Question

In: Operations Management

Topic: Air Miles Canada: AIR MILES is Canada’s largest coalition loyalty program, with more than ten...

Topic: Air Miles Canada:

AIR MILES is Canada’s largest coalition loyalty program, with more than ten million active Collector accounts and approximately two-thirds of Canadian households participating in the program. Collectors earn reward Miles by shopping with select sponsors, which can be used to redeem free flights, hotel accommodations, car bookings, merchandise, and more. AIR MILES has over 100 sponsors, including American Express, Toys R Us, Amazon, and more.

The Problem of the case,

The existing car and hotel booking experiences are drastically hurting conversion tunnels

Issues with the AIR MILES Travel booking experiences (flight, car, and hotel) is one, if not the greatest, driver of calls to the call centre, with wait times of up to 4 hours during peak seasons for travel. As a result, AIR MILES needed a redesign of the car and hotel booking experience to address the usability issues that are impacting the conversion tunnel and maintain consistency across the platform following the recent redesign of the flight booking experience.

Questions:

How would a data warehouse assist the marketing team at AIR MILES, going forward?

What functions would it perform that would be most useful?

Would a data-mining program be useful to AIR MILES?

Would it be helpful to Sponsors and Suppliers? If so, how? If not, why not?

Solutions

Expert Solution

Data warehouse is storing a large number of data which are useful for the company to take apporpiate decision, carry busines and helps in management decision making. For the marketing team it will help in knowing the prospective customers whom can AirMiles marketing team contact, record of existing customers, a pattern study of the samples regarding their travel behavior so that they can be targeted.It can also provide detail report of income and wishlist of the people on their travel plan.

It can save time, provide better quality of data, improved business intelligence, store large amount of historical intelligence and can connect seamlessly with the key features of a marketing automation platform. These can be used to generate more leads which can transfer into customers.

Definitely, when data warehouse will be used which is beneficial for Air Miles, data mining is necessity to extract the data in usable format.

It will be useful to all the related party in the AirMiles. Sponsores and Suppliers will able to know the demand cycle and make arrangement accordingly so that adequte supply can be maintained.


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