While there are many explanations and definitions of revenue management, the most simple and most easily understood can be found in Revenue Management: Hard-core Tactics for Market Domination, written by Robert Cross. Mr. Cross states, in layman’s terms, “Revenue Management is the application of disciplined analytics that predict consumer behavior at the micro-market level and optimize product availability and price to maximize revenue growth”.
Reading Mr. Cross’s definition, one can understand why having a successful and effective revenue management solution is imperative for airlines. Let’s take a look at how Revenue Management Systems, a software development company established in Seattle in 1996, became the revenue management solution provider for over 45 airlines around the world.
Over the past 20 years, Revenue Management Systems (RMS) has worked with airlines to develop the most effective and best valued revenue management systems available today. The first and most popular system RMS has developed is called airRM. AirRM allows analysts to manage thousands of flights simultaneously, unlike traditional solutions where one flight was managed at a time. Not only is airRM more productive than other solutions, airRM also incorporates sophisticated, time-tested forecasting and optimization models.
AirRM is currently used by many airlines around the world, such as: RyanAir, AirAsia, and JetStar. On November 18th, 2014, RMS added another airline to its’ impressive list of clientele as Russian low-cost carrier Pobeda, selected airRM as their revenue management software. Adrian Flores, Vice President of Sales and Support, said of the deal, “We are thrilled to be selected by Pobeda as a launch partner as they maneuver through the start-up process. AirRM’s many inventory, reporting and analysis tools will allow Pobeda to maximize revenues from the very first flight”.
The second and newest revenue management solution offered by RMS is the airRMexpress. The airRMexpress is a state of the art, cloud based revenue management system that was developed specifically for smaller airlines at a reasonable price. AirRMexpress is a versatile software that allows airlines to utilize proven forecasting and optimization algorithms. As airRMexpress is cloud based, airlines can be operating the system in a matter of days, unlike older, traditional systems. On November 5th, 2014, Revenue Management Systems’ airRMexpress continued its success with smaller airlines as V Air selected the solution as its revenue management system. Lawrence Siao, RMS Vice President of Marketing – Asia, said of the deal, “”V Air is a brand-new airline and the first low-fare carrier based in Taiwan which will bring many new and affordable travel options to people there”.
To learn more about Revenue Management Systems and about airRM and airRMexpress please visit www.revenuemanagement.com.
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