TY - JOUR
T1 - Advance purchase behaviors of air passengers
T2 - A continuous logit model
AU - Chiou, Yu-Chiun
AU - Liu, Chia Hsin
PY - 2016/9/1
Y1 - 2016/9/1
N2 - Modeling the advance purchase behaviors of air passengers is essential when airlines develop revenue management strategies. Therefore, this study empirically investigates advance purchase behaviors based on the air ticket transaction data by using a continuous logit model. The estimation results show that advance purchase behaviors are significantly affected by price, price uncertainty, time of day (morning, afternoon and evening flight), days of week (flight on Friday), months of year (peak or off-peak seasons), and consecutive holiday. Accordingly, different pricing strategies should be used for different flights to maximize revenue.
AB - Modeling the advance purchase behaviors of air passengers is essential when airlines develop revenue management strategies. Therefore, this study empirically investigates advance purchase behaviors based on the air ticket transaction data by using a continuous logit model. The estimation results show that advance purchase behaviors are significantly affected by price, price uncertainty, time of day (morning, afternoon and evening flight), days of week (flight on Friday), months of year (peak or off-peak seasons), and consecutive holiday. Accordingly, different pricing strategies should be used for different flights to maximize revenue.
KW - Advance purchase behavior
KW - Continuous logit model
KW - Revenue management
UR - http://www.scopus.com/inward/record.url?scp=84978933358&partnerID=8YFLogxK
U2 - 10.1016/j.tre.2016.07.001
DO - 10.1016/j.tre.2016.07.001
M3 - Article
AN - SCOPUS:84978933358
SN - 1366-5545
VL - 93
SP - 474
EP - 484
JO - Transportation Research Part E: Logistics and Transportation Review
JF - Transportation Research Part E: Logistics and Transportation Review
ER -