Research Analysis: Porter Airlines

Research Analysis Research ADMC 153 - OLB 6 seconds to Humber Alejandra, Carly ,Emily, Gabriel, Lila, Osman

Brand Overview ●

Porter airlines is a regional Canadian airline that opened in 2006

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Porter is located at Billy Bishop airport in the heart of Toronto.

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The airline specializes in short flights, offering travel to over 20 cities in Canada and the USA, making it ideal for business and leisure travellers.

The Problem

Porter Airlines, located at Billy Bishop Airport downtown Toronto, has had a decrease of sales and business within their primary business- traveller demographic. Travellers have been switching from Porter to Pearson International.

Objectives 1.

Understand why business travellers are not using Porter Airlines.

2.

Identify points of difference between Billy Bishop and Toronto Pearson Airport.

3.

Learn what business travellers are looking for in a Loyalty Program.

Methodology

1.

Primary Research

2.

Secondary research: Competitive Analysis, PESTEL Analysis and SWOT Analysis

3.

In-Depth Interviews â—?

18 IDIs

4. Online Survey

Profile of Sample ●

Porter Airlines Customers

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Toronto Pearson International Airport customers

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Frequent flyers

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Business Professionals

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People who belong to loyalty programs, frequent flyer groups, and business travel groups

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Customers who live in multiple regions of Toronto and the GTA

Research

Secondary Research ●

Flying with Porter can be more expensive than flying with other Airlines.

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Technology has been allowing more people to work from home, which can be a threat for flight sales

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Toronto is attractive to big companies that have operations worldwide

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Older demographic loyal to Pearson Airport

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Porter is limited in their flight destinations

Survey

Survey Highlights 1.

Most Porter travelers are using this service for business

2.

Porter’s limited locations has been a significant aspect to the decision to fly Porter

3.

Travellers are looking for other services and amenities in their airports ie. restaurants

4.

Travellers are looking for loyalty programs that are convenient, easy to use, and offer them flexible and valuable benefits

Survey Findings ●

53% of Porter travelers are using this service for business and 36% for leisure travel

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People generally use and prefer Pearson International and are not as likely to use Porter/ Billy Bishop airport

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People believe that Porter is lacking in brand promoting and advertising

Objective 1: Understand why business travellers are not using Porter Airlines.

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56% of people have already travelled or travel with Porter.

Survey Findings

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Objective 2: Identify points of difference between Billy Bishop and Toronto Pearson Airport.

On average people find that Pearson International is in a more convenient location for them compared to Billy Bishop

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They are looking for amenities such as food and beverage services and lounges

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There is a perception that Porter is not doing enough when it comes to promos and advertising

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Porter ranks really well when it comes to customer service and overall experience

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Porter’s limited travelling destinations is a reason people aren’t flying Porter

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63% of people believe that Pearson International has better offers then Billy Bishop

Survey Findings Objective 3: Learn what business travellers are looking for in a Loyalty Program.

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Our survey shows that most of these business travellers are a part of flyer loyalty programs and other loyalty programs

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Results show that people are looking for a loyalty program that offer benefits towards flights and experiences

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In a loyalty program people are looking for something that is convenient with benefits that matter to them

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These travellers would like to see their loyalty memberships for better business amenities such as lounges

In-Depth- Interviews

IDI Highlights 1.

A loyalty program is not the most viable solution for their problem.However, an upgrade of their frequent flyer program should be considered.

2.

A loyalty program should be clear on what they offer. This should attract the customers they already have and appeal to new ones.

3.

People choose Pearson airport over Billy Bishop because of convenience, distance, acknowledgement and flying destinations.

4.

Porter’s advertising techniques aren’t drawing in a business traveler demographic

IDI - Key Findings Objective One: Understand why business travellers are not using Porter Airlines. ●

People mostly use Porter for business

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The decision to fly Porter is typically decided through their job

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Billy Bishop for them is not as convenient as Pearson

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People interviewed work in big companies and travel frequently

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Individuals in a business generally do not choose their tickets, they are bought through the company

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Porter does not go to the destinations the travellers are planning to go

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Porter tickets can be more expensive than other airlines

IDI - Key Findings Objective Two: Identify points of difference between Billy Bishop and Toronto Pearson Airport. ●

Billy Bishop might be a less crowded airport, but they still prefer Pearson

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Pearson has more amenities and services for travellers to spend time before their flight ○

Restaurants, bars, lounges, and recreational spaces are important for travellers

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Pearson is most popular for leisure travel

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Flyers consider that Billy Bishop check-in times are faster and claim they have received excellent service

IDI - Key Findings Objective Three: Learn what business travellers are looking for in a Loyalty Program.

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All of these travellers belong to a loyalty program

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They have no complaints about Porter services

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They would like to get more detailed information about their points and what the benefits are

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Those that have VIPorter are not using it frequent enough to earn benefits

Summary of Findings Secondary Research ●

Porter prices can be more expensive than competitors

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Technology has allowed more people to work from home

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Older demographic is loyal to Pearson International

Survey ●

People are generally satisfied with their experience at Billy Bishop/ Porter

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Deterrents are lack of amenities like restaurants, shops, and flight destinations

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The location of Porter is not as favourable over Pearson International

Summary of Findings IDI’s ●

Deterrents are lack of VIP programs and restaurants/shopping

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Porter is more popular when used for limited destinations in Canada

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Porter is popular for people who live downtown - people not in the downtown core prefer Pearson

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Porter customers are satisfied with comfort and service

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Business travellers are typically not in control of what airline service they will use for work

Recommendations Porter has a great opportunity to explore a B2B marketing strategy ★

Key finding: Business travel is organized through the company

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Consider creating a marketing and sales plan focusing on buyer decision makers at companies

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Create an incentive for travel coordinators within business who need to travel

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Targets Porter’s current demographic and will attract new loyal customers

Thank you