Big Data Boosts Airport Passenger Revenue

Overview

Data generated within the aviation environment is so complex that it is difficult to analyze using traditional tools. Usually, the structured data is managed through customized databases, but a vast amount of unstructured data is held in separate, functionally specific warehouses or embedded within software, making total extraction problematic. One airport management company turned to The Alacer Group to solve a particularly vexing problem: it had no uniform way to evaluate the success or failure of a Passenger Facility Charge rebate intended to boost revenues and traffic on selected routes.

Challenges

Alacer experts needed to design tools that would allow airport managers to look at big data holistically in order to determine the viability of its marketing efforts. The previously untapped data silos found outside of existing structured databases were harvested using specialized software and the data was queried in an integrated manner. Managers could then track each passenger on incentivized routes, award a rebate as appropriate and have access to real-time information on the cost and success of the program.

Results

Using the Alacer algorithms, airport managers could immediately see the number of rebate-eligible passengers on each flight as well as the amount of revenue rebated passengers generated in the airport’s retail outlets, such as Duty Free. This enabled senior managers to know in real-time whether or not substantial rebates were of value to the airport authority and on which specific routes and periods they assisted in market growth. Additionally, the airport authority could now share big data insights with its partner airlines and retailers, creating deeper relationships.