WO2003005161B1 - System and method for airline purchasing program management - Google Patents

System and method for airline purchasing program management

Info

Publication number
WO2003005161B1
WO2003005161B1 PCT/US2002/021160 US0221160W WO03005161B1 WO 2003005161 B1 WO2003005161 B1 WO 2003005161B1 US 0221160 W US0221160 W US 0221160W WO 03005161 B1 WO03005161 B1 WO 03005161B1
Authority
WO
WIPO (PCT)
Prior art keywords
contract
airline
booking
data
historical
Prior art date
Application number
PCT/US2002/021160
Other languages
French (fr)
Other versions
WO2003005161A3 (en
WO2003005161A2 (en
Inventor
Brian Mogler
Andrew Winterton
Original Assignee
American Express Travel Relate
Priority date (The priority date is an assumption and is not a legal conclusion. Google has not performed a legal analysis and makes no representation as to the accuracy of the date listed.)
Filing date
Publication date
Application filed by American Express Travel Relate filed Critical American Express Travel Relate
Priority to AU2002354781A priority Critical patent/AU2002354781A1/en
Publication of WO2003005161A2 publication Critical patent/WO2003005161A2/en
Publication of WO2003005161A3 publication Critical patent/WO2003005161A3/en
Publication of WO2003005161B1 publication Critical patent/WO2003005161B1/en

Links

Classifications

    • G—PHYSICS
    • G06—COMPUTING; CALCULATING OR COUNTING
    • G06Q—INFORMATION AND COMMUNICATION TECHNOLOGY [ICT] SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES; SYSTEMS OR METHODS SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES, NOT OTHERWISE PROVIDED FOR
    • G06Q10/00—Administration; Management
    • G06Q10/02—Reservations, e.g. for tickets, services or events
    • G—PHYSICS
    • G06—COMPUTING; CALCULATING OR COUNTING
    • G06Q—INFORMATION AND COMMUNICATION TECHNOLOGY [ICT] SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES; SYSTEMS OR METHODS SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES, NOT OTHERWISE PROVIDED FOR
    • G06Q10/00—Administration; Management
    • G06Q10/10—Office automation; Time management
    • G—PHYSICS
    • G06—COMPUTING; CALCULATING OR COUNTING
    • G06Q—INFORMATION AND COMMUNICATION TECHNOLOGY [ICT] SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES; SYSTEMS OR METHODS SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES, NOT OTHERWISE PROVIDED FOR
    • G06Q30/00—Commerce
    • G06Q30/02—Marketing; Price estimation or determination; Fundraising
    • G—PHYSICS
    • G06—COMPUTING; CALCULATING OR COUNTING
    • G06Q—INFORMATION AND COMMUNICATION TECHNOLOGY [ICT] SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES; SYSTEMS OR METHODS SPECIALLY ADAPTED FOR ADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL OR SUPERVISORY PURPOSES, NOT OTHERWISE PROVIDED FOR
    • G06Q30/00—Commerce
    • G06Q30/02—Marketing; Price estimation or determination; Fundraising
    • G06Q30/0201—Market modelling; Market analysis; Collecting market data
    • G06Q30/0206—Price or cost determination based on market factors

Abstract

A method and system for air carrier contract management and optimization is disclosed. In particular, a system is described that facilitates travel contract optimization by generating contract terms and conditions desirable for optimizing client expenditure. Once the contract terms and conditions are determined, a yield management system (575) facilitates compliance with contract terms and conditions by generating and providing selling instructions (314) to booking systems (15) to facilitate compliance with contract terms by travelers (6). Booking activity is provided back to yield management system (575) to update contract compliance system and to revise selling instructions (314) accordingly.

Claims

25AMENDED CLAIMS[received by the International Bureau on 12 May 2003 (12.05.03); original claims 1, 14 and 23 amended, remaining claims unchanged (5 pages)]We claim:
1. A contract management method, comprising the steps of: receiving historical travel data; acquiring data from contracts and communicating said contract data to a yield management system; generating, by said yield management system, selling instructions based on said contract data and said historical travel data; communicating said selling instructions to a booking system, wherein said booking system facilitates reservations in accordance with said selling instructions; receiving reservation booking activity data from said booking system; updating said yield management system with said booking activity data; comparing said booking activity data to said contract data; and revising said selling instructions based on said comparison.
2. The method of claim 1 , wherein said reservations are airline travel reservations.
3. The method of claim 1 , further comprising the step of determining contract data to be used in said acquiring step.
4. The method of claim 1 , wherein said contract data are derived from terms and conditions of contracts between corporations and airlines and include the name of airline, target percentage, destination city and origination city.
5. The method of claim 1 , further comprising the step of integrating said yield management system into a GDS system.
6. The method of claim 5, further comprising the step of presenting selling instructions from the said yield management system in concurrence with the flight information obtained from the GDS system.
7. The method of claim 6, further comprising the step of using filtering information from said yield management system to filter information received from the GDS system, wherein said filtered information presented on the booking system provides the preferred or mandated selection for a specified city pair.
8. The method of claim 1 , wherein said communicating step occurs over a wide area network.
9. The method of claim 1 , wherein said booking activity comprises the number of seats reserved on a particular airline between a particular city pair.
10. The method of claim 1 , further comprising the step of receiving airline information from a travel information provider.
11. The method of claim 1 , wherein the booking system facilitates online reservations.
12. The method of claim 1, wherein the booking system facilitates automated telephone reservation.
13. The method of claim 1 , wherein the booking system facilitates in-person airline reservations.
14. A contract management system comprising: a central host system configured to communicate with a booking system, said host system further comprising a database system and a server; contract compliance software associated with said host system, wherein said contract compliance software is configured to receive historical travel data, acquire contract data, generate selling instructions in accordance 27
with said contract data and said historical travel data, accept booking activity data from a booking system, and revise said selling instructions in accordance with said booking activity data; and a communication system associated with said host system configured to facilitate communication of said selling instructions from said host system to said booking system and communication of said booking activity data from said booking system to said host system.
15. The system of claim 14, further comprising a filtering tool for filtering data received from GDS.
16. The system of claim 14, further comprising a network to facilitate communication between the host system and the booking system.
17. The system of claim 14, further comprising a corporation communication channel for communicating with corporations to automatically receive contract data.
18. The system of claim 14, further comprising a travel contract database.
19. The system of claim 18, further comprising a corporation client database.
20. The system of claim 19, further comprising a airline database.
21. A contract optimization method comprising the steps of: accepting client historical data; receiving airline data from a travel information provider; performing a capacity analysis to determine a corporation's historical expenditures by airline compared with each airline's revenue potential; analyzing the amount of expenditures that can be covered by different airline combinations; facilitating the choice of a particular city pair by user; analyzing the price per segment paid for said city pair; 28
identifying the amount of expenditure flown on other airlines in said city pair; performing a shift analysis to determine the maximum amount of revenue that can be shifted to a airline; and deriving contract terms and conditions to optimize expenditure.
22. A contract optimization system comprising: a computer server and database system further comprising: a first module configured to facilitate a capacity analysis, wherein said capacity analysis is configured to provide a corporation's historical expenditures by airline compared with each airline's revenue potential; a second module configured to facilitate a shift analysis, wherein said shift analysis determines the maximum amount of revenue that is capable of being shifted to a airline; and a third module configured to facilitate a savings analysis, wherein, said savings analysis estimates the level of savings and overall effective discount of each supplier contract.
23. An airline contract management method comprising the steps of; receiving a corporation's historical travel data; receiving airline data from a travel information provider; performing a capacity analysis to determine historical expenditures by airline compared with each airline's revenue potential; analyzing the amount of expenditures that can be covered by different airline combinations; facilitating the choice of a particular city pair by user; analyzing the price per segment paid for said city pair; identifying the amount of expenditure flown on other airlines in said city pair; performing a shift analysis to determine the maximum amount of revenue that can be shifted between airlines; evaluating contract terms and conditions to optimize expenditure; 29
assimilating said terms and conditions into a yield management system, wherein said management system generates selling instructions; communicating said selling instructions to one or more booking systems to facilitate contract compliance; receiving booking activity information from said booking system; and revising selling instructions according to said booking activity.
PCT/US2002/021160 2001-07-02 2002-07-02 System and method for airline purchasing program management WO2003005161A2 (en)

Priority Applications (1)

Application Number Priority Date Filing Date Title
AU2002354781A AU2002354781A1 (en) 2001-07-02 2002-07-02 System and method for airline purchasing program management

Applications Claiming Priority (4)

Application Number Priority Date Filing Date Title
US30263901P 2001-07-02 2001-07-02
US60/302,639 2001-07-02
US30612501P 2001-07-17 2001-07-17
US60/306,125 2001-07-17

Publications (3)

Publication Number Publication Date
WO2003005161A2 WO2003005161A2 (en) 2003-01-16
WO2003005161A3 WO2003005161A3 (en) 2003-04-24
WO2003005161B1 true WO2003005161B1 (en) 2003-07-17

Family

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Family Applications (1)

Application Number Title Priority Date Filing Date
PCT/US2002/021160 WO2003005161A2 (en) 2001-07-02 2002-07-02 System and method for airline purchasing program management

Country Status (3)

Country Link
US (2) US7856359B2 (en)
AU (1) AU2002354781A1 (en)
WO (1) WO2003005161A2 (en)

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