Eastern Airlines: Integrated service providers for transformation

China Eastern Air Ticket Direct commerce in 4 years jumped the country second, has its unique resources and strategic advantages. In the future, its goal is to transform into integrated services integrators.

Air ticket sales are inherently suitable for e-business. It is a very standard product, the user experience is almost no difference, at the same time it is very easy to achieve electronic, virtualization, logistics and distribution is no longer it needs to consider the issue. In fact, the domestic large and small online travel site almost all of it involved.

In the first quarter of 2012, China's online air ticket trade was 31.5 billion yuan, 22.61 billion yuan more than the hotel's online trading, according to Eric's consulting statistics. Among them, Ctrip to 35.2% of the share in the first, Oriental Airlines (600115, shares bar) although only accounted for 6% of the market share, but has been ranked 2nd. Oriental Airlines can bring online air ticket direct business development to this point, has its unique advantages and strategic planning.

Under the wave of electricity merchants

2006, the eastern Airline ticket fully realized electronic, 2008 launched its own business-to-business and the platform of the Business-to-consumer. It may lack the electric quotient gene, but does not lack the development Electricity Quotient Foundation: The brand--each year huge passenger carrying capacity is its brand to spread the natural channel, and development so far, the eastern airline has the airplane 420, the year carrier passenger number can reach 70 million people, in the global airline ranked 5th, , it also has many opportunities to contact customers online, such as in the airport lounge or aircraft, which is it can deliver products and services to passengers, and Ctrip and other sites do not have.

However, the start of the Eastern navigation platform is difficult to sell, sales are not ideal. Until 2010 They reorganized the information Department, optimized the technology framework, and launched a range of products that had significantly increased sales. According to the official information, China Eastern Air sales in 2012 accounted for more than 10% of its total revenue.

In the introduction of Li, deputy general manager of the Eastern Information Department, the Electric Business strategy of China Eastern Airlines is as follows: First, face customer, accurate marketing. Before 2008, China Eastern Airlines air tickets by the agency to distribute sales, although each year to carry tens of millions of passengers, it does not know who is the passenger, the customer data almost no accumulation. But E-commerce has changed this situation, they now set up a huge passenger data database, and realize the company-wide share, on the basis of data analysis, they can recommend personalized products to customers.

Secondly, improve the quality of passenger service. For the convenience of users at any time booking, China Eastern launched the "East Airlines mobile E" mobile phone client products; and after the success of the passenger booking, the Eastern Airlines to provide it with the "Orient with You" Flight information SMS Alert service; For some high-end customers, Eastern Airlines parlour service personnel can view their details on the ipad application, For example, Chinese and English names, loyalty points, religious beliefs, and even catering preferences, then the service staff will be based on this information to provide services.

Third, actively use social media. China Eastern is currently on Weibo to set up the official microblogging group including @ Oriental Airlines, @ Eastern Airlines Ling, through micro-blog monitoring of the passenger birthday, on the flight for his birthday party is the use of social media to enhance the user experience of the classic case.

Integrated Services Integrator for transformation

Liu, chairman of China Eastern Airlines, has repeatedly briefed executives on the future of China Eastern's e-commerce in an internal meeting, and he hopes that Eastern airlines will become a "no plane" airline.

Now the role of the Eastern Airlines is the traditional carrier, most of the revenue from the passenger cost, the structure of a single, risk resistance is very poor, a bit of natural and man-made disasters will have a significant impact on the revenue, such as this year, the biggest loss of East Asia is to fly to a neighboring country in the route

In the future, Liu hopes to transform China Eastern into an integrated service integrator, connecting air carriers, hotels, car rental companies and other service providers, and connecting passengers and corporate customers at the other end, and China Eastern as a resource integrator and service docking center. Thus, although China Eastern still retains the role of carrier, but the integration of the upstream and downstream business of the industrial chain, will make its services more diversified, core competitiveness and the attractiveness of customers will also be promoted.

In order to realize the future self transformation, China Eastern Airlines has put forward two development strategies: first, strengthen the platform of direct contact with customers. China Eastern's official website currently occupies a very important position in its e-commerce sales; to strengthen the "eastern mobile e" APP; call centers are still aiming at globalisation, and in the future they will establish independent call centers in North America and Europe, in addition to mainland China.

Second, the integration of industrial chain products and services. While continuing to upgrade airline booking services, China Eastern will develop additional service offerings, such as providing lounge coupon sales services and food products not previously available on the aircraft. In addition, in early 2010, after the completion of the joint restructuring of China Eastern Airlines and Shanghai Airlines, it has the Shanghai National Travel Company, which is the basis for the package service for the customers. China Eastern hopes to provide users with integrated services in the future by integrating non-aerospace products.

Transformation has always been a long and arduous affair, and it will be the first step for China Eastern to integrate other products and services.