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In: Economics

Buy Airline Tickets over the Weekend A recent study by economists Steven Puller and Lisa Taylor...

Buy Airline Tickets over the Weekend

A recent study by economists Steven Puller and Lisa Taylor found that airline tickets purchased over the weekend were priced 5% lower on average. Why would airlines charge lower prices to customers making bookings on the weekend?

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Answer:- A recent study by economists Steven Puller and Lisa Taylor found that airline tickets purchased over the weekend were priced 5% lower on average. The reason is that people travel more on weekends than weekdays generally for leisure purpose. During the weekdays, generally people travel only for work or important purposes. The ticket cost is normal on weekdays but on weekends, due to more people booking they give discount on tickets. Lowering of price on weekends attracts more customers to choose flight as a medium to travel than any other medium. Since, booking is high, the airlines tends to get more profit through lower profit margin from each passenger and average it by getting more passenger in each flight.

Rahul Sunny answered 2 years ago
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