complexity
Lack of flexibility of new
application or technology

5. Top Areas of Investment: Maintenance – Next 2 Years
Top Areas of Investment: Operations – Next 2 Years
Operations and Maintenance
Focus is on ‘managing operational
schedules’ and on ‘maintenance
operations,’ respectively
70%
Manage Operational
Schedule
Manage Station
Resources and Facilities
70%
Manage Flights
60%
Cloud’sbiggestapplication
today is in cargo; turnaround
timesare considerablyslower
than PAX operations;hence
thereis significantpotentialto
increaseoperationalefficiencies.
Business Operations VP - Leading
European Legacy Carrier
77%
Maintenance
Engineering
70%
Maintenance
Scheduling
60%
Commercialize
MRO Services
53%
Maintenance
Operations

6. • 80% of COOs highlighted the need for predictive operations in their enterprises within the
next two years. However, accessing and provisioning the data needed remained the
biggest technical barrier, in achieving this vision.
• Airlines and airports have typically relied on monolithic systems to achieve
interconnectedness and data integration. While data integration systems have been
developed to achieve shared data and to connect separate systems, such as AODB,
today’s marketplace need is more dynamic—requiring nimbler systems that can scale as
per market demand.
• As data volumes increase significantly, cloud potential is massive, across areas such as
passenger handling (esp. as PAX throughput ramps up), real-time crew collaboration,
cargo operations to increase turnaround times, predictive MRO, real-time inventory and
theft management and predictive F&B operations in-flight.
Operations and Maintenance

7. Strategy and
Planning,
Network
Management and
Scheduling

8. Key Functional Objectives Within
the Next Two Years
Strategy and Planning, Network Management and Scheduling
Alongside cost reduction, improving collaboration with other
functions is a priority for the majority of CXOs
Technology Related Challenges,
in Achieving the Objectives
35
50
67
70
78
Reduce costs through process
improvements or efficiencies
Improve collaboration with
other functions
Have one version of data
Improve IT architecture /
digital technology capabilities
to improve operations
(network, fleet and scheduling)
Increase sustainability
in operations 38
42
43
45
57
62
Difficulty in accessing, handling
and provisioning the data
needed
Issues with real-time
collaboration, among functions
Too much time required to
launch innovative solutions
Lack of integration among
various tools
Lack of flexibility of new
application or technology
Too much complexity

9. 67% 63% 47%
82% 58% 43%
Strategy and Planning, Network Management and Scheduling
Focus on schedules and network
management remains high, especially as
customer booking window shrinks
• In today's environment where the
customer booking window is severely
compressed, there is an increased
importance on building robust
networks with the flexibility to scale
operations up and down. New
techniques, such as "clean sheet
optimizations" are best built and
tested with cloud-powered tools.
• Additionally, cloud and analytics
promises the ability to streamline
operations further, building networks
designed to drive higher on-time
performance without increasing
costs.
Top Areas of Investment: Scheduling – Next 2 Years
Manage Network
Manage Airline
Partnerships
Plan and Manage
Routes
Top Areas of Investment: NetworkManagement – Next 2 Years
Plan and develop
market schedules
Plan and manage
schedule changes
Plan and manage
schedule distribution

10. Sales and
Marketing

11. Key Functional Objectives Within
the Next Two Years
Sales and Marketing
73% of CMOs and CSOs plan an omni-channel strategy (esp. mobile),
with intent to dynamically offer their services/products
Technology Related Challenges,
in Achieving the Objectives
53
53
57
60
67
Too much time required to
launch innovative solutions
Lack of integration among
various tools
Too much complexity
Difficulty in accessing, handling
and provisioning the data
needed
Lack of flexibility of new
application or technology
50
53
53
70
73
Achieve multi-channel
capability
Innovate new
products/packages during
different booking/time periods
Focus on SEO and SEM, to
create personalized campaigns
Centralize, automate and host
key processes
Customize and personalize
language/content for local
audience

12. 93% 77% 67%
63% 50%
Top Areas of Investment – Next 2 Years
Sales and Marketing
The desire is to intelligently target
travellers ‘on-the-go’
Manage Flight
Information
Manage Marketing
Campaign
Manage
Advertising
Manage Sales
Channels
Manage
Promotions
Today,airlineproductsaretoo
complex.Needtomakeitsimpler
andwithbetterservicedesign.
Also,it’simportantto
commercializetheecosystem.
Forexample,weenabled
customerstopurchaseparking
ticketsthroughourapp,while
alsointegratingwellness,F&B,
remoteworkingspaces,with
intenttodefinetheend-to-end
journey.
Head of Digital,
Large Scandinavian Airline

13. • 73% of airline CMOs and CSOs desire multi-channel capability to target consumers.
Additionally, 70% of CMOs/CSOs desire the ability to dynamically innovate their offerings,
i.e., innovate new products and packages during new time periods.
• Today, as companies seek to target consumers ‘on-the-go’, focus on direct channel
capabilities (omnichannel), especially mobile, remains high. However, current legacy
systems are limited in their ability to dynamically construct such offers—requiring
incumbents to seek intelligent, scalable solutions such as cloud.
• At the same time, it is imperative to have an ecosystem focus, for example the ability to
cross-collaborate with other entities to develop interoperable solutions. Cloud will also
enable the airline to be closer to MAAGs and Meta search engines (by having apps on the
cloud) and unlock the full potential of online shopping and e-commerce engines.
Sales and Marketing

14. Revenue and Yield
Management

15. Key Functional Objectives Within
the Next Two Years
Revenue and Yield Management
84% of COOs intend to improve direct capabilities and dynamic
pricing for bundled & unbundled products
Technology Related Challenges,
in Achieving the Objectives
60
71
84
84
Optimize existing distribution
channels / improve direct
capabilities
Improve Dynamic Pricing
Strategies for Bundled and
Unbundled products
Augment and Automate
Revenue Management through
AI/ML capabilities
Create one-stop-shop view, by
integrating retailing,
merchandising and RM 49
56
56
60
64
Difficulty in accessing,
handling and provisioning the
analytical data needed
Too much time required to
launch innovative solutions
Lack of flexibility of new
application or technology
Lack of integration among
various tools
Too much complexity

16. • Today, historical data in revenue management is
less powerful than before. However, the
fundamental principles underlying revenue
management remain valid.
• With passenger volumes down, traffic mix has
shifted more toward leisure, VFR, and shorter
haul business. Identifying key attributes and
leverage these in differentiated product
offerings will give airlines more chances at
meaningful segmentation opportunities.
However, the data challenges will also increase.
• The cloud allows more holistic and integrated
near-term pricing and longer-term
developments to harness improved offer
capabilities and new order capabilities.
Revenue and Yield Management
The intent is to construct
dynamic offers by segment, and
at an individualized level
77%
Monitor Fares and
Inventory
Adjust Fares and
Inventory
67%
Price Products and
Services
63%
Apply Promotional
Levers
50%
Top Areas of Investment– Next 2 Years

17. Distribution

18. Key Functional Objectives Within
the Next Two Years
Distribution
72% of CXOs plan on improving their in-house architecture, to
develop rich content (as NDC gains traction)
Technology Related Challenges,
in Achieving the Objectives
33
42
63
63
72
Improve in-house architecture
to develop rich content
Create frictionless payment
capabilities
Improve direct distribution
channels and collaboration with
3rd party retailers
Shift from PSS to full
retailing platforms
Develop new ancillary offerings 40
48
52
53
65
Issues with real-time system
collaboration, among functions
Difficulty in accessing and
handling the data needed
Too much time required to
launch innovative solutions
Lack of integration of
various tools
Too much complexity

19. 73% 60% 52%
Top Areas of Investment – Next 2 Years
Distribution
The end vision is to realize “Airline as a
marketplace,” to cater to consumers
across the end-to-end journey, on a real-
time basis
Define Distribution
Strategy
Manage Distribution
Relationships
Manage
Products/Services
Across Different
Channels
Cloud willmakea bigdifference
in distributioncosts; the current
costs are not sustainableandthe
bigfocuson NDC willonly favour
newtechnologies.Airlineswill
then personalizeofferings,
especiallyunbundledones. For
example,luggage andseat, to
create that compelling
merchandizingview.
SVP - Europe,
Large Middle East Carrier

20. • In an environment where long-haul travel is under severe pressure (especially business
travel), it is important to tackle depleting margins through technology. A key play is
ancillary revenue, and airlines’ ability to offer more choices to customers, by playing the
role of a retailer.
• As NDC takes flight, airlines will have more control over offer construction and retailing.
• Cloud can overcome current limitations and chart the journey towards ‘Airline as a
marketplace,’ to capture loyalty. The vision of being the ‘Amazon of the sky’ is possible, by
integrating e-commerce solutions with duty free and in-flight inventory, for end-to-end
experience.
• Cloud also has great potential in full content agreements with external partners (e.g.,
GDS). Historically, full content agreements were always a legal challenge, with significant
associated time and costs. Cloud can help relieve these cost pressures.
Distribution

21. Information
Technology

22. 53%
Develop and Manage
IT Service Strategy
Develop and Manage
Business
Relationships
Manage IT Service
Deployment
Information Technology
Reducing costs, launching new tools/services
and improving collaboration with various
functions remain a key priority for Airline CIOs,
CTOs and CDOs
30%
43%
53%
53%
53%
Reduce costs through process
improvements or efficiencies
Improve collaboration with
various enterprise functions
Launch new digital
tools/services
Improve system integration with
different partners (APTCO,
retailers, GDS, etc.)
Cybersecurity
Within
Information
Technology,
CIOs plan to:
67%
63%

23. Three mindset shifts to scale cloud
What does it take to up your cloud game?
Hint: It’s not only about the technology
Think technology to
grow business
Old mindset:
The CIO drives IT
New mindset:
The CIO drives recovery
and future growth
01
Think new ways of
working
Old mindset:
It is working well today
New mindset:
Future agility is non-
negotiable
02
Think success
beyond the change
Old mindset:
Fear around too much risk
New mindset:
Confidence in multi-fold
rewards
03
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