How do you match your airline's schedule to customer demand?

1 Understand your market

The first step to match your schedule to customer demand is to understand your market. You need to know who your customers are, what they want, and how they behave. You can use various sources of data, such as passenger surveys, booking patterns, loyalty programs, competitor analysis, and market research, to segment your customers and identify their needs and expectations. For example, you can find out how price-sensitive they are, how flexible they are with their travel dates and times, what kind of services and amenities they value, and how loyal they are to your brand.

2 Forecast your demand

The next step is to forecast your demand for each route, flight, and cabin class. You can use historical data, trend analysis, seasonality, events, and external factors, such as economic conditions, weather, and regulations, to predict how many customers will book your flights and at what price. You can also use scenario planning and sensitivity analysis to account for uncertainty and variability in your demand. For example, you can estimate how your demand will change if there is a pandemic, a strike, a new competitor, or a change in customer preferences.

3 Optimize your schedule

Once you have a forecast of your demand, you can optimize your schedule to match it. You can use various tools and techniques, such as network planning, fleet planning, frequency planning, slot allocation, and timetable design, to determine the optimal number, timing, and routing of your flights. You can also use revenue management and pricing strategies, such as dynamic pricing, yield management, and fare classes, to adjust your prices according to your demand and maximize your revenue. For example, you can charge higher prices for peak periods, last-minute bookings, or premium seats, and lower prices for off-peak periods, advance bookings, or economy seats.

4 Monitor your performance

Another important step is to monitor your performance and compare it with your forecast and your goals. You can use various metrics and indicators, such as load factor, revenue per available seat kilometer (RASK), cost per available seat kilometer (CASK), on-time performance, customer satisfaction, and market share, to measure how well you are matching your schedule to customer demand. You can also use benchmarking and feedback systems, such as market reports, customer reviews, and employee surveys, to evaluate your strengths and weaknesses and identify areas for improvement.

5 Adjust your schedule

The final step is to adjust your schedule as needed to respond to changes in customer demand and market conditions. You can use various methods and tools, such as schedule changes, rebooking, overbooking, codesharing, and alliances, to modify your schedule and offer more options and flexibility to your customers. You can also use contingency planning and crisis management, such as cancellations, delays, rerouting, and compensation, to deal with disruptions and emergencies that affect your schedule and customer satisfaction. For example, you can cancel or reschedule flights that have low demand or high costs, rebook customers to alternative flights or airlines, or offer vouchers or refunds to customers who are affected by delays or cancellations.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?