A product that shown nearly 20% improvement in passenger forecasting
Decisal announce that the implementation of NetBoost’s logit model in 3 major aviation companies has shown nearly 20% improvement in passenger forecasting. Decisal expect network profit increase to be doubled by NetBoost’s innovative Unified Optimization (www.decisal.com/products/NetBoost).
NetBoost improved forecasting by using advanced logit (logistic regression) modelling of passenger choices. NetBoost’s logit models consider the interaction of different passenger choice criteria (i.e. dates and times, prices, number of stops, etc). This is far more accurate than the QSI (Quality of Service Index) models airlines have been using since the 70s. QSI assess the various criteria independently and therefore cannot accurately predict how they interact (e.g. how the combination of times and prices influences passenger choices). NetBoost goes a step further than traditional logit models by also accounting for the underlying competitive dynamics of itineraries.
NetBoost’s Unified Optimization captures this interaction between network and fleet decisions and reaches a global optimum, which translates into a double profit increase over other systems.
The combination of NetBoost’s highly accurate forecasting and Unified Optimization boost airline network profitability. NetBoost’s market analysis is a powerful tool in the hands of today’s network planners, helping them to build a complete business case and reach the sustainable profitability every airline strives for.
Source: Decisal
