CWT Research: women book flights earlier and pay less
Big data analytics approach opens opportunities for new insights and further personalization
12 APRIL, 2016
Women book their flights 1.9 days earlier than their male counterparts, according to Carlson Wagonlit Travel’s (CWT) analysis of 6.4 million air booking transactions. They therefore pay an average of around two percent less for their tickets than men.
The full findings are published today by CWT in a white paper: “Gender differences in booking business travel: advance booking behavior and associated financial impact”.
The financial implications of these findings are significant. For companies with 1,000 business travelers, the difference – and therefore the potential saving – is just under $50,000 a year. That rises to $1 million for a traveler base of 20,000.
CWT Solutions Group worked with Javier Donna, Assistant Professor of Economics at The Ohio State University, and Gregory Veramendi, Assistant Professor of Economics at Arizona State University. Using advanced statistical techniques, they were able to quantify a direct link between gender and flight booking patterns. Further details about the statistical analysis are available in the white paper.
Other findings include the fact that people tend to book flights further in advance the older they are. Additionally, as people’s flying frequency increases, they typically book flights closer to their departure date. Interestingly, the gender gap almost disappears among the most frequent travelers.
The analysis technique can be used to examine other areas of travel, helping travel managers gain new insights by understanding traveler behavior better. This will help develop personalization, including more targeted messages, more precise travel management and improved program efficiency.
Catalin Ciobanu, Senior Director Data & Analytics in the CWT Solutions Group, said, “This analysis technique opens up a whole new range of opportunities in the quest for personalized travel. It can also be applied to many other types of traveler segmentation, including geography, booking channel used, or individual business unit, for example. Ultimately, by knowing our travelers better we can improve both their experience, as well as the effectiveness and efficiency of corporate travel programs.”
CWT is a global leader specialized in managing business travel and meetings and events. CWT serves companies, government institutions and non-governmental organizations of all sizes in more than 150 countries and territories. By leveraging both the expertise of its people and leading-edge technology, CWT helps clients derive the greatest value from their travel program in terms of savings, service, security and sustainability. The company is also committed to providing best-in-class service and assistance to travelers. In 2015, sales volume for wholly owned operations and joint ventures totaled US$24.2 billion. As part of its commitment to responsible business, CWT is a signatory of the United Nations Global Compact Ten Principles. For more information about CWT, please visit our global website at www.carlsonwagonlit.com. Follow us on Twitter @CarlsonWagonlit