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How Airlines Price Flights

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Airline ticket pricing probably seems like a crapshoot.

The numbers change seemingly arbitrarily every week, day, or hour, but there’s some real

science behind these prices.

People spend their whole lives figuring out what to charge you to fly.

Let’s take a look at one flight on one route by one airline to understand.

American Flight 33 leaves New York’s JFK airport every day at 7 AM bound for Los Angeles

arriving at 10:51 AM pacific time.

This transcontinental route is one of the most competitive in the world with over 3.5

million yearly passengers and five major airlines connecting the country’s two largest cities.

There’s nowhere where pricing strategies are more important for airlines than here.

Looking at three months of fares for this flight, there are eight distinct prices for

economy ranging from $129 to $472.

These all get you on the exact same flight in the exact same seat but each and every

price has a purpose and place.

The lowest price, $129, is the most competitive price.

This fare only shows up three times in our three month span—each time on Tuesdays.

Now, Tuesdays are very often the cheapest days of the week to fly.

Business travelers tend to make up much of the demand during the week and they most often


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