AsiaPacific Symposium

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Asia-Pacific Symposium
Optimizing the Airline Business Cycle
Macao, 16-17 September 2004
Improving PNR Quality
Presented by Frank Arciuolo Executive Vice
President Airline Automation, Inc. An Amadeus
Company
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What is PNR Quality?

• Any PNR attribute that improves the chances of
  that passenger occupying that seat on the day of
  departure.

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High Quality PNR

• Valid, full name
• Meets advance purchase, round trip, and minimum
  stay requirements
• Ticketed within prescribed requirements
• Valid, non-duplicated ticket number
• Itinerary not duplicated with any other PNR in
  your database
• This PNR is likely to generate revenue well in
  excess of its cost

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Low Quality PNR

• Suspicious or fictitious name
• Booked one way in a round trip only class of
  service
• Not ticketed/No ticket number
• Contains duplicate segments within the PNR
• Duplicated with another separate PNR
• This PNR will likely only generate cost

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Revenue Integritys Enemy
No Shows
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Eliminate No Shows?

• Possible?
• Competitive considerations walk up ticketing,
  refundable fares
• Is it necessary for better results?

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What is the real problem?

• Our no shows average 20, from a low of 8 to a
  high of 35.
• Our no shows average 25, from a low of 23 to a
  high of 28.
• Consistent of no shows aid load forecasting
  reduces spill and spoilage.

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Arbitrary No Shows
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Consistent No Shows
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Revenue Integritys Enemy
No Show Variance
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Fear The Unknown

• Unless you know how many bookings are ticketed,
  overbooking levels are less effective
• Ticketed PNRs significantly influence no-show
  factors
• Automated Flight Firming increases ticketed PNRs
  as a percentage of total booked inventory

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There is no 100 Solution
Waiting For Perfection
Manual Firming
Robotics
0
100
50
Where is your airline on this scale?
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Automated Flight Firming
Airlines Reservation System
Reservation system PNR Feed
Airline Business Rules
AAI PNR DB
NEW PNRs
Assign TTL
Update PNR (SSR, RM)
Need TTL?
Yes
No
Log TTL
Airline Business Rules
TTL expires PNR changes
Retrieve PNR from Res
Apply actions
Update PNR (CNX, SSR)
Conditions satisfied?
No
Yes
Record actions
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Some Best Practices

• Firm consistently
• Combine multiple checks
• Measure
• Go after what firming misses

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Firm Consistently

• Selective firming worsens the problem
• Goal only firm segments originating in the U.S.
• Problem Those flights are in PNRs with segments
  originating in China.

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Combine Multiple Checks

• Ticket number audit
• Fictitious/suspicious name check
• Duplicate segment check
• Booking audit (e.g. MCT check)
• Duplicate/invalid ticket number check
• Perform these into one round to save time and
  expense

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Measure

• PNRs processed
• Cancelled (how many, by whom)
• PNRs exempted (how many, why)
• How many duplicate segments?
• How many fictitious/suspicious names?
• How many no shows, source?
• How many seats made available for re-sale?
• Cost per seat made available for re-sale

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What Firming Misses

• Ticketed
• Exempted
• Firming audits the PNR internally
• You should audit the entire PNR database

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Duplicate PNR Audit

• Check across all PNRs every day to determine
• Improves PNR Database Quality
• PNRs with PSGRS having similar names
• Itinerary duplication, overlap, non-flyable, and
  potential back-to-back

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Duplicate Checks Enhance Firming

• From a customer who implemented duplicate PNR
  checks AFTER they have been flight firming for
  two years
• ..(Duplicate PNR checks) have helped Alaska
  Airlines reduce our no show variability by 25,
  contributing to our increased load factor and a
  reduction in oversales. Our investment was paid
  back in several months. Terry Alexander,
  Alaskas Manager, Revenue Management Decision and
  Group Systems.

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Things to Remember

• High PNR Quality Stable no shows
• Flight firming improves PNR Quality
• Duplicate PNR checking improves PNR Database
  Quality
• Getting 80-90 now is better than waiting for the
  100 solution to come
• Do it yourself or contract with an expert but
  Do It!

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Questions/Comments?

• Thanks!
• Come visit our booth for more information