Description
« I wake up every morning believing that I do not know much »
Montgomery Blair, a seasoned expert in revenue management, emphasizes continuous learning and innovation. With a strong background in data science and analytics, he pioneered the implementation of a revenue management system for Dollar Rent A Car in the late 1990s, revolutionizing leisure pricing based on demand forecasting.
At Avis Budget Group, Montgomery advanced their Revenue Management system, integrating fleet management and corporate contracts into the optimization process. He highlights the importance of balancing dynamic pricing with corporate flat rates to maximize profitability, noting that losing low-rate corporate accounts can often lead to higher overall returns by freeing up availability for higher-paying customers.
Montgomery underscores the need for internal collaboration, suggesting that the real competition often lies within the organization, between departments managing different segments. He advises focusing on maximizing contractual segments before optimizing discretionary pricing.
In the car rental industry, Montgomery advocates for leveraging supply flexibility, driving cost efficiency, and making smarter data-driven decisions. He stresses the importance of correctly defining problems and accurately measuring performance, particularly in fleet decisions. Lastly, he encourages professionals to embrace innovation, take calculated risks, and stay engaged through industry conferences to drive significant advancements.
Chapter
0:00:00 introduction of Montgomery Blair starting in car rental late 1990’s
0:29:30 what are the key dimensions to look at in RM
0:40:10 The overall level of fleet
0:51:25 AI and measuring performance
1:03:10 Should duration band pricing be stopped?
1:08:10 How to share analytics in a digest format
References
It’s your ship from Captain Michael Abrashoff
Principles of economics by Alfred Marshall
Montgomery Blair, a seasoned expert in revenue management, emphasizes continuous learning and innovation. With a strong background in data science and analytics, he pioneered the implementation of a revenue management system for Dollar Rent A Car in the late 1990s, revolutionizing leisure pricing based on demand forecasting.
At Avis Budget Group, Montgomery advanced their Revenue Management system, integrating fleet management and corporate contracts into the optimization process. He highlights the importance of balancing dynamic pricing with corporate flat rates to maximize profitability, noting that losing low-rate corporate accounts can often lead to higher overall returns by freeing up availability for higher-paying customers.
Montgomery underscores the need for internal collaboration, suggesting that the real competition often lies within the organization, between departments managing different segments. He advises focusing on maximizing contractual segments before optimizing discretionary pricing.
In the car rental industry, Montgomery advocates for leveraging supply flexibility, driving cost efficiency, and making smarter data-driven decisions. He stresses the importance of correctly defining problems and accurately measuring performance, particularly in fleet decisions. Lastly, he encourages professionals to embrace innovation, take calculated risks, and stay engaged through industry conferences to drive significant advancements.
Chapter
0:00:00 introduction of Montgomery Blair starting in car rental late 1990’s
0:29:30 what are the key dimensions to look at in RM
0:40:10 The overall level of fleet
0:51:25 AI and measuring performance
1:03:10 Should duration band pricing be stopped?
1:08:10 How to share analytics in a digest format
References
It’s your ship from Captain Michael Abrashoff
Principles of economics by Alfred Marshall
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