LATAM Airlines adopts Sabre’s Air Price IQ solution

LATAM Airlines adopts Sabre’s Air Price IQ solution

Cloud-native solution will allow carrier to generate relevant offers by analysing its own data in real time

GDS and travel technology provider Sabre Corporation and LATAM Airlines Group have announced the carrier’s adoption of Sabre Air Price IQ, an intelligent solution that is part of Sabre’s Retail Intelligence suite.

Powered by Sabre Travel AI technology – in partnership with Google Cloud - Air Price IQ allows airlines to generate relevant offers by analysing an airline’s own shopping and revenue management data in real time along with relevant marketplace insights.

It enables airlines to bring their own pricing models and define business rules and strategies to set boundaries for airfare pricing within the solution, to allow for data and insights to turn into actionable output.

It does this by utilising artificial intelligence and advanced machine learning models to deliver optimised air prices and more relevant offers to customers.

“In today’s competitive marketplace, it is crucial to offer travellers a more relevant travel experience. Our partnership with Sabre can help us bring the right offers to the right travelers at the right time by using intelligent systems like Air Price IQ,” said Rosario Phillips, vice president of customer and commercial solutions of LATAM Airlines Group.

“The flexibility and scalability of Sabre’s solution allows us to test and learn different pricing strategies, including using our own models, enabling us to move from static pricing to dynamic price, adapting quickly to fast-changing market conditions.

“It’s an important step towards the future we envision for dynamic offers.”

The cloud-native technology is scalable to support seasonal and time-of-day increases/decreases in shopping requests, allowing airlines to adjust their prices in real time based on capacity, competition and traveller context.

It improves pricing precision by analysing marketplace, pricing and revenue management strategies, as well as booking velocity.

“LATAM has been a highly engaged partner that has collaborated in designing and providing feedback to our solution.

“We are excited to see the fruits and benefits of this partnership materializing with their adoption of Air Price IQ, as we share a commitment to innovation.

“The airline industry is constantly evolving, and airlines require intelligent systems to manage increased complexity and channel fragmentation to deliver a seamless, personalized experience to travellers while improving profitability,” said Darren Rickey, senior vice president, global airline sales of Sabre Travel Solutions.

“Enabling airlines to dynamically price their airfares and offers based on the travellers’ propensity to purchase, customer profile or current market conditions is key, and requires intelligent systems that analyse large volumes of data at scale to deliver actionable insights.”