Airline Business Model: Relationship with Online Traffic

How airline business model relates to online engagement success

How airline business model relates to online engagement success

The success of airlines in attracting direct online traffic not just on their business model, but also their history. This graph, which accompanies the blog post Digital Natives: LCCs still rule in online engagement, shows that

  • Low cost carriers who were founded as such have are 56% in their online traffic over full service carriers (sometimes known as “legacy airlines”).
  • LCC “spin-offs”, i.e. low cost airlines founded by an FSC (rather than acquired) are by far the weakest group. This reflects in part the relative novelty of this airline business category and their small number
  • Charter airlines also have less online engagement than FSC

Our method is to use a linear regression model to control airline website visitors for passenger volume (see our earlier blog post for details)