LATAM’s new app, launched in Could, has resulted in a 121% leap in ancillary gross sales per passenger and a 1,000% ROI in digital advertising.
LATAM outlined its newest digital ambitions at this week’s summit on the new reality of flight shopping, hosted by ATPCO, and offered outcomes from the primary stage of the rollout of its new reserving app. Three months after the app launched in Could, LATAM discovered that it had delivered a 3.11% enhance in conversion charge; 60% sooner time to buy; 50% discount within the common variety of clicks required to buy; 121% leap in ancillary gross sales per passenger; and 1,000% ROI in digital advertising.
“Two months earlier than the disaster started we had deliberate to change into a totally digital airline,” mentioned Jorge Sierra, digital transformation supervisor at LATAM. “We wished to supply a customized and fascinating ‘Amazon-like’ provide with seamless navigation that may improve the consumer expertise with out the passenger having to work together with a human. We lately launched the app in Chile, and we’ll be launching in Columbia and Brazil quickly. With that we are going to have 97% protection of our market.”
LATAM has designed the app to allow 100% of reserving adjustments, cancellations and refunds, and facilitate automated check-ins. The target can also be to extend ancillary gross sales by means of the channel by an element of 5.
“We wished to supply a customized and fascinating ‘Amazon-like’ provide with seamless navigation.” – Jorge Sierra, LATAM
The airline has structured the app’s consumer expertise into two core journeys. Order-to-cash is the method that the client carries out from the second they interact with the net software, till they full a purchase order. The second journey, door-to-door, takes the consumer from their dwelling or wherever they begin their journey, to their vacation spot, by offering flight info, pre-flight info and incident administration.
LATAM constructed and applied the app utilizing versatile, sustainable and easy IT expertise, unencumbered by legacy IT structure. “We used an MVP (minimal viable product) strategy the place we constructed a extremely small product after which let it develop,” Sierra defined. “We additionally colocated groups in a distinct atmosphere separated from the principle LATAM group in order that the staff may work independently and assume like a startup.”
The MVP launched in Could 2020 and is tailor-made to providing home flights with automated check-in and includes a new reserving circulation and digital dealing with of adjustments and refunds. The airline is at the moment within the subsequent section of rollout, the product increment section, the place LATAM will attain a protection of 100% of use instances and can enhance functionalities corresponding to bettering merchandising capabilities and testing what Sierra calls “high-potential merchandise.” This will probably be adopted by a steady enchancment section, meant to deepen platform monetization, implement new merchandise, and concentrate on adjoining enterprise digitization.
