Kiwi.com introduced Price Lock – Customers can lock the flight price and pay later
Kiwi.com, a leading travel-tech company, has introduced a new Price Lock feature. It enables them to freeze the price of a flight ticket for up to 72 hours without paying the full amount immediately. This initiative is part of Kiwi.com’s ongoing investment in providing an anxiety-free travel experience for customers.
The new travel hack will be particularly beneficial for travelers who wish to take advantage of great airline deals but may need additional time to think. The Price Lock service locks the ticket price for the customer for three days. Should the price rise within the following 72 hours, the customer pays nothing extra. If, on the other hand, the price drops, the customer will always pay the lower price, regardless of the Price Lock being in place. Initial data post-launch reveals an encouraging trend: over half of the customers (56.6%) opting for Price Lock proceed to complete their booking at the originally fixed price.
Michal Šindelář, VP of Consumer Product, highlights the industry’s dynamic nature, particularly in pricing, stating: “Price Lock is our answer to reducing one of the anxieties around flight bookings. It allows our customers that crucial time to ponder over their purchase and iron out details. With this 72-hour fare freeze, they’re saving an average of €24.” He adds, “At Kiwi.com, dismantling travel barriers has always been our mission. Introducing Price Lock is a stride forward in this journey.”
Dynamic pricing: a challenge in flight purchases
Airlines usually adopt dynamic pricing, changing fares based on demand and availability to optimize profits. Therefore, customers can pay up to 30 percent or more extra for a ticket within a single week. Moreover, ticket prices can increase by as much as 50% during the high season compared to the off-peak periods. The most significant hikes are typically observed in the 14-day lead-up to departure. Price Lock is designed to give travelers an edge—locking in current prices, circumventing future spikes, and ensuring a calm decision-making process.
Tickets without additional services
To use the service, customers pay a deposit of 10% of the ticket price. Should the fare rise (up to a €200 cap) before the lock expires, they still pay the original, lower price. In the event of a price drop, they benefit from the new, lower rate. Presently, Price Lock is exclusive to the price of the flight ticket, as due to varying airline policies, Kiwi.com can’t guarantee fixed prices for ancillary services like baggage or insurance.
Kiwi.com is a leading global travel-tech company headquartered in the Czech Republic, employing over 1,200 people worldwide. Kiwi.com’s innovative algorithm enables users to find better route options and prices other search engines can’t see, daily performing billions of price checks across 95% of global flight content. 100 million searches are carried out every day on Kiwi.com’s website and partner channels. On average, over 70,000 seats are sold daily.