8 replies to this topic

[usfliboi]

http://blogs.wickedl.../#ixzz1l4BLBri4

Is the LUV Affair over?

[SWA.TECH]

Usfliboi, you are a funny dude! Do you know anything about Luv? We don't hemorrhage money on non profitable legs. If the people of any particular airport enjoy lower fares when a competitive carrier comes to town, you had better appreciate them with your business, or there is a good chance they will cut flights or potentially all service. It's a business, we like to make people happy, but we need to fill planes and grow just like any other carrier. Sorry for the loss, it could be temporary. Honestly I don't know if that is a reliable source, but if loads are down consistently , then it is probably true.

[xUT]

usfliboi, on 31 January 2012 - 03:00 PM, said:

http://blogs.wickedl.../#ixzz1l4BLBri4

Is the LUV Affair over?

LUV is 'nimble' and will drop a market that doesn't make money.
Just good business sense!
Kudos LUV!
xUT

[SWA.TECH]

Usfliboi, you are a funny dude! Do you know anything about Luv? We don't hemorrhage money on non profitable legs. If the people of any particular airport enjoy lower fares when a competitive carrier comes to town, you had better appreciate them with your business, or there is a good chance they will cut flights or potentially all service. It's a business, we like to make people happy, but we need to fill planes and grow just like any other carrier. Sorry for the loss, it could be temporary. Honestly I don't know if that is a reliable source, but if loads are down consistently , then it is probably true.

[SWA.TECH]

Oops, double post.

[BoeingBoy]

Plus it's worth noting that WN isn't abandoning New England.  All the cities that have WN service will still have WN service.  They're just consolidating that traffic feed by sending it to BWI, MDW, and some other places.  Now you have the US FF's who didn't fly WN because they woulded their FF perks complaining about how fares from PHL to New England are already going up.

Jim

[WorldTraveler]

All this decision does is confirm that WN is well run but it is by knowing that getting into costly fights with other carriers would only hurt WN.
.
WN's success has been built on carving out a strong market presence in small markets or ones that it has dominated.  There really is not much history of WN being a large player alongside another network carrier in its hub.  
WN is smart enough to know that it can have a decent sized presence in PHL and other airline hubs but its presence will be heavily focused on service to WN's own hubs/large focus cities as well as large markets where there is room for multiple carriers regardless of the stripe.
The PHL-NE market was just not large enough for WN and US side by side.... WN's best strategy is indeed to serve those smaller NE cities from other cities and focus on using their assets in other locations where they can make more money.

[SWA.TECH]

WorldTraveler, on 04 February 2012 - 10:28 AM, said:

All this decision does is confirm that WN is well run but it is by knowing that getting into costly fights with other carriers would only hurt WN.
.
WN's success has been built on carving out a strong market presence in small markets or ones that it has dominated.  There really is not much history of WN being a large player alongside another network carrier in its hub.  
WN is smart enough to know that it can have a decent sized presence in PHL and other airline hubs but its presence will be heavily focused on service to WN's own hubs/large focus cities as well as large markets where there is room for multiple carriers regardless of the stripe.
The PHL-NE market was just not large enough for WN and US side by side.... WN's best strategy is indeed to serve those smaller NE cities from other cities and focus on using their assets in other locations where they can make more money.

I wouldnt quite say WN will run from competion, as a matter of fact that is laughable at best. WN has a strong history of slugging it out with larger better funded airlines, you need to do some reasearch. If we leave now it is simply a shrewd buisness decision where the cons of battling another outweigh the pros, however if the pros outweighed the cons, I can guarantee you they would stay and have a fare battle , and more than likely win , because even after "restucturing" cost per available seat mile for the "legacies" IS STILL HIGHER. Check out WN's history in the west coast, and when they first started opperating they went into markets dominated by other carriers who were trying to keep them from even getting off the ground. Along with the UAL fare battles on the left coast, when United Shuttle was introduced to try to fend them off, DIDNT WORK. Do some homework.