| The air fare ticketing and the airline industry is | | | | programs those are designed to predict the pricing of |
| entering into a new orbit, well everything revolves | | | | the air fares whether the price going down or up. |
| the pricing and revenue management. It should be | | | | The algorithms developed by the air lines are the |
| called evolution or revolution, might be a matter of | | | | responsible factor for the price variations and are a |
| dilemma and discussion but the change is for good | | | | well kept trade secret. All the airlines hire some good |
| and for good for sure. | | | | consultants who work for them in order to |
| This article talks about one book and a particular | | | | determine the algorithm in the underground room. |
| computer that are focused upon the future of the | | | | These software programs identify a pattern by |
| pricing of the air tickets first in US and then in the | | | | studying the past trends of variations in prices of air |
| world and the idea is powerful enough to change the | | | | tickets and use the information to predict the future |
| traditional way of purchasing an air ticket but also the | | | | movements in the pricing. Fine, how you gonna trust |
| amount of money one has to pay, drastically. The | | | | the software? Well you don't know until you |
| book of Dr. E. Andrew Boyd, "The Future of Pricing." | | | | experiment with the idea and see what the results |
| How the three dimensions, people, science and | | | | are. The software developers claim that the success |
| technology of modern civilization of mankind are | | | | rate of predictions is seventy to seventy five |
| related with each other and play a significant role in | | | | percent and that the prices won't go beyond the |
| determining the prices of air travel ticket is the | | | | predicted range. |
| theme and the story of the book. The words like | | | | The database of five terabytes that consists |
| scientific pricing, pricing software are moving toward | | | | approximately fifty billion different prices the |
| becoming common and not only professionals but the | | | | computer works on the algorithm and focuses on the |
| general people also have started to generate a sense | | | | sensitivity of airline prices and on the different |
| to understand the depth of these words that | | | | products of the same. The software monitors 115 |
| corresponds with the idea of future pricing of air | | | | different information that are evaluated after every |
| tickets. The bottom line is that the pricing has | | | | couple of hours for almost every market while the |
| become a science. | | | | system covers the whole US. Apart from demand |
| And the fact about every science is that it might | | | | and supply factor, there are elements like weather |
| look complicated from afar but ultimately makes the | | | | sports and some politically motivated shifts in the |
| human life more bearable. | | | | prices of air fares. |
| There are some websites supported by such | | | | |