Entertainment Unwired: Portable IFE Solutions
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This story was originally published in the March/April issue of APEX Experience magazine.
Wireless in-flight entertainment (wIFE) and portable IFE solutions promise airlines fresh opportunities to engage with their customers, and flexible and affordable IFE for both themselves and their passengers.
Complementary Content
Qantas Airways has found that wIFE and portable IFE solutions consisting of airline-supplied devices and content streaming complement its existing embedded IFE systems.
“Over the past five years, we have seen a significant increase in the penetration of consumer devices,” says Jo Boundy, head of Digital and Entertainment, Qantas. “Customers are increasingly comfortable with, and many actually prefer to use, their own devices to consume entertainment when traveling. We expect this trend to continue.”
Qantas has blended solutions, tailored to fit passengers’ personal content-viewing habits, in keeping with the duration of the flight. “Longer international flights offer on-demand seatback entertainment for every customer,” Boundy says. “Shorter flights have a mix of seatback and overhead screens, and streaming services.”
Qantas also provides iPads preloaded with content using a semi-embedded device and technology developed by Lufthansa Technik AG. “Consumers now expect the same range, volume and quality of entertainment on board an aircraft that they get in their living room,” Boundy says. “As a result, customers’ expectation of the on-board experience will increase, with people wanting to access and watch their own on-demand subscriptions on the go and in the air.”
“On the other hand, we have many customers who prefer to not be glued to their gadgets.” – Jo Boundy, Qantas
Adding wIFE services, Boundy says, can be the ideal complement to pre-installed IFE systems. “They allow customers to use their own devices when and how they like. This is perfect for customers who like to access a full catalog of on-demand content. On the other hand, we have many customers who prefer to not be glued to their gadgets in flight, and they choose to watch the Qantas-curated content on the overhead screens.”
Boundy points out that airlines, distributors and technicians have to “respond with the right platforms, applications content and technology” that match evolving passenger expectations.
“Tablet and phone software platforms continually change, which puts a lot of emphasis on ongoing compatibility testing,” notes Boundy. “In the on-board design space, there are many additional considerations; for example, on-board USB charging. And in Qantas’ case, we developed seatback tablet holders so customers don’t need to hold their devices for the entire flight.”
Flexible Portables
Portable devices have proven useful to regional and low-cost airlines. Their lightweight and easy set-up enables airlines to offer in-flight content straight to passenger devices where it might not otherwise be available.
Job Heimerikx, CEO of portable on-board Wi-Fi provider AirFi, finds that a growing demand for their portable IFE product comes from airlines concerned about keeping up with changing trends in consumer technology.
“The airlines that we talk to are questioning whether they should retrofit their aircraft, because as soon as they install the technology, they are sure that they are installing tech that’s out of date,” Heimerikx says. “If you order a new aircraft, you’re in a design freeze four years before you receive the aircraft. With the speed of innovations on handheld devices, and in technology in general, airlines are getting more reluctant to invest in infrastructure. They’re not sure that that infrastructure will still be current when they receive the aircraft.”
On aircraft with embedded IFE systems, Heimerikx suggests that second-screen wIFE services can encourage in-flight ancillary sales. Passengers on AirFi’s customer TUI group, for example, use the wIFE system to order on-board food and drinks on their personal devices.
“Expectations will expand to include shorter routes and services.” – Kevin Clark, Bluebox Avionics
Kevin Clark, chief operating officer at Bluebox Avionics, which offers both iPads preloaded with content and a wireless content streaming solution, believes passengers now have higher expectations. “Expectations will expand to include shorter routes and services – routes that traditionally did not require IFE,” he says. This also makes portable solutions like Bluebox attractive to low-cost carriers that may find it impractical to install embedded IFE on their aircraft. Jetstar, for instance, has offered Bluebox service on its flights since 2011.
Another practical solution, Clark suggests, is offering portable handheld devices on flights during service disruptions of embedded IFE systems, or when aircraft are being phased out, so installation of new systems is impractical.
Because some passengers do not have their own devices, Clark suggests that airlines can generate revenue by renting preloaded devices in the economy cabin, and offering premium content that is not offered to passengers streaming off their own devices. Other ancillary revenue opportunities include destination-based activities or duty-free sales.
Software Savvy
Some wIFE providers are developing their business models around the strengths of their software platforms. Companies such as PaxLife, Kommworld, PXCom and Immfly focus on delivering infotainment and customer engagement solutions that help airlines build a digital bridge to their customers through passengers’ own personal electronic devices.
Jimmy M. von Korff, cofounder and CEO of content platform Immfly, believes passenger electronic devices hold the key for personalization. He identifies an “in-flight gap” between the airline’s many digital customer touchpoints. “The airline has a digital marketing strategy for all the channels – the app, the web – throughout the travel journey … The only place where they’re not interacting with passengers is during the flight. And that’s the most important point, because it’s the moment of service,” he says.
Personalization is improved as airlines can gather passenger data, advertise products and services, and gauge consumer reactions to offers, von Korff suggests. Immfly has worked with IAG airlines, including Iberia Express in Spain, to develop software that helps the airline close that in-flight gap. “With Iberia Express, we provide media content, destination information, flight information, information about the airline and video channels,” he says. “We can help airlines [with] software and content management, e-commerce – all digital models – data, advertising and so on.”
“The future is obviously connectivity.” – Jimmy M. von Korff, Immfly
While Immfly’s platform on Iberia Express works offline, von Korff says data gathered to the on-board server can be collected on the ground. “The future is obviously connectivity. We believe that all that connectivity … is a great opportunity to monetize,” he adds. “The average time our customers stay in the platform is 40 minutes. When they are engaged for 40 minutes, it’s a huge opportunity.”
CORRECTION: An earlier version of the story reported that Qantas was using Lufthansa Systems’ BoardConnect solution when it is in fact using a semi-embedded device solution engineered by Lufthansa Technik. For further details, read the announcement here. This post was updated on April 19, 9:00 a.m. EST.