5 ms·
How about an airline then: http://qz.com/533501/half-of-american-airlines-revenue-came-from-13-of-its-customers/ http://qz.com/533501/half-of-american-airlines
by rogerbinns 11y ago
How about an airline then: http://qz.com/533501/half-of-american-airlines-revenue-came-from-13-of-its-customers/ http://qz.com/533501/half-of-american-airlines-revenue-came-...
> ... American Airlines president Scott Kirby gave a peek into the lopsided economics of his company, saying half of its revenue last year came from the 87% of its customers, who only flew the airline once.
The flip side is 13% of the regulars providing the other half of the revenue. But those passengers are already familiar with you and using you regularly. The "light buyers" comment is showing that the long tail matters too, and that they aren't that familiar with your business/brand, and also are unlikely to hang out/be reachable in the same way those 13% are.
The regulars are a known base - it is the irregulars who do need focussing on.