Authors

1. Prof. Harsh Dwivedi
2. Prof. Raghuvir Singh
3. Mr. Shivram Choudhary

Affiliation

• Dean, R.A. Podar Institute of Management, Rajasthan University, Jaipur
• Professor, TAPMI School of Business, Manipal University, Jaipur
• Research Scholar, Rajasthan University, Jaipur

Abstract

Like many other industries, Airlines have also started to use data analytics for improved decision
making. Data Analysis is important in the Airline Industry as the demand is unpredictable and
inventory is perishable, as once the flight takes off, the airline loses the opportunity of generating any
additional revenue. Also, the advantage with Airline sector is that almost all the data related to airlines
is in public domain however the difficulty lies in the fact that if the companies do not understand the
requirements and get forecasts right, it is impossible to sell the inventory even if sold for free. With the
increasing focus on analytics, Artificial Intelligence and Internet of Things, airlines are operating
efficiently and are using technology to the fullest to achieve better operational efficiency.
The paper illustrates with examples and scenarios as to how data is being analysed to increase
revenue and decrease costs. Airlines used data analysis for discounted seat allocation, Internet
marketing, routing, screen human resources, dynamic pricing etc. Over a period of time airlines are
able to predict the behaviour of the consumer and habits like possibility of cancellation, rescheduling
etc. This allows airlines to maximise revenue by overbooking. The paper shall also explain how
usage of data analytics have transformed the so called difficult airline business.
The paper shall also touch on how yield management has helped American Airlines and Customer
Service analysis has helped Jet Blue transform their businesses.

Keywords

Data Analytics in Airlines, Business Analysis in Airlines, Dynamic Pricing, Internet marketing, Artificial Intelligence in Airlines, Internet of Things in Airlines

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