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United Airlines Launches Revolutionary Advertising Network
United Airlines is expanding its horizons by venturing into the advertising business. The company recently announced the launch of Kinective Media, an innovative advertising network designed to target customers through its mobile app and in-flight entertainment system.
The airline claims that Kinective Media is the first of its kind in the industry. By leveraging data collected on travel behaviors, the platform aims to deliver personalized, real-time advertising, content, and offers from various leading brands to United Airlines customers.
Richard Nunn, CEO of United’s MileagePlus rewards program, highlighted the strategic shift within the advertising sector in recent years. “Advertisers and brands are now working together to enhance consumer connections,” Nunn stated in a press release.
Notably, customers will have the option to opt out of the advertising network, ensuring transparency and choice in the process.
Partnerships and Future Plans
United Airlines plans to debut Kinective Media at the upcoming Cannes Lions International Festival of Creativity in mid-June. The network has already secured collaborations with prominent brands like Norwegian Cruise Line, Macy’s, Chase United credit cards, TelevisaUnivision, and IHG Hotels & Resorts.
During a recent earnings call, United CFO Donald Leskinen emphasized the company’s efforts to diversify its revenue streams and build a more resilient business model. In their latest annual report, United revealed that non-passenger, non-cargo revenue accounted for 6% of their total business in 2023, totaling $3.2 billion out of $53.7 billion.
“We need to demonstrate that our business is less cyclical than ever before. Our premium revenue, coupled with new barriers to entry and the quality of our ancillary services, are key factors in this strategic shift,” Leskinen explained.
By embracing the power of advertising and data-driven insights, United Airlines is setting a new standard in the aviation industry, aiming to enhance customer experiences and drive growth through innovative initiatives like Kinective Media.
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