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That depends on your moral code, of course.

We knew that _downward_ differential pricing worked (in terms of increasing conversions) - a popup saying "Hi, you're a return visitor to our website, we can discount this room rate 10% if you book today) always increased conversions.

We sure as hell _experimented_ to see if the decrease in conversions by bumping margins (and hence prices) up was worthwhile in terms of total profit.

I'd happily make an argument that if the first is morally "OK" then so is the second…

Your phrasing here suggests that you work for orbitz or a similar company. Is that accurate?

Same field, but not since 2008. I was doing this in early 2001.

a popup saying "Hi, you're a return visitor to our website, we can discount this room rate 10% if you book today" always increased conversions.

Did you also test a popup saying "Hi, you're a first-time visitor to our website, we can discount this room rate 10% if you book today"? :)

Which in turn depends on your view of Man.

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