About the Client

This case study talks about how Payotek’s payment advisory solution helped a prominent Airport Management Company in India keep track of various passenger onboarding statistics and ensure no revenue loss due to inaccurate data.

Challenges

The following are some of the challenges faced by the client that warranted a strategic solution.

  • Passenger on-board statistics provided by airline carriers were not accurate.
  • Loss of PFC (Passenger Facility Charge) revenue due to inaccurate reporting by the airline carriers
  • AERA not supportive of a transparent passenger data-sharing model
  • AAI not interested in the missing non-aeronautical revenue
  • Passenger data supplied by airlines to airports at two different intervals was inconsistent.
  • Difficult to determine if airlines are not providing accurate passenger numbers on board their flights
  • Safety & operating concerns due to non-reliable data
  • Airlines do not want airports to charge all the PFC to their passengers.

Earlier Solutions

Considering the gravity of the situation, the client tried various solutions and possibilities. Some of the ways that the client tried to address the situation were:

  • Working with IATA who regulates mainly airlines BSP. However, they were unwilling to accommodate airports as an additional member to share airline addendum data, including the passenger details.
  • Accelya was willing to help provide solutions to DIAL. But this was in a very preliminary stage & legal obligations hindered signing MOU or even an NDA between the relevant parties.
  • Pilot trial to collect the fee directly from the passenger at Hyderabad International airport was futile. Collection of PFC directly from passengers did not prove to be a practical solution.
  • Speaking to the government authorities & airport regulators to introduce a fair policy to share passenger details between airlines & airports. But this seemed like a distant opportunity.

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