Airlines can experience wild swings in revenues due to global phenomena which put a premium on analytic flexibility. Airlines are rich in forward looking data and those who can combine these into insights can retune capacity and pricing decisions to face threats head-on and benefit from actual demand data, days and weeks before competition.
British Airways: Forecasting is an Asset and Not a Crisis: Video
Identify Sales and Promotion Opportunities
Airlines must be nimble to spot trends where a price sale or a market specific promotion is needed. It’s a survival strategy, BUT also a marketing strategy. Knowing when to start or stop promotions, how much they dilute existing business etc., are analytic insights that emerge from data.
Continuously Adjust Flight Schedules
Airline networks are challenging for business intelligence – complex schedules built around hubs and alliances, customer demand patterns and itineraries, changing fare structures, etc., are continually being brought into balance. Airlines use sophisticated tools to publish flight schedules months in advance, but markets are constantly changing, so success depends on continuous adjustment.
Data Driven Customer Management
Establishing a data driven marketing strategy requires you to collect, connect, and understand the vast amounts of data your consumers are providing. Travel companies have rich detail in the booking records for understanding customers and can tailor marketing, service, operations, and profits with a full view of customer impact. It is imperative to understand which customers are most valuable and which experiences they value.
Leveling Up on Loyalty Capturing ROI from Customer Experience Management
Integrated Marketing Management Across All Touchpoints
Travel companies are evolving from product to customer centricity and the challenge is moving away from growing networks, to winning individual hearts and minds. Travel companies create valuable experiences by addressing economic, emotional and experiential drivers throughout the travel cycle, and need a suite of tools that work from an integrated view of data to supporting an integrated marketing suite that manages customer interactions across touchpoints.
The Qantas Experience: Transition to Integrated Marketing Management
Big Data Marketing
Travel companies traditionally excel at using bookings data to create products and competitive tools; now e-business driven changes in travel, in distribution and throughout the whole service experience, have created an expanded Big Data set of behavioral data that vastly expands opportunities; the promise is for innovations in new revenue options, improvements in the customer journey and for better utilization of available travel industry assets.
Big Data Marketing Book
Real-Time Operations Management
Airlines operate in a time critical environment and with detailed analytics can maintain continuous visibility to resource and customer impacts. There is impact on cost and customer loyalty from delays or cancellations. Customers hold airlines accountable and managing a business in real-time depends on having timely operational intelligence available to front-line employees.
Every airline & transportation company faces the challenge of running an efficient & safe operation, while also trying to provide the right level of customer services. Achieving the right balance requires a lot of insight and tools that provide both the business & customers with the visibility they need to make key decisions.
Norfolk Southern: On the Right Track: Case Study
Technical Operations Management
Information is the best way to keep down costs of grounded aircraft and expensive spare parts. MRO organizations are rich with information but often can’t put the data to work, because it is scattered in various applications. To keep more aircraft in the air, engineers need to find new ways to keep more data in the hangar.
Putting Aviation Operations Data to Work
Finding profitability and growth opportunities in the travel & transportation business is an information intensive activity. Even a small company that moves people or products need a deeper understanding of the customers, products, & networks that drive revenue and profitability.
Q&A: Profitability Analytics for the Transportation Industry: Gaining transparency and insight for better, faster decision making
Fraud & Bad Business
Can you identify outright fraud? Are overrides (voids, refunds, and discounts) smoothing over service failures or fraudulent transactions? Internal Audit and Security rely heavily on exception reports and anonymous tips. Fraudulent activity often appears as legitimate transactions. Reactionary methods fail to realize fraud and bad business exposure, which can only be discovered holistically, through analytics.
Enterprise Risk Intelligence for Fraud and Financial Crimes Prevention - Part One from Teradata
The financial area of an airline can benefit from the integration of financial data into a central location for research, reporting, analysis, modeling and data mining. Benefits include better control over the ticket, greater insight into usage patterns, and improved revenue recognition through an expedited use/match process.
Holistic Approach to Finance Information Yields Enterprise-Wide Results