In the rapidly evolving world of logistics, dynamic pricing is revolutionizing the air cargo industry. As companies strive to optimize operations and enhance profitability, dynamic pricing in air cargo emerges as a key strategy to achieve these goals. But what exactly is dynamic pricing, and how is it transforming the air cargo landscape? Dynamic pricing
As the Head of the Cargo Business Unit, have you challenged your team with the question, “Are you fully prepared to master this new tool/software?” This, especially when it involves not just automation but a completely different way of doing business. I am alluding to airlines that want to embark on the journey of Revenue
Typically Cargo is an afterthought in most passenger airlines in terms of schedules, equipment, and profitability. Finding the value of cargo given a passenger schedule is a very cumbersome and laborious exercise for the cargo revenue management and network planning teams. In most airlines, the process kicks off with the passenger network team that passes
Every few years, there is a new fad in our air cargo industry and by default, you can expand that to the whole of the airline industry as well. To jog our reader’s memory lane, it was revenue management 20 years ago. It was origin-destination– based revenue management in the 2010s, it was pricing in
Several management consulting firms have noted, for years, that a mere 1% improvement in the realized price typically translates into a profit margin of up to 10%-12%. This impact measures significantly greater than any other profit lever such as variable costs, fixed costs, or sales volumes. Pricing is the single most important lever available to
We have passed the most profound point of the crisis. A path toward recovery is now in sight, even though a “full recovery” seems to be a thing of the future. The aviation industry has been ravaged more severely by the pandemic than a few others. Travel restrictions to prevent the spread of Coronavirus have been sapping