Top 10 factors that influence the price of airline tickets – Every one of us wants cheap air tickets. But airlines have their policies and algorithms used for deciding the prices. If the fluctuation in air tickets prices had perplexed you in the past, then this article is for you. Here, I am going to discuss the top 10 factors that influence the price of airline tickets. And try to know that how airlines balance their customers and competitors.
Let’s know the top 10 factors that influence the price of airline tickets–
Historic Information
Every destination has some historic information or data connected to it. Like, at what time of the year it receives the most tourists and at what time of the year it is hard to see tourists there. The period with the maximum number of tourists is the peak season and the other one is the offseason.
Price goes higher during the peak season. As airlines receive the most demand of air tickets during this period. And as a rule of thumb- “higher the demand, higher the prices”. While the prices drop drastically during the off-season to encourage new travels.
Competitors
Airlines always keep the competitors’ price policy in mind while deciding their prices. Go on an air tickets price comparison website and search for direct flights to Poland from the USA. You will see a lot of offers there now start comparing the prices. Within a few minutes, you will be able to notice that airlines keep minimal differences in their flight charges to a common destination for a common time.
Airlines do this to survive and thrive in the air traveling market. If one airline keeps its prices too high compared to its competitors, the others will take it down easily by attracting most of its customers.
Demand
The first 5 to 10% of air tickets are sold at the cheapest price because of low demand on early flight bookings. As the flying day comes closer, the demand increases. Making airlines increase the prices to cope with the new demands.
That’s why you must have seen websites recommending booking air tickets early. Well, buying air tickets before 4 to 1 month of your flying schedule is the best time to get cheap air tickets.
Futuristic Demand Expectations
Trying to book air tickets 11 months before the flying date? There are high chances of these flight tickets being costlier than the current ticket prices. Check yourself, search for direct flights to Germany from the USA with two different dates. Set the first date for 1 month and the other for 11 months in advance. You will see that the prices of 11 months before are higher than the 1-month prior one.
If you think that I just recommended you to book early, yes, I did. But I also provided a period along with that i.e. between 4 to 1 month before the flying date. Booking super early will always be hard on your pockets. Because airlines always have certain expectations from futuristic travels. They decide prices meeting those expectations. These expectations include a rise in fuel prices, a surge in demand for air tickets, and many others.
Promotional Sales
Airlines often run promotional and festive sales. Under these sales, the primary aim of every airline is to attract new customers. But do you know airlines make these sales to collect more funds in a brief span? Although the prices are discounted during these promotional sales airlines end up collecting a handsome working capital for themselves.
This helps the airlines to work on their any taking no loans from the market or banks. If you have been a part of these sales then you must have witnessed the restricted policies that come with tickets. These tickets are non-refundable and nor you can’t reschedule them with the airlines. Making at least 50% of the travelers not attending the flight even after paying for the tickets. Thus helping the airlines in generating more revenues.
Launch Sales
Whenever an airline travels on a new route, it sells the first few tickets at cheaper costs. Here, it’s done to attract more customers, and it also works as a promotional tool for the airline.
Budgeted airlines vs the international ones
Budgeted airlines are providing a serious headache to the international ones. The reason behind this is that budgeted airlines are providing exemplary services but at very low costs. The only drawback budgeted airlines face is that they don’t fly on longer routes. But customers are booking connecting flights to cover longer distances with them. Reducing the customer market for the international ones.
Reduced customers are only going to cause more surges in air tickets prices.
Codeshare vs One airline
Codeshare is when your airlines pay another to take you to your destination. Here, there are high chances that you will end up paying more than you had if you flew with one airline only. Check the flight information carefully before booking the flights for cheaper air tickets. Monitor the itinerary information. Make sure that the flying itinerary name should be the same as the airlines you are booking your air tickets with.
Type of Aircraft
Do you know that the aircraft you are flying in plays a big role in deciding your airfare? Well, if the answer is no, then I must tell you, it does. An airline uses different aircraft for flying purposes. And flying with some of them is cheaper than flying with others. As the maintenance cost, fuel consumption, and speed are different for different aircraft.
Many people consider the number of seats an airplane has a role in deciding the airfare. But it isn’t always true, and the airplane with more seats doesn’t need to always offer cheaper air tickets than in the comparison of others with fewer seats.
Airport charges
Did you know that there are cheaper airports and costlier ones? Well, the cheaper airports are the one that charges fewer fees from the airlines to allow landing and boarding of their flights from them. While the costlier ones are a complete reverse of them.
If you want cheaper air tickets, then book air tickets for a flight that flies from a low-cost airport and lands on the same as well.
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