Airlines, Sports And Dynamic Pricing

  • Posted On: June 28, 2017

As Dynamic Pricing becomes a staple ticket pricing strategy in the sports industry, a primary justification is built on the success in the airline industry. While both have one thing in common, time-based supply and demand for seating, I’m sure most fans would say that their in-flight and in-venue experiences are not and should not be the same.

As quoted in The Wall Street Journal’s review of Mark Gerchick’s critique of the airline industry in his book “Full Upright and Locked Position”, “The problem with aviation is that for 50 years it’s been populated by people who think it’s this wondrous sexual experience,” Michael O’Leary, CEO of the ultracheap U.K. airline Ryanair, has said. “Really it’s just a bloody bus with wings.”

Is this the type of in-venue experience sports has in mind when thinking about pricing their product as a commodity and profit maximization?

We think a better approach would be to focus on the following motivators and explore ways of creating more lifetime value vs. viewing fans as “self-loading freight”.

Share this post with your friends


IMS is a technology services company that has been serving the Retail Industry for over 25 years. While we specialize in serving small/medium businesses, we have also completed projects on some of the world’s biggest stages. We help businesses efficiently manage operations by improving processes, implementing unique and comprehensive integrations, and providing additional sources of data intelligence. We believe that by providing businesses with the tools, technology and insights needed to gather and analyze their data more effectively, we can help them create a competitive advantage.

What Sports Can Learn From Sears and Eddie Lampert

EMV. Chip and Pin. What You Need To Know.

Request a Demo