Hi All,
I would like to see a more complex ticket/route pricing options; ticket/cargo prices for individual flights need to be at a level to make a price viable, however, with a hub and spoke operation it is imperative that there is an option to price each 'sector' differently for passengers who's destination involves a connection in order to be able to compete effectively.
e.g. a ticket from airport A to airport B is priced at AS$250
a ticket from airport B to airport C is priced at AS$350
However if an passenger is travelling from airport A to airport C (via B, on the same enterprise airline) would it not be great to be able to price that combo at say AS$500 in order to compete with a competitor who flies airport A to airport C direct?
Thoughts please...
Hi All,
I would like to see a more complex ticket/route pricing options; ticket/cargo prices for individual flights need to be at a level to make a price viable, however, with a hub and spoke operation it is imperative that there is an option to price each 'sector' differently for passengers who's destination involves a connection in order to be able to compete effectively.
e.g. a ticket from airport A to airport B is priced at AS$250
a ticket from airport B to airport C is priced at AS$350
However if an passenger is travelling from airport A to airport C (via B, on the same enterprise airline) would it not be great to be able to price that combo at say AS$500 in order to compete with a competitor who flies airport A to airport C direct?
Thoughts please...
Connection pricing is not a directly relevant factor of connection booking (demand). What happens is that pricing is important only indirectly, by affecting first ORS rating of each individual leg.
Connection ORS rating and thus individual connection desirability is made of the first ORS ratings of each individual leg, plus the time factor formula, to provide final ORS rating for the connection. At the moment, price does not play any direct factor in the connection ORS, so competing price-wise on connections is currently irrelevant. Also you should be aware that pricing is only one of many factors that affect ORS of the flight (with seats, image, aircraft type and age, onboard service and flight attendants being the others). So you have a price that affects maybe 25% the individual ORS rating and therefore it has maybe a 12.5% or less importance factor on connection, and again that effect is only indirect by affecting the individual's leg first ORS rating which is then partially used in calculating connection ORS rating.
There is a feature in development that will allow you to offer several booking classes (fare buckets), but this has yet to be developed and it is unclear whether connection pricing will be applied, because that would involve a lot of micromanagement. But there will be options to offer different prices for different booking classes (e.g. W, T, O, N, S, etc.) and possibly designate which booking classes will be available for connecting passengers only. That way you could possibly indirectly affect connection ORS rating, by affecting the first ORS rating of the respective leg by offering lower price in the designated fare bucket.