Kenya Airways Plc yesterday rolled out a new revenue management solution to help the airline predict consumer behavior and subsequently improve availability and pricing offers
In a statement the airline which operates under the code KQ, said it is the first African airline to implement the Altéa Network Revenue Management System (ANRMS) to optimise booking returns and increase overall revenues.
The technology comes at the time the national carrier is struggling to return to profitability after its loss for 2018 rose to Sh5.9 billion from Sh5.1 billion the previous year.
According to KQ, the biggest challenge for airlines in revenue management is striking a balance between the late booking high yield markets and the early booking low yield markets.
This system has been implemented by Amadeus.
''With this solution in place, Kenya Airways will have the ability to seamlessly maximise on the late high yielding demand but still cater to the early booking traffic whilst remaining competitive,'' KQ's chief executive Sebastian Mikosz
Mikosz who is expected to exit the airline by end of this month said the solution is part of the airlines turnaround strategy to keep growing revenues as it continuously improve customers' experience.
“This exercise began in February, after a thorough selection process of the implementation partner. The team has worked round the clock to deliver on all project requirements within the shortest time possible,''Mikosz said.
Amadeus's executive vice president for Africa and Middle East Maher Koubaa, said the partnership will deliver a new approach to revenue management to support the complex and specific needs of this rapidly evolving airline.
''The right offer management strategy is vital to underpin an airline’s growth and optimize its revenues. We are excited to see how the technology can enable Kenya Airways to achieve its business goals,'' Koubaa said.
