INCREASE REVENUE VS CUTTING COSTS Jim DAVIDSON President & CEO
Farelogix Full Transparency Statement Farelogix is a privately held company that realizes a commercial benefit from developing and implementing airline direct connects and other technology solutions for the travel industry. Farelogix, as a matter of policy, does not purchase media advertising; does not sponsor industry tradeshows, conferences or conventions; and does not provide sponsorship in return for public speaking engagements. Farelogix employees do not accept compensation for such engagements. Farelogix has accepted registration discounts, waivers and travel accommodations to attend and present at certain industry events. Farelogix, at its sole expense, produces and publishes all content contained in its presentations, videos, white papers, opinion editorials, blogs, and speeches and accepts all responsibility for content. Wherever possible, Farelogix attempts to openly and transparently source and validate any reported facts, figures and findings; however, Farelogix reserves the right to, and often does, make opinionated statements related to reported facts, figures and findings. Farelogix receives no outside third party, industry, coalition or customer compensation or sponsorship for the development and distribution of any Farelogix publications and presentations.
You Have Been Warned‌
Four Simple Points: 1. You must become somone’s airline to survive. 2. Commoditization has to be replaced with Differentiation. 3. 60% of our distribution technology is killing us! 4. Personalization is the game changer.
Thank You for Coming! Jim DAVIDSON President & CEO
The Capacity of Raising Revenue Better Than Obligation to Cut Costs Obligation to Cut Costs
Two Ways to Cut Costs:
1
1
2
How to Become Viable and Thriving Option 1: Cut Costs Option 2: Get More Customers!
Get More Revenue!!!
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Become Their Airline!!
Time to Knock Down Barriers
Being A Commodity Is No Fun
Time to Move Away From Commoditization
To A World of Differentiation
Is This Your Brand?
YourGets Competitive Turned Into Advantage… This…
Legacy Model (3rd Party Controlled)
New Model (Customer-Centric)
Anonymous Selling Model: Airline doesn’t know who the traveler is until after the sale is made; airline is prevented from delivering its value proposition and competing for a customer’s business.
Personalized Selling Model: Airline knows who the traveler is and dynamically creates a relevant offer in order to truly compete for the customer.
Airline Distribution Gateway
Airline Host System (Availability)
ATPCo
OAG (Schedule)
(Host System, FF Database, CRM, etc.)
GDS
(Fares)
GDS (Or 3rd party)) party
Travel Agency Travel Agency
Online Travel Agency
Confidential Copyright Farelogix 2012
Online Travel Agency
Personalization Is Key
Unique Customers, Unique Trips Make Options and Choices Essential
THANK YOU Jim DAVIDSON President & CEO