Advito uses airline data to improve corporate negotiating power
19 Sep 2018 - by
Advito, a global corporate travel consultancy, has created an airfare tracking tool called Air Predictor, which measures pricing trends and booking class availability.
Created in partnership with aviation business intelligence and data mining company, Air Cube, Air Predictor can predict future prices or booking availability, which can then be compared with current trends. This provides corporates with greater leverage when negotiating with airlines, and allows corporates to better engage with travellers when it comes to booking and policy, Olivier Benoit, senior director and global Air Practice leader for Advito told Travel & Meetings Buyer.
“Our goal is to create more transparency in airlines’ pricing practices, which impacts corporate customers,” Benoit said. “We can now answer questions that people outside of airline revenue management teams could not answer before.”
This includes average airfares on a specific route from 180 days prior to departure, until the day of departure, which can be broken down according to airline, minimum length of stay, or day of the week. This data can be further specified to look at only the outbound or inbound leg of a trip, or the fuel levy surcharge applied to airfares by different airlines. The tool also provides data on the booking class availability for a specific airline, on a specific route.
Having access to this data not only provides corporates with more negotiating power and higher levels of traveller engagement, but it can lead to incremental savings opportunities over time.
Access to the tool is provided by a subscription service to corporates globally, which will see Advito consultants work with corporates to pull the data most relevant to a company’s needs. Using the data, Advito may change the negotiation strategy with a particular airline, for example, if the airline is offering a discount on airfares that are only available 20% of the time. Air Predictor might show that the discount would not realise significant savings because of the availability, and Advito would then be in a position to request better terms from the airline. “In another scenario, a travel manager working with an Advito consultant may learn that booking a flight segment nine days in advance yields the lowest fare,” a statement released by Advito says. “Airfare Predictor data can better influence a traveller to book a flight at the optimum time for considerable savings.”
The statement goes on to say that the tool can help companies understand prospective fare availability, often, for a lot of corporations for the first time, which can help create a level playing field for airlines and corporate buyers. “Advito clients who participated in the BETA tests said this is a game changer because until now, nobody knew how to use this information to their benefit,” Benoit added.