Pricing analytics of airline industry: An investigation of datasets from various competing airlines

Abstract

The importance of air travel cannot be overstated. It is not just a mode of transportation for the general population but also a vital logistical component that provides distribution services for other businesses where surface transportation cannot deliver the required speed and quality of service. As a result, numerous parties are keenly interested in the aviation industry's success. Airlines have begun to focus on increasing their product offerings beyond flights, such as luggage, advanced seat bookings, meals, and flexibility choices, as well as third-party content (e.g., parking and insurance). Offer creation is currently primitive, with a wide range of methodologies, organizations, and IT systems in use. In the airline sector, profitability is difficult to come by. According to an lATA economic briefing published in 2013, airlines had the lowest return on invested capital of the 30 businesses studied.