Alex Mans, founder and CEO, FLYR Labs explains how the FLYR technology can optimise airline revenue management.
Traditional revenue management systems provide limited insight and accuracy into demand leading up to a flight’s departure. Furthermore, legacy solutions rely heavily on human, subjective interpretation of the impact of holidays or events. Especially today, legacy science, systems, and processes are struggling to support commercial decisions in this new, volatile environment in which the industry finds itself.
By understanding the context behind customer purchase decisions airlines can sell the right product to the right customer at the right time and at the right price.
FLYR’s technology can help airlines do this. Not only can carriers use FLYR’s outputs to maximise seat revenue, but they can also use it to understand the revenue differential between either filling another seat or adding additional cargo in the hold.
Adaptability is at the core of how The Revenue Operating System from FLYR operates, providing airlines with confident insights to help analysts and business leaders make better commercial decisions across the complete commercial organisation, including how much cargo each aircraft should carry to optimise profitability.
What does cargo capacity have to do with seat pricing?
Many airlines have implemented cargo strategies to help maximise operational revenue. At FLYR, we assist our customers with complementary AI-powered products that further enhance their cargo revenue performance.
Accurate, context-aware load and revenue forecasts support a much wider range of functions within an airline than simply revenue management. FLYR provides analysts with more than 200 metrics to seamlessly execute data-driven decisions. Armed with more accurate forecasts and pricing strategies, the role of the airline analyst is evolving, quickly becoming the glue that binds together historically siloed commercial teams – including cargo operations.
By having accurate insights into the final forecasted load factor at departure, months in advance, revenue management teams can support cargo operations by supporting cargo capacity and sales decisions earlier than ever before.
The science behind The Revenue Operating System
In order to achieve FLYR’s advanced level of decision support, we use deep learning, a cutting-edge form of artificial intelligence (AI) that draws understanding directly from dozens of data sources, forming ultra-accurate forecasts and automated pricing strategies.
Where legacy solutions attempt to extend narrow historical trends with limited success and at infrequent intervals, FLYR understands network-wide context and re-optimises continuously. With it, we can let known correlations across the airline’s network inform hyper-targeted decisions on singular flights or routes.
Our team of elite data scientists constantly monitors performance, frequently introducing new generations of technology to raise the bar of what our product can achieve.
With accurate demand forecasts and the confidence to sell cargo capacity sooner, airlines can optimise cargo revenue without last-minute surprises to passenger and cargo capacity.