A groundbreaking study by London-based brand experience studio NewTerritory has revealed the primary factors that will drive passenger spending behavior on airlines in 2025.
This in-depth research, grounded in behavioral science, identified that feeling valued, experiencing moments of pleasure, and the novelty of the travel experience will be the most significant motivators for passengers when choosing an airline. These insights challenge traditional assumptions about trust and reliability being the most important factors.
The research engaged over 250 airline passengers who had traveled in the past 12 months, with participants sharing their thoughts on 16 defined attributes influencing their airline choice and repeat purchases. NewTerritory conducted over 400 hours of research, analyzing how airlines can establish lasting relationships with passengers.
The feeling of being valued emerged as a crucial driver, with 73% of respondents citing empathy as a vital factor.
Passengers appreciated airlines that acknowledge and mitigate the stressors of travel, such as fatigue and jet lag, making the overall experience more pleasant.
Personalized moments also held great weight, with nearly half of the respondents noting that personal greetings, customized service, and tailored menus significantly impacted their choice of airline.
Moreover, 66% of passengers revealed that unexpected moments of delight during flights made the journey more enjoyable, while 55% linked the distinctiveness of the travel experience to their decision-making process. Airlines that can provide these types of experiences are likely to foster loyalty and increased spending.
Interestingly, the study found that traditional factors like trust and reliability are becoming less influential in passenger spending behavior. This shift underscores the importance of a more human-centered approach to air travel, focusing on enhancing the emotional and sensory experiences of passengers rather than simply relying on operational efficiency.
Former head of design for Virgin and NewTerritory founder, Luke Miles, is calling for airlines to embrace a new era in air travel design and customer experience, warning that this is essential if they are to survive and prosper in 2025 and beyond.
“Airline carriers must adapt their in-flight experience to keep pace with what customers are now demanding – a differentiated, human-centred journey that makes them feel like a valued customer.
“Carriers that want to win in the future need to put their passengers’ emotions and feelings at the heart of their business model. The ability to make passengers feel genuinely valued, will make or break major airlines in the future.
“We need to think of air travel as a hospitality experience – much like we think of high-end hotels. Just as we dine and sleep in a hotel, passengers expect a similar level of care and comfort in the sky. To survive and thrive, airlines must re-prioritise a hospitality-first approach, where human emotions and feelings form the foundation of the experience.”
NewTerritory is the brand experience partner for Delta Air Lines and has just completed a five-year project for its cabin redesign which will be initially rolled out this month and then across its fleet from early 2025. It features a new lighting system that has been designed to suit each phase of the flight, meaning customers will feel well-grounded and better adjusted to their time zone, as well as new soft and breathable fabrics to better regulate temperature and help passengers feel at home.
