Airlines Team Up with IT and Duty-free Industry to Boost Sales | Be Korea-savvy

Airlines Team Up with IT and Duty-free Industry to Boost Sales


This file photo taken July 29, 2020, shows planes parked at Incheon International Airport, west of Seoul. (Yonhap)

This file photo taken July 29, 2020, shows planes parked at Incheon International Airport, west of Seoul. (Yonhap)

SEOUL, March 12 (Korea Bizwire)South Korean airlines struggling with the coronavirus pandemic are joining hands with IT firms, hotels, and duty-free stores in an attempt to boost revenue.

Korean Air Lines Co. and Naver Corp. signed an agreement last month to enable ticketing and check-ins via Naver’s online portal.

The South Korea’s biggest carrier also enabled Apple Pay for all flights departing from North America. Using a separate app or Safari, customers can pay for their flight reservations with Apple Pay.

Asiana Airlines Inc. is offering accommodation discounts at Lotte Hotel for all passengers flying on A380 flight tours.

Airlines are also working closely with the duty-free industry for all international flight tours where passengers are allowed access duty free shopping.

Jeju Air Co., the country’s top low-cost carrier, is offering up to 60 percent discounts for shopping at Lotte Online Duty Free, and up to 600,000 won (US$530) discounts for shopping at Shinsegae Duty Free stores.

T’way Air Co. offers membership upgrades and point savings for shopping at Shilla, Lotte, and Hyundai duty-free stores.

Some experts are concerned over the marketing strategy taken by the airlines, arguing that it may end up in a war of attrition where there are only minimal gains.

Pricing on international flight tours, which began in December last year, has gone down by 30 to 40 percent this month due to tighter competition among airlines.

Ashley Song (ashley@koreabizwire.com)

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