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Is there an easier way to calculate highest profit/loadfactor?

TheKevinShow

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Going through and calculating every fare down to the .01 to ensure I had the highest profit with 100% loadfactor wasn't so difficult when I had only a few routes, but now I've got about 25 and it's becoming tedious. Is there any faster way to do it?


pseudoswede

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Reply #1 on: August 19, 2010, 03:06:20 am
There is no magic formula. Once you have a few hundred routes established, you do get better at guessing what the ideal fare should be when you take in consideration distance, type of aircraft, and size of destination airport. Nowadays, I'm usually within €10-50 of optimal fare on my first try.
             
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TheKevinShow

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Reply #2 on: August 20, 2010, 08:45:38 am
What's your strategy?


oddward

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Reply #3 on: September 04, 2010, 12:02:00 pm
i first guess in 50s so 50, 100, 150, 200 etc if i find a bracket in which it changes the load factor to below 100 i average. e.g 150 = 100% 200=80% so next i go for 175 the work in 5s and 10s the finally 1s until it tips in my favour, i never bother with .01 as this takes for ever and it can very little difference.

Another tip is that if u put a round hundred in e.g. 100, 200, 300 etc and it gives a LF of between 85% and 100% lower it to the percentage e.g. 200 gives a LF of 93 i lower it to 193 this will either give u 100 or below if it is 100 work up until it gives u the tipping point if it is below work down this generally works but is not perfect


1993matias

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Reply #4 on: September 04, 2010, 03:02:07 pm
Between ~200€ and 300€ you lower it with 1½ times the percentage; e.g. 300€, 65% I lower the price to 245.
Under 200€ its mostly 1% = 1€. Over 400 it's usually 1% = 2-3€

Hope you understand.


 

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