Case Study 3 ( Air New Zealand )Case Study 3: Airline Segmentation Model
Background
Cogent Analytics has worked with numerous airline clients and has developed industry-standard segmentation and data models for a number of Frequent Flyer Programs.
One such model was created for Air New Zealand, which segmented individual Airpoints members across key airline industry drivers – Yield, Frequency, Product, Distance and activity patterns, meaning at the lowest level members could appear in one of over 100 distinct segments.
The segmentation model was used to drive highly-targeted communications, research cell selection and internal understanding of the FFP base.
A further iteration of this segmentation model was designed for a major global airline alliance network, to incorporate insight into the level to which members of individual FFP programs are engaged with the wider alliance network.
Airline Alliance Segmentation Model
| Involvement | Program Relationship Segment | Married (5+partners) |
Engaged (4 partners) |
Dating (2 to 3) |
Just Met (0 to 1) |
| Value | Yield Segment | Elite (Top 5%) |
High (75%+) |
Mid (40%+) |
Low (0 - 40%) |
| Frequency Segment | Elite (Top 5%) |
High (75%+) |
Mid (40%+) |
Low (0 - 40%) |
|
| Behaviour/ Needs |
Journey Type Segment |
% of LH/SH/MH % of Full Econ/Disc Econ/Bus/First |
|||
| Seat Type Segment | |||||
| Recency | Activity Status | Last Active < 6 months |
< 6 to 18 months ago | < 18 to 24 months ago | + 24 months ago |
| Geography | Local Market Segment |
Americas | EMEA | AsiaPac | Row |