Dynamic Price Insertion For Airlines
The ability to display prices in search ads has been around since the advent of the search ad in the early 2000s. However, the real challenge has been how to make those prices dynamic, especially in the airline industry where fare prices are changing almost in real-time. This is called dynamic price insertion.
The good news is that with new technology, this dream is now a reality. We have developed a tool that uses fares seen by others in the airline booking engine and business logic to feed low fare data through a simple ad customizer variable in the ad copy. This tool, which we call airDPITM, gives airlines the ability to display dynamic, real-time fares across both search ads and dynamic display remarketing. As soon as someone finds a cheaper fare, the ad copy gets updated in real-time with the newest and cheapest fare.
Digital marketing teams across the airline industry will save time and resources updating pricing across ad campaigns by letting airDPITM do all of the hard work. Imagine sitting back and letting an automated tool take over the job of constantly updating fares. It sounds pretty nice, right?
It gets better: the same type of dynamic pricing can be used on landing pages. And, if you use these dynamic landing pages as the destination URL of your ads, your relevancy and conversion rate will increase. This means that the user experience is complete by receiving ad copy with the cheapest fare for the route searched, and more conversions from relevant landing pages where the same price appears.
One of our airline clients has already implemented airDPITM to manage the fares seen in all of their search ads. To test its efficacy they ran a controlled experiment in three of their most important markets in Europe – their domestic market, one growth international market, and one mature international market.
The control group in the study was a standard text ad copy. The experiment focused on adding dynamic pricing into the same text copy as the control group.
*Note: All information in the ads has been anonymized to protect our client.
There was marked improvement in the pre-defined KPIs in all three markets, resulting in substantial uplift in Click-Through Rate (CTR), Conversion Rate, and Revenue. The results speak for themselves:
Through Dynamic Price Insertion, airlines are able to drive incremental conversions from both Search and Display Remarketing ads by providing more relevant, conversion-oriented content in ads. Displaying the most updated and lowest fare prior to click-through ensures that the clicks you pay for are the ones that are more likely to purchase that route at that price. By using Dynamic Price Insertion, airlines are able to dramatically increase conversions in all markets and immediately begin earning incremental revenue.
Reduce wasted clicks and grow revenue!
E-mail us here to learn how airDPITM can help your airline increase digital advertising performance.