APEX Experience: Higher Hospitality

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HIGHER HOSPITALITY READY-FOR-TAKEOFF TRENDS FROM EXPERTS IN CONSUMER BEHAVIOR, SKINCARE, NUTRITION AND SUSTAINABILITY


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Getting Personal

With a wealth of information, online resources and social media at their constant disposal, today’s airline passengers are global citizens and sophisticated decision makers. The modern airline traveler seeks unique and authentic experiences over traditionally iconic brands or garden-variety products, and wants to be healthy as well as environmentally responsible, all while personalizing every last detail of their journey. This breed of passenger may maintain a vegan, gluten-free or other special diet. She’s more aware of the physiological requirements for well-being while on the road, and apt to select buy-on-board products accordingly. She may use only organic skincare, consume only sustainably farmed produce, or at least, aspire to such a lifestyle. What influences this passenger’s decisions at booking, pre-travel and at the airport? What sways her to make a purchase on board? And which factors make her seatmate a completely different consumer – with his own set of behavioral drivers to decipher? In this edition of Higher Hospitality, experts share their insights on how to track these trends and succeed in winning the loyalty of our increasingly idiosyncratic customers.

There’s a notable shift in passenger preferences for special meals, brands, diets and menus. Increasingly, passengers are not only considering the taste and quality of their meal, but also its value, environmental impact and nutritional benefits. Passengers want healthier, fresher options, and airlines and caterers are getting the message. Catering to passenger preferences is key to customer satisfaction. Airlines and caterers take great pride in going above and beyond to ensure that passengers have an in-flight dining experience that mirrors their expectations on the ground. Bringing familiar brands, natural and whole food products on board that customers are familiar with, as well as crafting exclusive in-flight menus and merchandise, are some of the ways airlines are taking an innovative approach to airline catering. Delve into the upcoming trends that will have a major impact on consumers’ taste buds, wellness and the environment, in this edition of Higher Hospitality. Best Regards,

Best Regards, Paul Platamone IFSA President

Maryann Simson APEX Media Director


( CONSUMER BEHAVIOR )

Purchase Drivers Michael R. Solomon, PhD, professor of Marketing at Saint Joseph’s University, decodes consumer buying decisions, for the air travel market.

How can airlines incentivize passengers to spend more? Airlines can ramp up passenger engagement by applying the principles of gamification. Passengers could compete against other passengers to win prizes if they buy certain types of goods. Does the timing of a retail offer affect conversion? Huge. Our intent to purchase erodes steadily upon receipt

of the initial offer. Strike while the iron is hot and build in incentives to buy at the time the offer is made. What is the link between mood or sensory perception and spending or conversion? Again, huge. We spend more when we’re in a good mood (the raison d’etre of the business lunch). Airlines can stimulate passengers via sensory marketing, like the use of scents in cabins. Also, colors have a significant impact on how we process information. Primary colors like red stimulate appetite while pastels like light blue tend to lower arousal. What is the link between personalization and sales conversion? Consumers love to connect with companies and personalization enhances this feeling of connectivity. A personalized message may create a sense of obligation because it amplifies the bond a consumer has with the company. It’s harder to ignore a “friend” than an impersonal company. Does richer content surrounding an offer result in increased conversion? We know content marketing works. Consumers use ad IN-FLIGHT TRENDS

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Upping the Gamification

GUESTLOGIX Ancillary revenue-driven mobile app

With Guestlogix’s new mobile app, passengers will be able to jump the line, upgrade their seat, preorder a drink or plan an activity for their destination. For airlines, the app offers opportunities to enhance selling, using elements of gamification, such as rewards and promotions, and marketing, based on analytics of passenger preferences, habits and behaviors.

PHOTOS: ECR RETAIL SYSTEMS, GUESTLOGIX, GATERETAIL

What is a common myth about consumer behavior? That consumers are rational decision makers. We’re influenced by factors beyond conscious awareness, like the temperature of a store or the way offers are framed. We’re more likely to snap up a “limited offer” than buy the same product on regular offer, for example. What is the biggest trend in consumer behavior right now? The quest for personalization and authenticity. Consumers want customized experiences and they want to know about the genealogy of what they’re buying. For example, airlines can serve artisanal meals that reflect dishes unique to their destinations prepared by local chefs.


( CONSUMER BEHAVIOR )

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Timely Offers

ECR RETAIL SYSTEMS ECR Go2 offers multiple ways to pay

Solomon says the desire to buy decreases gradually after the initial offer. With this in mind, airlines shouldn’t keep passengers waiting to pay, but instead have the right point-ofpurchase (POS) systems at the ready. ECR Retail Systems’ web-enabled ECR Go2 device combines a contactless payment card reader, with chipand-pin or swipe-and-sign payments, replacing the need for cabin crew to carry multiple machines.

TREND

Selling an Experience Gateretail’s MiniBarBox (MBB) is a multifaceted cocktail experience: Passengers mix their own mojitos and margaritas, for example, with color-changing botanicals and pair them with sweets such as crystalized ginger candy or a Cuban fruit mix. There’s also a wine tasting collection that pairs wines with chocolates and fruity truffles. In 2017, gateretail ran a six-week trial of MBB with Norwegian Air, offering passengers the choice between five wines or a gin and tonic (G&T). Norwegian

GATERETAIL MiniBarBox pairs cocktails with sweets

saw an eight percent increase in alcohol sales on trial flights, selling a total 53 units of wine and G&T on its top-selling flight. Its most profitable route, Oslo–Las Palmas, recorded an average of 15 wines and eight G&T kits sold per flight – 30 percent more than forecasted. IN-FLIGHT TRENDS

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“Remember, you’re selling merchandise, but the customer is buying an experience.” blockers, but many are happy to engage with companies so long as they feel they are receiving something of value. Marketers that educate and stimulate rather than just inform have a huge advantage. How can a company encourage people to consider higher-end brands or luxury holidays? We don’t buy because of who we are – we buy because of who we want to be. Aspirational marketing is more effective when it’s in the realm of the achievable. Show consumers what they can have that’s reasonably affordable but still above and beyond what they would normally consider. Also, bundle value together in the form of curated trips. Remember you’re selling merchandise, but the customer is buying an experience. Can you think of an airline that has done something recently that you applaud? I’m impressed by Air New Zealand’s experimentation with augmented reality – giving flight attendants devices that allow them to call up extra info on passengers like their destination or even how many drinks they’ve had. This kind of personalization is the future of customer service.


Connecting Experts. Creating Experiences.


World Travel Catering And Onboard Services Expo Hall A1, Booth 1E20 10 – 12 April Hamburg, Germany wtce2018.lsg-group.com

Working together to provide powerful solutions Stand out in the market and give your end-consumers a memorable experience with the LSG Group’s integrated solutions. We bring valuable expertize in catering, packaged products, onboard retail and equipment together to smoothly and efficiently create powerful concepts for our customers in the airline, train and convenience retail markets. With our extensive network, you can also enjoy a smooth global rollout.


( SKINCARE )

Good Natured Dr. Mariano Spiezia, co-founder and formulator of Inlight Beauty, describes the benefits of using natural skincare when flying.

Which natural scents lend well to relaxation? Lavender is the most popular, but lemon balm and chamomile also have a calming effect. Orange oil or spearmint make great traveling companions, helping you to feel refreshed. My favourite is rosemary oil,

TREND

Maintaining Moisture British Airways’ Club World amenity kit, developed by Matrix APA and The White Company (TWC), includes an oversized dual-sided eye mask in a contour shape, made of a super-soft jersey material, aimed at improving passengers’ rest and sleep on board. The kit also includes three products from TWC’s Restore and Relax Spa

MATRIX APA Amenity kit collaboration with The White Company

Collection: a moisturizer, lip balm and relaxing lavender, sage and peppermint pulse point roller. MATRIX APA Hydra Active moisturizing pajamas with aloe vera and sea kelp

ALOE VERA Moisturizes and soothes skin without a greasy feel SEA KELP Acts as a firming and healing agent for the skin

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Hydra Active’s moisturizing pajamas, originally launched exclusively for Emirates, are made of a technical fabric that incorporates microcapsule technology to enhance passenger well-being. Infused with aloe vera and sea kelp, the fabric moisturizes and conditions the skin. Its antibacterial and therapeutic properties also combat against low humidity in the airplane cabin, which can impact travelers’ sleep, creating discomfort and often leading to jet lag.

PHOTOS: VECTEEZY, BRITISH AIRWAYS, MATRIX APA, WESSCO, BUZZ PRODUCTS

What criteria does a beauty product have to meet to be classified as “natural”? It should contain only ingredients of natural origin – no artificial or synthetic chemicals. Some products contain only a tiny amount of natural ingredients and are sold as natural. This word has long been abused, and there’s no guarantee without certification, so consumers should look for products that are certified organic. Which skincare ingredients are popular right now? Vegetable oils and plant extracts. Some are common, such as olive oil, sesame and jojoba, while others, like blackberry seed oil, prickly pear oil and chia seed oil, are more exotic. Both interact with the skin’s sebum, feeding it essential youth-enhancing nutrients and natural compounds that stimulate cell renewal.


( SKINCARE )

TREND

which not only lowers stress, but increases circulation and improves cognitive function.

Calming Scents Wessco International teamed up with luxury bath and body products company Cowshed to furnish United Airlines’ premium cabin amenity kits with a chamomile refreshing towelette. Chamomile helps to relieve stress and has a soothing, healing effect on skin. Lavender Gentle Cleanser, from Cowshed’s holistic range of skincare, which is renowned for using natural

WESSCO Cowshed products with chamomile and lavender essential oils

botanicals from sustainable resources, is available in United’s onboard lavatories. Made with the highest quality lavender essential oil, it possesses antiseptic qualities while being naturally restorative and balancing.

TREND

Refreshing Fragrances

Recognizing that wellness is a key trend and that traditional apothecaries are an original source of healing remedies, Buzz Products partnered with C.O. Bigelow, the oldest apothecary in the United States, to make American Airlines’ business-class amenity kits. The C.O. Bigelow Lime and Coriander Body Lotion, featured in the kits, softens and hydrates skin, helping

BUZZ PRODUCTS C.O. Bigelow body lotion with lime and coriander scents

passengers feel refreshed even on long-haul flights. More importantly, the product comes from an established brand that its fans can trust.

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Is there a general movement toward natural or organic products and holistic experiences? I recently read that the organic beauty market is set to be worth $14 billion by 2018, which shows a positive increase in consumer awareness regarding the provenance of certain ingredients. Which natural ingredients are best for travel-fatigued skin and eyes? Air conditioning and a lack of water stress the skin while flying. Drinking lots of water as well as using a moisturizing oil or balm rich in essential fatty acids will rehydrate the skin and restore its natural glow. Skincare products with water as the main ingredient will evaporate too quickly, so use oil-based products. Which beauty rituals should passengers perform in flight? Moisturize the skin by gently massaging natural oil-based products in a circular motion, starting with the forehead, temples and face, and ending with the décolleté. Finish this little ritual by tapping the cheekbones and chin with your middle finger to stimulate circulation and lymphatic drainage while the product gets absorbed. Repeat this every three hours between refreshing your face with some alcohol-free flower water.


( NUTRITION )

Nutrition Intuition Ariane van Mancius, owner of Now New Next, gives us a taste of what the next generation of passengers will be gobbling up: plant-based foods packed with nutritious ingredients.

What is your favorite superfood to eat in flight? It’s avocado! I love how it’s moist and flavorsome while still being healthy with its high level of good fats, but I hardly see it on board. Decoloration is the main problem, but it’s also a fantastic ingredient for sauces, so should be used more in that way. It’s really revolutionized healthy eating on the ground, but this hasn’t translated to the air yet. Which nutrients can help counteract the negative effects of air travel? A shot of vitamin C in a natural form – so from fresh fruits

and salads. White sugar and carbohydrates are the worst because they build up gas in your intestines. Do you think airlines are offering enough healthy meal options on board? I think they’re paying more and more attention. Take Delta Air Lines, for example, which has partnered with Luvo to provide food with the right balance of protein, whole grains and vegetables on flights in North America. In the Upper Class cabin on Virgin Atlantic, I was recently offered a Thai beef salad, so I’m absolutely seeing a move from hot to cold foods. Ten years ago, you couldn’t imagine airlines serving a cold appetizer – it always needed to be hot! Introducing more cold foods like salads could be a perfect way to improve the healthiness of food on board. The problem is people lose their usual diet restrictions when they’re flying because it throws them off their routine. Cabin crew will tell you passengers are always saying they’re hungry and want more food, which is because they’re bored. Eating becomes entertainment. IN-FLIGHT TRENDS

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Plant-Based Protein DFMi offers a range of healthy snacks, including mixes from graze, which contain nutritionist-approved ingredients and non-meat proteins such as edamame beans, chickpeas and cashews. DFMi is also a fan of SuperSeedz, the snackable, simply seasoned, no-shell gourmet pumpkin seeds, which are dry roasted in small batches. Gluten-free, nut-free and vegan, SuperSeedz are also packed with protein and are a great source of zinc, iron, magnesium and other vital nutrients. Most importantly, they’re great for adding to salads, yogurt and more. DFMI Snacks from graze and SuperSeedz

PHOTOS: DFMI, AMI GROUP, FLYFIT, OAKFIELD FARMS

How does flying affect passengers’ appetites? Your tongue gets dehydrated and your taste buds close when they’re dry, which makes you crave salty things and umami, or savory, flavors. That’s why people drink three times more tomato juice in the air than on the ground. According to the scientist Charles Spence, when we eat, we don’t just eat with our mouth – we eat with our senses. There’s so much more going on than just what’s on your plate – there’s the noise, the dehydration and more to deal with when you’re flying.


( NUTRITION )

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What is the hottest health food trend this year? Veganism is still going from strength to strength, but I’d say the most mainstream trend is people becoming flexitarian, which is where they consciously cut down on the amount of meat and fish they’re eating and up their intake of plantbased proteins such as beans, lentils, nuts and seeds.

Different Diets Foods marketed to individuals who follow specific diets are springing up everwhere. Van Mancius says veganism and flexitarianism are trending, showing an overall shift toward plant-based diets. AMI Group’s range of nutritious snacks focuses on delivering products with added health benefits. Its brands include Ireland-based Bella Bites, which offers veganfriendly, low-GI, gluten- and dairy-free confectionery. According to its founder, Cliona Hegarty, customers have named the Coco Bella coconut bites the “healthy Ferrero Rocher Raffaello” because of their creamy taste. Another healthy brand under AMI is Satisfi, by Motivation Weight Management

AMI GROUP Bites from Coco Bella and Satisfi Health

managing director Paul Connolly. After researching protein bars in many markets, Connolly released his own in flavors such as Cookies & Cream Crunch and Smooth Salted Caramel, which contain 20 grams of protein and up to 27 vitamins and minerals.

Stay Frozen, Stay Fresh

FLYFIT High-fiber oat cookies

Van Mancius says that passengers will often tell crewmembers they’re hungry and want more food. FlyFit’s 100 percent oat cookie, available in three flavors – cranberry, coconut and dark cocoa nibs – has been designed to release energy

What food trends are you anticipating? Everything will change when millennials become the center of the consumer arena in around seven years’ time. They’re very interested in food – it’s part of their identity – and they want to support local produce that’s sustainable and healthy. Moreover, their food needs to be Instagram-able, as social media plays a key role in their world.

Oakfield Farms offers a full range of airline meals that contain fresh produce and no additives. Using the latest freezing technologies means dishes – like slowroasted beef stew with potatoes, cabbage and carrots – maintain all the nutritional benefits of every ingredient to the fullest.

slowly so passengers feel fuller longer. It’s also high in dietary fiber, contains no additives and is low in sugar, with the company also using sunflower oil as an alternative to palm oil, which is notoriously bad for the environment.

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OAKFIELD FARMS Beef stew with potatoes


( SUSTAINABILIT Y )

Looping Back Simon Heppner, founder and director of the Sustainable Restaurant Association, believes all businesses – including airlines – should be thinking about their environmental impact.

TREND

Conscious Companies

Heppner says the public are becoming increasingly aware of environmental issues and looking to support companies that are environmentally conscious. Castello Monte Vibiano Vecchio, which provides the CASTELLO MONTE VIBIANO VECCHIO’S Carbon Offset Efforts

10,000+ trees planted

1 TON of CO2 emissions reduced

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new skincare FORMIA Castello products for Monte Vibiano Qatar Airways’ Vecchio first- and products business-class passengers in partnership with FORMIA, has planted over 10,000 trees, as well as painted the surface of four wheat silos with a special white paint after scientific research conducted by Professor Franco Cotana, director of the Biomass Research Centre at the University of Perugia, showed that over 100 square feet of it helps reduce global warming by the equivalent of one ton of carbon dioxide.

PHOTOS: FORMIA, KAELIS ON BOARD SERVICES, GALILEO WATERMARK, KIM´S CHOCOLATES

What are the most pressing issues in food sustainability right now? Should we focus on helping the 1.7 million victims of forced labor in agriculture in the US or the fact that food is responsible for about one-third of all man-made greenhouse gas emissions? Are these more important than the role of diet in our public health crisis or the fact that a third of all food is wasted while 800 million people go hungry? The entire food system needs fixing and we must all work together to change every part of it. Are there any issues that are particularly pertinent in the airline industry? On top of the same supply chain challenges as any food service business, the airline sector must deal with unique operational and regulatory challenges. For example, Category 1 food waste from flights is classified as international catering waste and has to be incinerated or deep landfilled. This also applies to all packaging that has come into contact with food, so none of the plastic or foil packaging waste from flights is recycled. Trials to wash and recycle this plastic


( SUSTAINABILIT Y )

DFMI Kim’s Chocolates is powered with renewable energy.

DFMi partner Kim’s Chocolates has invested approximately $5 million in becoming one of the greenest chocolate factories in Europe. With support from the Flemish government, the company developed a water treatment system based on a new technique involving bio-fermentation. The result sees 90 percent of nutrients removed from wastewater becoming fertilizer for the agriculture industry. Kim’s Chocolates factory uses 2,987 solar panels, which fulfils 15–20 percent of its energy needs,

with its other electricity coming from 100 percent renewable sources, such as hydro, solar and wind energy. Its building even has a white roof to stop it from warming up so quickly!

KIM’S CHOCOLATES Sustainability Initiatives

$5 MILLION invested to become a “greener” operation

BIOFERMENTATION water treatment system

2,987 solar panels installed at its factory

90% of wastewater nutrients becomes fertilizer

100% renewable sources: hydro, solar, wind

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and foil packaging in the UK have received approval from regulators, but so far there’s no appetite among caterers to adopt these more sustainable practices. On a broader scale, how can airlines be sure their supply chain is sustainable? Third-party certifications such as the Marine Stewardship Council for sustainable seafood can play a significant role in providing costeffective assurance that standards are being met, but airlines need to be aware of alternative equivalent certifications in all of the overseas locations from which they fly and source food and have policies in place to address situations where certified products are not available. Airlines are always worried about their bottom line. Is being sustainable more expensive? Yes, the sustainable option is likely to be more expensive, but the question we should be asking is why the unsustainable alternative is cheaper. Usually it’s because something or someone is being exploited. However, costs can be managed by making changes elsewhere. Singapore Airlines’ farm-toplane concept of sustainable in-flight catering will inevitably mean an increase in the cost of some ingredients, but the carrier is cleverly defraying these costs by reducing the amount of meat served – win-win-win from a health, environmental and cost perspective. >


( SUSTAINABILIT Y )

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Recycled Materials KAELIS ON BOARD SERVICES Amenity pouches made of recycled kraft paper

Kaelis On Board Services offers eco-friendly amenity bags made from recycled kraft paper in different shapes, sizes and designs. The process involves softening the kraft paper by mixing it with water and other substances. It’s then chopped up and heated, which breaks down the paper further into strands of cellulose, a type

GALILEO WATERMARK OCN cosmetic tubes made of reclaimed plastic from the ocean

of organic plant material. The resulting mixture is pulp, and the recycling process ends with the pulp being remanufactured into amenity bags.

Plastic is an increasing problem in the modern world, with approximately eight million tons making its way into the ocean every year. As a sustainable alternative to traditional plastic recycling and the creation of more plastic material, Galileo Watermark has developed OCN plastic, made of repurposed plastic collected from oceans, seas and waterways. Galileo Watermark’s new cosmetic range of the same name is housed in the reclaimed plastic and features gentle, yet effective moisturizing creams specifically developed for the airline industry, and to fight dry conditions in the airplane cabin.

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“The sustainable option is more expensive, but we should be asking why the unsustainable alternative is cheaper.”

Does an airline advocating for sustainability have a lasting brand impact? The public is increasingly sophisticated in its understanding of these issues. The UK has seen a significant increase in the market for ethical food over the last 15 years. The US is a more fragmented market, but the recent consumer movement around cage-free eggs shows how quickly things can change: Well-known brands such as Nestlé, Unilever and McDonald’s were forced to rush out public commitments to go 100 percent cage-free by 2020! Any particular airlines leading the way in terms of sustainability? It’s worth mentioning British Airways. For all the flak it took for switching to Marks & Spencer (M&S) for its in-flight offerings, it was a smart move from a sustainability perspective. Retailers are streets ahead on managing their supply chains, and M&S is one of the best.


( NEWS )

IFSA Reacts to FDA’s Call for Guidance on Food Labeling no public health benefit to consumers. “IFSA’s direction effectively provides consumers with valuable in-flight information while avoiding ineffective supplier-cost burdens that would ultimately be paid for by airline passengers,” says IFSA CEO Joe Leader. “These comments to the FDA advance our public health mission in serving both the in-flight catering industry and airline passengers.”

Following the US Food and Drug Administration’s (FDA) request for guidance on food nutrition labeling, the International Flight Services Association (IFSA) has submitted comments, which apply to food and beverage served on board. While the FDA’s existing regulations push for the labeling of “packaged” food items – including most airline food – IFSA believes this information, as currently applied, has

APEX

IFSA

For more than four decades, the Airline Passenger Experience Association (APEX) has served as the only nonprofit trade association dedicated to improving the entire airline passenger experience. APEX members include individuals from the world’s leading airlines, suppliers and related companies, all committed to providing an enjoyable air travel experience. From cabin interior design and seat manufacturing and installation, to entertainment and connectivity solutions for commercial aircraft, APEX strengthens the industry and enables business opportunities through education, innovation, networking and recognition.

The International Flight Services Association (IFSA) is a global professional nonprofit association created for airline and railway personnel, caterers and suppliers. Dedicated to the advancement of the art and science of the in-flight and railway onboard services industry, IFSA provides a forum to research, develop and communicate to its members, the industry and the public. Through the guidelines developed by its Government Affairs and Education Committee (GAEC), legislative and regulatory engagement, scholarship foundation and coordination with like-minded organizations, IFSA’s key initiatives represent the global interests of the association, its members and the industry as a whole.

For more information, visit apex.aero

For more information, visit ifsanet.com

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