*Delta Air Lines is revolutionizing how it prices tickets by using artificial intelligence to pinpoint the maximum amount each traveler is willing to pay.
According to The Verge, the airline, which tested this technology on a small scale last year, is now scaling up after seeing promising results. “We will have a price that’s available on that flight, on that time, to you, the individual,” said Delta president Glen Hauenstein during a November earnings call, signaling a shift from fixed pricing models.
The AI system, developed by travel tech company Fetcherr, currently influences 3 percent of Delta’s ticket prices, with plans to expand to 20 percent by year’s end. Hauenstein described the technology as a “super analyst” that calculates personalized prices in real time based on flight details and individual customer data.
“We’re in a heavy testing phase,” he noted last week, adding, “We like what we see. We like it a lot, and we’re continuing to roll it out.”
Delta’s shift to AI-driven pricing represents a major change from traditional airline pricing methods, which typically adjusted fares based on factors like when a ticket was booked or which platform was used. This new approach goes further by introducing a deeper level of personalization. Delta President Glen Hauenstein described it as “a full reengineering of how we price and how we will be pricing in the future.” However, he also warned that the strategy could be risky if not carefully managed.
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While Delta isn’t alone in exploring dynamic pricing—Fetcherr also works with airlines like Virgin Atlantic and WestJet—the carrier’s transparency about its strategy has sparked debate. Privacy advocates are sounding alarms about the system’s potential invasiveness.
“They are trying to see into people’s heads to see how much they’re willing to pay,” said Justin Kloczko of Consumer Watchdog, while Arizona Sen. Ruben Gallego labeled it “predatory pricing” aimed at squeezing “every penny” from customers.
Delta’s pricing practices have already faced scrutiny. Earlier this year, the airline reversed a policy that charged solo travelers more than groups after public backlash.
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