Airline pricing strategies

THE CHALLENGE

The client ran constant promotions and felt that they had become viewed as a “permanent discounter”. They desired an assessment of current promotions and identification of improvement opportunities.

OUR SOLUTION

We completed an analysis to establish effectiveness of current promotions, before conducting a survey to identify customer perceptions and attitudes towards current and alternative promotions. Then, we used scenario modelling to optimise bistro and boutique offerings, before developing a systematic approach in which future promotions can be better trialled and tested.

RESULTS

Our work has allowed the client to distance itself from being known as a “constant discounter”, while continuing to capitalize on the margins of uniquely targeted discounts and its overall business model.