Revenue Management in Aviation

Revenue management in aviation refers to the strategic approach airlines use to maximize income from ticket sales. It involves analyzing data such as demand, booking patterns, and competition to set variable prices for seats on flights. Airlines aim to fill as many seats as possible while charging different prices based on when and how customers book. This means that prices can fluctuate significantly, allowing airlines to optimize revenues by selling seats at the highest price some passengers are willing to pay while still attracting budget-conscious travelers.