Premium Airline Case: Diagnosing and Reversing a Decline in Business Bookings

Quick Overview

An analytical case about a premium airline whose bookings in the business category are falling. It tests structured metric-drop diagnosis, separating market-wide shifts from causes the airline controls, segmenting the decline by route, customer type and channel, and recommending prioritized fixes with metrics that protect fares.

Premium Airline Case: Diagnosing and Reversing a Decline in Business Bookings

Company: Publicis Sapient

Role: Product Manager

Category: Analytics & Experimentation

Difficulty: medium

Interview Round: Other

A premium airline is getting fewer bookings in its business category. How would you work out what is driving the decline and help the airline turn it around? ```hint Locate the drop first Before proposing fixes, find out how large the decline is, when it started, and whether it is concentrated in particular routes, channels or customer types. ``` ### Clarifying Questions - Does "business category" mean the business-class cabin, or trips booked by business travelers in any cabin? - How large is the decline and over what period, and is it measured in bookings, revenue or seats filled? - Are competitors on the same routes seeing the same decline, or only this airline? - Should my recommendations focus on the airline's digital products, such as booking and customer service, or on its commercial strategy as a whole? ### What a Strong Answer Covers - A diagnosis that rules out data and capacity explanations, then separates market-wide shifts from causes within the airline's control, in a sensible order - Segmentation of the decline by route, customer type, sales channel and booking-funnel stage - Specific data to check each hypothesis, such as funnel conversion, fare comparisons with competitors and customer feedback - Prioritized recommendations that match the diagnosed cause, with a realistic view of what can be won back - Metrics to track the recovery, with guardrails such as average fare and cannibalization of other cabins ### Follow-up Questions - The data shows corporate travel on your routes is down for every airline. What do you recommend now? - You propose selling discounted upgrades to leisure travelers. How do you stop that from eating into full-fare business revenue? - Which single metric would you show the executive team to judge whether the turnaround is working?

Overview: An analytical case about a premium airline whose bookings in the business category are falling. It tests structured metric-drop diagnosis, separating market-wide shifts from causes the airline controls, segmenting the decline by route, customer type and channel, and recommending prioritized fixes with metrics that protect fares.

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Publicis Sapient
Jun 22, 2024
mediumProduct ManagerOtherAnalytics & Experimentation
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A premium airline is getting fewer bookings in its business category. How would you work out what is driving the decline and help the airline turn it around?

Clarifying Questions Guidance

  • Does "business category" mean the business-class cabin, or trips booked by business travelers in any cabin?
  • How large is the decline and over what period, and is it measured in bookings, revenue or seats filled?
  • Are competitors on the same routes seeing the same decline, or only this airline?
  • Should my recommendations focus on the airline's digital products, such as booking and customer service, or on its commercial strategy as a whole?

What a Strong Answer Covers Guidance

  • A diagnosis that rules out data and capacity explanations, then separates market-wide shifts from causes within the airline's control, in a sensible order
  • Segmentation of the decline by route, customer type, sales channel and booking-funnel stage
  • Specific data to check each hypothesis, such as funnel conversion, fare comparisons with competitors and customer feedback
  • Prioritized recommendations that match the diagnosed cause, with a realistic view of what can be won back
  • Metrics to track the recovery, with guardrails such as average fare and cannibalization of other cabins

Follow-up Questions Guidance

  • The data shows corporate travel on your routes is down for every airline. What do you recommend now?
  • You propose selling discounted upgrades to leisure travelers. How do you stop that from eating into full-fare business revenue?
  • Which single metric would you show the executive team to judge whether the turnaround is working?