Annual Report 2015

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Brand and Service Quality

SkyTrax
The Best Airline in Eastern Europe

In 2015, Aeroflot continued to strengthen its leadership by promoting the brand of Aeroflot as an air carrier offering the highest safety and comfort on-board, new aircraft and a broad route network. Recognised as the Best Airline in Eastern Europe by Skytrax, Aeroflot is a top-rated global industry leader by quality of services.

In the reporting year, Aeroflot continued to lead product, tactical, and image-building campaigns both in Russia and overseas to strengthen its position of the national carrier, improve corporate image, support sales of Aeroflot Group, and increase customer and partner loyalty. Aeroflot delivered a series of unique media projects using cutting-edge light technologies. The Company took part in the Moscow International Festival “Circle of Light”, organised and ran a successful New Year Travel light show in major Russian cities (St Petersburg, Vladivostok, Sochi, Kazan, and Rostov-on-Don).

In 2015, the majority of tactical advertising activities were focused on supporting Aeroflot's sales, both through classic mass media (press, outdoor, and radio advertising) and online.

In 2015, Aeroflot airline promoted its services on the Russian market through:

  • major campaigns announcing summer and winter flight schedules;
  • annual accommodations at key airports of the Russian Federation;
  • expansion on the Russian market by announcing newly launched flights to Arkhangelsk, Murmansk, Magadan, Voronezh, and Saratov;
  • boosting regional demand in low seasons;
  • offering special fares to customer leads throughout the year.

Foreign sales were supported and boosted through tactical campaigns rolled out in France, Belgium, the UK, Germany, Poland, the USA, Japan, India, China, South Korea, Armenia, and Latvia. These campaigns were designed to improve sales of direct flights to Moscow, connecting flights between Europe and Asia, connecting flights to Russian destinations, some of Aeroflot's services, as well as promote our brand in the professional community. In 2015, the Company laid special emphasis on-image building in our priority Asian markets (China, South Korea), with campaigns focused on building brand awareness and improving demand for connecting flights from Asia to Europe.

Marketing Research

72 %
Aeroflot airline's NPS index

In order to make efficient management decisions promoting the product of Aeroflot Group airlines, drive our competitive advantages on the global passenger air transportation market, and increase customer loyalty, PJSC Aeroflot conducts regular marketing surveys such as:

  • assessment of the Net Promoter Score (NPS) jointly with Bain & Company. In 2015, our NPS grew by 5 p.p. y-o-y to reach 72%;
  • survey of compliance with Aeroflot's customer service standards carried out in association with Romir Monitoring Standard as mystery passenger audit. In each of the four surveyed quarters and as at the end of 2015 this metric reached 93%, proving reliable quality of the Company's services;
  • assessment of customer satisfaction with Aeroflot airline's product on the markets of Europe, Middle East, and Asia in cooperation with IATA in its Airsat customer satisfaction survey, as well as in joint SkyTeam Customer Experience Research covering all member airlines.

In 2015, we conducted a survey to identify specifics of target customer groups on Chinese and South Korean markets. The results obtained laid a foundation for a new brand promotion strategy of Aeroflot airline for Asian markets.

We also analysed trends in customer loyalty programmes and assessed their implementation in Aeroflot Bonus, as well as conducted a survey of target groups' sensitivity to game mechanics in order to increase consumer involvement in company interfaces.

The Company conducted an on-board customer survey to assess the performance of our partnership project with Manchester United and its influence on customer loyalty and the Aeroflot brand recognition. The survey results revealed high passenger awareness of the partnership between Aeroflot and Manchester United, which has become a positive driver of the airline's image: 6% of international passengers chose to fly with Aeroflot mainly due to its partnership with this football club, and 29% admitted influence of this partnership on their choice of carrier.

In 2015, Rossiya airline's brand was assessed through online questionnaires. The survey results showed that Rossiya enjoys the strongest brand awareness in St Petersburg, Samara, Adler/Sochi, as well as among frequent flyers (taking more than three flights per year).

NPS index of Aeroflot airline
NPS index of Aeroflot airline

Improving Customer Experience

Aeroflot strives to provide its customers with best-in-class in-flight and airport passenger services. We keep on improving in-flight catering and entertainment systems and offering new services to make the flight as comfortable as possible.

In-flight services

35 aircraft
with Wi-Fi access points

In 2015, we continued to deliver on our programme of offering passengers in flight Wi-Fi on-board Aeroflot airline's aircraft. As at the year end, 35 aircraft had Wi-Fi access points (22 Airbus A330s and 13 Boeing 777s). Thus, Wi-Fi is accessible on all of Aeroflot's long-haul aircraft.

Upgraded services for business class passengers include:

  • modern Premier in-flight entertainment devices deploying a Samsung Galaxy Tab S 8.4˝ tablet (a number of medium-haul flights);
  • luxury Salvatore Ferragamo branded amenity kits (on-flights lasting more than six hours);
  • complementary beauty products by Caudalie in WCs (on-flights lasting over eight hours)..

Airport services

To improve airport experience Fast Track service has been rolled out in Amsterdam, Athens, Bangkok, Barcelona, Bologna, Brussels, Budapest, Venice, Geneva, London, Madrid, Paris, Prague, Riga, Rome, Tallin, Tokyo, and Frankfurt.

In 2015, the Company made the following upgrades in Sheremetyevo's Terminal D:

  • individual portable power banks for passengers to charge their personal gadgets were set up in business lounges;
  • new electronic scales for hand luggage were installed at boarding gates;
  • unaccompanied minor lounge rooms were renovated.

Web services

Aeroflot has continued to expand its online offering by launching a new hotel booking service, adding a Chinese language booking interface, updating our Special Offers section, and introducing a new “price guarantee” service. In addition, we launched the Aeroflot mobile app for iPad and improved functionality of a number of services, including extended support of Passbook and Google Now.

Subsidiary services

In 2015, PJSC Aeroflot's subsidiaries implemented a wide range of measures to improve their customer experience.

Rossiya airline introduced new approaches and techniques to enhance in-flight services and expanded the selection of snacks and drinks available on-board for purchase on domestic flights.

Aurora airline introduced branded on-board blankets in business and economy classes and hot local cuisine dishes on the in-flight menus on-flights to Japan, China, and South Korea. The company also launched an upgraded website.

Donavia airline introduced mobile check-in at Rostov-on-Don, Mineralnye Vody, and Domodedovo (Moscow) airports.

SkyPriority

Starting from 2013, Aeroflot airline as a member of the SkyTeam Alliance has been leading a SkyPriority initiative offering accelerated completion of departure formalities to frequent flyers who are prioritised during the check-in, luggage drop-off, passport control, and boarding.

In 2015, we continued to roll-out Fast Track/SkyPriority (accelerated passport control and security checks) in SkyTeam alliance hubs.

Aeroflot Bonus

5.1 million
loyalty cardholders

Aeroflot Bonus is the largest frequent flyer programme in Russia, CIS and Eastern Europe. In 2015, the number of programme members increased by 13.0% y-o-y to 5.1 million people. Aeroflot Bonus members are essential for building customer loyalty. In 2015, a frequent Aeroflot Bonus flyer averaged 6.5 flights.

Aeroflot Bonus offers its members an opportunity to earn free miles when flying with Aeroflot Group and SkyTeam Alliance, paying with co-branded cards and using partner services around the globe.

Free miles can be used to book premium flights across Aeroflot Group's and SkyTeam Alliance's route network, upgrade the travel class, book a room, rent a car or buy other goods and services offered by our rewards catalogue. Aeroflot Bonus members may also donate miles to charities under the Mercy Miles project.

The programme provides for Basic, Silver, Gold, and Platinum tiers. Elite club members benefit from additional privileges on Aeroflot Group and partner flights.

18  new partners
in Aeroflot Bonus programme

In 2015, we enrolled 18 partners as part of the bonus miles programme, designed and implemented the reward catalogue offering mile redemptions for partner goods and services, and enhanced our mobile apps for Aeroflot Bonus. We have also expanded geography of mile redemptions for travel class upgrades at check-ins. To strengthen the appeal of this initiative, improve customer focus, and increase returns we held about 20 special campaigns with Aeroflot Bonus partners.

Aeroflot Bonus members, million

Aeroflot Bonus members
Aeroflot Bonus members
by tier, 2015