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UAL to Elevate Customer Experience With Modified Mobile App

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Key Takeaways

  • UAL's new app section offers real-time gate directions, updates, and layover tips for connecting flyers.
  • It expands UAL's AI-powered ConnectionSaver, which has saved over 3.3M connections since launching in 2019.
  • In the beta test, 350K users saw a 98% connection success rate; over 20M users have connections this summer.

United Airlines Holdings, Inc. (UAL - Free Report) seems to be gearing up to strengthen its position in the airline industry by renovating its products. To this end, UAL announced the official launch of a personalized mobile app, which is designed to help users easily catch connecting flights.

Customers with connecting flights at UAL’s U.S. hub airports shall now enjoy a special section of the app which offers a countdown to connecting flights, real-time flight status updates, turn-by-turn directions to their connecting gate with estimated walk times, ideas for longer layovers, and notifications if UAL is able to hold the plane (through its ConnectionSaver technology) for those with an extra-tight connection.

These facilities are available only on the UAL’s mobile app and expand on the airline's ConnectionSaver technology. The company’s ConnectionSaver technology is an AI-powered tool that automatically identifies departing flights that can be held for connecting customers, without delaying the on-time arrival of the customers who have already boarded. Since its launch in 2019, ConnectionSaver has saved more than 3.3 million customer connections. Full visibility of the connecting flights is now available on customers’ phone screens.

A spring beta test of the app features revealed that more than 350,000 customers used new features, achieving a 98% success rate in making their connection. Meanwhile, more than 20 million UAL customers have already booked connecting flights this summer.

David Kinzelman, UAL’s chief customer officer, stated, "We know that giving people more information, in a transparent and easy-to-understand way, can help de-stress the connecting flight experience. Our award-winning mobile app is a game-changer during travel, and with these new features, our customers will have even more real-time details about their flight and, as a result, have an even better experience flying United."

Apart from the aforesaid newly launched feature, UAL already excels in implementing customer-friendly technologies through its automatic rebooking assistance feature, provision of offering real-time weather delay updates, connectivity in the sky through the roll out of Starlink Wi-Fi service and luggage tracking feature.

The airline company further plans to improve features with the inclusion of additional languages in the future (apart from the existing availability in English and Spanish), extended navigational help, coupled with text message updates.

Currently, UAL carries a Zacks rank #4 (Sell).

Stocks to Consider

Investors interested in the Transportation sector may also consider Copa Holdings (CPA - Free Report) and SkyWest, Inc. (SKYW - Free Report) ).

CPA currently flaunts a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

CPA has an expected earnings growth rate of 14.3% for the current year. The company has an impressive earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 5.5%. Shares of CPA have risen 24.2% year to date.

SkyWest, founded in 1972, is based in St. George and operates regional jets for major U.S. airlines. SKYW is the holding company for SkyWest Airlines, SkyWest Charter and SkyWest Leasing, an aircraft leasing company. SKYW currently carries a Zacks Rank of 2 (Buy).

SKYW has an impressive earnings surprise track record, having surpassed the Zacks Consensus Estimate in each of the last four quarters. The average beat was 17.1%. The Zacks Consensus Estimate for current and next-year earnings has been revised upward over the past 60 days.


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