Pricing & Revenue Management Blog

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Sergio Mendoza, PhD Sergio Mendoza, PhD Jun 28, 2017 8:00:00 AM

Airline Profits: The High Price of Doing Nothing – Infographic

Airlines can add up to 5% additional net revenues to the bottom line if they improve their pricing processes, access real-time data to calculate fares, and rely on cloud-based technology to uncover hidden revenue opportunities, according to "The High Cost of Doing Nothing," our recently published infographic.

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Sergio Mendoza, PhD Sergio Mendoza, PhD Jun 14, 2017 1:12:31 PM

It's Time Airlines Consider a New Pricing Approach

Shortly after unveiling our pricing intelligence platform at the Aviation Festival in Miami last month, my colleague and Airnguru co-founder Javier Jimenez and I were interviewed by Airline Profits. And when it comes to airline profits, we quickly formed a consensus - there aren't enough of them.

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Javier Jimenez Javier Jimenez Aug 2, 2016 2:20:51 PM

Top 7 airline industry challenges: Rio 2016 Olympics

Market dynamics around large sport events like the Olympics test yield management and advanced predictive analytics of the airline industry.

In an ordinary day, airline pricing and yield management are a dynamic, competitive chess game for airline revenue managers. Now, imagine a major event that gathers people from around the world, which completely changes the dynamics of the market and flight demand patterns.

Javier Jimenez Javier Jimenez Jul 26, 2016 9:00:00 AM

Will airline pricing optimization evolve by 2020?

Pricing optimization and revenue management will have a very different face by 2020. Digital developments in areas such as Big Data, the Internet of Things (IoT) and Artificial Intelligence will ultimately reshape the way airline pricing analytics works.

Javier Jimenez Javier Jimenez Jul 12, 2016 7:00:00 AM

8 best reads for airline revenue managers

Today, airline industry executives in charge of pricing optimization and revenue management must develop skills in different areas: big data mining, airline pricing intelligence, data science and price visualization, to say the least.

With this in mind, I was thinking what books should you be reading to keep yourselves updated. I provide you with some of the bestselling books for our field of work.

Why invest in multiplatform airline analytics?
Pablo Vivanco Pablo Vivanco Jul 6, 2016 7:30:00 AM

Why invest in multi-platform airline analytics?

Revenue managers know it best: one thing is to get insightful data when they are monitoring competitive movements. However, understanding trends and figures for key variables such as pricing in any place and time, in order to make timely responsive decisions, is something very different.

Roberto Pérez Castro Roberto Pérez Castro Jun 17, 2016 1:25:52 PM

Airnguru airline pricing intelligence "refreshing" at Aviation Festival

Airnguru was a “refreshing novelty” of the two-day Aviation Festival Americas in Miami, thanks to a user-friendly competitive analysis tool, during a conference where Big Data analytics was a recurrent discussion.  

How Customer Relationship Management helps pricing intelligence
Sergio Mendoza, PhD Sergio Mendoza, PhD May 23, 2016 10:55:00 AM

From CRM to Pricing

When revenue managers or pricing experts hear the concept Customer Relationship Management (CRM), they typically believe it’s just a sales and marketing asset, not to be mixed with revenue optimization processes. Are they right or wrong?

Sergio Mendoza, PhD Sergio Mendoza, PhD Apr 22, 2016 10:00:00 AM

Ancillary Revenues: the Good & the Gaps

Internet, the enabler; Low Cost Carriers, the flagships

We (the elder) remember those obscure times when legacy carriers were trapped by the oligopoly of the Global Distribution Systems (GDS's) outspread through their exclusive brick & mortar travel agency partners, and had no control of their ever growing distribution costs ("the distribution cost trap"). I remember those times when total distribution costs (including travel agent commissions, booking costs, sales office costs, etc) represented around 20%-25% of legacy airlines' revenues.

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