Airline Leverages Sabre’s Machine Learning Solution to Optimise Pricing

Brisbane-based Virgin Australia has expanded its relationship with Sabre Corporation, a leading software and technology provider powering the travel industry, to drive incremental revenue opportunities.

Leveraging real-time shopping data from Sabre’s Dynamic Availability solution, the airline will be able to identify ways to unlock more value as it continues to scale up its operations. 

The enhanced agreement is a step toward Virgin Australia’s technological advancement journey, following an earlier deal between the two, which will see the airline also shift to Sabre’s Revenue Optimiser tool. The solution will provide a 360-approach to forecasting, ​analysing, and optimising revenue streams with real-time visibility into the profitability of every departure date, flight, and market.

“Staying on top of today’s evolving schedules, prices and capacity is increasingly challenging in the current travel marketplace, so we must have the right technological tools to enable intelligent decision-making based on up-to-the-minute market insights,” said Dave Emerson, Group Chief Commercial Officer, Virgin Australia. “Using Dynamic Availability, our team can actively sense and respond to market conditions with optimised pricing and leverage this in a competitive way that benefits our airline and passengers.” 

Dynamic Availability allows airlines to have better control of their pricing position by leveraging shopping data, automating fare changes and providing dynamic pricing capabilities. It begins by capturing traveller behaviour and price competition from the Sabre marketplace and other shopping data. Recommendations to help optimise pricing in today’s dynamic marketplace are then generated via machine learning. 

“As a key building block for personalised retailing, Sabre’s dynamic pricing engine enables airlines to optimise availability at scale and in near real-time to unlock greater value to maximise revenue, and we’re thrilled to be able to support Virgin Australia as they continue to step up operations to meet strong travel demand,” said Rakesh Narayanan, Vice President, Regional General Manager, Travel Solutions Airline Sales, Sabre. 

“Today’s environment makes historical data forecast less reliable. Pricing and revenue management analysts struggle to monitor real-time availability and execute manual pricing adjustments. And travellers today have access to many flight options and will typically shop up to 38 times before making a purchase decision. Dynamic Availability drives dynamic pricing with intelligent recommendations based on market demand and competitive benchmarking to support the airline’s price optimisation and help to ensure they are the ultimate choice for the end traveller.”