The impact of advance purchase deadlines on airline consumers’ search and purchase behaviors

摘要: Abstract Airlines frequently use advance purchase ticket deadlines to segment consumers. Few empirical studies have investigated how individuals respond and price uncertainties induced by these deadlines. We model the number of searches (and purchases) for specific search departure dates using an instrumental variable approach that corrects endogeneity. Results show behaviors vary day week, days from departure, lowest offered fares, variation in fares across competitors, market distance. After controlling presence web bots, we find consumer increases just prior deadline. This increase can be explained consumers switching their desired one or two avoid higher occur immediately after deadline has passed. reallocation demand significant practical implications airline industry because majority revenue management scheduling decision support systems currently do not incorporate behaviors.