High costs, low profit margins
Airlines are extremely expensive to run but have margins of only about 4 percent on average. As a result, increasing operational efficiency is critical to staying competitive.
The additional cost of fares
Every time a customer or booking agency views a fare, the query hits the airline's reservation system - which will be expensive. Traffic grows across all booking channels, resulting in increased costs.
Limited overview of rates and availability
Rate and availability information often only exists in operating systems, without the ability to compare KPIs and analyze historical data. It is difficult to make proactive changes in the response to market conditions (i.e., a flight next week still has 50% capacity).