I love a good Olearyism from the head of Ryan Air but they should all be taken with a grain of marketing salt.
He has been a bit quiet lately but a recent article on extra fees for what used to be normal seats took me back to the standing room idea at the back of a Ryan Air plane and how funny that would look. Passengers hanging onto roof straps and maybe balancing on some kind of stool makes for an interesting picture. As is the case it generated a lot of publicity and kept Ryan Air in the media.
What companies need to be mindful of, is getting negative publicity for carrying out fee structure initiatives that Michael O’Leary may get a laugh for, but others haven’t really thought through.
Paying extra for aisle or exit seats doesn’t sit well (note clever use of pun) with many flyers when they have already paid for an inclusive air ticket. It’s interesting that full service carriers are adding fees without a so called enterprise bargain with their clients. Okay charge extra for a specific seat but give me something in return, monetarily or otherwise. It has been noted that aircraft are flying around with empty aisle seats. Almost makes the middle seat worthwhile, doesn’t it.
So it got me to thinking about what I would be prepared to pay extra for, on a long flight?
I have to say a lot of it would be normal inclusions on business class but seeing as I don’t own my own bank I’m relegated to the back.
I’d pay for better food, even if I could chose from an extended online menu (pre boarding) that would forever ban the old chicken or beef cliché. I’d pay for wider seats with more than an extra inch of pitch. If airlines are finding that aisle and exit row fees are dissuading passengers anyway, then why not take out some rows and get a premium payment for all good seats. I’d even consider paying for better entertainment options, how big could you get a screen in economy? 300 people with 3D glasses would be funny looking but the visual experience could be worth paying for?
I’d even pay for better service with staff that were sincere. What about working for tips? I know I have received better service in certain bars (not that kind of bar) because exceptional service equaled exceptional tips. I can’t believe Richard hasn’t thought about that.
So what would you be prepared to pay extra for?
I have 3 copies of Michelle Bowden’s new book on Presentation Skills to give away to the best, even funniest suggestions for airline fees.
Richard Branson is not allowed to comment but he can use any idea we come up with.
Wednesday, February 24, 2010
Monday, February 22, 2010
Ahoy !
I’d just been to see the Queen Victoria in all her splendour and glory to go cruising. Not on her stately decks or within her impressive foyers but on a non slip astro turf covered Sydney Harbour cruise line.
You may say, that’s too bad, The Queen would have been a fabulous cruise with all the trappings of the rich and famous, along with the style that no doubt suits my life. To be honest that thought had occurred to me as we boarded the good ship Captain Cook for a two night sojourn on Sydney Harbour.
After viewing our 8X8 cabin with the ubiquitous flannel bedspread I cast a longing eye back towards the Queen, imagining myself in my James Bond tuxedo throwing casino chips with abandon. The pasta from a can, dinner that night, did nothing to dispel my daydreams.
The next morning all of those doubts and comparisons melted away as we awoke to a sunrise illuminating the Opera House with our Coat Hanger rising majestically behind it. I know, too drippy, but how do you describe icons we see every day and perhaps take for granted and then see them, the way they should be seen?
Mao and Nelson may talk about the journey but why are we making faster planes if not to get to our destination quicker? The cruise was less about the mode of transport and more about opening our eyes to what we have, all to ourselves.
We had been at our destination and had not seen it. There is no harbour like Sydney anywhere in the world. The combination of natural beauty combined with architectural and commercial acumen has forged a binding link that will forever remain in our psyche as a city.
We cruised all day along various tributaries, marveling at the money it takes to live on the banks of this harbour until finally coming to safe anchorage in a northern cove. As we watched the Queen Victoria sail out majestically (what else could I use) on Saturday night to destinations unknown, I could not help but feel sorry for the passengers, because they will not see a more beautiful site on their travels, than Sydney Harbour.
After an avalanche of birthdays and anniversaries on Saturday night, Sunday continued the vista as we cruised through our 45th meal in two days. Yet the loosening of my belt could not distract me from the azure (there I go again) waters off Watsons Bay and the rich array of colours to be had in the lifestyles of the rich and motivated living out their dreams on the edge of beauty.
Do yourself a favour and be a tourist on the greatest harbour in the world. The mode of transport is irrelevant.
You won’t be disappointed.
You may say, that’s too bad, The Queen would have been a fabulous cruise with all the trappings of the rich and famous, along with the style that no doubt suits my life. To be honest that thought had occurred to me as we boarded the good ship Captain Cook for a two night sojourn on Sydney Harbour.
After viewing our 8X8 cabin with the ubiquitous flannel bedspread I cast a longing eye back towards the Queen, imagining myself in my James Bond tuxedo throwing casino chips with abandon. The pasta from a can, dinner that night, did nothing to dispel my daydreams.
The next morning all of those doubts and comparisons melted away as we awoke to a sunrise illuminating the Opera House with our Coat Hanger rising majestically behind it. I know, too drippy, but how do you describe icons we see every day and perhaps take for granted and then see them, the way they should be seen?
Mao and Nelson may talk about the journey but why are we making faster planes if not to get to our destination quicker? The cruise was less about the mode of transport and more about opening our eyes to what we have, all to ourselves.
We had been at our destination and had not seen it. There is no harbour like Sydney anywhere in the world. The combination of natural beauty combined with architectural and commercial acumen has forged a binding link that will forever remain in our psyche as a city.
We cruised all day along various tributaries, marveling at the money it takes to live on the banks of this harbour until finally coming to safe anchorage in a northern cove. As we watched the Queen Victoria sail out majestically (what else could I use) on Saturday night to destinations unknown, I could not help but feel sorry for the passengers, because they will not see a more beautiful site on their travels, than Sydney Harbour.
After an avalanche of birthdays and anniversaries on Saturday night, Sunday continued the vista as we cruised through our 45th meal in two days. Yet the loosening of my belt could not distract me from the azure (there I go again) waters off Watsons Bay and the rich array of colours to be had in the lifestyles of the rich and motivated living out their dreams on the edge of beauty.
Do yourself a favour and be a tourist on the greatest harbour in the world. The mode of transport is irrelevant.
You won’t be disappointed.
Thursday, February 18, 2010
Rockin' Robin.
Tweet Tweet.
I know, I know, get on board and tell the world what you think about everything. When did we all get opinions on everything? I was brought up in the quiet child era, of speak when spoken to and watch out if you spoke out of turn.
Now I have so many avenues to voice my many and varied opinions on everything, from what I ate last night to what I think of the latest government initiative, that I’ve run out of things to say. From late flights to mice in your room, to shoddy service and the ever ubiquitous airport stuff up it seems we are willing to open ourselves to the world and have a whine whenever we feel like it.
Director Kevin Smith was recently off loaded form a Southwest flight for being too fat and didn’t the airline feel his wrath as the tweets flew fast and furious. I guess they fly; it is about birds, right?
Southwestern unfortunately didn’t handle the situation with aplomb and honesty and have paid the price of bad publicity, 140 characters at a time. A bit like, the death of a thousand paper cuts. It doesn’t seem like much at the time but those tweets added up to an avalanche of bird droppings that the airline couldn’t dodge.
Is everyone as powerful and can we all bring, multinationals to their knees with the flick of a thumb? RJ Metrics determined that about 25% of Twitter accounts have no followers and about 40% of accounts have never sent a tweet. They also indicated that about 80% of all Twitter accounts have tweeted fewer than 10 times.
With those kinds of statistics I think the airlines are safe and maybe tweets by people like Kevin Smith are akin to the odd shark attack that is so infrequent but very emotional and frightening that we all stop to look and listen.
I just had a great business meeting and am now sitting at the bar with a beer. Really? Who cares?
I do but I am certainly not vain enough to worry if no one else does.
I could tweet this but if no one listens did I tweet?
I know, I know, get on board and tell the world what you think about everything. When did we all get opinions on everything? I was brought up in the quiet child era, of speak when spoken to and watch out if you spoke out of turn.
Now I have so many avenues to voice my many and varied opinions on everything, from what I ate last night to what I think of the latest government initiative, that I’ve run out of things to say. From late flights to mice in your room, to shoddy service and the ever ubiquitous airport stuff up it seems we are willing to open ourselves to the world and have a whine whenever we feel like it.
Director Kevin Smith was recently off loaded form a Southwest flight for being too fat and didn’t the airline feel his wrath as the tweets flew fast and furious. I guess they fly; it is about birds, right?
Southwestern unfortunately didn’t handle the situation with aplomb and honesty and have paid the price of bad publicity, 140 characters at a time. A bit like, the death of a thousand paper cuts. It doesn’t seem like much at the time but those tweets added up to an avalanche of bird droppings that the airline couldn’t dodge.
Is everyone as powerful and can we all bring, multinationals to their knees with the flick of a thumb? RJ Metrics determined that about 25% of Twitter accounts have no followers and about 40% of accounts have never sent a tweet. They also indicated that about 80% of all Twitter accounts have tweeted fewer than 10 times.
With those kinds of statistics I think the airlines are safe and maybe tweets by people like Kevin Smith are akin to the odd shark attack that is so infrequent but very emotional and frightening that we all stop to look and listen.
I just had a great business meeting and am now sitting at the bar with a beer. Really? Who cares?
I do but I am certainly not vain enough to worry if no one else does.
I could tweet this but if no one listens did I tweet?
Tuesday, February 16, 2010
Abundance.
I never knew that I needed to carry my entire music collection around with me, until Apple set me up with an iPod. I think that’s an interesting surprise and says a lot about our current lifestyle.
Say’s law states that supply creates its own demand.
So when talking about the airline industry we have to do some crystal ball gazing. The expectations of another 10,000 or so aircraft to be put into commission, in the next decade, prompt me to ask questions on whether I might not look at alternatives for getting to my destination. How many people can we cram into an A380? How many planes can be in the air at one time and still land safely? It goes on and on. Will the abundance of planes and seats prophesised for the next 10 years create the demand airlines are hoping for?
There two schools of thought around shooting people through the air in an aluminium tube. One is make bigger planes along the lines of the A380 and the second centres on smaller planes with capacity to continually fly, turn around sectors. Both want as many people in the air as possible.
So what do I want as the average flyer (okay, so hopefully I’m not the average flyer) who takes a few trips a year, along with the corporate flyer who already spend their lives at airports? I’m certainly not looking to line up with 880 people checking in on an A380 configured for a low cost carrier. Aside from my time concerns, how long would it take to collect your bag, I’m not sure my feelings of safety would be allayed, no matter what the brochure said. Some Asian carriers have indicated the A380 could lend itself to the world’s biggest bus but it’s not one I’m buying a ticket on.
The smaller turn around option becomes a problem when the major airports quickly fill up their slots, pushing you out to the ‘black stump’ to catch your flight. Sometime in my lifetime, there will be a second airport in Sydney, but I don’t see any vacant land within 2 hours of my home. So this option works well for the small percentage living around our capital cities but I’m still no better off.
Wired editor and author of The Long Tail and Free, Chris Anderson notes that every abundance creates a new scarcity. I know for instance, that the free coffee at work does not get drunk and that the barrister downstairs knows everyone’s name and order. Interesting.
So what will be the scarcity when it comes to air travel over the next 10 years? Service? Safety? No baggage allowed? Whatever the outcome, there is one scarcity that today’s corporate and leisure traveler need more of, and that’s time.
Neither of the two alternatives takes that scenario into consideration, so my only alternative is to daydream about the future of travel.
When will I be happy?
“Beam me up Scotty.”
That’ll do it.
Say’s law states that supply creates its own demand.
So when talking about the airline industry we have to do some crystal ball gazing. The expectations of another 10,000 or so aircraft to be put into commission, in the next decade, prompt me to ask questions on whether I might not look at alternatives for getting to my destination. How many people can we cram into an A380? How many planes can be in the air at one time and still land safely? It goes on and on. Will the abundance of planes and seats prophesised for the next 10 years create the demand airlines are hoping for?
There two schools of thought around shooting people through the air in an aluminium tube. One is make bigger planes along the lines of the A380 and the second centres on smaller planes with capacity to continually fly, turn around sectors. Both want as many people in the air as possible.
So what do I want as the average flyer (okay, so hopefully I’m not the average flyer) who takes a few trips a year, along with the corporate flyer who already spend their lives at airports? I’m certainly not looking to line up with 880 people checking in on an A380 configured for a low cost carrier. Aside from my time concerns, how long would it take to collect your bag, I’m not sure my feelings of safety would be allayed, no matter what the brochure said. Some Asian carriers have indicated the A380 could lend itself to the world’s biggest bus but it’s not one I’m buying a ticket on.
The smaller turn around option becomes a problem when the major airports quickly fill up their slots, pushing you out to the ‘black stump’ to catch your flight. Sometime in my lifetime, there will be a second airport in Sydney, but I don’t see any vacant land within 2 hours of my home. So this option works well for the small percentage living around our capital cities but I’m still no better off.
Wired editor and author of The Long Tail and Free, Chris Anderson notes that every abundance creates a new scarcity. I know for instance, that the free coffee at work does not get drunk and that the barrister downstairs knows everyone’s name and order. Interesting.
So what will be the scarcity when it comes to air travel over the next 10 years? Service? Safety? No baggage allowed? Whatever the outcome, there is one scarcity that today’s corporate and leisure traveler need more of, and that’s time.
Neither of the two alternatives takes that scenario into consideration, so my only alternative is to daydream about the future of travel.
When will I be happy?
“Beam me up Scotty.”
That’ll do it.
Monday, February 15, 2010
I’m moving to Melbourne or Vancouver.
Or maybe I’ll just stay in Sydney as number seven on the list of 140 global most liveable cities in the world can’t be all bad.
The Economist magazine has released the below list, with the most liveable cities being –
1. Vancouver
2. Vienna
3. Melbourne
4. Toronto
5. Calgary
6. Helsinki
7. Sydney
8. Perth/Adelaide
9. Auckland
So why isn’t the above list also the most visited cities in the world?
I guess we like to live in those kinds of cities but when we travel we want some extra edge or excitement, hence places like Paris, London, Bangkok, Shanghai and New York end up on the most visited list. It says a lot about our expectations of travel destinations that we don’t necessarily need the best air quality, the safest or most respectable or even the cleanest of cities when it comes to travel choices.
People would like to live in the top 10 and raise their children but when it comes to going somewhere for holidays, travelers look for other qualities in their destinations. Among them being electricity, edge, pulse, excitement and the knowing that the experience will be so different from where they live.
I would never move out of Sydney but my favourite city to visit is New York because of the reasons just stated. Sydney has degrees of all the above but places like New York have raised the levels so high that it becomes a totally different city experience.
Mind you I would be moving from my city if it was at the bottom of the list. Sorry Harare, Dhaka and Algiers.
The Economist magazine has released the below list, with the most liveable cities being –
1. Vancouver
2. Vienna
3. Melbourne
4. Toronto
5. Calgary
6. Helsinki
7. Sydney
8. Perth/Adelaide
9. Auckland
So why isn’t the above list also the most visited cities in the world?
I guess we like to live in those kinds of cities but when we travel we want some extra edge or excitement, hence places like Paris, London, Bangkok, Shanghai and New York end up on the most visited list. It says a lot about our expectations of travel destinations that we don’t necessarily need the best air quality, the safest or most respectable or even the cleanest of cities when it comes to travel choices.
People would like to live in the top 10 and raise their children but when it comes to going somewhere for holidays, travelers look for other qualities in their destinations. Among them being electricity, edge, pulse, excitement and the knowing that the experience will be so different from where they live.
I would never move out of Sydney but my favourite city to visit is New York because of the reasons just stated. Sydney has degrees of all the above but places like New York have raised the levels so high that it becomes a totally different city experience.
Mind you I would be moving from my city if it was at the bottom of the list. Sorry Harare, Dhaka and Algiers.
Thursday, February 11, 2010
Show me the money!
Goldman Sachs recently set aside enough bonus money to pay 36,000 of their staff $500,000 each.
Nearly as much as I’ve earned in, insert thoughtful pause, in a long long time. I wonder what those people know that I don’t. I wonder what they tell their clients that is more important, than not to drink the water in Bali and to be careful of the pick pockets in Mexico City. Surely looking after clients around the world on a 24/7 basis, being able to evacuate someone at the drop of a hat, coordinating airline schedules to have extended families arrive at the exact spot, at an exact time from seven different destinations qualifies me for some of that money.
People are prepared to pay obscene money to someone, to make them more money. Yet not much, to the local travel agent, to make the only commodity they can’t get more of, time, the most pleasurable of their lives. Okay it’s not brain surgery, but what is, other than brain surgery?
Why do we stay?
In his latest book ‘Linchpin’, Seth Godin talks about Richard Florida and the twenty thousand creative professionals (doesn’t that describe travel) he polled and gave a range of factors that motivated them to do their best work. The top ten ranked in order were -
1. Challenge and responsibility.
2. Flexibility.
3. Stable work environment.
4. Money.
5. Professional development.
6. Peer recognition.
7. Stimulating colleagues and bosses.
8. Exciting job content.
9. Organisational culture.
10. Location and community.
Money is the only extrinsic motivator on that list. For travel, money is likely to be a couple of places lower. All the rest are areas we value and do for ourselves and our clients.
In a world driven by commerce, the creative and stimulating side of business is generally not recompensed accordingly. Yet I believe they contribute the most to the well being of people.
Travel people deserve more money for what they do but they won’t sacrifice that, if their creativity and freedom to service their clients is compromised.
Goldman Sachs can have the money. We just want them to spend some of it with us.
Nearly as much as I’ve earned in, insert thoughtful pause, in a long long time. I wonder what those people know that I don’t. I wonder what they tell their clients that is more important, than not to drink the water in Bali and to be careful of the pick pockets in Mexico City. Surely looking after clients around the world on a 24/7 basis, being able to evacuate someone at the drop of a hat, coordinating airline schedules to have extended families arrive at the exact spot, at an exact time from seven different destinations qualifies me for some of that money.
People are prepared to pay obscene money to someone, to make them more money. Yet not much, to the local travel agent, to make the only commodity they can’t get more of, time, the most pleasurable of their lives. Okay it’s not brain surgery, but what is, other than brain surgery?
Why do we stay?
In his latest book ‘Linchpin’, Seth Godin talks about Richard Florida and the twenty thousand creative professionals (doesn’t that describe travel) he polled and gave a range of factors that motivated them to do their best work. The top ten ranked in order were -
1. Challenge and responsibility.
2. Flexibility.
3. Stable work environment.
4. Money.
5. Professional development.
6. Peer recognition.
7. Stimulating colleagues and bosses.
8. Exciting job content.
9. Organisational culture.
10. Location and community.
Money is the only extrinsic motivator on that list. For travel, money is likely to be a couple of places lower. All the rest are areas we value and do for ourselves and our clients.
In a world driven by commerce, the creative and stimulating side of business is generally not recompensed accordingly. Yet I believe they contribute the most to the well being of people.
Travel people deserve more money for what they do but they won’t sacrifice that, if their creativity and freedom to service their clients is compromised.
Goldman Sachs can have the money. We just want them to spend some of it with us.
Wednesday, February 10, 2010
Imagine.
As a child I was enamoured by travelogues, something that has stayed with me to this day. I could so do “Getaway”.
The idea of far off lands and the mystique of exotic destinations fueled my imagination. That imagination helped me travel as a child and fostered the interest that eventually led me to the travel industry.
Yet somewhere along the way I lost the enchantment I had, with the act of travel and the destinations of my imagination. How? If I think hard enough, I can pinpoint a few events and time periods that helped fade my visions.
The first jumbos of the 70s were a sight to behold. Nearly 500 people careening across the skies, heading to destinations, that hadn’t seen that many people, in a year. The world sure filled up with travellers and then Freddy Laker decided to make it available to everyone. The 80s saw the largest global population growth of any decade in history and hotels became the mushrooms of the travel forest. To cater to the new herds of travellers, they sprang up everywhere I wanted to go. What was left to discover?
This was when I found out, I was a travel snob. I only wanted the exotic and mysterious destinations to myself and maybe a select gathering of friends. I didn’t want to share what I had seen in my imagination with anyone. I felt it had all been taken away from me and commoditised and sold to the lowest denominator.
Where is this rambling heading? This rant is to assuage my feelings on the loss of innocence associated with my imaginary travels. Like most travellers today, my concerns surround seat allocation, airport timings and logistics, processes and technologies to enable results and destinational success. It’s hard to slow down when aircraft and technology only want to go faster. How do I throw away my iPhone or give back my lounge access?
What to do?
Slowdown and appreciate where all the above technology can take me? Re engage my imagination so that travel becomes more meaningful and less a commodity? Think about, when as a child, even space travel seemed possible.
Somehow Richard Branson got there first.
Is there is nothing left to imagine!
The idea of far off lands and the mystique of exotic destinations fueled my imagination. That imagination helped me travel as a child and fostered the interest that eventually led me to the travel industry.
Yet somewhere along the way I lost the enchantment I had, with the act of travel and the destinations of my imagination. How? If I think hard enough, I can pinpoint a few events and time periods that helped fade my visions.
The first jumbos of the 70s were a sight to behold. Nearly 500 people careening across the skies, heading to destinations, that hadn’t seen that many people, in a year. The world sure filled up with travellers and then Freddy Laker decided to make it available to everyone. The 80s saw the largest global population growth of any decade in history and hotels became the mushrooms of the travel forest. To cater to the new herds of travellers, they sprang up everywhere I wanted to go. What was left to discover?
This was when I found out, I was a travel snob. I only wanted the exotic and mysterious destinations to myself and maybe a select gathering of friends. I didn’t want to share what I had seen in my imagination with anyone. I felt it had all been taken away from me and commoditised and sold to the lowest denominator.
Where is this rambling heading? This rant is to assuage my feelings on the loss of innocence associated with my imaginary travels. Like most travellers today, my concerns surround seat allocation, airport timings and logistics, processes and technologies to enable results and destinational success. It’s hard to slow down when aircraft and technology only want to go faster. How do I throw away my iPhone or give back my lounge access?
What to do?
Slowdown and appreciate where all the above technology can take me? Re engage my imagination so that travel becomes more meaningful and less a commodity? Think about, when as a child, even space travel seemed possible.
Somehow Richard Branson got there first.
Is there is nothing left to imagine!
Free continued.
Following on from the Lindt/Hershey experiment, Chris Anderson in his insightful book 'Free', gives an interesting example of the human psyche on free.
A gym in Denmark offers membership for free as long as you show up twice a week. Miss a week and you pay the full price for the month. Feeling great about yourself and the gym is the underlying psychology behind this marketing initiative. Eventually you will miss a week but you’ll put the blame on yourself and not the gym for having to pay the fees – interesting.
As humans we are afraid of loss of any kind so the real allure of free is that there is no possibility of loss. So no downside or risk of having made a bad decision – interesting.
A gym in Denmark offers membership for free as long as you show up twice a week. Miss a week and you pay the full price for the month. Feeling great about yourself and the gym is the underlying psychology behind this marketing initiative. Eventually you will miss a week but you’ll put the blame on yourself and not the gym for having to pay the fees – interesting.
As humans we are afraid of loss of any kind so the real allure of free is that there is no possibility of loss. So no downside or risk of having made a bad decision – interesting.
Tuesday, February 9, 2010
The Onion.
How many price layers has Michael O’Leary from Ryan Air discovered in his peeling of the airline onion?
You can buy a ticket on Ryan Air for one pound. Can you board the plane with just that ticket? Wouldn’t that be amazing?
We all know that extra fees are required before the plane will take off, with us onboard. The trick is figuring out the lowest number of onion skins we need to pay , to actually get to our destination. The fewer fees paid, the lower our expectations regarding service, food, onboard environment and even safety become.
The question remains, what will people really put up with at the lower end of the airline market?
I thoroughly enjoy Mr O’Leary ‘s thinking and his thoughts on subjects like bathroom convenience certainly make for emotive responses. He wanted people to realise, that if he could convince you to use the bathroom at the airport before that short hop to Majorca, then he could perhaps take out two toilets and replace them with six extra paying seats. It was never about paying a pound to pee but that sure made for hilarious feedback on his site.
Ryan Air wants the air ticket to be free, because there are a whole lot of emotions attached to that thinking. In the minds of the consumer free removes risk and buyer’s remorse, paving the way for extra sales. Dan Ariely, behavioural economist, calls this the “certainty effect”.
An experiment performed by Ariely with chocolate proved the difficulty in people saying no to free. People were offered a choice between a 14c Lindt Truffle and a 1c Hershey Kiss. People chose the truffle at a ratio of 3 to 1. When the price of each was lowered by 1c, the free Hershey Kiss was chosen 75% of the time.
Pity flying isn’t as easy or safe as eating a chocolate.
I have certainly reached an age of not compromising, so I’m not a candidate for the serious low cost carrier anymore. My nieces and nephews on the other hand have a totally different view and they remain well and truly in the sights of Michael O’Leary. As the next generation grows up with a low cost expectation, LCCs will prosper and propagate. Tiger Air and its ilk in Australia, have created their own demand and support and they are looking forward to the next generation of flyers who won't be swayed by loyalty programs or even safety records.
I look forward to the next O’Learyism on the airline onion.
You can buy a ticket on Ryan Air for one pound. Can you board the plane with just that ticket? Wouldn’t that be amazing?
We all know that extra fees are required before the plane will take off, with us onboard. The trick is figuring out the lowest number of onion skins we need to pay , to actually get to our destination. The fewer fees paid, the lower our expectations regarding service, food, onboard environment and even safety become.
The question remains, what will people really put up with at the lower end of the airline market?
I thoroughly enjoy Mr O’Leary ‘s thinking and his thoughts on subjects like bathroom convenience certainly make for emotive responses. He wanted people to realise, that if he could convince you to use the bathroom at the airport before that short hop to Majorca, then he could perhaps take out two toilets and replace them with six extra paying seats. It was never about paying a pound to pee but that sure made for hilarious feedback on his site.
Ryan Air wants the air ticket to be free, because there are a whole lot of emotions attached to that thinking. In the minds of the consumer free removes risk and buyer’s remorse, paving the way for extra sales. Dan Ariely, behavioural economist, calls this the “certainty effect”.
An experiment performed by Ariely with chocolate proved the difficulty in people saying no to free. People were offered a choice between a 14c Lindt Truffle and a 1c Hershey Kiss. People chose the truffle at a ratio of 3 to 1. When the price of each was lowered by 1c, the free Hershey Kiss was chosen 75% of the time.
Pity flying isn’t as easy or safe as eating a chocolate.
I have certainly reached an age of not compromising, so I’m not a candidate for the serious low cost carrier anymore. My nieces and nephews on the other hand have a totally different view and they remain well and truly in the sights of Michael O’Leary. As the next generation grows up with a low cost expectation, LCCs will prosper and propagate. Tiger Air and its ilk in Australia, have created their own demand and support and they are looking forward to the next generation of flyers who won't be swayed by loyalty programs or even safety records.
I look forward to the next O’Learyism on the airline onion.
Monday, February 8, 2010
I have authority issues.
Well actually I have leadership issues and it comes from a deep concern. I don’t know where the future travel industry leaders will come from. Where will the next Ursula King come from? Where will the next Tom Goldman come from? Where will the next Janette Davie come from?
All hard questions, as I see people leaving the industry and taking their accumulated knowledge and leadership qualities with them. Travel has always been a long term career for many people and their acquired knowledge and skills come from many years of travel and many years of relationships. Our problem is that no one is passing on that knowledge. Google cannot replace any of the above people and the peers they worked with.
As an industry, travel can be a bit self centred (okay a lot self centred) and fragmented when it comes to giving back. We sometimes get too concerned about looks and how we can get to that next free of charge flight. The old I’m alright, you’re alright attitude is alive and prevalent in the industry, but there are people willing to give back and look out for the future.
Mentorship in some sections of the industry like hotels and airlines has raised the level of potential leaders coming through but the broader industry has no avenue to progress this thought pattern.
So praise should go to Penny Spencer and her committee for setting up T.I.M.E.(travel industry mentor experience) a mentoring program aimed at the industry at large. They are looking to put past and current leaders, along with their knowledge, together with up and coming mentees to ensure the knowledge will continue to grow and evolve within the changing landscape of travel today.
Is this an easy concept to sell and explain to the travel industry? Obviously not, as the struggles to get this program off the ground, attest to. So praise should also be heaped upon companies like Sabre Pacific, Creative Holidays, Traveller’s Assistance and Royal Caribbean Cruises, who have all dug deep to financially support the T.I.M.E. project. There are no agendas attached, other than it being the right thing to do for the future of the industry.
Think about the people that have helped you get where you are today and how you can help the future.
If you are interested in the future of the travel industry, then contact Penny Spencer at Spencer Travel.
02 9281 5477 or www.spencertravel.com.au.
In her hands the future looks good.
I may even get over my authority issues?
All hard questions, as I see people leaving the industry and taking their accumulated knowledge and leadership qualities with them. Travel has always been a long term career for many people and their acquired knowledge and skills come from many years of travel and many years of relationships. Our problem is that no one is passing on that knowledge. Google cannot replace any of the above people and the peers they worked with.
As an industry, travel can be a bit self centred (okay a lot self centred) and fragmented when it comes to giving back. We sometimes get too concerned about looks and how we can get to that next free of charge flight. The old I’m alright, you’re alright attitude is alive and prevalent in the industry, but there are people willing to give back and look out for the future.
Mentorship in some sections of the industry like hotels and airlines has raised the level of potential leaders coming through but the broader industry has no avenue to progress this thought pattern.
So praise should go to Penny Spencer and her committee for setting up T.I.M.E.(travel industry mentor experience) a mentoring program aimed at the industry at large. They are looking to put past and current leaders, along with their knowledge, together with up and coming mentees to ensure the knowledge will continue to grow and evolve within the changing landscape of travel today.
Is this an easy concept to sell and explain to the travel industry? Obviously not, as the struggles to get this program off the ground, attest to. So praise should also be heaped upon companies like Sabre Pacific, Creative Holidays, Traveller’s Assistance and Royal Caribbean Cruises, who have all dug deep to financially support the T.I.M.E. project. There are no agendas attached, other than it being the right thing to do for the future of the industry.
Think about the people that have helped you get where you are today and how you can help the future.
If you are interested in the future of the travel industry, then contact Penny Spencer at Spencer Travel.
02 9281 5477 or www.spencertravel.com.au.
In her hands the future looks good.
I may even get over my authority issues?
Friday, February 5, 2010
Should I go to the gym ?
There has been a lot of talk and discussion recently among airlines and airline passengers about the obesity factor and what it could mean to Mr and Mrs Traveller.
Let’s be honest, we have all had the unfortunate circumstance of being squashed into an airline seat next to someone that hasn’t spent much time in the gym and could lose a few kilos. What to do about it ?
Charge for another seat ? Charge per kilo over the so called life insurance scale of height vs weight ratios ? Get rid of arm rests ? Charge the check in staff with policing the size limit and not let people on the plane ? ( You might note there is a glitch with the last one if you read my previous article – yes no check in staff ! ).
What about bigger seats ? Everyone has seen the size of the new A380and its vast interiors, so my question goes to the airlines, why not increase seat size ? No airline seat is comfortable over a length of time, certainly not in economy but today’s technology surely allows for innovation in seat size and comfort, to still make it profitable for airlines ? Or does that look at the problem from the wrong angle ?
Anyway, I’m off to the gym.
Check out some interesting seat designs by Design Q UK.
http://www.designq.co.uk/aerospace
Let’s be honest, we have all had the unfortunate circumstance of being squashed into an airline seat next to someone that hasn’t spent much time in the gym and could lose a few kilos. What to do about it ?
Charge for another seat ? Charge per kilo over the so called life insurance scale of height vs weight ratios ? Get rid of arm rests ? Charge the check in staff with policing the size limit and not let people on the plane ? ( You might note there is a glitch with the last one if you read my previous article – yes no check in staff ! ).
What about bigger seats ? Everyone has seen the size of the new A380and its vast interiors, so my question goes to the airlines, why not increase seat size ? No airline seat is comfortable over a length of time, certainly not in economy but today’s technology surely allows for innovation in seat size and comfort, to still make it profitable for airlines ? Or does that look at the problem from the wrong angle ?
Anyway, I’m off to the gym.
Check out some interesting seat designs by Design Q UK.
http://www.designq.co.uk/aerospace
Thursday, February 4, 2010
Who will I talk to now ?
“ Jetstar jettisons check-in desks for self-service kiosks. “
I always make a point of chatting to the check in staff, the security staff and anyone else at the airport that has any power to make my life easier and more comfortable while I’m travelling.
I guess that will change in the future or are we to believe that the above is just an isolated decision for Jetstar only ?
I already have technology concerns about my lack of real relationships with many people I deal with daily. Thankfully my parents have not adopted any technology, ( mobile phones aside, they talk but can’t sms ) I still talk with them.
Several years ago a study concluded that check in kiosks could replace 3.5 people. No it’s not a science fiction movie and no doubt holograms and large screen replacements are on their way.
It’s hard to imagine calling a full technology relationship from searching, to booking, to check in, to sms boarding passes and then getting on a plane without having to talk or relate to someone, as a full service.
One of the claims of technology was to free us from the mundane processes to have more time to relate to each other. Feels like, we are having that relationship with technology rather than people.
So who will I talk to now ?
I always make a point of chatting to the check in staff, the security staff and anyone else at the airport that has any power to make my life easier and more comfortable while I’m travelling.
I guess that will change in the future or are we to believe that the above is just an isolated decision for Jetstar only ?
I already have technology concerns about my lack of real relationships with many people I deal with daily. Thankfully my parents have not adopted any technology, ( mobile phones aside, they talk but can’t sms ) I still talk with them.
Several years ago a study concluded that check in kiosks could replace 3.5 people. No it’s not a science fiction movie and no doubt holograms and large screen replacements are on their way.
It’s hard to imagine calling a full technology relationship from searching, to booking, to check in, to sms boarding passes and then getting on a plane without having to talk or relate to someone, as a full service.
One of the claims of technology was to free us from the mundane processes to have more time to relate to each other. Feels like, we are having that relationship with technology rather than people.
So who will I talk to now ?
Wednesday, February 3, 2010
Who else can sell travel ?
The recent announcement that Aldi Travel UK is reorganising its online site, got me thinking about how many other players we can handle in Australia, selling travel and travel related products ?
We already have approximately 4000 registered travel agents, a number that has not been greatly affected by the economic turmoil and who protect their turf vehemently. Add to that, the number of online players such as Expedia, Webjet, Wotif, and Travel.com along with airlines such as Qantas and Virgin Blue, and we are looking at a very crowded selling space. 47% of all online bookings already go to airlines direct so there doesn’t seem to be much more room to move, or does there ?
So what to make of the Aldi announcement and who else is a likely player on this crowded field ? Woolworths have certainly made no secret of their intent to keep their customers loyalty by accessing the Qantas frequent flyer program via their Woolworths card. So why not add travel in there somewhere ?
The aborted attempt by the Post Office to sell Jetstar fares a few years ago surely got some of the big retailers thinking about what they offer their customers. So could Woolies and Coles and Aldi for that matter break into the travel agent space ?
Within weeks of the Aldi UK site launch, it was in the top ten budget travel searches and taking away valuable business from the other players in that field. It sounds easy and the consolidation and alliances within the Australian travel industry certainly points to more competition for the current players.
Who is to say that someone like Woolworths won’t tie up with one of the established online players to continue to cross sell and control the loyalty of their customer by offering them another benefit to walking into their supermarket.
A crowded space looking to become even more crowded ?
We already have approximately 4000 registered travel agents, a number that has not been greatly affected by the economic turmoil and who protect their turf vehemently. Add to that, the number of online players such as Expedia, Webjet, Wotif, and Travel.com along with airlines such as Qantas and Virgin Blue, and we are looking at a very crowded selling space. 47% of all online bookings already go to airlines direct so there doesn’t seem to be much more room to move, or does there ?
So what to make of the Aldi announcement and who else is a likely player on this crowded field ? Woolworths have certainly made no secret of their intent to keep their customers loyalty by accessing the Qantas frequent flyer program via their Woolworths card. So why not add travel in there somewhere ?
The aborted attempt by the Post Office to sell Jetstar fares a few years ago surely got some of the big retailers thinking about what they offer their customers. So could Woolies and Coles and Aldi for that matter break into the travel agent space ?
Within weeks of the Aldi UK site launch, it was in the top ten budget travel searches and taking away valuable business from the other players in that field. It sounds easy and the consolidation and alliances within the Australian travel industry certainly points to more competition for the current players.
Who is to say that someone like Woolworths won’t tie up with one of the established online players to continue to cross sell and control the loyalty of their customer by offering them another benefit to walking into their supermarket.
A crowded space looking to become even more crowded ?
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