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To work, dynamic pricing must be transparent | Travel Weekly

In the nearly three years I’ve been on the Travel Weekly staff, no story I’ve written has resonated as widely as my Feb. 19 report about the onset of dynamic pricing in the airline industry.

Within two weeks of publication, the story had spawned coverage in sources as wide-ranging as Travel + Leisure, the Chicago Tribune, London’s Daily Telegraph and more.

Within four weeks, Senate minority leader Chuck Schumer of New York had penned a letter to the Federal Trade Commission (FTC) expressing concern that airlines would use dynamic pricing in a discriminatory fashion.

Schumer’s letter, in turn, garnered quick support from ASTA, which released its own statement asserting, “It is entirely appropriate that both the FTC and the Department of Transportation (DOT) keep a close eye on airline ‘dynamic pricing’ initiatives and the potential for widespread price discrimination.”

For those unfamiliar with the practice, dynamic pricing is the practice of tailoring fares to the individual.

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To work, dynamic pricing must be transparent: Travel Weekly.

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