Every few years, there is a new fad in our air cargo industry and by default, you can expand that to the whole of the airline industry as well. To jog our reader’s memory lane, it was revenue management 20 years ago. It was origin-destination– based revenue management in the 2010s, it was pricing in
This idea was predicted by a current RTS leader over two decades ago, and now it is one of the trending topics in the airline industry. The impact of the pandemic on airline passenger demand and willingness to pay have made airline thought leaders to think out of the box and look for alternatives to
Several management consulting firms have noted, for years, that a mere 1% improvement in the realized price typically translates into a profit margin of up to 10%-12%. This impact measures significantly greater than any other profit lever such as variable costs, fixed costs, or sales volumes. Pricing is the single most important lever available to
Forecasting is always somewhat of an estimation for the future, even when based on advanced mathematics and incorporating other data and sources to improve accuracy. This post is not intended to delve deeply into the maths, but rather to get your thoughts or feedback on some of the influences you have seen, especially the outliers.
We are in the transportation industry; we like to travel. We still think that face to face is by far the best way to develop relationships, impart knowledge, conduct training, and ensure our clients can get the best out of our solutions. One of our recent blogs (Link) noted how our release planning had been
In just a timeline of two years, our lives have drastically changed due to the Covid-19 Pandemic. Having to go through the lockdowns and social distancing ourselves, our daily lives’ have been completely disrupted. Many companies, factories and industries are down and among them, aviation is the one that has been hit the most. Airlines
While embarking on artificial intelligence in the airline business, most of us assume that you need vast amount of datasets to get started. No doubt that AI is fueled by data, and so it only makes sense that the more data you have, the smarter your AI gets, right? Not exactly. How does one carve
Every consumer wants to be reassured that their purchase is performing to the best of it’s ability and they are doing everything possible to maximize the utility of their investment. Revenue Management departments at transportation companies globally are no exception to this. Though it is widely accepted in the airline and cruise ferry world that
What does the term pricing mean to you, I asked a few guys that I know of who work in the airline cargo departments? Here is a sample of the answers that I got: “Picking up the appropriate rate for a shipment at the time of booking? she said to which I responded, “