GNER
The opportunity
Great North Eastern Railroad (GNER), a leading UK train operator, saw an opportunity to install wireless onboard Internet onto their newly refurbished Mallard high speed trains as part of their overall strategy to create the highest standards of service and comfort for their passengers. In an increasingly competitive passenger transport market GNER views onboard internet access as a crucial differentiator.
GNER believes Onboard Internet has a key role to play in helping them fulfil the following business goals:
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To improve the travelling experience for business passengers as part of a wider upgrade.
To generate upgrades to 1st Class by providing Internet access free. Market research suggested that up to a third of Standard Class passengers would travel 1st Class if they believed it would add sufficient value to their journey in terms of productivity and comfort.
To encourage Model Shift from other forms of transport (planes and cars) by providing an opportunity for more productive use of travelling time.
To demonstrate a firm commitment to pioneering progressive new services for customers.
The Solution
GNER conducted technical research into potential solution providers between December 2002 and September 2003. Although a number of companies claimed to be able to provide the service, none of them had a commercial service in operation, with the exception of Icomera. Christopher Garnett, CEO of GNER, came out to Sweden to sample the Linx service and saw that Icomera had made the promise a reality. An agreement of cooperation was signed and GNER started a program of business planning and research to investigate the optimal pricing points. In parallel Icomera installed the equipment onto three trains and two coaches in each train.
In December 2003 the service was put into trial on the London-Edinburgh route. The trial was very successful with 100% connectivity established for passengers across the route and significant interest in taking up the service.
In June 2004 the full commercial service was rolled out. All passengers could use the service, free in 1st Class and paid in Standard Class.
The results
GNER found that their market research proved right. Usage has grown and in mid 2006 the average weekly number of users has reached 5 000, a year later it had doubled to 10,000. Even more significantly 2.5 per cent of Standard Class Wi-Fi users have upgraded to 1st Class tickets. This demonstrates that passengers value the ability to make productive use of their time on board and value accessing this service for free in first class.
The Wi-Fi service reliability has led to average usage time increasing from 45 minutes in June 2004 to around 80 minutes per person at the end of August 2006.
There is also evidence that some companies are switching their business from other forms of transport to GNER trains.
Christopher Garnett, CEO. GNER
"We are very excited about rolling out Icomera's wireless Internet solution. Not only will it enable our valuable business passengers to be even more productive on-board, but it is sufficiently robust and easy-to-use that we believe it will prove highly attractive to our leisure customers"
Martin Shaw, Mobility Solutions Project Manager, GNER
"It's the only solution that was commercially proven and guaranteed connectivity. The other products were dependent on track side masts, incomplete and untested options"
The future
GNER was re-awarded its franchise on March 22