AI based price regulation of Frogelo reservation system for tour operators

Project facts

Project promoter:
frogdom(LT)
Project Number:
LT-INNOVATION-0008
Status:
Completed
Final project cost:
€266,538
Donor Project Partners:
International Development Norway AS(NO)
Other Project Partners
Kauno gruda(LT)

Description

One of the key factors ensuring successful operation in the tourism sector is the capacity to evaluate the price of an offered product and provide tailored offers for customers, taking into account market prices, free spots, time and etc. Pricing solutions in the tourism sector are complicated due to a substantial number of relevant factors: room prices of a certain hotel, seasonality, destination country, prices of other services. When determining the price of a tourist package, it is important to evaluate a number of various criteria and data, on the basis of which a customer will evaluate attractiveness of a tourist package. To achieve that, a huge amount of data shall be collected and processed. Therefore, AI is a highly promising tool for tackling pricing challenge in the tourism sector.

The aim of this project is to create innovative, dynamic, AI based price regulation of Frogelo reservation system for tour operators. This innovation will provide improved services, ensure flexibility, swiftness and effectiveness of the services provided, which shall increase competitiveness of the companies by increasing their sales and profit. Basic characteristics of the system – AI driven determination of a tourist package price on different layers: regular price on the market, individualized price for a person or a group with regard to the timing of decision, offers of alternative travels based on previous travels, browsing history and other similar historical data, offers of additional services and products. 

The Norwegian partner International Development Norway, will provide expertise related to commercialisation of the product.

Summary of project results

With the rapid growth of the market for digitalized / information technology services, customer expectations for the product are also growing. Consumers take into account the innovativeness, complexity, convenience and fashionableness of the product, therefore, competition among companies is constantly growing, the market is constantly demanding from manufacturers to provide new inventions and services.

The aim of the project was to create an innovative and unique dynamic price regulation of the booking system of tour operators Frogelo with the help of artificial intelligence.

The result created during the project was implemented and is working. The result of the project is an innovative and unique dynamic price regulation of the booking system frogelo of tour operators with the help of artificial intelligence. The result of the created innovation is the satisfaction of the needs of current and future consumers at the individual or collective level, an increase in the market share of a travel agency or agent, an increase in sales volume and profits.

Summary of bilateral results

Project partner International Development Norway AS contributed to the research and experimental development of the project.

Information on the projects funded by the EEA and Norway Grants is provided by the Programme and Fund Operators in the Beneficiary States, who are responsible for the completeness and accuracy of this information.