Recruiter's Glossary

Examples: FAA (Federal Aviation Administration) • MRO (Maintenance, Repair, and Overhaul) • Yield Management

Revenue Management

Term from Airlines industry explained for recruiters

Revenue Management is a business strategy that helps airlines and travel companies maximize their profits by setting the right prices at the right time. Think of it like smart pricing for airplane seats or hotel rooms, where prices change based on demand, timing, and market conditions. This is why the same flight might cost different amounts depending on when you book it. People who work in Revenue Management use data and special computer systems to make these pricing decisions, aiming to fill as many seats as possible while earning the most money per seat.

Examples in Resumes

Led Revenue Management team to increase flight profitability by 15%

Implemented new Revenue Management strategies across domestic routes

Used Revenue Management System to optimize ticket pricing and inventory

Applied Revenue Management techniques to improve seat allocation efficiency

Typical job title: "Revenue Managers"

Also try searching for:

Revenue Management Analyst Pricing Analyst Revenue Optimization Manager Yield Manager Commercial Planning Manager Revenue Strategy Manager

Where to Find Revenue Managers

Professional Associations

Online Networks

Example Interview Questions

Senior Level Questions

Q: How would you develop a strategy to improve revenue during off-peak seasons?

Expected Answer: A senior manager should discuss analyzing historical data, creating targeted promotions, identifying new market segments, and implementing dynamic pricing strategies while considering competitor actions.

Q: How do you measure the success of a revenue management strategy?

Expected Answer: Should mention key metrics like Revenue per Available Seat Mile (RASM), load factors, yield, and total revenue growth, while explaining how these connect to overall business goals.

Mid Level Questions

Q: How do you handle competitive pricing situations?

Expected Answer: Should explain monitoring competitor prices, understanding market demand, and adjusting prices while maintaining profitability and not just matching competitors.

Q: What factors do you consider when setting different fare classes?

Expected Answer: Should discuss booking patterns, seasonal trends, customer segments, advance purchase periods, and historical data analysis.

Junior Level Questions

Q: What is the difference between high-demand and low-demand pricing strategies?

Expected Answer: Should explain basic concepts of charging higher prices during peak times and offering discounts during off-peak periods to stimulate demand.

Q: How do you use historical data in revenue management?

Expected Answer: Should describe how past booking patterns, seasonal trends, and special events help predict future demand and inform pricing decisions.