In a move that signifies the future of airline pricing, Virgin Atlantic, the UK’s only Five Star Global Airline, has teamed up with FLYR, a cutting-edge technology company specializing in AI-driven solutions for the airline industry. Together, they’ve implemented a dynamic pricing system for Virgin Atlantic’s seats, which uses AI to optimize pricing based on real-time factors like route, seating zone, and passenger demand.
This partnership, which began 18 months ago, has yielded impressive results. Virgin Atlantic has seen a notable increase in revenue through higher conversion rates, proving the effectiveness of this data-driven approach to pricing. Simultaneously, customer satisfaction has improved, demonstrating that FLYR’s technology allows Virgin Atlantic to better cater to individual traveler needs.
Since its inception in 1984, Virgin Atlantic has been a pioneer in aviation, continuously striving to deliver exceptional customer experiences. Their ambition to optimize seating revenue, while maintaining a seamless and personalized passenger experience, led them to seek a data-driven solution. FLYR’s AI-powered platform offered the ideal solution, providing the flexibility and intelligence needed to maximize seat pricing and availability while simultaneously ensuring a smooth journey for every traveler.
The integration of FLYR’s technology has resulted in an impressive 10% increase in seating revenue, solidifying Virgin Atlantic’s commitment to innovation and excellence. Juha Jarvinen, CCO of Virgin Atlantic, emphasized the airline’s dedication to providing the best possible experience for its passengers, adding, “We are ecstatic with the revenue uplift we have seen using FLYR already, in addition to the optimized offerings and experience we continue to provide for our passengers.”
FLYR’s deep learning capabilities provide Virgin Atlantic with a deeper understanding of customer seating preferences on each route, helping them navigate the intricate relationship between seat selection, ticket pricing, and ancillary services. This allows Virgin Atlantic to offer a more tailored and efficient experience for every traveler.
Dominic Kennedy, SVP of Revenue Management, Distribution, and Holidays at Virgin Atlantic, highlighted the shared commitment to innovation and customer satisfaction that drives this partnership. “Going from a static pricing system to a dynamic, near-automatic one that is powered by machine learning feels like a leap into the future, and we’re excited to explore what else is possible with FLYR,” he said.
Alex Mans, Founder and CEO of FLYR, shared the company’s enthusiasm for the partnership and the results it has yielded. “Our collaboration with Virgin Atlantic has been immensely rewarding and is a testament to the value that FLYR can unlock. Virgin Atlantic has always been intent on innovation, and we’re excited to have helped them gain another competitive edge by offering a dynamic, AI-based pricing strategy for ancillary products and services.”
This dynamic partnership between Virgin Atlantic and FLYR exemplifies how technology can drive innovation in the airline industry, enhancing both revenue and customer satisfaction. As both companies continue to push the boundaries of what’s possible in aviation, it’s clear that AI-driven solutions will play an increasingly crucial role in shaping the future of air travel.
