Welcome to 1to1 Media — a multimedia resourcefor CRM and Customer Experience Professionals.
The 2010 merger between United Airlines and Continental Airlines created not only one of the world's largest airlines, but also one of the world's biggest loyalty programs. As the two airlines went about merging their respective customer databases, executives at United saw an opportunity to explore new and creative ways to use customer data from both MileagePlus and non-members that could help it to build richer profiles of its customers that could enable the airline to deliver more personalized and relevant communications, critical day-of-travel updates, and to ultimately deliver better customer experiences.
United also sought to break new ground. The only customer database that United previously maintained was for its MileagePlus members. United decided to expand the database in order to provide more relevant and personalized communications with the millions of customers who aren't MileagePlus members and to serve their needs better.
United partnered with Acxiom Corp. to help it build richer profiles of its MileagePlus members and also non-members. In addition to identifying duplicate records to help United work with the cleanest and most accurate member information possible, Acxiom also overlays demographic and lifestyle data on top of customer records and groups them into customer types. For instance, while United tries to include basic demographic information in each member profile such as age, household income, and net worth, in some cases it relies on Acxiom to either fill in missing pieces of information or to add interest-specific elements, such as members who enjoy playing golf, says Mark Krolick, managing director of marketing and product development at United.
United has also been able to make more effective use of its member data and interact with customers in ways it wasn't able to before. Each day, United analyzes its MileagePlus database to identify customers who are about to reach a certain milestone, such as specific mileage levels, program anniversaries, or birthdays. The general manager or another designee at one of the 72 domestic airports that the program has been extended to then fills out a hand-written thank-you card and passes it along to an agent to hand out to these customers as they scan their boarding passes when they're about to board their flights.
"The customer feedback has been a nice validation and we're seeing value from the program," says Michelle Brown, director of the MileagePlus program at United.
Having richer customer information has enabled United to segment its customers more accurately and effectively. For instance, United can group customers by similar past behaviors, such as customers who have been price sensitive. United can then use these insights to create more relevant offers for customers, such as sending frequent business travelers an offer to purchase an airport day lounge pass, says Krolick.
United's ability to develop richer information about all of its customers – loyalty members and non-members alike -- has enabled the airline to send more personalized offers to its non-members, improve the customer experience for all of its passengers, and drive greater revenue. Since the initiative was launched, United has been able to convert 4 percent of its non-members to the MileagePlus program, resulting in tens of millions of dollars in additional revenue.
"We have put together a solid operation," says Krolick. "We're investing in customer service and the right marketing technologies and at a macro level the pieces are all falling into place for us to become the world's leading airline."
Download the e-book with the Gartner & 1to1 Media CRM Excellence Awards 2013 winners.
Note: All content within this website is the property of 1to1 Media. Any use of materials, except for social media sharing (Tweets, Facebook posts, etc.), without the prior written consent of 1to1 Media is strictly prohibited.
Tom Hoffman is Executive Business Editor at 1to1 Media where he's responsible for overseeing the organization's custom content operations. As part of his role, Hoffman works directly with clients on projects such as white papers, executive Q&As and webinars. In addition, Hoffman also contributes to 1to1 Media's award-winning publications, including 'Think Customers: The 1to1 Blog', Customer Strategist, the executive journal from Peppers & Rogers Group and 1to1media.com. Hoffman has more than 20 years experience writing about C-level technology management issues for publications such as CFO Magazine, CIO Magazine, Computerworld, CIO Insight and CIOZone.com.
Sponsored by Verint
Sponsored by Gartner
Sponsored by neustar
1to1® Media is dedicated to helping organizations across the globe realize the greatest value from their customer base. We provide resources that help senior executives to drive change and make customer-based initiatives the centerpiece of their growth strategy.
1to1 Media's custom publications explore the best practices, trends, and developments from companies that are using customer initiatives to drive bottom-line impact. Backed by Peppers & Rogers Group, the globally recognized leader in customer strategy and relationship marketing, 1to1 Media combines thought leadership, field experience, and editorial expertise to deliver the content needed by our audience of more than 130,000 decision-makers.
Please sign-up for our FREE newsletter! Click here to subscribe
I give you a serious compliment on the [1to1 Weekly Digest] "newsletter emails" you send. Superb quality, a real joy to read and a target for us to achieve. Super and continue doing your work.
I have been receiving 1to1 for a few years now and I just wanted to shoot you a note to let you know I really enjoy your magazine and always find a few things to pass along to my team. Keep up the good work!
Site Map |
| Contact Us |
Customer Strategy Magazine |
CRM Newsletter | CRM Web
Exclusives | CRM Webinars
| Speaking Services
1to1 Media. All Rights Reserved. 1to1® is a registered trademark
of Peppers & Rogers Group.
1111 Summer Street, 5th Floor, Stamford, CT, 06905, USA