The Imperative Convergence Between Loyalty & IFEC, According to Delta’s Ekrem Dimbiloglu
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During his keynote speech at APEX TECH, Managing Director of Customer Experience for Delta Studio & Wi-Fi at Delta Air Lines Ekrem Dimbiloglu highlighted the manifold benefits of making Delta SkyMiles membership central to its new Delta Sync in-flight entertainment and connectivity (IFEC) platform.
Dimbiloglu emphasized that by granting free Wi-Fi to SkyMiles members on an unlimited number of devices, with the goal of creating a “living room experience” in the air, Delta is offering an immediate reward for joining its loyalty program versus “the allure of a future flight.” The carrier still gives passengers the opportunity to pay US$5 for connectivity if they do not want to sign up, but Dimbiloglu said the airline was surprised at the low uptake on this offer, which stands at less than one percent of IFC users.
He continued on to say that the move has drastically changed the demographic of passengers signing up to Delta’s loyalty program. Since launching Delta Sync approximately 14 months ago, Dimbiloglu said SkyMiles has welcomed two million new members, which is the equivalent of 5,000 every day. These are now skewed towards Gen-Z and millennial passengers, attracted by the promise of the connected experience they’re accustomed to at home.
“We have use case ideas of things we believe customers want to do, and we’re finding partners to trial these.”
For Dimbiloglu, this is just the beginning in terms of creating stickiness for the Delta brand. “We’ve opened up the first door, which is the most difficult … Once they’ve accessed the free Wi-Fi, Delta and American Express have amazing marketing teams that can reach out [to passengers] and let them know about our partnership; that there’s more to SkyMiles than just free Wi-Fi. This is great for our newer, younger members who might just be finishing college and getting their first job and could now have an American Express card.”
This is doubly important when you consider – as highlighted by APEX CEO Dr. Joe Leader, who was interviewing Dimbiloglu onstage – that for every eight new SkyMiles members, one becomes an American Express cardholder, and consequently one percent of US GDP is currently processed on Delta and American Express’ joint credit cards, which more than pays for the cost of the carriers’ provision of free Wi-Fi for all.
However, for new joiners to the SkyMiles program, if they have initially signed up to access the full Delta Sync experience, Dimbiloglu noted the system needs to work well to generate loyalty and repeat business. That, and the fact that 90% of its passengers do actually interact with the system, making it a fundamental part of the Delta offering.
So, what makes Delta Sync stand out?
Firstly, it offers personalization beyond just being greeted by name. Leader said that on his last Delta flight, he could also see his flight status and a map to everywhere he’s traveled to with the carrier. Dimbiloglu added that the goal is to recognize, for example, “when it is someone’s birthday month, or if it is the first time they have traveled to the Bahamas with Delta.”
“We’re working on a process now to allow partner [airline] credentials to be used to gain access.”
A relentless focus on seamlessness is also a defining feature of Delta Sync. Case in point: Delta has partnered with Paramount+ to offer access to its content via the seatback screen or passengers’ personal electronic devices without the requirement of signing up for a free trial or entering credit card details. They simply sign in using their SkyMiles credentials.
Furthermore, travelers have access to Paramount+ content for 24 hours before and after their flight. “Over time, we’re going to personalize that, in terms of what you should be enjoying on Paramount+.” He also noted that while you have to download the Paramount+ app to access it on your mobile device, the airline eventually wants to bypass that in the pursuit of a totally frictionless experience.
Delta Sync also offers subscription-free access to New York Times’ games in-flight. “It’s all about customer choice,” Dimbiloglu emphasized.
Likewise, Dimbiloglu recognized that making passengers that are flying on Delta because it’s a partner airline of their preferred carrier – so foreign nationals that are already members of LATAM’s loyalty program, for instance – sign up for SkyMiles membership is not the goal, and that they “should be able to stay with their membership … We’re working on a process now to allow partner credentials to be used to gain access.”
Dimbiloglu is open about the fact that Delta is consistently tweaking things in accordance with passenger feedback, including another high-profile shopping partnership with Walmart+. “We have use case ideas of things we believe customers want to do, and we’re finding partners to trial these. We have a feedback sticky and an active survey that shows up to certain individuals [on the IFE system] and we take that seriously. I’m an expert on what I like, but I don’t know what everyone wants,” he admitted.
“Once they’ve accessed the free Wi-Fi, Delta and American Express have amazing marketing teams that can reach out and let them know about our partnership; that there’s more to SkyMiles.”
It is safe to say that passengers do want a consistent experience across the board, which Delta is in the process of enabling. The majority of its domestic fleet, around 700 aircraft, are now equipped with free Wi-Fi, with plans to roll it out to the remainder of its 1,100-strong fleet already in motion. Dimbiloglu also pointed out that the ability to connect a smartphone to the seatback is only available on 187 jets at this moment in time, and is a capability which is also being scaled up.
He considers the final piece of the puzzle is improving passenger expectations. “People who don’t fly regularly don’t have high expectations. They need to believe it all works.”
Find out more about how Delta Sync came into being in this pre-show interview with Dimbiloglu.
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