Introduction to Revenue Management and Dynamic Pricing,

Revenue management emerged after the deregulation of the US aviation industry in the 1970s. It instantly became a must-have in the airline industry. Today, it is also a critical success factor for hotels, car rentals, retailing and increasingly also industries like manufacturing. The field entails a series of quantitative methods to optimize revenue and profit by balancing uncertain, stochastic demand and inflexible capacity. In this course, we intuitively introduce the basic challenge of profit optimization. Then, we give an overview on key approaches including price-/capacity-based Revenue Management and overbooking and highlight the core ideas and key challenges underlying them. Finally, we give a brief outlook on current research topics.

Course leader

Professor Jochen Gönsch, Universität Duisburg-Essen and Professor Claudius Steinhardt, Universität der Bundeswehr München

Target group

PhD students, practitioners and business participants in tourism and hospitality.

Course aim

Understanding the state of the art in the course topic.