Italian competition regulators scrutinise airline pricing algorithms for transparency and consumer fairness
The Italian Competition Authority (AGCM) recently closed a consultation on its detailed investigation into the use of pricing algorithms by airlines operating domestic routes to and from Sicily and Sardinia.
The findings reveal that all airlines examined utilise dynamic pricing strategies within their revenue management systems. These systems largely rely on established methodologies such as static pricing matrices or grids.
Predefined rules within these frameworks dictate price adjustments, creating an intricate system where fares respond to demand, timing, and availability.
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