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Business Strategy Innovation
  - The Airline Passenger Lifecycle -
The Airline Passenger Lifecycle was constructed in the
wake of the events of September 11th to help the world’s
leading airlines increase their revenue and cut costs.


It provides a framework to drive innovation throughout the
organization by focusing employees on maximizing revenue
from customer relationships rather than viewing themselves
solely as providers of point-to-point transport
Airline Passenger Lifecycle
                                 Shopping, Eating,
  Transport                      Drinking, Working                    Shopping
   Parking                                                             Eating
                                                                      Drinking
                                                                      Working

                          Check-In
                                                       Security


                                © 2003 Braden Kelley



              Home/Away


                                                             Flight
                                                                      Shopping
Transport, Lodging,                                                    Eating
 Shopping, Eating,                                                    Drinking
    Site-seeing               Baggage Claim                           Working
Capturing Value between Home/Away and Check-In

Transport
 Parking
                                   Examples:
                                   1. Sell tickets for transportation
                        Check-In   to/from the airport
                                   2. Sell tickets for airport parking
                                   (likely good success recruiting
                                   off-site parking vendors)

            Home/Away              3. Sell travel books for travel
                                   destination (outsource
                                   fulfillment to Amazon or others)


                                                         © 2003 Braden Kelley
Capturing Value between Check-in and Security
                             Shopping, Eating,
                             Drinking, Working




                      Check-In
                                                 Security


Example:
4. Sell advertising, for distribution with ticket, to airport shops
and service providers, thus creating a revenue stream for
Continental Airlines and added value to customers through
discount coupons. To make it even more lucrative, also sell
destination or stopover airport advertising.
                                                            © 2003 Braden Kelley
Capturing Value between Security and the Flight

                                                             Shopping
                                                              Eating
Example:                                                     Drinking
                                                             Working
5. Offer passengers the
opportunity to purchase a one-
                                       Security
time use of the Continental
Airlines lounge or business
center.
-see also Example #4

                                             Flight



                                                      © 2003 Braden Kelley
Capturing Value between the Flight and Baggage Claim


   Example:
   6. Distribute sample packs from manufacturers to passengers as
   they disembark (for a fee from the manufacturers)
   -see also Example #4




                                                  Flight
                                                            Shopping
                                                             Eating
                                                            Drinking
© 2003 Braden Kelley      Baggage Claim                     Working
Capturing Value between Baggage Claim and Home/Away


                        Example:
                        7. Sell expediting services to rental car
                        companies allowing them to capture
                        information and process customers more
                        efficiently
                        -see also Examples #1 and #4


            Home/Away




Transport, Lodging,
 Shopping, Eating,
    Site-seeing         Baggage Claim                  © 2003 Braden Kelley
Landing
The Airline Passenger Lifecycle would, obviously, apply to the outbound and return flight.
The seven brief examples illustrate how value can be captured at each stage of the
passenger’s journey.

We have many, more innovative ideas that fit into the framework of this model that would
drive revenue and profit growth.

We also have years of experience helping companies improve their systems, processes,
organizational effectiveness, and profitability.

We look forward to the opportunity to do a more formal presentation, to answer your
questions, and to proceed together in realizing some of the potential.

Yours sincerely,

Braden Kelley
Business Strategy Innovation
1344 Alki Ave SW, Suite 301
Seattle, WA 98116
(206) 349-8931                         Email: braden@business-strategy-innovation.com

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Airline Industry Case Study

  • 1. Business Strategy Innovation - The Airline Passenger Lifecycle - The Airline Passenger Lifecycle was constructed in the wake of the events of September 11th to help the world’s leading airlines increase their revenue and cut costs. It provides a framework to drive innovation throughout the organization by focusing employees on maximizing revenue from customer relationships rather than viewing themselves solely as providers of point-to-point transport
  • 2. Airline Passenger Lifecycle Shopping, Eating, Transport Drinking, Working Shopping Parking Eating Drinking Working Check-In Security © 2003 Braden Kelley Home/Away Flight Shopping Transport, Lodging, Eating Shopping, Eating, Drinking Site-seeing Baggage Claim Working
  • 3. Capturing Value between Home/Away and Check-In Transport Parking Examples: 1. Sell tickets for transportation Check-In to/from the airport 2. Sell tickets for airport parking (likely good success recruiting off-site parking vendors) Home/Away 3. Sell travel books for travel destination (outsource fulfillment to Amazon or others) © 2003 Braden Kelley
  • 4. Capturing Value between Check-in and Security Shopping, Eating, Drinking, Working Check-In Security Example: 4. Sell advertising, for distribution with ticket, to airport shops and service providers, thus creating a revenue stream for Continental Airlines and added value to customers through discount coupons. To make it even more lucrative, also sell destination or stopover airport advertising. © 2003 Braden Kelley
  • 5. Capturing Value between Security and the Flight Shopping Eating Example: Drinking Working 5. Offer passengers the opportunity to purchase a one- Security time use of the Continental Airlines lounge or business center. -see also Example #4 Flight © 2003 Braden Kelley
  • 6. Capturing Value between the Flight and Baggage Claim Example: 6. Distribute sample packs from manufacturers to passengers as they disembark (for a fee from the manufacturers) -see also Example #4 Flight Shopping Eating Drinking © 2003 Braden Kelley Baggage Claim Working
  • 7. Capturing Value between Baggage Claim and Home/Away Example: 7. Sell expediting services to rental car companies allowing them to capture information and process customers more efficiently -see also Examples #1 and #4 Home/Away Transport, Lodging, Shopping, Eating, Site-seeing Baggage Claim © 2003 Braden Kelley
  • 8. Landing The Airline Passenger Lifecycle would, obviously, apply to the outbound and return flight. The seven brief examples illustrate how value can be captured at each stage of the passenger’s journey. We have many, more innovative ideas that fit into the framework of this model that would drive revenue and profit growth. We also have years of experience helping companies improve their systems, processes, organizational effectiveness, and profitability. We look forward to the opportunity to do a more formal presentation, to answer your questions, and to proceed together in realizing some of the potential. Yours sincerely, Braden Kelley Business Strategy Innovation 1344 Alki Ave SW, Suite 301 Seattle, WA 98116 (206) 349-8931 Email: braden@business-strategy-innovation.com