Our client needed to drive additional revenue from their transport offering.
Prior to the introduction of a dynamic pricing model to maximise revenue and capacity, an understanding of the price sensitivity of different passenger types was essential.
Insitas established the price sensitivity for each of the user groups, highlighting psychological trigger points along with maximum and minimum price points.
The impact ticket price had on the likelihood to re-use and overall service satisfaction was also analysed to understand the trade off between short term gains and longer term brand growth.
A short term limited promotional price offer was introduced, containing strict eligibility criteria to ensure it could only be accessed by the target group.
The success of the trial led to a wider roll out of a new more tailored pricing model.