SINGAPORE. The new-look KrisShop, described by its three stakeholders (Singapore Airlines, 3Sixty and SATS) as a “major omnichannel opportunity”, was officially launched today at Raffles Hotel in Singapore.
The comprehensive brand revamp of the travel retail platform features a new website, KrisShop.com.
In celebration of the launch, KrisShop curated a pop-up exhibition divided into several experiential zones, each showcasing a different retail feature of KrisShop.com.
“Today is the start of a long-term journey to create a successful business model that will help redefine travel retail in years to come,” KrisShop Chief Executive Officer Chris Pok told media this morning.
[Click on the icon to hear KrisShop CEO Chris Pok tell Martin Moodie about the thinking behind the KrisShop relaunch]
Reaching beyond the sales carts To fulfil its ambitions of redefining the airline role within the travel retail sector, KrisShop CEO Chris Pok said that KrisShop had sought to address some fundamental questions: The answers have come via a series of KrisShop initiatives, some of which are new to the travel retail industry. Highlights include: • Project 60: Working with SATS and 3Sixty, KrisShop has developed the ability to enable customers to order merchandise up to 60 minutes before flight departure out of Singapore with delivery to their seats. “This enables KrisShop to reach out from the time a ticket is booked until they board a plane,” said Pok. • KrisShop on KrisWorld: KrisShop is working with SIA and inflight entertainment system providers, to bring the krisshop.com experience to passengers. Soon, krisshop.com will be available as a dedicated inflight channel and deliver an “engaging and content rich shopping experience to our travellers as well as a transactional shopping site for delivery onboard or to home”, Pok pledged. • Premium delivery experience: KrisShop is working with SIA to marry the renowned SIA cabin crew service experience with high-end product delivery expectations so that onboard delivery is comparable to that in bricks and mortar stores. • Silver Kris Lounge will be enhanced to better feature KrisShop in a more active and experiential manner in both Singapore and at selected locations around the world. |
The Moodie Davitt Report is bringing exclusive live coverage of this pivotal development within both the inflight and wider travel retail industry. Look out for our extended coverage in the next edition of The Moodie Davitt eZine.
As reported, KrisShop is a three-way joint venture between Singapore Airlines (SIA) with a 70% holding, travel retailer 3Sixty (formerly DFASS/15%) and ground services provider SATS (15%), announced in March 2018.
Symbolically, the reimagined omnichannel platform is being showcased throughout the pop-up exhibiton at Raffles Hotel, itself newly relaunched after a 20-month closure for refurbishment and modernisation.
The launch was introduced at two sessions, this morning’s to the media and this afternoon’s to the trade, KOLS, selected PPS (Priority Passenger Service customers) and key cabin crew. This afternoon’s session was graced by Singapore Airlines CEO Goh Choon Pong; KrisShop Chairman Campbell Wilson; SATS CEO Alex Hungate; and 3Sixty Chief Operating Officer Alex Anson Esparza.
Mr Goh told The Moodie Davitt Report that he felt very confident about prospects for KrisShop. “We’ve got the right model and the right offer and, importantly, the right people in place,” he said.
Kian Gould, Founder & CEO of German company AOE, the aviation world’s leading non-aeronautical revenues digitalisation company. which developed the pivotal OM³ back end for the ecommerce platform, was also in attendance [see below for an extensive podcast with Gould].
The launch included an impressively immersive and experiential tour showcasing the pop-up exhibition, the new retail platform and some of the goods and services on offer.
Campbell Wilson told guests this afternoon, “For the past two years we’ve been deeply invested in transforming the Singapore Airlines group, to make it more efficient, more effective, more digital and to improve the customer experience.
“Our recent investment in digital alone measures in the hundreds of millions of dollars and will exponentially ramp up our capabilities and our resources. KrisShop’s relaunch is part of the broader Singapore Airlines transformation.
“We saw an opportunity in the trends towards online shopping and technological advancements that allowed more personalised omnichannel sales and fulfilment. We saw opportunity in our huge customer database of more than 35 million people; our personalised marketing technology; our global reach; and our logistics capabilities.
“We saw opportunity in a substantial currency form via the miles held by our frequent fliers, which currently exceeds more than S$600 million in value. This can obviously be spent on goods and services as well as flights.
“We saw opportunities in the audience sitting in front of their personal inflight entertainment screen hour after hour, day after day as they travel across the world. So together with our partners, SATS and 3Sixty, we’re bringing all these assets together to seize the opportunity by transforming KrisShop from an outsourced concessionaire focusing principally on inflight retail and sales to an omnichannel e-retailer, fully supported by all the shareholders’ resources.” [Look out for an extended interview with Campbell Wilson soon; click here for his comments on the omnichannel opportunity from TFWA Asia Pacific in May, featured recently in The Moodie Davitt eZine].
Pok echoed those themes in his morning address. “KrisShop’s transformation is part of SIA’s broader transformation strategy and the journey started two years ago,” he said. “Recognising the change in consumer shopping behaviour such as preference for digital as well as technical advancements that allow more personalised omnichannel sale and fulfilment, we identified an opportunity to embark on a bold initiative to go beyond the inflight catalogue and deliver a retail experience required by today’s and tomorrow’s consumers.”
“We also saw the need, and the opportunity, to improve service to the level expected of SIA and to match any retailer in the world”
KrisShop’s transformation will involve a deeper integration with SIA assets such as KrisWorld (SIA’s inflight entertainment system) and the KrisFlyer programme, Pok said.
“We saw an opportunity to serve our huge customer database of over 35 million people with better, more personal recommendations, a wider product range and new services,” he continued. “We saw an opportunity to give holders of KrisFlyer miles new and better options to spend them.
3Sixty Founder: “This is how inflight retail will look in the future” 3Sixty Founder & Chairman Bernard (‘Benny’) Klepach (pictured below) told The Moodie Davitt Report, “This is a very proud day in the evolution of our company.
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“This is the new, contemporary and cutting-edge face of airline retail. It is how inflight shopping will look in the future and we are truly excited about the potential of the KrisShop platform and to be part of this technological and retailing breakthrough.”“We saw opportunity in technical advancements that allow more integrated and reliable fulfilment. And we also saw the need, and the opportunity, to improve service to the level expected of SIA and to match any retailer in the world.”
Pok said that the alliance with SATS and 3Sixty enables KrisShop to tap into airport logistics fulfilment capabilities provided by SATS at Changi Airport and airports in the region. 3Sixty provides outstanding access to brand partners.
“With the backing of strong parents, KrisShop’s vision is to be the choice premium omnichannel retailer through service excellence and innovation,” Pok said. “KrisShop aims to redefine the role that an airline plays in the travel retail business.”
3Sixty Executive Vice-Chairman Roberto Graziani told The Moodie Davitt Report today, “We want to offer something different, something new, something fresh.
“We are trying as much as possible to be close to the customer, following and anticipating their moves and needs. The idea is to give them a very high level of service, which is something very important for us. That’s the reason that we want to have so many touchpoints.
“In terms of the commercial proposition, we want to expand the localisation, for example by offering products from our home base in Singapore. We also want to offer newness from different countries… bringing our customers the best and most exciting products from around the world.
“In a world that is changing very rapidly, we have to pay attention as to how we keep up the novelty. We need to be flexible and change as the business changes.”
Graziani said that the KrisShop model encourages such flexibility and dynamism. He praised 3Sixty’s joint-venture partners, saying that all three parties shared a total commitment to creating a highly successful business [more from the 3Sixty Executive Vice Chairman in our next report].
[Click on the icon to hear AOE Founder & CEO Kian Gould talk about the ambitions that underpin the new platform]
Increasing the range of products and services
A pop-up exhibition showcased several examples of how KrisShop is expanding its catalogue of goods and services with international and local brand partners.
The travel retailer is set to launch a range of services supporting the traveller and unique experiences such as spa services, dining and wellbeing offers in both Singapore and around the globe.
KrisShop has created a selection of concept retail stores (see panel below) on its site: Currently, there are four – KrisShop Cares, KrisShop Discover, With Love, SG and SIA F1 shop – with more to come.
Crafting a conceptual approach The pop-up exhibition tour begins with a journey through an immersive LED installation room that introduces guests to the new KrisShop. Upon exiting the immersive area, guests are led to experience the four KrisShop concept stores. • With Love, SG: Spotlighting homegrown brands unique to Singaporean culture, With Love, SG is all about supporting local. The exhibition features a nostalgic Peranakan façade with windows and doors that can be opened for guests to explore the local products hidden behind.
• KrisShop Cares: In collaboration with The Art Faculty and Tinkle Arts, KrisShop Cares is dedicated to giving back to the community and supporting those in need. Net proceeds from the curated products and artworks will go towards the partner communities to support their cause and artists. Showcased on a spectacular projection wall, guests can appreciate the unique works of art featured under the KrisShop Cares collection.
• KrisShop Discovers: KrisShop Discovers houses niche creations curated by KrisShop. With each piece imbued with the rich heritage and personal stories of fine artisans around the world, this concept store takes guests on a global adventure to discover new and authentic products. Through an instagrammable swing and a wall featuring the latest KrisShop Discovers collections, the exhibition invites guests to follow KrisShop to discover new places and products.
• KrisShop Moments: KrisShop Moments is a brand-new concept store that offers customers a range of services including floral delivery, beauty and wellness treatments, special hotel room offers, hotel dining promotions, tourist experiences and more, designed to inspire people to create their very own special moments. The exhibition communicates this through a relaxing spa bed that invites guests to take some time to rest and live in the moment.
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“We see our concept shops being a point to showcase newness, on trend brands and categories and exciting limited-edition pop ups,” said Pok.
He concluded: “The first step is always hard, but with the strong backing of shareholders, brand partners and customers, we are confident KrisShop will continue to develop and establish itself as a new brand within the travel retail landscape.”
