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My opinion is that airlines brought this upon themselves. With the introduction of yield management[1] they used variable pricing to get most revenue. But it
by rogerbinns 9y ago
My opinion is that airlines brought this upon themselves. With the introduction of yield management[1] they used variable pricing to get most revenue. But it also meant that although customers get the same flying product experience (same seats, same plane, same service etc) they could each have paid wildly varying amounts. The airlines started the game of trying to charge more, which lead to consumers responding trying to get charged less. So now you see airline related sites all focused on price.
It is a hard issue to address, but if you tell your customers that you focus on issue X (prices in this case), don't be surprised when they respond in kind!
[1] https://en.wikipedia.org/wiki/Yield_management https://en.wikipedia.org/wiki/Yield_management
- rwmj 9y agoWhy has no airline tried having a pool of aircraft and flying them on different routes depending on current demand for that route?
- chillydawg 9y agoThe realities of managing landing slots at busy airports mean that dynamic routing is very difficult at best.
- corford 9y agoThey have in a sense, just not at the resolution of days/weeks. Airlines move their fleet capacity around all the time according to seasonal demand and passenger trends.
- rogerbinns 9y agoThere are charter operators who do that kind of thing, such as for holiday destinations and religious pilgrimages, as well as cargo airlines. There are also "wet leases" where a provider has aircraft and crew packages you can deploy for a fee, as well as dry leases where it is just the aircraft. However as other responders mentioned, aircraft logistics are complicated. Unless you operate virtually identical aircraft (the Southwest, Ryanair etc model) then you need both pilots and cabin crew that are certified on the aircraft model. Plus you need appropriate maintenance staff, baggage handlers, gate staff etc. It is just too complicated to pull off logistically. That isn't to say major airlines don't have the ability to respond on-demand. They do have spare aircraft around, and have ones that can be chartered. For example that is how sports team travel around the US. Also be aware that airlines have a typical load factor (how many of the seats they sold on each flight) of around 85%. There isn't that much slack in the system. 25 years ago, load factors of 65% were considered the norm. These higher load factors are also why the frequent flyer programs are so much more stingy now - they have more paying customers to fill more seats.
- dingaling 9y agoSome airlines do but it causes other issues. United often mix larger 737s and smaller regional jets on the same route during the day. The complications arise when trying to slot them into other routes when otherwise idle; either they're too much aeroplane or not enough. If they're fully amortised then you can just park them for the rest of the day, but crewing becomes an issue. An extreme example is Lufthansa which is operating a daily mix of A321s ( ~200 seats ) and 747s between Frankfurt and Berlin this month to handle the ramp-up to Christmas.
- jstarfish 9y agoThey also shot themselves in the foot gamifying the frequent flyer miles systems, which used to be a huge driver for brand loyalty, even if the tickets cost more than competitors'. Now they've put so many restrictions on when and where you can redeem your points, how quickly you accrue them and when they expire altogether that it simply isn't worth sticking with a single airline to accrue points you can't use.
- hkmurakami 9y agoNot to mention the frequency/quality of seat upgrades, as well as the exclusivity of their lounges. For the first ~30 years of my life I was nearly exclusively an United flyer (passed down from parents who traveled for business extensively and were based near an United hub), yet even I have realized that it's just a game of where I can get the lowest cost / highest roi now, since there's just no rewards for my loyalty.
- guitarbill 9y agoThat, plus the quality of tickets other than Economy varies wildly. What even is Economy Plus? Sometimes you'll get different seats, sometimes it's just more legroom or even not having to pay for food. Business class? Meaningless on short haul flights, on long haul seat size and reclining varies wildly. Lounge quality and access also differ substantially. And letting infants into Business class kind of spoils it, too (IMO). So why would I pay substantially more for Business if I don't know what I'm getting? Might as well save the money and take unpaid leave or get a nicer hotel.