How to Outsmart Airline Ticket Third Degree Price Discrimination

Outsmarting Airline Ticket Third Degree Price Discrimination

Airline ticket prices have been a source of frustration for many travelers as they can vary drastically from one day to the next or even from one airline to another. While some of the variations are expected and attributed to the dynamic nature of the market, others are not. One of the most common forms of price discrimination used by airlines is the third-degree price discrimination, where passengers are charged different prices for the same service based on their willingness to pay. In this article, we will explore ways you can outsmart airline ticket third-degree price discrimination and save money on your next flight.

Understanding Third-Degree Price Discrimination

Third-degree price discrimination is a common pricing strategy used by airlines to maximize profit by charging different prices to different segments of customers. Airlines divide customers into different segments based on their willingness to pay, such as frequency of travel, time of booking, age, destination, and other factors. Then they set different prices for each segment, charging higher rates to those who are willing to pay more and lower prices to those who are more price-sensitive.

Although airlines use complex algorithms and pricing models to determine the optimal pricing, there are ways you can outmaneuver these tactics and pay less for your flight.

Book in Advance

One way to avoid third-degree price discrimination is to book your flight well in advance. Airlines offer their cheapest fares up to six months before departure, and prices tend to increase as the departure date gets closer. By booking early, you can secure a lower price while avoiding the risk of last-minute surcharges.

Compare Prices

Another way to outsmart third-degree price discrimination is to compare prices across multiple airlines and travel sites. You may find that one site offers lower fares than others for the same itinerary, or that an airline offers a better deal on a flight that’s a day earlier or later than what you originally searched. Use comparison sites to search for flights and compare prices side-by-side.

Use Incognito Mode

When you search for flights several times on a particular travel site, the site may collect data on your search history and location, giving them a good idea of your willingness to pay. This can lead to higher prices as they may show you higher fares, assuming you’re willing to pay more. To avoid this, use incognito mode on your browser or clear your browser’s cache before conducting a new search.

Be Flexible

Flexibility can be a key factor in getting a lower fare. If you can be flexible with your travel dates, try booking mid-week flights, as they tend to be cheaper than weekend flights. Consider alternate airports or destinations, as they can offer lower fares. Also, consider changing the time of your travel, such as taking a red-eye or early morning flight, as they tend to be less popular and therefore less expensive.

Conclusion

In conclusion, third-degree price discrimination is a common pricing strategy used by airlines to charge different prices for the same service based on customer willingness to pay. To outsmart this tactic, you can book your flight in advance, compare prices across multiple airlines and travel sites, use incognito mode, and be flexible with your travel dates and times. By implementing these tactics, you can save money on your next flight and get the best deal.