The document summarizes learnings from a Lean Launchpad Block Week where a team explored opportunities in the domestic airline market. Through interviews, they learned that business travelers prefer more comfortable seats and reduced airport time over other premium offerings. While initially focusing on the business traveler market, they pivoted to target both business and leisure travelers looking for an improved experience over economy flights. Key learnings included the need to demonstrate value through time savings and emphasize comfort. Next steps involve further customer validation and refining the financial model and regulatory requirements.

1. Lean Launchpad Block Week
Donovan Hamlet
Isobel Rosenthal
Alex Savona
Tristan Loffler

2. Who we were:
A domestic airline that bridges the gap between
flying business and flying private
Who we are now:
A domestic airline that bridges the gap between
flying economy and flying business
Pivot

3. How we got here:
79 interviews
Junior professionals
Senior corporate decision makers
Port Authority
City government officials
Leisure Travelers
Airline manufacturers

4. Remove the pain points of
the business class flight
experience domestically in
the US by:
1. Reducing time in airport
2. Improving in-flight
experience (comfort &
service)
3. Offering a cheaper
alternative to flying
private
The business class flier who
wants to fly private but can’t
afford it
Primary: Business flier
• Flier/employee
• Corporate decision-
maker
• Descriptors: 1+ flight per
month, urban, time-
crunched, employees of
companies that promote
high quality of life/culture
Secondary: Frequent flier
• Business + leisure
• Descriptors: High
income, urban, luxury
standards
• Face-to-face meetings
• Digital advertising
• Mobile app
• Website
• Partnerships (luxury
brands, Uber)
• Word of mouth
• 360-degree, seamless
end-to-end experience
• Loyalty programs
• Unparalleled customer
service support
• Digital integration at
every touchpoint
• Subscriptions for corporations (with lower price per flight)
• Flight-by-flight
• Airplane
manufacturers/leasing
companies
• Companies with potential
fliers
• Existing airlines that
can’t reach all of our
destinations
• Second and third tier
airports
• Food providers
• Luxury brands that build
equity
• Television/entertainment
providers
• Technology providers
(televisions, wifi)
• Mattress, desk providers
• Business Development
• Marketing
• Customer Service
• Experience Design
• Operations/Logistics
• Airplanes
• Ramp space
• Legal/regulatory
expertise
• Business development
• Client management team
Fixed:
• Airplanes
• Fees
Variable:
• Employees
• Fuel
Day 1

5. Key Learnings
Different channels &
processes dictate flights
business travelers book
Junior business travelers
fly economy more than
business domestically
Travelers won’t pay large
premiums (business-class
prices) for domestic flights
• Travel agents will be a
key part of corporate
partnerships
• Proceed with research
of corporate channels
• Junior business
travelers are less
attractive targets for
domestic business-class
travel
• In order to capture
customers we have to
be price competitive or
provide a unique
offering
Day 1-2
Learnings/Implications

6. Hypothesized Product-Market
Fit
Archetype
• Reduced time at the airport e.g., quick security, comfortable hub
• More productivity on the flight e.g., wifi, desk space, outlets
• An affordable alternative to business class that meets his company’s
budget
Value Proposition
• A comfortable experience she can rely on
• Reduced time at the airport e.g., quick security, comfortable hub
• An airline she can fly for business and leisure
• A more comfortable experience than economy
• Affordable alternative to business class
• Easy and convenient experience
Demos
Junior Professional
• 28
• $80K
• Professional
Services
Senior Professional
• 47
• $500K
• Executive
Management
Leisure Traveler
• 31
• $150K
• Tech Startup

7. Proposed Channels
Airline Own
Websites /
Apps
Online
Agencies (eg
Expedia)
Offline Travel
Agencies
Aggregators,
eg Kayak
Channels
End-User
Traveller Leisure Business
Corporate
Travel Services
Airlines
A mix of channels are used by both leisure and business travellers, for research and
purchase
Suppliers

8. Business Flyer:
Remove the pain points of
the business class flight
experience domestically in
the US by:
1. Reducing time in airport
2. In-flight experience
optimized for work and
productivity
3. Offering a cheaper
alternative to flying
private
The business class flier who
wants to fly private but can’t
afford it
Primary: Business flier
• Flier/employee
• Corporate decision-
maker
• Professionals
• Descriptors: 1+ flight per
month, urban, time-
crunched, employees of
companies that promote
high quality of life/culture
Secondary: Frequent flier
• Business + leisure
• Descriptors: High
income, urban, luxury
standards
• 360-degree, seamless
end-to-end experience
• Loyalty programs
• Unparalleled customer
service support
• Digital integration at
every touchpoint
• Subscriptions for corporations (with lower price per flight)
• Flight-by-flight
• Airplane
manufacturers/leasing
companies
• Companies with potential
fliers
• Existing airlines that
can’t reach all of our
destinations
• Second and third tier
airports
• Food providers
• Luxury brands that build
equity
• Television/entertainment
providers
• Technology providers
(televisions, wifi)
• Mattress, desk providers
• Business Development
• Marketing
• Customer Service
• Experience Design
• Operations/Logistics
• Airplanes
• Ramp space
• Legal/regulatory
expertise
• Business development
• Client management team
Fixed:
• Airplanes
• Fees
Variable:
• Employees
• Fuel
High-Income Frequent
Flier:
1. Reducing time in airport
2. In-flight experience
optimized for comfort
and entertainment
3. Offering a cheaper
alternative to flying
private
High-Income Frequent
Flier:
• Direct & Indirect Sales
• Partnerships with Luxury
Brands
• Word of Mouth
Business Flier:
• Travel Agents
• American Express
• Direct & Indirect Sales
Business Flier:
• Subscriptions with Travel
Agents and Partners (eg
Amex)
• Flight-by-flight
High-Income Frequent Flier:
• Flight-by-flight
Day 2
Day 1 changes

9. Key Learnings
There’s more opportunity to
improve the economy
experience
Passengers are also
unsatisfied with the airport
experience
There is WTP for improved
economy but people aren’t
willing to pay 2-3x the price
for business
• Refocus interviews on
economy domestic
travel
• Explore the international
premium economy
model
• Prioritize pain points
across airport and
airplane experiences to
determine key
opportunities
• Determine which
features are biggest
drivers of WTP
Day 2-3
Learnings/Implications
PivotPivot

10. 27% of revenue is
attributable to
business class
travel
Overall Market
(Economy + Business)
$250.6B
Served Market
$67.6B
716M passengers
boarded planes
domestically at
~$350
Assuming we can
steal 2.5% of
Served Market
Target Market
$1.69B
Overall Market
(Economy + Business)
$250.6B
Target Market
$1.69-6.27B
Assuming we can
steal 2.5% of both
economy and
business markets
New Proposed Market
Before: Market for
Business-Private Gap
Now: Market for Economy-
Business Gap

11. Willingness to Pay
We asked
interviewees how
much they would
pay for a flight that
usually costs $257 if
it solved their top
two pain points.
• 50% would pay
$310 (20% more)
• 30% would pay
$330 (30% more)
• 20% would pay
$360 (40% more)
Next step: Test willingness to pay across higher ticket prices

12. RED
OCTOBER
Global US Carriers US Low Cost/Regional Carriers
Global Foreign Carriers US Private Jet Charters
New Competitive
Landscape

13. Business Flier:
Remove the pain points of
the business class flight
experience domestically in
the US by:
1. Reducing time in airport
2. In-flight experience
optimized for work and
productivity
3. Offering a cheaper
alternative to flying
private
3. Offering a cheaper
alternative to flying business
Business flier:
The business class flier who
wants a better experience
without paying business
class prices
• 1. Junior-level
• 2. Senior Level
• 3. Decision Maker
• Descriptors: 1+ flight per
month, urban, time-
crunched, employees of
companies that promote
high quality of life/culture
Leisure flier:
The economy flier who is
willing to pay a premium for
a better experience
• Business + leisure
• Descriptors: High/upper-
middle income, urban,
luxury standards
• 360-degree, seamless
end-to-end experience
• Loyalty programs
• Unparalleled customer
service support
• Digital integration at
every touchpoint
• Subscriptions for corporations (with lower price per flight)
• Flight-by-flight
• Airplane
manufacturers/leasing
companies
• Companies with potential
fliers
• Existing airlines that
can’t reach all of our
destinations
• Second and third tier
airports
• Food providers
• Luxury brands that build
equity
• Television/entertainment
providers
• Technology providers
(televisions, wifi)
• Mattress, desk providers
• Business Development
• Marketing
• Customer Service
• Experience Design
• Operations/Logistics
• Airplanes
• Ramp space
• Legal/regulatory
expertise
• Business development
• Client management team
Fixed:
• Airplanes
• Fees
Variable:
• Employees
• Fuel
Leisure Flier:
1. Reducing time in airport
2. In-flight experience
optimized for comfort
and entertainment over
the Economy class
3. Offering a cheaper
alternative to flying
private business class
Leisure Flier:
• Direct & Indirect Sales
• Partnerships with Luxury
Brands
• Word of Mouth
• Social Media
Business Flier:
• Corporate Partnerships
• Travel Agents
• American Express
• Direct & Indirect Sales
Business Flier:
• Subscriptions with Travel
Agents and Partners (eg
Amex)
• Flight-by-flight
Leisure Flier:
• Flight-by-flight
Day 3
Day 1 changes Day 2 changes

14. Key Learnings
Travelers are so used to
the status quo they can’t
imagine a better alternative
Business travelers are also
leisure travelers, providing
opportunity to capture more
share of wallet
Seat comfort and time are
the most consistent pain
points across segments
• Educate consumers on
potential for
improvements through
marketing
• Use partnerships (Uber)
to educate and build
equity
• Explore Blackberry
model of acquisition
• Need to determine
similarities/differences
between the
business/leisure and
leisure market
• End-to-end service and
efficient are must-haves
and a compelling selling
point
• Comfortable seats are a
quick-win
Day 3-4
Learnings/Implications
Pivot Pivot

15. Leisure Business & Leisure
1) Seat Comfort & Leg
Room
Seat Comfort & Leg
Room
2) Time (incl.
Commuting and
Airport )
Time (incl.
Commuting and
Airport )
3) Amenities (wifi,
outlets, desk
space)
Amenities (wifi,
outlets, desk
space)
4) In-flight service In-flight service
Top Ranked Pain Points, by Segment
While seat comfort is a functional benefit
we can easily provide, it’s already
available at a premium from competitors
(premium economy)
Time is a value proposition that other
domestic airlines haven’t marketed or
offered to these segments and may
struggle to replicate (scale and legacy)
Testable Implications
Top Pain Points

16. Customer
Relationships
Get
Keep
Grow
• Website booking
• Social media advertisements
• Corporate partnership (contract
with major company)
• Brand partnerships (Uber)
• Guerilla marketing
• Aggregators (Expedia, Kayak)
• Word of Mouth
• Digital integration at every
touchpoint (mobile boarding, etc.)
• Unparalleled customer service
(social media, call centers,
attendants)
• Content marketing
(recommendations on
destinations)
• Incentives for completing surveys
• Loyalty program (free flights)
• Promotions (seasonal discounts)
• Add-ons (on the ground
concierge)
• Sale of customer data

17. Business Flier:
Remove the pain points of the
business class flight experience
domestically in the US by:
1. More comfortable flight
experience (seats)
2. Reducing time in airport
wasted end-to-end time
3. In-flight experience
optimized for work and
productivity
4. Offering a cheaper
alternative to flying private
5. Offering a cheaper
alternative to flying business
6. Providing end-to-end
service
Business Flier:
The business class flier who
wants a better experience
without paying business
class prices
• 1. Junior-level
• 2. Senior Level
• 3. Decision Maker
• Descriptors: 1+ flight per
month, urban, time-
crunched, employees of
companies that promote
high quality of life/culture
Leisure Flier:
The economy flier who is
willing to pay a premium for
a better experience
• Business + leisure
• Descriptors: High/upper-
middle income, urban,
luxury standards
• Get: Website, social,
corporate & brand
partnerships, guerilla,
search, WOM
• Keep: Digital integration
at every touchpoint,
unparalleled customer
service
• Grow: Loyalty programs,
promotions, add-ons
• Airplane
manufacturers/leasing
companies
• Companies with potential
fliers
• Existing airlines that can’t
reach all of our
destinations
• Second and third tier
airports
• Food providers
• Luxury brands that build
equity
• Television/entertainment
providers
• Key events (Art Basel,
SXSW, Sundance)
• Technology providers
(televisions, Wi-Fi)
• Mattress, desk providers
• Department of
Transportation & State
Regulatory bodies
• Seat manufacturers
• Transportation providers
(Uber)
• Business Development
• Marketing
• Customer Service
• Experience Design
• Operations/Logistics
• Airplanes
• Ramp space
• Legal/regulatory
expertise
• Business development
• Client management team
Fixed:
• Airplanes
• Fees
Variable:
• Employees
• Fuel
Leisure Flier:
1. Reducing time in airport
wasted end-to-end time
2. In-flight experience
optimized for comfort and
entertainment over the
Economy class
3. Offering a cheaper
alternative to flying private
business class
4. Providing end-to-end
service
Leisure Flier:
• Direct & Indirect Sales
• Partnerships with Luxury
Brands
• Word of Mouth
• Social Media
Business Flier:
• Corporate Partnerships
• Travel Agents
• American Express
• Direct & Indirect Sales
Business Flier:
• Subscriptions with Travel
Agents and Partners (eg
Amex)
• Flight-by-flight
• Bundled add-ons
Leisure Flier:
• Flight-by-flight
• Bundled add-ons
Day 1 changes Day 2 changes Day 3 changes
Day 4/5
Day 4 changes

18. Final Summary
We now know that:
1. We’ve found a viable market (economy-business)
2. The leisure-business segments have significant overlap and increased WTP for
improved experience
3. Must-have value propositions are seat comfort and time saving

19. What we still don’t know Next Steps to Validate
Revenue Streams
Willingness to pay premium remains constant
across domestic flight
Run customer tests for a variety of flights and price
points
Cost Structure
More precise flight economics, fees, etc. with focus on seat comfort
and time saving (back of envelope calculations have been
completed)
Project revenues and profits on select routes across
potential aircrafts and compare with findings from
pricing analysis (above)
Key Activities
Additional understanding of regulatory and legal
restrictions
Continue to validate legitimacy of business with
Department of Transportation, FAA and local
governments
Customer Relationships
Understanding cost of acquisition, switching costs,
and role of loyalty across channels
Additional interviews with target consumers,
research on historical switching campaigns by
competition, benchmark competitor acquisition costs
Next steps