Report Overview
Skift Research has recently published a report on the impact of Artificial Intelligence (AI) on revenue management within the airline industry. Despite the proven potential benefits of AI, airline executives have been hesitant to adopt the technology due to the complexity of airline systems and the potential for small errors to cause significant system-wide breakdowns.
However, the post-pandemic landscape has presented airlines with a range of challenges, including supply chain disruptions, capacity constraints, and unpredictable shifts in demand. In response, airlines are reevaluating their operations and exploring opportunities to modernize their revenue management and distribution departments. By leveraging technology, airlines can potentially improve efficiencies, generate incremental revenue, and reduce operational costs.
Although the integration of modern technologies into airline systems requires careful consideration, the benefits of doing so in the current climate cannot be ignored. As such, executives are taking a measured approach to technology integration, while recognizing the potential for significant improvements in revenue management and operational efficiency.
What You'll Learn From This Report
- The shortcomings of legacy revenue management systems
- The impact of technology-based revenue management systems on the existing RM processes
- The link between modern distribution strategy and advanced pricing models
- The market opportunity that AI drives within the revenue management function
- How AI improves airline ancillary revenues