Elevate R&D Demo: Competing on Total Price

1. R&D Team

2. Business Problem:
Customers can quickly
see the total price for
multiple airlines, across
many travel dates.
Why should airline
pricing analysts be any
different?

3. Solution Concept:
Compare Total Prices for competing
itineraries across two airlines
- Validated Total Price including
Surcharges, Carrier-Imposed Fees and
Taxes
- Range of Travel Dates
- Recommendations for actions are made
based on outcome and applied strategy

4. Process:
1. Use Total Price Calendar Query to calculate
all prices in the market for flights in a date
range
2. Find the competing itineraries for each flight
3. Determine the fare that could be selected by
YM systems (lowest in RBD)
4. Find competing product price for each
validated price point in the market for each
itinerary
5. Recommend actions based on results of
comparison

5. Step One:
Uses Total Price Calendar Query to calculate all prices in the market for flights
in a date range
• Total price includes base fare
amount, surcharges, mileage
charges, carrier-imposed fees, taxes
and passenger facility charges*

6. Step Two:
Find the competing itineraries for each of your flights
- Finds the closest itinerary (minimum absolute time difference - not time
banded)

7. Step Three:
Determine the fare that could be selected by YM systems (lowest in RBD)

8. Step Four:
Finds closest competing product prices in the market for each flight and
cabin

9. Step Five:
Compares conditions Restricted vs.
Unrestricted and One Way vs. Round Trip)
Recommends actions based on results of the
comparison:
• Provide Price – Competitor has price in
market that you don’t
• Review Amount – Competitor does not
have a competing price in the market
• Check Position – Both have prices, but
prices are out of strategy tolerance
• Check Conditions – Prices are within
tolerance, but rules are not matching

10. Results
- For each itinerary,
price points are
matched to
competitor, resulting
in recommended
actions to be taken
according to
strategy

11. Value
• Monitor and analyze competitive positions
from the customer’s perspective
• Pinpoints pricing gaps that are difficult to
determine at a base fare level
• Enables focus on highly competitive
itineraries and routes

13. “Contacts:
Richard Kassner – Manager, Product
Strategy, Collection and Fare
Management, RKassner@ATPCO.NET
Gianni Cataldo – Director of R&D,
Business Development,
GCataldo@ATPCO.NET