ANALYTICS &

REPORTING
AT AEROPLAN

NOVEMBER 1st, 2012

CONFIDENTIAL — NOT FOR DISTRIBUTION

1
AGENDA
THE ORGANIZATION (15 minutes)

FINANCIAL SECTOR (20 minutes)

TRAVEL SECTOR (20 minutes)

PROGRAM PERFORMANCE (15 minutes)

2
THE
ORGANIZATION

3
THE ORGANIZATION
REPORTING (6) ANALYTICS (10)
Team Lead
Team Lead (Retail/Financial) Team Lead
(Reporting)
(Program/Breakage)

Manager Manager
(Retail)
Manager (Breakage)

Manager Manager
(Retail/Financial)

Manager
Consultant Team Lead (Travel) (Program/Web Analytics)

Manager
Consultant (Travel)
Manager (Program)

Manager
Consultant (Admin) (Travel)

4
FOCUS OF EACH TEAM
REPORTING PROGRAM & PARTNERSHIP
BREAKAGE ANALYTICS ANALYTICS
• Develop a pool of internal • Develop and maintain advanced • Develop and maintain
expertise on MicroStrategy analytics applications related to advanced analytics
program & breakage applications related to
• Develop and maintain corporate management (predictive partnership (predictive
scorecards and dashboards
models, breakage impact, models, partner
• Lead the migration to mobile segmentation) segmentation, POV ...)
reporting
• Support targeting strategies for • Support targeting strategies
• Support and train the marketing initiatives designed to for marketing initiatives
MicroStrategy users community influence members’ redemption designed to influence
behavior members’ accumulation
• Collaborate with IT to develop behavior
and maintain an efficient data • Collaborate with reporting team
infrastructure for reporting to optimize self-serve reporting • Collaborate with reporting
environment team to optimize self-serve
reporting environment

• Note – the Analytics team does not prepare the lists for targeting, this is the responsibility of the Marketing
Operations team through Unica.

5
TOOLS

REPORTING ANALYTICS

(Most analytics
applications)

(Decision-trees)

(Data
visualization)

6
DEMAND FROM THE BUSINESS ON
ALL FRONTS
CUSTOMIZED MANAGE 200+ INTEGRATION WITH
PARTNER REPORTS IN MARKETING
SEGMENTATIONS MICROSTRATEGY RESEARCH

MANAGE 80+ SAS 1,400+ PROJECTS MANAGE 40+

MONTHLY COMPLETED IN PREDICTIVE
REPORTS 2011 MODELS

MIGRATION OF
BREAKAGE SIMULATION OF
ONLINE DATA
MODEL POLICY CHANGES
INTO CDW

7
REPORTING &
ANALYTICS CYCLE
OPTIMIZATION
PREDICTIVE
MODELS

SEGMENTATION
• What’s the best way
to do it?
PROFILING
• Who’s next? • What if I do this?
• Could you build • What should I present
REPORTING • Divide and conquer the model for to who and on which
• Could you add needs next week? channels?
and attitudes? • What do they
• What do they look like?
look like?
• Could I have it
• Tell me what tomorrow?
happened
• The month is over,
where is my report?
• By the way, could I
pull it myself?

8
BUILD YOUR DATA ASSETS
SOCIO-DEMOGRAPHIC • Prizm
SEGMENTATION
• Mosaic
LIFESTYLE

• Third-

Available at the neighborhood level

Available for a sub-set of members
party data

Likely available for all members

SYNDICATED DATA

ATTITUDES

CUSTOMER

SATISFACTION

NEIGHBORHOOD
• Census data DATA
• Household expenditures
9
FINANCIAL SECTOR
ANALYTICS & REPORTING

10
PROCESS OVERVIEW

EXECUTE
• Build a model-ready • Document and
customer-centric file communicate results
• Apply hybrid decision- • Integrate new model in
• Model definition
tree/logistic regression scoring process (or
(acquisition/retention) methodology score)
• Prepare the model and • Finalize model and • Monitor performance
validation data validate degradation

IMPLEMENT AND
GET READY MONITOR

11
BUILD A CUSTOMER-CENTRIC FILE
(MODEL-READY)

FOR EACH MEMBER

Summary of all Member profile Lifetime program Information at the
transactions and (age, gender, metrics (last neighborhood
interactions for tenure in program, redemption, miles level(income,
different time- enrollment source, earned and burned, education,
window Tier …) last year Tier …) household size,
socio-demographic
segment…)

MEMBER LEVEL NEIGHBORHOOD LEVEL

12
TYPE OF MODELS

Acquisition Churn

Upsell Redemption

13
PROGRAM ACTIVITY REPORT

Program Activity
Report

14
REDEEMERS SCORECARD

Redeemers
Scorecard

15
OTHER APPLICATIONS

Potential/Lifetime Market Drivers

Value Calculation Analysis

Trigger Programs Migration Analysis

16
TRAVEL SECTOR
ANALYTICS & REPORTING

17
PURPOSE OF TRIP SEGMENTATION
Based on the frequency of business and leisure trips, each customer with
flight activity (Air Canada and Star) in 2011 has been placed into a separate LEGEND:
segment Travel pattern algorithm
BUSINESS TRIPS 1. Same day business

Business
2. Travel Sunday to Friday
0 L M H inclusive
3. Business fares (Lattitude +)
H 1 1 1 1 1
4. Thursday to Monday travel
1% 1% 1% 1% 1% 5. Sun destinations
1 1 1 1 1 6. Duration >6 nights
LEISURE TRIPS

Leisure
7. Christmastime holiday period
1% 1% 1% 1% 1%
8. Sun destinations US
L 1 1 1 1 1 9. Minors and seniors
10.Redemption
1% 1% 1% 1% 1%

1 1 1 1
0 Trip groupings
1% 1% 1% 1%
Business Leisure
1 1 1 1 1
H H+ trips H+ trips
1% 1% 1% 1% 100%
M M trips M trips
Biggest L L trips L trips
Smallest

18
INTEGRATION OF PANEL DATA
Air Canada’s share of business travel Air Canada’s share of leisure travel
% of total business trips % of total leisure trips

BUSINESS TRIPS BUSINESS TRIPS

0 L M H 0 L M H

H 1% 1% 1% 1% H 1% 1% 1% 1%
LEISURE TRIPS

LEISURE TRIPS
M 1% 1% 1% 1% M 1% 1% 1% 1%

L 1% 1% 1% 1% L 1% 1% 1% 1%

0 1% 1% 1% 0 33% 1% 1%

Highest
Lowest

19
FOCUS ON ACTION

BUSINESS TRIPS
0 L M H

H Activate infrequent leisure travelers

LEISURE TRIPS

1 such that Air Canada is top of mind

M when they do plan to travel
2 Retain high frequency business and
leisure travelers
L
3 Upsell high frequency business and
low frequency leisure travelers
0

20
CAMPAIGN REPORTING

21
OTHER APPLICATIONS

Tier Management Reports O-D Analysis

Competitive Vulnerability
Potential/Lifetime Value
Index

22
PROGRAM MANAGEMENT
ANALYTICS & REPORTING

23
PROFILING

24
THANK YOU
QUESTIONS