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Premium cabins tend to be a very small proportion of overall seats and are about overcharging for a little extra legroom and service rather than trading off ope
by notahacker 1y ago
Premium cabins tend to be a very small proportion of overall seats and are about overcharging for a little extra legroom and service rather than trading off operational flexibility for unique luxury though. Big difference between charging 3x economy rates for 2x the space for a carefully estimated proportion of seats in a mixed configuration (no brainer) and hoping your layout is so good it justifies thirstier, less flexible aircraft to operators (tough sell)...
That said, Boom's customers - if they ever exist - will be a new business class pay extra for supersonic flights category anyway.
- bombcar 1y agoBut that's just it - the airlines have finally (lol) realized that a huge price "Delta" (lolx2) between normal cattle class and first class was a mistake. People aren't usually paying 4x for first, but they will pay $10 more for Y, $30 for Z, etc. The future of airlines is fully adjustable planes!
- JumpCrisscross 1y ago> Premium cabins tend to be a very small proportion of overall seats Most of the profit on a plane is made in business class. If airlines could fly an all-business configuration, they would. The problem is the smallest planes that can do high-paying routes like LON-NYC are bigger than that customer set. So the airline throws in economy seats, often barely breaking even on those, to fill space. In a world with small airliner planes that can make those transoceanic and transcontinental journeys, I suspect we’ll see more all-business class flights.
- awhitby 1y agoAnother factor in this mix is frequency, which matters a lot, especially to business travellers. A once-daily supersonic flight might minimize “time in the air” while a once hourly mostly-economy 737 shuttle minimises “time away from home.”
- jazzyjackson 1y agoThere is one airline that flies all business class. An A321Neo with 76 lie-flat seats, NYC to Paris/Nice/Milan. Random date selection yields $2700 one-way New York to Paris. https://www.lacompagnie.com/en/about/services https://www.lacompagnie.com/en/about/services
- ivandenysov 1y agoBritish Airways operated a similar flight between 2009 and 2020: an A318 between LON and NYC with 32 lie-flat seats https://en.wikipedia.org/wiki/Club_World_London_City https://en.wikipedia.org/wiki/Club_World_London_City
- notahacker 1y agoSmaller jet aircraft on the same route generally means relatively expensive operating costs: some costs like landing slots and pilots are essentially fixed, whilst others like maintenance, fuel and capital costs don't scale down linearly. The marginal profit on an individual economy class seat might be small, but 100+ of them cover a large portion of the fixed and semi-fixed costs of operating the aircraft, and are relatively easy to fill. Long range business jets which can comfortably accommodate a typical narrowbody business class cabin exist: nobody is certifying them for all-business class scheduled flights because it wouldn't be profitable to do so; likewise the all-premium 32 seat A318 configuration hasn't been adopted anywhere except the NYC/LON route it didn't really have the range for because it wouldn't be profitable elsewhere. Boom's bet is that supersonic changes that.
- FireBeyond 1y ago> some costs like landing slots Small detail: most landing slot costs are variable based on aircraft weight.
- notahacker 1y agoLanding charges levied on each landing usually have a significant weight component (amongst other variable components like emissions, noise, handling and passenger charges) but the relationship usually isn't linear with passenger capacity. Landing slots required at busier airports to have the right to land at a certain time each week are generally traded between airlines with the slot coordinator's agreement with the value of the slot based mainly on the commercial attractiveness of the time slot.
- FireBeyond 1y agoAbsolutely, good point. I don't know why I latched onto charges vs slots.
- jgalt212 1y agoBusiness Class trades well above 3X tourist class.
- chronia739 1y ago> Business Class trades well above 3X tourist class. If you are a tourist searching business class on Google Flights, of course it’s 5-6x more expensive. True business class / upper class travelers get discounts of 20-50% for J. And no, they’re not using Amex/Chase Travel.
- JoshTriplett 1y ago> True business class / upper class travelers get discounts of 20-50% for J. And no, they’re not using Amex/Chase Travel. What are they using, then?
- everfrustrated 1y agoCorporate discounts
- FireBeyond 1y agoHuh. Where? I work for a company that's not a FAANG but $200B market cap, and what we get through Concur, Spotnana is at most, 5, occasionally 10% below what I see for the same fare class on Expedia. I have never seen anything approaching 20% cheaper, let alone 50%.