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Amadeus
Research report
Foreword by Meg O’Keefe
Director, Offer Suite Solutions Airlines, Amadeus
Airlines are moving towards customized offers. How can airlines price, position, and promote their products and services so that their offers meet individual traveler needs?
Offering just a total fare that a traveler can take or leave is no longer enough. Customized offers will lead the way airlines interact with travel shoppers. The potential is big- more than half of the airline executives surveyed, expect this evolution to increase passenger revenue by 15% or more. But airlines won’t be the only ones to benefit with increased revenue and competitiveness. For travelers, gains may include greater satisfaction, more empowerment to make choices, and clarity about the offers they see.
Airlines are starting to move toward an interplay between revenue management, ancillary revenue, and customer analytics. Those airlines that can integrate these three components together under a unified model will have a clear competitive advantage in the future.
— Michael Farrugia, Planitas Airline Systems
The customer does not exist. Because every customer is different. Customer-centric firms acknowledge the heterogeneity among our customers. More than that, we celebrate it because we understand that heterogeneity offers us opportunity.
— Peter Fader, The Wharton School