What would you say if your flight price was completely different from your travel buddy’s? Based on customer's personal account details and internet cookies information airlines will soon be charging an individual price for each passenger.
In fact, charging different prices for the customer is not a completely new concept. Airlines are already doing it, though currently, this is more based on the flight details itself, such as weather or day of the week and season. The new pricing model is called “dynamic pricing”. It is based on the details customer provides in his account, also internet cookies and his previous flight searches. Such information will allow the airline to identify traveler’s age, marital status, and even the salary. This way wealthier customers will be charged higher prices.
According to the representative of PROS – a software provider which helps to calculate the prices, many features of dynamic pricing are already being introduced to the ticket searches. He also adds: “Based on our backlogs of projects, there will be a handful of large carriers that move toward dynamic pricing.”
During the transition period, some passengers might win, but some of their online actions might be misleading which will increase the prices. For example, frequent airline customers most probably will be offered some better deals in order to increase their loyalty, but at the same time, the last minute purchase can immediately consider you a business traveler and charge a way higher price.
Many passengers are questioning the legality of such airlines actions. They are claiming this is a pure discrimination. If for example passengers from one age group are charged higher than others due to some predictions about the income, they can sue the airline. Nevertheless, Richard Taylor – a representative of Civil Aviation Authority comment the situation for the Telegraph: “If a passenger believes this pricing model is discriminatory in some way or breaches EU law, they would need to challenge it in a court of law.“Airlines Are About To Price The Tickets Based On Your Personal Information
However, new changes should not affect ordinary passengers firmly. On the other hand, the „hunters“ of cheap flights might feel lost in a system because it will be way more difficult to comprehend, on what information company has flight ticket price is based.