Semi-Opaque Sales System for Yield Management
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Solution Overview
Problem
Current opaque sales methods in the travel industry and other sectors face challenges in selling excess inventory at discounted prices without alienating full-price customers, as consumers are hesitant due to lack of transparency regarding the product or service details, limiting the ability to maximize sales.
Innovation Solution
A semi-opaque sales system that receives user inquiries, identifies discount items, dynamically selects comparable items at full rates using real-time data, and presents them to users without revealing which is the discount item, allowing users to make informed decisions while ensuring incremental sales without compromising full-price sales.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Productivity
If opaque sales methods are used to sell discounted excess inventory, then sales of discounted products increase, but customer confidence decreases due to lack of transparency
Solution Approach 1:
The patent introduces an intermediary mechanism (the comparable full-price item) that mediates between the discount item and the customer. This intermediary provides transparency and builds customer confidence by showing what the discount is relative to, while still allowing the discount item to be sold. The intermediary acts as a reference point that resolves the trust issue without preventing the discounted sale.
2Productivity
If discounted rates are offered through third-party aggregation sites to maximize occupancy, then sales of excess inventory increase, but full-price sales may be undermined
Solution Approach 1:
The patent segments the customer base and pricing strategies by introducing two distinct items: a discount item for price-sensitive customers and a comparable full-price item for customers willing to pay more. This segmentation allows the service provider to target different customer segments with appropriate pricing without creating direct price conflicts, as each item serves a different market segment.
Solution Approach 2:
The patent applies local quality by making the pricing structure transparent rather than uniform. Each item (discount and full-price) has its own pricing quality and positioning. The discount item is positioned as a limited opportunity, while the full-price item maintains its premium positioning. This local differentiation in pricing quality allows both to coexist without undermining each other.
3Loss of time
If completely opaque offers are presented without item details, then sales speed increases, but customers are uncomfortable due to lack of quality assurance
Solution Approach 1:
The patent performs preliminary action by providing customers with information about the comparable full-price item before they commit to purchasing the discount item. This preliminary information about quality and value gives customers confidence ahead of time, reducing decision time while maintaining quality assurance. The comparison information is prepared and presented in advance of the final purchase decision.
Data Source
AI summary
Disclosed are systems, methods, and computer readable-media for conducting sales. The method embodiment comprises receiving an inquiry with at least one parameter from a user associated with a sale of an item, identifying one or more discount items that satisfy the inquiry, identifying comparable items for each discount item at nondiscount rates dynamically using real-time data, presenting one or more comparable groups to the user, each comparable group comprising one discount item and the respective comparable items, and furthering the sales process based on user input responding to the presented one or more comparable groups. Also disclosed is a method further comprising receiving a request from the user for multiple sub-items associated with the item, and engaging in a dialog with the user to enable payment for each of the multiple sub-items with one of a multiple payment types.