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Amadeus Travel Intelligence ‘Monetising’ big data sets
265ced1609a17cf1a a2ad ae8 Amadeus Travel Intelligence ‘Monetising’ big data sets © 2013 Amadeus IT Group SA Pascal Clement, Head of Travel Intelligence, Amadeus From Traditional BI to Travel Intelligence & Big data This session aims to provide Insights on how Amadeus will shape the future of travel by providing the reference Travel Intelligence services to our customers:. Objective of this session is to enable you to understand what Travel Intelligence is, the evolution of Business Intelligence and how we plan to make our customers more profitable through revolutionary insight into their business!
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1 Approaches to BI today
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From Traditional BI to BIG Data The world is changing
Traditional Business Intelligence Traditional business intelligence tools are too slow (and limited) Limited Data Expensive to maintain Low scalability Under usage of real BI value BI PROCESS DATA Business intelligence was traditionally dealing with structured data, looking at the past with a big performance challenge to deliver information at the speed needed for today’s travel marketplace Classical/Traditional BI: - Lack of flexibility/agility in technology choices - High Cost & Unknown ROI - Under-usage of real BI value/potential within companies - Pure IT driven projects - Poor data Quality/Coverage Between 70% to 80% of corporate BI Projects fail (source: Gartner, Jan 2011) BI as defined since … 1994 is a set of methodologies, processes, architectures, and technologies that transform raw data into meaningful and useful information used to enable more effective strategic, tactical, and operational insights and decision-making”
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The future marketplace and the whole travel ecosystem need a new BI
The Consumer “Pull” Model Unstructured Data Next-Generation Personalized Services SOLOMO * Mobile Devices Cloud Computing Models Regulated Supply Chains Optimized Travel Retailing Desktop Dashboards In the past, travel distribution was controlled by suppliers. Consumers had limited options in how they made their purchase decisions and were obliged to operate within the hierarchy Now, it is controlled by the consumer and new tools are empowering consumers, helping them influence product offerings and the purchase process MIDT - BIDT Data Warehouse and ETL Services The Supplier “Push” Model Structured Data “Me Too” * Social, Local, Mobile
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Are we ready for this future?
Data Big-Bang IDC: “212 billion ‘things’ online globally by 2020” This will include 30 billion ‘autonomous’ things More data generated this year, than in the previous 5000 Are we ready for this future? The future is not about more data, it’s about leveraging the data Travel companies need to put the right infrastructure in place now
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The challenges Creating an integrated data source
Maintaining a hybrid tech environment Data skills shortage Maintaining competitive advantage Travel industry knowledge Creating an integrated data source Customer data is often divided between multiple functions and units (e.g. airline passenger data is spread across flight operations, baggage handling, loyalty programmes, etc.). In order to make their analysis of big data as effective as possible, travel companies need to create an integrated source of customer information – a costly, challenging process. Hybrid technological environment Big data technology architectures need to co-exist with travel companies’ existing hardware, software and databases. However, hybrid technological environments lead to challenges associated with IT architectural cohesion and the efficient functioning of both new and old systems. Many airlines and hotels still use the Transaction Processing Facility (TPF), which cannot run on Hadoop or in other open-source environments, and would need to be replaced following big data adoption. Data skills shortage The shortage of data scientists – individuals skilled in big data manipulation and analysis – is a challenge both within and beyond the travel industry, and could hinder the progress of firms’ big data initiatives. While mainstream travel companies have employees with analytical skills in areas such as revenue management, big data analytics (which involve machine learning, visual analytics, and text processing) require different skillsets. The travel industry needs to position itself as an attractive industry for data scientists. Maintaining competitive advantage Big data initiatives such as customer loyalty analytics gave some travel companies early competitive leads, but they are now an increasingly common feature across the industry. The rapid speed of change can make it difficult for a travel firm to stay ahead of its competitors for very long. Unique data, continual innovation, and experimentation with new technologies are essential for travel companies that want to maintain their competitive advantage. Travel industry knowldege
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…Imagine the possibilities…
What if airlines could… …Detect pro-actively expected no-shows to increase opportunities to re-sell tickets (RM) …Identify travellers’ intentions to invest only where it worth - for efficient marketing spend (MKT) …Open new routes with high ROI (Network Planning) …Be alerted on uncompetitive pricing (RM) …Get their daily Market Positioning per O&D to take appropriate action (Sales) …Get recommendations on most profitable merchandising opportunities per route (Sales) …Monitor their performance indicators in real-time (Executives) …Identify their operational pain points in a factual and measured way (Ops) …Adjust their Ops Control strategy in real time (Ops) …Have a 360 degree insight of their activity (Executives) In that context, What if we could provide the following capabilities to Airlines: ..in a agile, cost efficient and timely manner !
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Traditional business intelligence tools are too slow (and limited)
Leveraging BIG Data technology to deliver next-gen BI solutions No Data Limit - Amadeus, - Customers (private), - Industry,.. Cost-efficient solutions Cloud-based Agility - Try a scenario - Get immediate results - Expand as relevant Personalized Service Specialized Data Scientists Deep Travel expertise Traditional business intelligence tools are too slow (and limited) Amadeus Travel Intelligence INTELLIGENT PROCESS the volume of data generated through Internet, Smart phones, business and individual applications represents more than 2.5 Exabyte’s each day! More data cross the internet every second than were stored in the entire internet just 20 years ago. Amadeus has set-up the Amadeus Travel Intelligence NBU to help our customers leverage advances in technology and analytics High scalability (In Memory, Parallel Processing, Hadoop Architecture, No SQL ) ====================================== Big Data Technologies like Hadoop and NoSQL utilise distributed computing to handle growing OLTP in a cost-effective manner (cheaper hardware, cheaper processor) Big Data Technologies offer low-cost scalability and can be used to augment existing OLAP to deal with growing data. Benefits: Enable to Transform the increasing amount of raw travel data into actionable information for our customers’ business profitability! Enable our customers to stand up against competition! BIG DATA High volume, high velocity, high variety information assets can create substantial economic value and help with operations, decision making, risk management and customer service Big Data is composed of 85% of unstructured data generated by internet, social media, mobile users, etc. Big data is more about processing large volumes of data in almost real time, to create on-the-fly value
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A new approach to the infrastructure
Classical BI Data Lake Datamart = store of bottled water cleansed, packaged and structured for easy consumption Repository of unlimited amounts of data of any format, schema and type, that is relatively inexpensive and massively scaleable
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Customer – Before and After
Amadeus BI Dashboards
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Market Analysis: United Kingdom
Dubai is one of the top searched destination from London in March 2014 Most British intend to stay in Dubai for a week And lastly, when we look at the destinations with the largest increase in searches between Dec 12 and Dec 13, KUL is one of the top 3 which is definitely encouraging news. Are there any questions before we move on to the live demo of the tools?
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Benefits for the travel industry
This means a more relevant offer for the traveller High-performance analytics Increased automation Unprecedented speed Cheaper, faster data processing Complex calculations made much simpler ‘ The travel industry is still struggling with the basics Because the travel industry has not done big investments in traditional BI, there is a significant opportunity to leapfrog straight to more advanced big data approaches. Better decision support Many travel providers use internal big data to make better operational and customer-focused decisions, thereby improving marketing processes and customer service. British Airways has put big data to work in its Know Me programme, with the aim of understanding customers better than any other airline. External big data can also enhance operational decisions (e.g. forecasting customer demand by analysing macroeconomic data) and safety. A particularly significant potential use for big data is predictive maintenance on planes, engines, etc. New products and services Products and services based on big data are a familiar feature of Internet giants such as Google and Facebook. Travel technology providers, online travel agencies, and travel search firms also benefit from big data’s insights in this respect. Amadeus uses big data for its Featured Results and Extreme Search solutions, which simplify and enhance travellers’ experience of booking travel online. Better customer relationships Whereas customer relationships have historically been divided across different databases and systems, big data offers travel firms a more coherent approach: all customer information can be aggregated, rather than fragmented. This approach improves consistency and enhances customer relationships. Predictive analytics, for example, can be used to identify the products and services that most closely match customers’ preferences. Cheaper, faster data processing The new technologies for managing big data, such as Hadoop, are typically either free or low-cost. This is particularly welcome news in the light of the small profit margins traditionally associated with the travel industry. The cost of processing big data on clusters of commodity servers running Hadoop and other open-source software can be times lower than previous generations of data warehousing technology.
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Thank you
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