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Mohit Malhi Manager –Commercial Non Aero Delhi International Airport Pvt Ltd Branding Your Airport YE201405

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Mohit Malhi

Manager –Commercial Non Aero

Delhi International Airport Pvt Ltd

Branding Your Airport

YE201405

Page 1 of 15

Table of Contents Page No.

A. Introduction…………..………………………………………………………………..2

B. Background and Context Setting…………………………………………………… .. 2

C. Strategic Brand Positioning for an Airport

I. Airport Brand Creation: Need and Outcomes ………………………….. .3

II. Airport Brand Creation: Process ……………………........………………. .5

III. When Should an Airport Look to Build its Unique Brand ……………….. ..6

D. Brand Delivery

I. Strategic Themes…………………………………………………………….7

i. Brand Guidelines ii. Usage Scope

iii. Tagline and Logo iv. Co Creation Parameters v. Brand Associations

vi. Launch : Big Bang or Phased

II. Tactical themes …………………………………………………………… .9

i. Online and Social Media ii. Real World touch point Strategy

E. Recommendations and Conclusions………………………………………………….15

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Page 2 of 15

A. Introduction

It is my endeavor to share through this report my understanding on the changing landscape of how Airports are perceived by stakeholders, passengers and the community and thus the need to present a Unique and differentiated offering to the world. One of the key Strategies in this regard is to create and embrace a Unique Airport Brand. The various aspects of creating an Airport Brand have been explored in my report with definitive steps and directions which may serve as a reference point in this decision. Aspects addressed include the Airport Brand creation needs, the recommended process and the various innovative ways in which Airport Brands can be delivered. Among various strategic and tactical themes- a key area of focus for Airports around the world has been online and Social Media and a special emphasis has been levied on the same.

The various analytical and quantitative information and references used in this report are as a result of my understanding of the sector , secondary research and interaction I had with various leading Advertising agencies and Brands as part of my official role.

It would be my eventual aim , that this report should serve as a reference document for airport marketing managers in proving them framework for analyzing and taking the decision to creating a Strategic Differentiation beyond the Normal !

B. Background and Context Setting

Data Records prove that Air traffic has doubled every 15 years in the past. In today’s ever-changing and dynamic economic scenario when ‘Uncertainty’ has become the new ‘Normal’, Air transport continues to be a growth industry, resilient to external shocks. Such robust growth in Air travel will need to be supported by massive scale up-gradation of Airport infrastructure and capacities. Not only does this prove to be a strong catalyst to the growth of the Travel Industry, development of Airports has also proven to have a huge impetus of the overall economic development of the region.

More airports, improved infrastructure, better connectivity and a well-informed traveller – this provides a wakeup call to all Airport Operators to initiate the process of establishing a strategic differentiation for their Airport. While staggered and random efforts to establish a differentiation may yield partial results, the need of the hour is to commit energies towards a long term strategy and establish a Unique Airport Brand. Airports have to clearly register in consumers mind as to what it stands for and having an airport brand manifests this clearly through values and helps it differentiate from rest. Creating an Airport Brand not only addresses this need but also satisfies a host of others which are further detailed out in my report. It appears as if in today’s tough operating climate, an ever-increasing number of airports are turning to brands in a bid to make them stand out from the crowd.

With this background, I would thus like to embark on this journey of Airport Branding a delve into some of the finer aspects of the topic and carving out a defined path towards this ultimate destination!

The Global Air Travel and Airport Industry has seen a robust growth and demonstrated resilience in tough times as well. With the rapid increase in Infrastructure upgrade and Airport Development, the need of the hour for Airport Operators is to create a differentiation and make their voice heard.

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C. Strategic Brand Positioning for an Airport

I. Airport Brand Creation: Need and Outcomes

An Airport is a mammoth machinery and the typical structure ( as depicted below) is extremely complex. There are multiple stakeholders who work in tandem with the Airport Operator for the smooth functioning of an airport.. Each of these Stakeholders handles an equally important role ensuring that the overall experience the Airport provides is pleasant. More so, all such experiences at an Airport , are almost always , directly linked with the Airport Operator. MULT FACETED AIRPORT ENVIRONMENT

Therefore, an Airport brand eventually is what passengers and other stakeholders think about the Airport and the services and products provided based on the sum total of all their experiences. Such Airport Brands formed by the customers’ perceptions of the typical experiences encountered there or by what they have heard or read about that Airport can be called an ‘Ad Hoc’ Airport Brand.

The brand values of an Adhoc Brand are inconsistent as they will tend to vary with each differing experience. In contrast to an ‘Ad Hoc’ Airport Brand, a ‘Strategic’ or ‘Unique’ Airport brand is defined and managed by the airport operator in collaboration with its stakeholders, business partners and airport employees. This represents a consistent airport promise to all the customers. There are compelling needs and reasons why Airports would take the leap of faith in creating a Unique Brand and I will delve further into the objectives and benefits in the subsequent sections.

AIRPORT BRAND

Airport operator

Business Partners- Non

Aero

Regulatory Agencies/

Central Bodies

Internal Stakeholders

Airlines, Cargo,

GHA's

ADHOC

Built on Perceptions, experiences, word of

mouth etc.

Brand values will vary with every varying

experience

UNIQUE/STRATEGIC

Created by the Airport Operator in conjunction with Key Stakeholders

Consistent Brand value delivered

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AIRPORT BRAND CREATION: NEED AND OUTCOMES

Valuation Booster

Need Implied Benefit Key Outcomes

With the Long Term Advantages, it is not difficult to conclude that an airport operator should strongly think of creating an individuality in order to differentiate itself from rest Airports without a Brand, may be missing out on a huge Opportunity!

To be the Preferred Airport for Passengers

To be a strong HUB ( Regional/Transit )

To be a leader in Pax Airport Spends

To be the Preferred employer

To be the Preferred Airport for Stakeholders

To Maximize Shareholder Value

To Demonstrate strong Community Connect

To build strong perceptions with Government and Regulatory

Functionaries

Sustained Passenger Growth Stress Free Travel Experience

Higher Pax Growth High ASQ Scores

Cargo & Aero Business Growth Smooth Transit Facilities Enhanced profitability

High Cargo Tonnage Aero Business Contribution New Routes/New Airlines

Growth in Non-Aero Revenues Enables price premiums Magnet for new global business opportunities Enhanced profitability

High Non Aero Revenues High SPP ( Spend Per Pax) High ATV(Average Ticket Values) & Penetration Leading ASQ Retail Specific Survey scores

Enhanced Employee Motivation Higher Performance and better customer service Consistent Service Delivery

High Employee Engagement Scores Low Attrition % High ASQ Scores

Stakeholder Engagement Efficient and Integrated Airport

High Stakeholder Satisfaction Scores High ASQ Scores

Builds credibility Builds Long Term equity Valuation Booster

Increase Stock Price Better PE Ratio Large Market Cap

Builds a cohesive Airport Community

High Community Engagement High Economic Contribution of airport to Economy High No of CSR Initiatives

Positive response on Statutory matters Timely Government support Strong Economic Contribution from Airport

Low time for statutory matters resolution High support on policy matters

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Page 5 of 15

I. Airport Brand Creation Process

I have already enumerated the various Airport Brand Creation Needs and Objectives that any Airport would start out with. As a precursor to the Brand development process, each of chosen the Needs must be aligned with the Airports Long term vision. An Airport must be prudent in choosing the Branding Objectives- having too many is not recommended. Depicted below is the recommended Airport Brand creation process which would lead to the Airport Brand positioning.

Positioning will define Brand Values &

the Airport Brand delivery Process

Selected Airport Branding Needs/ Objectives

AIRPORT VISION

Step 1 :

Determine your Airports Key Competencies

What are your strengths and how can they be

leveraged

Step 2:

Identify and Analyze Key Stakeholder needs, wants

and aspirations.

Key to ensure wide acceptance of the Brand

being created

Step 3:

Competition Check

Benchmarking, Differentiation and

Adaptability to Change

Step 4:

Develop Alternatives for Airport Brand Positioning

based on Steps 1-3

“ What do we want to be known for tomorrow”

Step 5 :

VALIDATE the chosen Positioning options

Relevant- Yes/No

Unique- Yes/No

Implementable- Yes/No

AIRPORT BRAND DELIVERY

Align

Airport Brand

Positioning

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II. When Should an Airport Look to Build its Unique Brand

Captured herewith is an Airports hierarchy of needs – which provides a logical framework answer to When’ should an Airport move towards creating its Unique Brand.

The Brand creation and Brand Building should logically be done once an Airport has reached a reasonable level of operational efficiency and revenue growth. This ensures that the Airport Brand creation will be able to provide an impetus to the efficiency and revenue output hitherto. For Airports which are still reaching a reasonable level of Operational Efficiency, getting into an Airport Branding exercise may not yield the desired result.

D. Brand Delivery

Positioning paves way for the detailed planning of the Airport Brand delivery. A two pronged approach is recommended for the Brand Delivery and for sake of clarity, I have classified the same into Strategic and Tactical Brand Delivery themes.

Brand

Strategic Differentiation

Revenue Growth

Operational Efficiency

Regulatory Compliance

AIRPORT BRAND DELIVERY

Strategic

1. Brand Guidelines 2. Usage Scope 3. Tagline and Logo 4. Co Creation Parameters 5. Brand Associations 6. Launch : Big Bang or Phased

Tactical

1. Web and Online 2. Real-world or Touch

point Strategy

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I. Airport Brand Delivery-Strategic Themes

Strategic Theme How does it work?

Define Brand Guidelines

“ How to Use the Brand”

Define Usage Parameters and Scope

“ Who all will Use the Brand”

Creation of Tagline and Logo

1

3

2

It lays down the rules that make the Airport Brand work. Includes brand’s history, vision, personality and key values.

Defines Color Palettes, Image Styles and Type Styles for the Brand.

Guidelines should be flexible enough for designers to be creative, but rigid enough to keep it easily recognizable.

Provides CONSISTENCY

While the Airport Operator creates an Airport Brand in conjunction with key stakeholders, its effectiveness depends on acceptance and adoption of the brand by the community.

Other than the Airport Operator, there are multiple other stakeholders who will thus be using the brand but the same has to be defined clearly .

Prevents DILUTION

It cuts through marketing clutter and communicate the Airport Brand in a sticky, memorable way.

It becomes your Airports ‘Stamp of Quality and Service Efficiency’

Co-creation has benefits- detailed subsequently

Brands Omnipresent MANIFESTATION

Strategic Themes

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Strategic Theme How does it work?

Define Co-Creation Parameters

Finalize Brand Associations

Rollout- Big Bang or Phased

6

5

4

Co-Creating with community , some defined elements of the Airport brand has tremendous possibilities. Not only will it create enough and more buzz about the Airport and its Brand , it will also ensure that the new Brand and its various elements are easily recognized and accepted by all- further strengthening the bond that the community has with their City’s Airport.

Logo Co-Creation Tag Line Co-Creation Establishes COMMUNITY CONNECT and BRAND ACCEPTANCE

Brand association or Celebrity Endorsements Can :

Builds Brand Equity Faster

Helps Airport Brand Recall

Makes the Airport Brand Promise More Believable

Make Airport STAND OUT

This is a key decision involving clearly thought out steps.

A big Bang Rollout across ALL Tactical touch points will surely give a strong impetus to the Airport Brands recall. However, it is difficult to correct if required later.

It may be better to Phase out the rollout to the Online and Social Media Touch points before the real world. Feedback and corrections can easily be done without much cost and then incorporated.

Strategic Themes

Strategic Brand Delivery themes provides a strong framework for the Airport Brands tactical delivery through various touchpoints

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I. Airport Brand Delivery - Tactical Themes

Theme 1 : Web and Online

The power of Internet can be leveraged to-

1. Increase the Airport brand awareness 2. Reinforce the Airport brand’s unique value proposition and Promise 3. Tell the Airport brand’s story 4. Build a strong data base 5. Create a dialog with passengers, potential passengers, Stakeholders and Community

Tactical Themes-Web and Online

CREATE AND MAINTAIN AN AIRPORT BLOG

Significantly increase search visibility, establish expertise and build a community, airport brand trust, and builds subscriber lists.

Add meaningful content to the blog on a regular basis.

Blogs need to be fed constantly or else they die.

1 BROADCAST AIRPORT RELATED CONTENT ON SUBSCRIBER LISTS

Develop a distribution schedule and adhere to the same

Visuals work better on internet. Broadcast powerful Airport related visuals to create ‘awe’.

2

A VIDEO SPEAK MORE THAN A HUNDED PHOTOS

Create compelling Airport Brand related Videos and share on key platforms ( Youtube/Metacafé etc) through dedicated Airport Channel

Airport Construction phase Updates broadcast, Airport Events

Airport Web Seminars

3

GET ON THE MOBILE

Airport Mobile Application – BB/Android/Windows/IOS platforms

Mobile Website

.

4

LEVERAGE THE AIRPORT WEBSITE

AND SOCIAL MEDIA

The Website and Social media are some of the most powerful Airport Brand building tools.

5

ELEMENTS: WEB AND ONLINE STRATEGY

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I would like to delve a bit deeper into some aspects of the benefits of Website and Social Media for Airport Brand Building:

a. Airport Website

The Website is the Online face of the Airport. The decision to set up a website is a strategic decision and requires commitment and attention to make the effort successful. Poor maintenance, non-working links, grammatical mistakes, irregular updates, non-responses to consumer mails are but some of the many faux pas that several big brands with poor websites have been found guilty of in the past.

Some Key pointers to developing a strong Airport Websites:

b. Leveraging Social Media

Increasing use of social media throughout the world has changed the way people communicate and share information on a daily basis. Social media provides an opportunity for two-way communications in real time— an invaluable tool for airport operators who provide time-sensitive service to large numbers of people. Social Media Maturity Stages @ Airports

Social Media , like any other initiative must evolve over a period of time and graduate through various phases. I have tried to enlist them as a reference of social media maturity and effectiveness at Airports.

STAGE 3: Predictive

STAGE 2: Proactive

STAGE 1: Reactive

It Should express the Airport Brand Personality / Rich Content / Emphasize Differentiation / Detail out Brand Heritage Has Updated News of the Airport/ Suggestions/Feedback / Speedy Loading/ Updated Career Section/ Strong Business

Opportunity Pages

Centralized Responsibility for

Airport/Buy in from

Stakeholders/Strong online

Engagement

Highest Level of SMM/ROI

measurement done/Highly

engaging/Strong Tech Platforms

to support

Non Consistent Approach/Weak

Governance/Absence of Buy in

from Stakeholders

Tactical Themes-Web and Online

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SOCIAL MEDIA AND ITS KEY BENEFITS TO AIRPORTS

Connecting with Passengers

Informal Communication

/Feedback/Information/New Service

/Discounts/Promos/Contests

Building the Airport Image

Online Face/ Target Key Pax Groups/ Share Service Quality

stories/testimonials/Updates

Increase Non Aero Revenues

Online Contests/Special Offers/Location

based messaging/Perso

nalized offers

Manage Airport Ops Better

Feedback and course correction/ Develop ‘Social

Intelligence’/Fast reactions

Engaging with Employees/Stakeholders

Knowledge Mgt/Workforce Collaboration/Transparence/Ideas

Mgt/Drive Innovation

Tactical Themes-Web and Online

Increasingly large number of Airports are now focusing on the power of Online and Social Media for building their brands. Cost Effectiveness, measurability and ROI accountability are the key strengths along with the immense reach. With the internet , the

Airport Brand can reach even those who have physically never reached your Airport!

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Theme 2: Real-world Rollout- Touch point Strategy

During the commencement of the journey , we had enlisted the various different stakeholders, needs and objectives of Airport Branding. Now that we have gone through the entire brand creation process and begun executing the rollout of the same, it must be kept in mind that the rollout should encompass all the Key Stakeholders of the Airport and also be in line with the objectives set forth during the initiation of the branding process.

Keeping the above in mind, I recommend the following Real World Rollout Strategy for the Airport Brand:

1. Passenger Journey Touch point Strategy:

Touch Point Interface Aspects Opportunity to Create a Wow effect for the Airport Brand

Value to the Airport

Pre Travel 1. Web- OTA’s, Airlines for booking

2. Airport Call Centre

3. Airport Mobile Website

4. Airport Mobile Application

5. Airport #Twitter

6. Airport@Facebook

7. Travel agencies

Welcome email from the airport

Welcome Message on Airport Call Centre with Jingle

SMS alert from the Airport regarding flight timings, other alerts

Twitter & Facebook updates on offers/deals

Airport Mobile App –info on @ Airport Services/offers and beyond

Travel Agencies to be handed over Airport Brand collateral material for use and dissemination ( Ticket jackets/Envelopes etc)

Timely and accurate Information dissemination. Convenience for Pax and strong build up towards the Airport Brand experience

Kerb side 1. Approach Roads 2. Taxi’s 3. Drop point 4. Parking 5. Baggage Assistance

Airport Brand Sculptures/Horticulture Sculptures/Hoardings to welcome

Radio taxis- Welcome letter from Airport with booklet of general airport facilities

Branded Airport Parking Debit

Physical Manifestation of the Airport Brand attributes though presence and service delivery

Tactical Themes-Real-world Rollout

Real World Rollout of Airport

Brand

Passenger Journey

Touch point Strategy

Airport Employees,

Stakeholders and

Community Strategy

Hub Development

Strategy

Shareholder Value

Maximization Strategy

1 2 3 4

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Cards Baggage assistance with Free

branded permanent bag tag for pax who avail the facility

Check-in/ Security/ Immigration/ Customs

1. Flight Information 2. Self/Normal Check in

Counters 3. Information Desks 4. Regulatory Agencies

Elements of Airport Brand sprinkled across the areas manned by other agencies such as Airlines/Regulatory

Check in Screens playing Airport Brand video

CUSS Machines screens with Airport Brand

Airport Brand integration in boarding card though a jacket

Welcome message from Airport displayed at all Check in/Regulatory counters

Enhanced Passenger Experience, Clear Communication, seamless journey path, stress free environment

Commercial Zones

1. Retail/F&B/Travel Service Outlets

2. Sales Staff/Floor Managers

3. Airport Exclusive Brand Store for Merchandise

4. Airport Wifi Access 5. Lounge/Airside Hotel

Access

Airport Exclusive Products Innovative and differentiated

offering Standardized in store

communication in Airport Brand templates

Airport Brand Caps/Bags//Badges with floor staff

Airport Brand on all bills Pax Wifi landing page Airport Brand Jingle playing

through Public Address system

Airport Loyalty Program

Seamless Blend of Airport Brand, Its Values with Other Brands at the Airport. Strong physical manifestation needed in terms of standardization of in store communication

Boarding gates

1. Security Agents 2. Boarding Gate

Counters/Readers with Airline staff

Elements of Airport Brand sprinkled across the areas manned by other agencies such as Airlines/Regulatory

Thank You/GoodBye message from Airport displayed at all Boarding gate counters

Leaving a lasting memory with the passenger

Post Travel 1. Problem Resolution 2. Contact continuation

Handle issues deftly and in line with Airport Brand promise- it a moment of truth

Send emailers to registered passengers

Remaining Top of Mind

Tactical Themes-Real-world Rollout

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1. Airport Employees, Stakeholders and Community Strategy

\

2. Hub Development Strategy

3. Shareholder Value Maximization Strategy

A successful Airport Brand creation has to be supplemented by a Strategic Rollout. What is of utmost importance is to ensure a Brand Rollout and Delivery is a 360 degree affair encompassing all the key touch points.

Route Development, Collaterals, Airline

Conferences, Play Airport Videos inside

Airlines and other collaterals

EMPLOYEE STRATEGY Employee Discounts/Offers, Sales

Contests, Airport Specific Trainings,

Airport Job Fairs, Motivation- Employee

Wall of Fame @ Airport

STAKHEOLDER STRATEGY

Annual Airport Awards, Rewards and

Recognition, Periodic Joint Reviews,

Consultative decision making, Events

COMMUNITY STRATEGY Joint CSR Initiatives, Airport Tours,

Structured Community Groups, Promote

Education/Health/Environment Matters

jointly.

Investor Forums, Trade Show

participation ( TFWA, ACI Events), PR

Airport Employees,

Stakeholders and

Community Strategy

Touch point

Hub Development

Strategy Touch point

Shareholder Value

Maximization Touch point

Tactical Themes-Real-world Rollout

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E. Recommendation and Conclusion

As Airports increase in number, size and facilities for passengers, there are some which manage to hold their own and have an impact on the travelers, entire stakeholder and community around it. This lasting impact cannot be sustained through dispersed and feeble efforts but need a strong strategic push in the correct direction.

The impact of a successful Airport is not only felt by a passenger, employees or stakeholders but is far more widespread ,some of them being :

Airports generate large scale employment: Due to the multitude of various businesses, an Airport directly and indirectly contributes to be usually one of the largest employers in the region. At times- the Airport is one of the highest employers in the World as well!

Community/Social Empowerment: Several initiatives taken by Airports pave the way for sending across strong social messages to the entire community and the world. Employing only women across some of the key touch points, employing differently abled people of the community and joint initiatives taken with community to stop child labor are some of them.

Environment: While an Airport is mammoth machinery, the energy conservation and green initiatives can be leveraged and propagated through the Airport Brand- Usage of Natural Daylight, Low energy lamps etc are some of the initiatives which go a long way in contributing to the environment.

Trigger to Country’s GDP: The Economic output of all the Business from Airports often contributes a sizeable percentage of the countrys GDP.

With such widespread ramifications, it is pivotal for airport marketing managers to integrate Airport Brand Creation as part of their Marketing Strategy to achieve holistic results both in line with the Airport Vision and also other Key objectives. Using Strategic and Tactical levers an Airport Brand can be delivered effectively to the entire world. Consistent efforts in areas such Airport Employee motivation, Airport Stakeholders Engagement and Community measures take the Brand building efforts to a new playing field and it is difficult to lose the game ! Seamless integration of the Airport Brand to create the ‘WOW’ effect for passengers, stakeholders and Community provides the desired impetus to the exercise. Online and social media are a new frontier to conquer by Airports across the world. Pioneering efforts by many airport operators throughout the world continue, although the full potential of social media usage for airports has yet to be discovered. Approaching social media in a systematic way can provide benefits to both airport operators and passengers. With real-time feedback, airport operators have an opportunity to enhance the passenger airport experience through social interactions, which should result in increased revenues, passenger loyalty, and a strong airport brand.

Closing Remarks

The impact of a successful Airport is not only felt by a passenger ,employees or stakeholders . A successful airport manages to elevate the Economic Development of the entire region around it. As a powerful magnet for employment, machinery for economic output and a large payroll generator- the overall impact is huge.

With such multifold benefits and a cascading impacts- right from employees to the economy of the entire region , I would like to summarize that armed with its Unique Brand- An Airport is definitely a force to reckon with!

__________________________________________________________________________________________

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