Modeling Customer Behavior For Assessing the Economic Effectiveness of Revenue Management Methods

Revenue management helps companies in the analysis of demand and apply the correct sales strategy. The most popular methods in the field of air services are EMSR-a, EMSR-b and EMSR-r. Modeling of sales processes and calculation of optimal strategies was produced by these three methods based on the Russian airline data, and it was found that EMSR-b is the most effective. After that, various factors have been studied consumer behavior that may affect the airline's revenue, and highlighted one of them - the ability of the passenger to move to another price class. This factor has been included in the model EMSR-b, and the results showed that even when incorrectly predicted demand characteristics EMSR-b method with taking into account the possibility of transition in the simulation of the sales process gives more revenue from the flight than EMSR-b excluding this possibility. Thus, taking into account the possibility of passenger move to different price class due to unavailability of the original class is extremely important in sales of goods and services, in particular, sales of airline tickets, since the inclusion of this factor leads to an increase in revenue from the flight.