Yield Management

Yield Management

A pricing strategy used to maximize revenue by varying prices based on demand and inventory levels. Yield management is commonly used in industries with perishable or time-sensitive products, such as airlines, hotels, and rental car companies, to optimize revenue and occupancy rates.

Related Terms

Average Price

Weighted average of actual price and promoted price for an item. It does not take into

Incremental Sales

Refers to the additional units of a product sold to retailers or consumers directly attributed to

Forecast Accuracy

Forecast accuracy refers to the degree to which a forecast aligns with actual sales data, indicating