AirRM system, implementation of Business Rules under cluster analysis

Abstract

[eng] Business Rules is one out of many tools AirRM system provides to deal with revenue management strategies, however, it is a recommended tool to set a solid pricing strategy by using historical data. In this paper I will discuss, the first step in using AirRM system in an airline I currently work in as a revenue manager. The main topic is the implementation of AirRM’s tool Business Rule, its value and the analysis of how many rules are necessary to optimize revenue strategy in a leg, using cluster analysis. The results, through statistical evidence, show an efficient grouping of flights, according to its booking behaviour and total revenue; and through Business Rule assignment, a useful booking forecasting method for our department.