Optimal pricing of alpine ski passes in the case of crowdedness and reduced skiing capacity

Abstract

In this paper, we estimate price-response functions for a ski resort using a conjoint framework. The analysis is based on survey data from 350 skiers at a large ski resort in the inland region of Norway. The results suggest that the waiting time at the main lifts (crowdedness) and the proportion of slopes open affect the optimal (profit-maximizing) price the ski resort should charge for a one-day ski pass. The results of this study support previous findings from the literature using alternative methodological approaches and can be used directly by ski resort managers when developing new pricing schemes for their ski resort.