Finance, the Quiet Force Behind the Scenes in the Airline Retailing Transformation

In recent posts, we introduced the critical role of Payment as a powerful lever for enhanced value creation in retailing and how, by incorporating payment in their retailing strategy, airlines can unlock additional value creation from their retailing by 2030.     

We also expanded the value creation exploration to Finance, as the function that is the backbone seamlessly connecting airline Payment, Fulfillment, and Settlement processes in Modern Airline Retailing. 

Here is why it matters:

• Finance acts as the bridge between payment transactions and overall business operations: it contributes to a cohesive network capable of supporting the entire customer journey - from Offer creation to Order delivery.
• It streamlines financial processes, allowing airlines to deliver their products seamlessly across channels: whether a customer books through a website, travel agent, or a mobile app, Finance ensures consistency.
• At a Business Case level, Finance's early involvement is also a strategic imperative: if involved from the outset, in collaboration with Distribution and other departments, it can ensure that financial aspects and requirements are captured accurately, and financial processes support the effective and sustainable implementation of Offers and Orders. 

In conclusion, transitioning to modern retailing isn't solely the responsibility of the Distribution function. Finance contributes to optimizing revenue collection, costs minimization, and enhanced efficiency.

While its impact on the transition may not always be immediately visible, the function's active involvement ensures that Offers and Orders will flow seamlessly, benefiting both airlines and customers. By recognizing Finance's critical role, airlines can unlock additional value creation and thrive in the dynamic retail landscape of the future. 

Learn more about Finance's views and approach to the transition to Modern Airline Retailing, first hand from the Emirates Group CFO, Michael Doersam. 

Complement your exploration of Emirates' modern retailing transition and the alignment between the Distribution and Finance function on this journey, through the compelling status update by Emirates' Divisional VP Revenue Optimization & Distribution, Amit Khandelwal.