United Airlines uses customer data for new ad delivery service

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United Airlines is selling anonymized customer demographic information to companies that send targeted ads to United flyers, including app users.
United Airlines is selling anonymized customer demographic information to companies that send targeted ads to United flyers, including app users. Photo Credit: United Airlines

United Airlines has launched an advertising platform that enables companies to utilize the vast reams of data the airline holds about its customers to send targeted advertisements via the airline's app and website as well as on in-flight entertainment screens, in United lounges and elsewhere in airports. 

Kinective Media by United Airlines sells anonymized customer demographic information, providing the city of residence, flight information and age group of customers, to help brands deliver the personalized advertising.

The airline said that Kinective does not provide clients with information such as race, ethnic origin, disabilities, biometric data and personal health information. United also said Kinective doesn't provide personally identifiable information.

Kinective is already working with Norwegian Cruise Line, IHG, Macy's, Chase United Co-Brand Credit Cards and TelevisaUnivision as well as advertising agency behemoth Dentsu. 

United plans a formal commercial launch for Kinective at the Cannes Lions International Festival of Creativity later this month. 

"We've built a first-of-its-kind, real-time, adtech-enabled traveler media network where brands have already started connecting to premium audiences at an unmatched scale," MileagePlus CEO Richard Nunn said. "Unlike some commerce media platforms, United gives brands across a wide range of industries the ability to reach engaged customers throughout the entire marketing funnel -- from brand consideration to conversion -- in a way that's highly personalized and relevant, and we're already seeing impressive results."

United seeks to position Kinective as a service for its passengers. 

"The media network aims to enhance the travel experience by providing a more personalized advertising solution for customers," the airline said. 

United offered a scenario of how companies can deploy an advertisement via Kinective.

"For example, a customer who regularly flies between Chicago and Los Angeles might see an advertisement for an event in Los Angeles," the carrier said. 

United also laid out some strengths of proposition for advertisers. The United fleet, the company said, has nearly 100,000 seatback screens, each offering a potential for nearly 3.5 hours of advertising exposure per flight, based on average flight time. 

The United app has nearly 100 million user sessions per month. 

Travelers uncomfortable with personalized advertising can opt out of receiving targeted Kinective advertisements. 

Sharing of customer data by airlines is controversial. In March, the Department of Transportation announced that this year it will conduct a review of how airlines collect, handle, maintain and use passengers' personal information. The 10 largest U.S. airlines, including United, will be reviewed. 

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