ABSTRACT
The air cargo pricing process is heavily dominated by individual negotiations and the objective to increase load factors by any means. New concepts are needed to standardize the current pricing processes and to focus more on profitability aspects. In defining clear pricing rules, the effort involved in price and revenue management can be reduced. This chapter first identifies the problems in the current pricing methodology and why the air cargo sector needs new pricing concepts. Subsequently, a possible approach that meets the requirements of the air cargo business is presented, describing the main challenges of its implementation.
