Single-leg revenue management with downsell and delayed decision making

Hopman, Daniel; Koole, Ger; Mei, Rob van der

doi:10.1057/s41272-017-0097-x

Cited by 4 publications

(8 citation statements)

References 15 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Finally, Topic 10, Services and Profit increase, represents the frontier of RM, as it covers consumer choice models and focuses on the use of services and ancillaries as further resources to add to the travel to optimize revenues (Hopman et al, 2017;Vinod, 2016). It is only embryonically considered by Vinod (2004), who talks of revenue mix controls.…”

Section: Comparing and Contrasting Resultsmentioning

confidence: 99%

“…Increase revenues or increase profits? Research on consumer choice models has demonstrated the validity of sell-up, cross-flight recapture and down-sell (Hopman et al, 2017;Vinod, 2016). Approaches and models to maximize profits or minimize the losses in revenue that arise from this situation are noted in some literature streams (Hopman et al, 2017).…”

Section: Topicmentioning

confidence: 99%

“…Research on consumer choice models has demonstrated the validity of sell-up, cross-flight recapture and down-sell (Hopman et al, 2017;Vinod, 2016). Approaches and models to maximize profits or minimize the losses in revenue that arise from this situation are noted in some literature streams (Hopman et al, 2017). Anderson et al (2004) proposed a new approach to the pricing theory and operating assets in the face of uncertainty and in the presence of some flexibility in operating strategies.…”

Section: Topicmentioning

confidence: 99%

See 2 more Smart Citations

A systematic literature review of revenue management in passenger transportation

Ammirato

Felicetti

Linzalone

et al. 2020

MBE

View full text Add to dashboard Cite

Purpose This paper proposes an in-depth and complete literature review of the revenue management (RM) issue in the passenger transportation industry. The purpose of this paper is to investigate structural elements and characteristics that help to make sense of the current body of RM literature under a managerial perspective. Design/methodology/approach The RM literature landscape is analysed according to a systematic literature review approach to point out the main topics around which the scientific literature has grown in the past 30 years. Topics are further categorized in themes by means of an agglomerative hierarchical clustering procedure. Findings First, the scientific literature of the past 30 years has been categorized into ten topics and four themes. Second, topics and themes are put in contrast with stages of the RM business process to highlight research areas still unaddressed by the literature. Third, the paper suggests research lines for future-related works that could positively contribute to the elevation of RM from a system of techniques to a “strategic management” theory. Originality/value Available literature reviews of RM in passenger transportation are focused on quantitative aspects and poorly structured in the systemic view of the RM. To the best of the authors’ knowledge, this research is the first of its kind, as it aims to assess the whole body of literature, rather than specific themes, and to do it under a management/business perspective.

show abstract

Section: Comparing and Contrasting Resultsmentioning

confidence: 99%

Section: Topicmentioning

confidence: 99%

Section: Topicmentioning

confidence: 99%

See 1 more Smart Citation

A systematic literature review of revenue management in passenger transportation

Ammirato

Felicetti

Linzalone

et al. 2020

MBE

View full text Add to dashboard Cite

show abstract

“…Woodside and MacDonald [45] provide a framework for the decision and find that the decision of travelling to the destination was made on a separate day than travel plans to that destination were made. This delay in decision making is discussed in [21]. The concept of loyalty in the aviation and hospitality industry is very important.…”

Section: Surveys and Backgroundmentioning

confidence: 99%

“…In this case, the airline loses f 10 − f 12 . We have done extensive research into downsell and have covered this in the literature [21].…”

Section: In Practicementioning

confidence: 99%

A machine learning approach to itinerary-level booking prediction in competitive airline markets

Hopman¹,

Koole²,

Mei³

2021

Preprint

Self Cite

View full text Add to dashboard Cite

Demand forecasting is extremely important in revenue management. After all, it is one of the inputs to an optimisation method which aim is to maximize revenue. Most, if not all, forecasting methods use historical data to forecast the future, disregarding the "why". In this paper, we combine data from multiple sources, including competitor data, pricing, social media, safety and airline reviews. Next, we study five competitor pricing movements that, we hypothesize, affect customer behavior when presented a set of itineraries. Using real airline data for ten different OD-pairs and by means of Extreme Gradient Boosting, we show that customer behavior can be categorized into price-sensitive, schedule-sensitive and comfort ODs. Through a simulation study, we show that this model produces forecasts that result in higher revenue than traditional, time series forecasts.

show abstract

A machine learning approach to itinerary-level booking prediction in competitive airline markets

Hopman

Koole

Mei

2021

IJRM

View full text Add to dashboard Cite

Single-leg revenue management with downsell and delayed decision making

Cited by 4 publications

References 15 publications

A systematic literature review of revenue management in passenger transportation

A systematic literature review of revenue management in passenger transportation

A machine learning approach to itinerary-level booking prediction in competitive airline markets

A machine learning approach to itinerary-level booking prediction in competitive airline markets

Contact Info

Product

Resources

About