For example say you have a minibus that has 16 people capacity.

You use this bus to take people from a hotel pickup point to an activity destination.

At your activity destination you have both expensive and less expensive activities on offer.

At some point your yield management knowledge of the market will tell you to stop taking bookings on the less expensive activity – as you have a level of confidence that you will fill the bus with people looking for the more expensive activity. Or, if a person is faced with buying the more expensive activity vs having nothing, they will upgrade to the expensive one.

i.e. yield management is about understanding, at the point in time prior to the trip starting, whether you should say yes to a low value transaction – or whether to hold on for a more valuable one.

In class based yield management you don’t change the prices at all – you just artificially become unavailable even when you are not.

I would argue that class based yield management can be more powerful than price based yield management (for adventure travel co’s)