The School of Mobile Vol. 2 - The Detail
Examples of ways to generate ancillary revenue from mobile:
1. There is the possibility for incremental revenue genera�on from exis�ng ancillaries. This is
where the mobile device is used as a distribu�on channel. A way to think about this is that it
allows you extend your sales window to the day of departure and beyond. It also allows you
to take advantage in established pa�erns of buying behaviour and to push offers and special
deals to consumers at the point at which they are thinking about and thus likely to purchase
a par�cular ancillary i.e. generally customers first book flights then as the trip draws nearer,
hotels, then tour packages, then care hires the perhaps a�rac�ons, insurance and so on. Use
mobile to leverage these customer behaviours by being there to deliver these products when
customers want them most.
2. There is the poten�al to create new revenue streams from new ancillaries (exci�ng huh!).
This relates to being able to tap into impulse spend at the des�na�on by promo�ng new,
personalised, valuable and relevant ancillary services. For example your customer, whom you
know is a young male with an iPhone that o�en travels to des�na�ons in Europe in the summer,
arrives in Budapest and you send them a text message advising them of a hugely popular
summer music fes�val and you direct them to your partner to book �ckets at a discounted rate.
The customer thinks great idea, books the �cket and you generate revenue from commission.
3. There is the op�on through certain mobile offerings to allow a small amount of targeted third-
party adver�sing. This must be well-targeted or will be held to be intrusive, frustra�ng and
ul�mately, damaging to your brand.
4. For SMS based services, there is the ability to charge customers to use the service. Again the
services genuinely must be seen as valuable, relevant and personalised to the customer’s
individual needs.
(Source: Man�c Point and EyeforTravel )
Mobile CRM: New paths to customer acquisi�on, engagement, loyalty and reten�on
Described as the ‘Sleeping Giant’ in a recessionary economy by the New Media Ins�tute mobile
CRM offers exci�ng possibili�es for travel companies to leverage mobile technologies. Mobile
CRM is not something to look at in isola�on but it is an excep�onal way to leverage investments in
mobile marke�ng and adver�sing and indeed, if you do not pursue mobile CRM then it is unlikely
that you will achieve the expected results from these avenues.
In fact mobile CRM should be ‘baked in’ early on in the development of your mobile strategy.
Gold Mobile defines Mobile CRM as: “The systemic integra�on of mobile communica�ons into a
company’s or brand’s customer rela�onship management program”
Like more tradi�onal CRM systems, mobile CRM has a number of benefits for travel companies.
Mobile CRM though is of course much more powerful than tradi�onal CRM as it is much more
personal. With Mobile CRM you can:
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