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New York Marriott Marquis, New York, NY, USA
S7 Airlines (a Sibir Airlines brand) has the largest route network within Russia and makes regular flights to CIS countries, Europe, Near East, South Asia and the Asia-Pacific region. S7 Airlines as well as Globus Airline, S7 Tour (international travel agency), S7 Ticket (a retail chain for sales of tickets and travel tours), and number of other companies is part of S7 Group. S7 Airlines is a member of oneworld© global aviation alliance, world leader in providing quality services to passengers. The alliance unites such worldwide recognized airlines as American Airlines, British Airways, Iberia, Finnair, etc. Together oneworld© members offer travellers a lot more services and advantages than each of the airlines individually.
In 2005, market pressure on the air transportation industry grew, and S7 Airlines was faced with a challenge of cutting costs while extending ticket selling options, and attracting new customers. S7 Airlines decided to develop and implement a full-featured Internet portal that provided both individual and corporate customers with ticket sales and a range of other online services. While more common in many other regions, this project was among the first of its kind in Russia.
The Customer turned to EPAM Systems to have their portal (www.s7.ru) developed, while SITA - the global provider of telecommunication and IT services for the air transport industry - acted as the online booking system provider. The first release of the portal offered the core set of the services most demanded by passengers: the ability to view flight schedules and chose a flight, and the ability to buy tickets online using a bank card.
After the success of that initial offering S7 decided to implement a even more flexible eCommerce platform (Sabre Airline Solutions’ QuickTrip system), to enhance the website interface and expand the number of rendered services. EPAM helped here with the implementation as well.
In partnership with EPAM, S7 has extended the portal to include the following services:
Moreover, the portal has been implemented with built-in advanced marketing tools (via the EPAM Marketing Engine), that provide features like targeted banner ads (including geo targeting), special offers and online marketing campaigns.
Security was also a paramount concern in the development of this portal. Advanced SSL encryption (Secure Sockets Layer) was used to secure personal data used on the system, and to provide extra protection for cardholders, the portal deploys a 3DSecureinternationalpayment system technology.
For travelers, having a solution that they can use on the road is vital. EPAM developed a mobile version of the portal, including a specific implementation for the iPhone as well. This now allows S7 Airlines’ customers to check in online (for example, on the way to the airport), get updates on a flight’s status promptly, etc.
With the “go-live” of S7’s new internet portal, passenger traffic on the airline has increased. The portal allowed the Customer to reduce ticket selling costs, while increasing the income from value-added services. There was also a step up in strengthening customers’ loyalty by offering new easy-to-use services (quick information search, selecting an appropriate fare, 24/7 ticket buying option, choosing a suitable method of payment, booking management, saving information on customers preferences and fellow travellers etc.).
The Internet is the most prospective distribution channel for air transportation: such method of selling tickets is two times cheaper for the airline company than proper or agency sales. Moreover, this channel risks are minimized, as earnings from sold tickets go direct to the airline, passing any go-betweens. Last but not least, we face new opportunities in addressing to a wider audience and attracting new customers. One more great advantage is that by “Internet-izing” a number of services and enhancing their usability we can strengthen our customers’ loyalty.