The psychology of dynamic pricing: how personality traits shape fairness perceptions and purchase intentions in tourism

The growing adoption of dynamic pricing in tourism and beyond contrasts with our limited understanding of how individual differences affect customer responses. This study examines how personality traits influence price unfairness perceptions of revenue management and purchase intentions in the alpine skiing industry. We conduct two studies: a large-scale correlational survey of 1,627 skiers from Austria, Canada, Norway, and the United States, and a short, quasi-experimental follow-up study with 206 participants from Italy and the United States. Across the two studies we find that agreeableness and openness reduce, whereas neuroticism increases, the perceived unfairness of revenue management. This perceived unfairness of revenue management has important consequences: reduced purchase intent and an increased desire for revenge. This study shows that personality traits, although not directly observable, strongly predict behavioral intentions. They can be inferred from the ways customers react to managerial actions within a firm’s control. The study contributes to research on the antecedents of price fairness and to broader debates on personality traits and the Five-Factor Model. Practical implications include opportunities for more effective personalized pricing strategies. Implementation must be guided by transparency and robust ethical safeguards.