Putting the customer firstThomas Drexler, Global Head of Amadeus Rail

Content

Customer first!

Rail 2020

Challenges facing rail distribution

Integrating rail into the travel ecosystem

Travel - putting the customer first

Traveller is more informed, the digital era

More competitive or co-opetitive day by day

More demand for cooperation (total trip experience and door to door)

Make complexity simple, less is more

Travel is the biggest industry in the world Employs +260 million people, Contributes +$6

trillion to the Global Economy (9% over total Global GDP)

Customer centric

processes

Round the clock

support

Easy to find you

Keep customers

loyal

Making the

customers life easy

Customer centric?

It’s all about the EXPERIENCE

In the last century, the only major changes in the rail industry are train related

1800’s Today

Steam locomotive

Fuellocomotive

Electriclocomotive

High Speedlocomotive

More COMFORT & better SECURITY…

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Rail Journey

2020

Comprehensive picture of Europe’s passenger rail market

Evaluation of major rail segments

Identification of key trends critical to the success of rail

Spotting new business opportunities for railways

Rail 2020… and beyond!

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20 European countries

incl. incoming/outgoing traffic

95% of the European passenger rail market

High speed rail (>200km/h)

Long distance rail (>100km)

Short distance (no metropolitan, light rail)

3 segments used in the study

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passengers transportedin 2011

10.2 billion

609 billion

passenger kilometers

The European rail market today

11% of pax = 1.12 billion pax

Long distance passengers

29% High speed=320 mio. pax

6% Cross-border

=66 mio. pax

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-30%

-27%

-14%

UkrainePoland

Russia

Belgium

United Kingdom

GermanySweden

Switzerland

+53%

+41%

+54%

+44%

+54%

Total growth in passenger numbers since 2000

These countries’ passenger number is growing again since 2011

Six key trends

shaping the future

of rail:

• Liberalisation

• New market entrants

• Completion of new high-

speed lines

• Multimodal hubs

• Air-rail and rail-rail

cooperation

• Airport Congestion &

rising Oil price

To download the report, please visit www.amadeusrail.net/research

Rail tomorrow - a “customer-centric” offer Before the trip During the trip After the trip

When purchasing When traveling When exiting

Greater choice in product selection

Customised purchase Advanced search Service catalogue Multi-channel

Penetration of mobile Real-time travelling

information Geo-location Customised experience

Multi-touch point experience

Customer care Membership program Customer profiling

Services

Implementing a customer centric process

Offer and Time Table Simulation

Customer Relationship Management

Time table information

Allocation of personnel and vehicles

Price and Yield Planning

CRM Strategy

Reservation/Inventory

Planning of Maintenance

Timetable and service plan generation (train manifest)

Payment Services

Complaint Management

Procurement

Finance, controlling, HR

Finance/ Controlling

IT delivery

Sales Strategy and Planning

Marketing and Campaign Planning

customers

Train ride and monitoring

Train path request

offering and capacities

Services on board

IT strategy

Business Development

Human Resources

resources

Account ManagementProduct and Service Development/ Creation

Market Research

Traveller Information

Customer segmentation Personnel Planning

Maintenance

Revenue Accounting, Rating & Billing, Settlement

Ticketing

Train provisionning

Plan

ning

Exec

ution

Cont

rol

Customer service conceptsPersonnel and Vehicle Resource Planning

Network and Capacity Management

Offer Generation

Customer RelationshipSales Production/

OperationSupportingFunctions

Price and Yield Management

products, prices, allotments

Master Data

Management Information System

RevenueManagement O

n Bo

ard

TVM

Inte

rnet

Pers

. Sal

e di

rect

Pers

. Sal

e in

dire

ct

Automating customer centricity

Passenger information across all sales channels

Single source data, including fares and pricing, through a modular approach

Managing the revenue by having the right price, at the right time, to the right customer

Integrating rail into the passengers travel ecosystem Not just as a

single/return journey

Manage more efficiently and focus on core business

Integrating rail into the travel ecosystem

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Four converging macro trends pushing for seamless intermodal transport

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Political

• 4th Railway package

• Enablers for Intermodality

• TAP TSI

New technologies

• Open platforms

• Mobile payment & ticketing

Changing patterns

• Collaboration amongst transport operators – multi-modal• “Thinking Green”

Consumers

• Travelers demand more choices and transparency

A standard way to sell railincreases demand and visibility

Travel Agent air/rail sell

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SBT air/rail sell

Travel Agent rail sell

How to bring in new business…

Implement a customer centric process…

Make more revenue from existing or new routes by increasing reach and yield

Specialists/expertise to help improve revenue and loyalty tie up the costs and reduce manual

intervention MORE TIME TO FOCUS ON YOUR CUSTOMER

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Amad

eus

IT G

roup

SA

Alexandra to re-do image for Follow us: only keep Twitter and LinkedIn. We should probably add the website:

amadeusrail.net

http://www.amadeusrail.net/research

Rail report