This New AI Add-On Will Make It Harder To Find Good Flight Deals In 2026
From tech evangelists arguing that artificial general intelligence is imminent to companies laying off staff and replacing them with bots, AI is an inescapable facet of modern life. While language-learning models (LLMs) like Gemini and ChatGPT (which now has a trip-planning tool) might be a hoot to play around with, there are broader practical applications for rapidly improving AI technologies. They're used by companies like Amazon, eBay, and IKEA to improve their search engine functionalities, and now airlines have followed suit — with largely punitive effects on the consumer.
Known as surge pricing or dynamic pricing, this model allows airlines to alter prices immediately, much as Uber does in times of high demand, like during rush hour or when a festival is in full swing. Airlines are now using AI tools, such as Fletcherr's Generative Pricing Engine (GPE), to draw on real-time data from a destination, including weather, popular events, visa regulations, volatile market conditions, and even a viral TikTok video. This data then informs the pricing structure, causing affordable flight deals to fluctuate like the lines on a vital signs monitor.
An MIT report noted that dynamic pricing can increase airline profits by 10% to 15%, while Frommer's reported that for some airlines it could be as high as 30%. Emirates, Lufthansa, Qatar Airways, WestJet, United Airlines, and Virgin Atlantic are using dynamic pricing already. As early as November 2024, Delta, a pioneer in this space, was selling 1% of its seats using Fletcherr's GPE — this number is now closer to 20%. At least seven more airlines are working with the same tool, meaning prices could get much more dynamic in 2026.
What will AI mean for travelers and future flight deals?
Fletcherr is focused on streamlining corporate efficiency. In a Fletcherr blog post, Dynamic Pricing in Aviation, it discusses "revenue optimization" and "unlocking new opportunities" for airlines, which spells bad news for travelers. Delta President Glen Hauenstein threw more fuel on the fire, telling investors he wanted to fully reengineer his company's pricing structure. "We will have a price that's available on that flight, on that time, to you, the individual," he explained.
Professors at Northeastern University, as outlined in an article in Northeastern News, raised concerns over Delta using private data to target customers — a strategy known as "surveillance pricing." In Washington, Congress moved to ban the practice. As Christo Wilson, a founding member of Northeastern's Cybersecurity and Privacy Institute, argues in the Northeastern article, transparency is key. Airlines could exploit personal pain points, meaning the maximum amount you're willing to pay in a given situation. That figure naturally increases in times of stress, like when traveling for a bereavement or if your visa faces expiration.
Currently, there's no evidence airlines are using your data for individualized prices, but the University of New South Wales newsroom says that surveillance pricing is becoming more commonplace in e-commerce, with firms using your postcode, search history, and other data to assess what you're willing to pay. There are examples where you can benefit from this. If you're searching for a flight, then abandon your cart, you might see discounts on your next visit. An article in The Conversation, while sensitive to the ethical complexities, even argued surveillance pricing can lead to lower-income customers paying less. The ACLU, however, warns it almost always favors the company over the customer. Either way, travelers will soon find out.