Re: If I ran United...

[Date Prev][Date Next][Thread Prev][Thread Next][Date Index][Thread Index]

 



Nick Laflamme wrote:

> At 07:37 PM 5/3/2002 -0700, Mark Greenwood  wrote:
>
>>How would doing away with FC adversely affect yield?  Right now you have
>>someone who has paid the lowest fare possible occupying a high yield seat.
>>
>
> You're kidding, right? They people who fly the most often fly on
> unrestricted tickets or on very short notice. They may have a 5% corporate
> discount worked out by their employer (I did when I was with Nortel), but
> that's 5% off a very high fare, not 5% off what the cheapest fare on the
> plane is!



Absolutely. Most airlines get a lot of yield from F and J class seats.
Economy gets them to break even or a little over but F and J are pure
cream.  That's a very general statement of course and can vary greatly
from flight to flight depending on whether it's a business or leisure
market but J especially can be very lucrative.  Moving on to upgrades, I
don't know how it's done in the US but in OZ, you will almost never get
a heavily discounted fare upgraded to Business.  If any upgrades are
done, they're given to those last minute business traffic pax who
usually pay full fare for their economy seat or to FF and loyalty club
members who are riding down the back that day.  You'll only get
discounted fares upgraded if the flight is empty, in which case yields
are shot to hell on that flight anyway.

Grant
SYD
QF

[Index of Archives]         [NTSB]     [NASA KSC]     [Yosemite]     [Steve's Art]     [Deep Creek Hot Springs]     [NTSB]     [STB]     [Share Photos]     [Yosemite Campsites]