A Novel Bottom-Up Sales Channel Between Travelers and Airlines

Informazioni relative al progetto

AIRM

ID dell’accordo di sovvenzione: 828572

DOI

10.3030/828572

Progetto chiuso

Data della firma CE 18 Luglio 2018

Data di avvio 1 Agosto 2018

Data di completamento 31 Gennaio 2019

Finanziato da

• INDUSTRIAL LEADERSHIP - Innovation In SMEs

Costo totale

€ 71 429,00

Contributo UE

€ 50 000,00

Coordinato da

OPTION WAY
France

Periodic Reporting for period 1 - AIRM (A Novel Bottom-Up Sales Channel Between Travelers and Airlines)

Periodo di rendicontazione: 2018-08-01 al 2019-01-31

Sintesi del contesto e degli obiettivi generali del progetto

It is of paramount importance for airlines to fill their seats. This leads to a more efficient use of resources, with positive financial, operational and ecological impacts. But the current paradigm is top-down: airlines estimate the future demand for a flight and continuously monitor the price according to the flight’s occupancy, without the view of the real demand from travelers.
We propose to improve this model by introducing a novel bottom-up channel from travelers to airlines. Travelers will be able to place a bid on a seat, and Airlines will have access to these bids. They may accept a bid and thus immediately increase the occupancy of a flight, without the need for continuous fare readjustment. This would deeply change the dynamics of the market, providing airlines with real-time information about the demand. Our ultimate goal is to improve revenue management and increase occupancy rates.

Lavoro eseguito dall’inizio del progetto fino alla fine del periodo coperto dalla relazione e principali risultati finora ottenuti

According to our study, many airlines are interested by a novel bottom-up sales channel with bids from travelers, mainly to better fill the under-loaded flights during the low or medium season. We have focused our work on the different technical solutions to implement this new solution, and we have succeeded to define an achievable model with the existing technical constraints. Our solution is simple, profitable, and matches our goal to improve revenue management.

Progressi oltre lo stato dell’arte e potenziale impatto previsto (incluso l’impatto socioeconomico e le implicazioni sociali più ampie del progetto fino ad ora)

The main impact of our project is to increase the average occupancy rate of the flights, leading to a better use of resources in order to limit the ecological impact of each traveler. The project has also a positive impact for airlines by improving their revenue and for travelers by saving money. For Option Way, this project is an opportunity to growth and develop our business.

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