Using Customer Identity to Give Flyers the Service They Want
If you’re a marketer in the airline industry, you probably know that fliers are omnichannel customers. According to ComScore, U.S. travelers will make 140 visits to travel sites in the 45 days leading up to a booking decision. And in a survey conducted by MyBuys, 70% of 25- to 34-year-old shoppers research products or make purchases across three or more devices and 53 percent of consumers want marketers to recognize them across all of those devices.
For savvy marketers, this shouldn’t be viewed as a hurdle but as an opportunity. It means you’ve got a lot of chances to influence their buying decision along the purchase journey. You just have to make sure your data is current and accurate, and that your messaging is personalized and on-target.
With U.S. travel marketers spending $5.96 billion on digital advertising in 2016, a 20.5% gain from 2015, the need to efficiently spend those budget dollars rises each year. The travel sector accounted for 8.3% of total U.S. digital ad last year, according to eMarketer. And their forecast for 2017 sees the digital ad investment rising 8.2% to $6.77 billion.
Building stronger customer relationships starts with personalized marketing that taps directly into what that customer wants. To accomplish that, it requires definitively knowing who they are and what they like. In the data-driven marketing world we live in, consumers are willing to make sacrifices for a better customer experience.
For instance, most young consumers realize that by signing up for a loyalty program they are giving up access to their data. But in return they’re going to get offers, promotions, or discounts tailored to their preferences. In a survey conducted by Aimia, 62% of millennials and Gen Z respondents in the U.S. said they were willing to share personal information with companies in order to receive better offers, yet only 41% of Baby Boomers felt the same way.
According to Neustar research, 60% of customer data becomes degraded after two years. This could be due to a move, change of a phone carrier, a new career opportunity, or just simply life changes. In analyzing customer data across a wide range of industries, some of the incorrect CRM data included:
- 8% Invalid Addresses
- 4% Invalid Phone Numbers
- 14% Inactive Phones
- 13% Duplicate Records
And with so many companies using disconnected system, corralling all that data and keeping it accurate is a challenge. According to a survey conducted by Adobe Digital Insights, there is a 20% gap between how companies think they are successfully delivering ads (58%) and how the customers feel companies are successfully delivering ads (38%). The study looked at some of the hurdles holding brands back and the use of fragmented systems was a big culprit.
- 44% work with 3 or more analytics platforms
- 42% work with 3 or more creative agencies
- 41% work with 3 or more media buying platforms
- 38%work with 3 or more attribution platforms
- 40% work with 3 or more media planning platforms
- 37% work with 3 or more data management platforms
The good news is that the customer experience is making more of a difference than ever. They are willing to pay a premium if it means they are getting what they want. So don’t take a chance on delivering a bad experience just because your identity data is out of date. Amazon CEO Jeff Bezos once said, “If you make customers unhappy in the physical world, they might each tell six friends. If you make customers unhappy on the Internet, they can each tell 6,000 friends.”
See how Neustar is solving customer identity for the airline industry in our paper, “The Power of Identity, from Overbooking to Personalized Engagement”. We discuss all the ways in which using a Customer Identity Management system can ensure your frequent fliers remain loyal and how to lure in new passengers.