© 2024 UK Artificial Intelligence Landscape Report

British Airways: The Pricing Algorithm

Q: © 2024 UK Artificial Intelligence Landscape Report

&copy; 2024 UK Artificial Intelligence Landscape Report

British Airways: The Pricing Algorithm

AI models the 'price elasticity' of every flight. Business travelers will pay anything on a Monday morning; leisure travelers on a Tuesday will not. The AI adjusts prices minute-by-minute to fill the plane while maximizing profit.

AI models the 'price elasticity' of every flight. Business travelers will pay anything on a Monday morning; leisure travelers on a Tuesday will not. The AI adjusts prices minute-by-minute to fill the plane while maximizing profit.

live demo · related simulation● LIVE

Overbooking Prediction

Frequently asked questions

Why do airlines sell more tickets than seats available?

Airlines sell more tickets than seats because people miss flights. AI predicts the 'no-show' rate for each specific route. If it predicts 5 no-shows, it sells 5 extra tickets. When it works, it keeps fares down; when it fails, it causes chaos.

How does AI balance the complex equation of capacity, demand, and profit in the skies?

AI balances the complex equation of capacity, demand, and profit in the skies.

▶ Try it live

Everything above runs in your browser — open Hash Function Avalanche Visualizer and change the parameters while it is running. Nothing is installed, nothing is uploaded, the whole model lives in one tab.

▶ Open Hash Function Avalanche Visualizer simulation

British Airways: The Pricing Algorithm - UK AI Landscape

British Airways: The Pricing Algorithm

AI models the 'price elasticity' of every flight. Business travelers will pay anything on a Monday morning; leisure travelers on a Tuesday will not. The AI adjusts prices minute-by-minute to fill the plane while maximizing profit.

Overbooking Prediction

Frequently asked questions

▶ Try it live

What did you find?