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Modern Low Cost Carriers (LCCs) are far more analytical and technically savvy than ever before. Most marketers have two main concerns: how to deliver immediate value as well as strategic competitive advantage for the future. There are an overwhelming number of options when choosing technology solutions and it’s critical to choose vendors with an intimate knowledge of the challenges you face in low-cost travel. Customer experience technology also needs to work well with the other tools in your company’s marketing cloud.

Travel customers leave an incredibly rich data footprint and LCCs can amass an enormous volume of data on every customer.  By embracing data science you can find new opportunities to improve personalization by uniting rich customer data and having the ability to act on it intelligently, in real time on any channel. Customer expectations are increasing to align with what they’ve come to expect from disruptors in the market – channel- agnostic, seamless experiences from A to Z. The pace of innovation dictates that you connect all channels, people and ideas to completely reimagine the customer experience.

Boxever was founded on a core belief: The more you know your customer, the more value you can offer.

Let’s look at what happens when you increase your knowledge about your customers:


Increase Revenue Hotspots


  1. The first thing that happens when you form a view of the customer that is independent of channels or delivery points (touchpoints) is your knowledge about your customer increases at every stage of their journey. This is true from when they consider a trip by searching on your site, all the way to the email you send them after they’ve safely arrived home from a holiday. Many efforts at identifying and personalizing offers and communications are channel-centric – meaning you can only personalize at a particular channel like Web or on your Mobile App. With a customer-centric cloud solution, if you know your customer well at the Manage Booking stage of the customer journey, you also know them well at the Booking Stage. This has the effect of widening the scope of your revenue generating opportunities.
  2. More importantly, you now know more about your customer earlier in their journey with you. What this leads to is a change in their conversion probability: they are more likely to convert with you earlier in their journey, and also to purchase ancillaries where they typically might not, because you’re offering what they need when they need it. Imagine a scenario for example where you know a customer has a propensity to buy an upgrade at the last minute. Wouldn’t it make sense to reach out to them between managing their booking and checking in, to see if they’d like to do it again? What this results in is a significant additional revenue opportunity. For most travel retailers this represents a significant, untapped source of revenue that digital commerce and marketing professionals are simply missing. They are quite frankly leaving money on the table.

Airline marketing and revenue management teams are under tremendous pressure to grow revenue. Many are turning to consumer digital marketing techniques that engage customers more personally for higher conversion. Business as usual risks leaving valuable revenue behind – or losing customers to competitors.

5 important ways to increase revenue for LCCs


Here are 5 important ways you can drive revenue for your airline (download the infographic by following the link):

  1. Upsell & Cross-Sell Every Time

Low-cost airlines are increasingly under pressure to sell ancillaries to offset low base fares. Make the most of upselling and cross-sell opportunities. 

  • $67.4B: Projected airline ancillary revenue worldwide, up nearly 200% from 2010[1]
  • 100s of thousands $$ of additional incremental revenue in a matter of weeks discovered by Viva Aerobus [2]
  1. Every Product Has a Customer

Build a central hub that makes customer, inventory and operational data readily available to identify and advertise to the right segments – at the right time.

  • 85%+ of travelers say that personalization has affected travel purchase decisions [3]
  • 8.24% click-through and 3.91% conversion rate achieved via personalized destination banners: Cebu Pacific[4]
  1. More Choice Means More Profit

Grow revenue and profit by adding new destinations, new customers, new products or bundles, and more flights and ancillaries per customer.

  • 40%+ of an airline’s revenue can come from ancillaries[5]
  • +4.3% additional revenue per month after just 2 months – seen by Boxever customers
  1. Make It Easy on Everybody

Focus on customer experience not only to keep customers happy but also because it makes financial sense.

  • $600M in increased revenue for an airline can be made from just a 10% improvement in customer experience [6]
  • Nearly 76M EUR recovered in 6 months by a Boxever customer using predictive intelligence and personalization
  1. Keep Costs Low

Become as efficient as possible on marketing and overhead costs. Airlines have been able to stay profitable thanks to low fuel costs, but how will they sustain that? Reduce Capex and Opex by investing in cloud technologies proven to scale.

  • A 40% drop in fuel prices led to record airline profits from 2014 to 2015 [7]

According to 451 Research, “2016/2017 will be the time of customer engagement tools to provide an interactive, personalized experience for customers and employees. New technologies such as prescriptive analytics, machine learning and modern business applications will finally help businesses embrace digital transformation.”

Customers care about being met with messages, offers and services at appropriate times. They care about getting those little extras that make a trip special. They care about great timing – getting a helping hand right when they need it, and a lift when they’re least expecting it. When it’s executed really well, technology gets out of the way.

Aurelius Noell Director of eCommerce & Commercial IT for Viva Aerobus

“Thanks to Boxever, we can now offer our customers even more personalized interactions, which have already resulted in a revenue uplift in the hundreds of thousands of dollars.” Aurelius Noell,  Director of eCommerce & Commercial IT for Viva Aerobus

Meeting your business objectives

Depending on many factors – including investment, time and commitment to their data projects, we’ve seen that the majority of airlines are at the beginning of their own personalization journey. They’re beginning to create segments of their customers – typically five or six.

Slicing into segments just increases their number – by the time you get into Micro-Segmentation, you could have 100 different groups to manage. This is pretty complex, so A.I. is needed to carry out the rapid and continuous firing of appropriate offers and responses. On top of that, you’re getting into behavioral and real-time context – knowing where, when and what your customer is doing at the time, and responding appropriately. It’s pretty exciting when you see this being done right – especially at scale!

There are a lot of steps to building out the Personalization Engine for your business – we call it the ‘Personalization Gap in Data’ – it’s the space you’ve got to fill in between where you are today with data and where you want to get to. What we’ve seen with customers like Viva Aerobus, Mexico’s fastest growing LCC, is that by uniting their data through a customer-centric cloud platform like Boxever, they begin to see incremental value offered by sophisticated personalization long before they’d expect to with a ‘Build-it-Yourself” solution. Check out this 45-minute webinar, Personalize to Win: Never Miss Another Revenue Opportunity, to hear Viva Aerobus tell their story.



[2] Boxever customer Viva Aerobus reported these figures in Q4 2016




[6] ‘The Business Impact of Customer Experience 2012’ – Forrester Research