Hanse Distribution has teamed up with LSG Riga (RIX) and airBaltic to launch a fresh initiative that has sparked onboard commercial revenues.
Coinciding with the launch of airBaltic’s first flights on 18 May, a double-page flyer with an F&B offer on one side and a €19.90/US$22.50 perfumes promotion on the other was introduced.
The disposable flyers were distributed by crew members to each passenger interested in purchasing.
Sales revenue helped to offset costs associated with producing the flyers, with Hanse reporting ‘tangible revenues and significantly reduced stock’.
Anna Berezhnaya, Sales Director at Hanse Distribution said: “Consumer behaviour also switched and the average spend per passenger in fact significantly increased compared to year-on-year data.
“Obviously, this showed that passengers are hungry to buy even in these ‘new normal times’.”
Following the success of the initiative – and after listening to feedback from passengers and crew demanding a larger range – the parties introduced a condensed version of the inflight catalogue, featuring 80% of the range.
The disposable catalogue features product images and brief descriptions and initial sales have been promising across categories including accessories, watches, jewellery, electronics and P&C.
Berezhnaya added: “Would passengers buy just by having a look at the pack shot and reading a one sentence description? Apparently yes – if the product and price are right. The first weeks of sales have shown that products from all categories were sold which has significantly increased the average spend per passenger further on.
“Passengers’ willingness to buy is still there. And with the right products, prices and a motivated crew, sales can be even better than before. Indeed, sales can be managed in a safe and protected way for passengers and crew.
“Airlines are more than ever in need of good retail revenue and, when done right and always having safety and hygiene as the highest focus, retail can support the airline industry to get back on track.
“We wish to thank airBaltic and LSG RIX for this positive case study and guts to get things done, which we feel the industry needs right now. As flights are adding up and the passenger amount increases, airBaltic once again are pioneering the way forward for inflight retail.”