Alaskan Airlines Aggregator: Concept Validation

Product:

A new US-based startup - air travel aggregator specifically fo local air service providers accessible through a web application.

Period:

January 2021 - April 2021

Services:

Google Display Ads, Paid Social

Tools Used:

Google Ads, Facebook Ads, Google Analytics, Google Tag Manager

A Problem that the Startup Solves:

Prospective passengers have insufficient access to the services local Alaskan carriers provide, stemming from the lack of an effective search and booking platform. Consumers do not have
adequate awareness regarding the air travel options that exist outside major carriers. They are largely unaware that the local municipal airport might offer a more convenient and efficient method of travel, or that air service exists between city pairs that were previously only traversed by car.

The Request:

EDGEncy Team was hired to help the new startup validate early-stage assumptions regarding target audience, interest towards the concept, run series of experiments, generate awareness and collect the first leads.

How we generated traffic and leads:

Google Display Ads

Facebook Campaign

Our Assumptions:

1. B2C Profile is main the age group 25-35: this assumption was not validated
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2. Target audience has the following Affinity Interests and Characteristics

Physically Fit
Health Conscious
Fashionista
Experienced leisure traveler
Comfortable and proficient with technology
Willing to experiment with and adopt new platforms and services

- this assumption was mainly validated

3. People would be interested in information about Alaska and would consider Alaska as their travel destination: this assumption was validated

numbers

Results that we achieved:

452%

website traffic increase

14%

bounce rate decrease

50%

session duration increase

$5

cost per acquisition

$0.2

cost per click

27%

conversion rate per return visitors

Our Process

Analysis & Strategy

We've analyzed historical data from the past Google ads campaigns and Google Analytics data. Based on the findings and general assumptions about the business, we have set up a list of hypotheses and experiments for future validation. To test out our hypotheses, we decided to run Google Display Campaign and several Facebook Campaigns.

Lead Magnet

To increase traffic to the website, and generate new leads, we decided to implement a lead magnet to the home page of the company. The lead magnet would contain a list of underdiscovered destinations in Alaska where Alaska Airlines doesn't fly. We created images and texts that would incentive people to visit the website, download the file and interact with the web.

Launch & Optimization

We've set up the campaigns, and spend the first two weeks on optimization, and A/B testing. We excluded irrelevant placements (e.g. websites with foreign domanes, gaming webs), we've set available in the US household income to top 20%, ran experiments on types of creatives, devices and locations.

Findings

As a result of experiments and optimization, we dropped our cost per click from $0.8 to $0.2 and reached the average cost of $5 per acquisition. We reached 27% conversion rate for returning visitors, and outlined top-performing placements, geographical locations, affinity interests and devices.

Contrary to our initial assumption, age group 55+ had the highest conversion rates

iOS has more traffic than Android but Android has a much higher conversion rate.

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