Airlines are grappling with an urgent challenge: passenger dissatisfaction has soared to unprecedented levels. In 2023 alone, over 91% of more than 100,000 submissions expressed mounting frustration, as reported by CBS News. While customers are engaging with airlines more than ever—via booking platforms, mobile apps, and social media—this surge in interactions has yet to translate into meaningful customer experiences. The culprit? Outdated legacy systems that fail to unify customer data across channels, depriving airlines of a 360-degree view of their customers. This disconnect leaves airlines unable to fully understand or engage with their customers, whether they’re booking, traveling, or managing operations as agents.
This inability to operationalize data is at the heart of poor customer experiences, contributing to rising complaints. But airlines can reverse this trend by leveraging a Customer Data Platform (CDP). By unifying customer data from all sources, a CDP allows airlines to deliver personalized, timely interactions that meet passengers’ needs throughout their journey.
Let’s explore how CDPs can transform the airline customer journey, improving experiences and driving better business outcomes at every stage of the lifecycle.
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Unlocking Passenger Identities
CDPs empowers airlines to overcome fragmented data challenges by unifying passenger information from diverse sources, including online travel agents (OTAs). By consolidating data into a single, centralized profile, CDPs help airlines unlock passenger identities, enabling them to recognize and engage travelers directly and in early stage of flight booking. This leads to personalized experiences, improved loyalty, and deeper insights into customer preferences, even when bookings are made through third-party platforms.
Targeted Email/SMS/Notification Campaigns
Airlines can use CDPs to create segmented and personalized email, SMS, and notification campaigns. By analyzing customer data, airlines can send relevant promotions and information to potential travelers based on their preferences and behaviors, increasing engagement and conversion rates.
Targeted Remarketing
With a CDP, airlines can track customer interactions across channels and use this data for targeted remarketing. This includes displaying ads to users who have shown interest in specific destinations or services but haven’t yet made a purchase, driving them back to the booking platform.
Lookalike Modeling
CDPs enable lookalike modeling to identify and target potential customers who share characteristics with existing high-value customers. This approach helps airlines efficiently expand their customer base by focusing marketing efforts on prospects with a higher likelihood of conversion.
Real-time Content Recommendations
By analyzing real-time data, CDPs provide personalized content recommendations based on a customer’s browsing behavior and preferences. This enhances the customer’s online experience and encourages exploration of more options.
Channel, Content, and Time Affinity Models
CDPs can determine the optimal channels, content types, and times for engagement based on individual customer preferences and behaviors. This ensures that marketing messages are delivered in the most effective manner, increasing the likelihood of customer interaction and conversion.
Moment of Purchase
Customized Promotions and Offers
At the point of purchase, CDPs can deliver tailored promotions and offers that align with the customer’s preferences and purchase history. This not only incentivizes the purchase but also enhances customer satisfaction.
Cross-sell and Upsell Opportunities
Using AI-based recommendation engines, CDPs identify and suggest additional services or products that complement the customer’s current selection, such as seat upgrades, additional baggage, or in-flight services, thus increasing revenue per customer.
Abandoned Carts
CDPs can track abandoned shopping carts and trigger automated reminders or special offers to encourage customers to complete their purchase, recovering potential lost sales and improving conversion rates.
Countdown Timers
Implementing countdown timers for special offers or promotions creates a sense of urgency, prompting customers to make quicker purchase decisions.
Coupon Usage Recommendations
Based on past behaviors and preferences, CDPs can recommend the most relevant coupons, enhancing the purchasing experience and increasing the likelihood of redemption.
Channel Engagement
CDPs determine the most effective channels for engaging with customers at the moment of purchase, ensuring that promotions and offers are delivered through the preferred medium, be it email, SMS, app notifications, or social media.
At the Airport
Enhanced Customer Experience
CDPs enable airlines to provide a seamless and personalized experience at the airport. Personalized notifications about gate changes, boarding times, and special offers enhance the travel experience.
Early Access Programs
Analyzing customer data allows airlines to offer early access programs to frequent flyers or loyalty program members, enhancing their travel experience and fostering loyalty.
Engage Loyalty Reward Users
CDPs help target loyalty reward users with special offers, upgrades, and personalized services, ensuring they feel valued and appreciated, thereby strengthening customer loyalty.
Return to Home
Data Analytics for Attribution and Churn Prediction
Post-travel, CDPs provide insights into customer behavior, helping airlines understand the effectiveness of their marketing efforts and predict potential churn. This allows for timely intervention to retain customers.
Pre-emptive Support
CDPs enable airlines to offer pre-emptive support by identifying issues before they escalate. For example, if a customer had a delayed flight, proactive communication and compensation offers can enhance customer satisfaction.
Intent and Attribute Mapping
By mapping customer intents and attributes, CDPs help airlines tailor future offers and communications to better meet customer needs and preferences, improving the likelihood of repeat business. Learn more about FirstHive Customer Identification Process here.
Loyalty Loop
Customer Referral Program
Leveraging customer data, CDPs can identify satisfied customers who are likely to refer others. Implementing targeted referral programs helps airlines acquire new customers through word-of-mouth.
Renewals and Lifetime Value (LTV)
CDPs provide insights into customer lifetime value, enabling airlines to focus on renewing relationships with high-value customers through personalized engagement and rewards programs.
In conclusion, a Customer Data Platform is a powerful tool for airlines to enhance customer engagement, drive revenue, and build loyalty throughout the customer lifecycle. By leveraging the comprehensive data and advanced analytics capabilities of a CDP, airlines can deliver personalized and impactful experiences at every touchpoint, ensuring they stay ahead in a competitive market.
Opt for a free Customer Data Platform (CDP) scoping and consultation call to explore how CDP technology can support your personalization initiatives. and optimize their marketing efforts for better results.
