The database helped Cathay see that part of the problem was that many of the no-shows were customers who had been unable to book connecting flights. Cathay began screening out such reservations earlier, opening up space for other passengers. That influenced Cathay's decision to begin awarding frequent-flier points and provide seatback video systems for economy passengers, Mr. Mathison says. Now, if a hotel manager notices that guests who booked room packages including breakfast aren't eating the meal, he can tell if, for example, many of them are Japanese, for whom perhaps the existing food choices aren't appealing. In order to sell an experience, we need to know who you are and what kind of experience you want.
Reservations systems are the next area in which Asian airlines and hotels are likely to invest.
Malaysian Airline System is in the process of centralizing its scattered phone-reservations staff from centers all over Malaysia into two big centers in Kuala Lumpur and Kuching. K. Palaniappan, MAS's reservations manager, says this concentration of staff has enabled the airline to take phone bookings 24 hours a day, instead of just during each city office's normal working hours. The large group has sped up service by creating a bigger pool to pass on calls. Another benefit, he says, is that reservation takers are equally informed about special offers. The larger group also should help MAS handle calls in more languages, Mr. Palaniappan says.