Giving Away Tickets To The West !

[ref80]

[P]Atleast US is competing in this new fare model from CLT-DFW,DEN,LAX,PHX,SFO,SEA announced by ATA. Beginning Nov.12th ATA is offering $158 r/t from CLT to these destinations ( connecting in MDW ).US''s fares now are 10 times more than this in these markets, however come Nov.12th for roughly $100 more than ATA''s fare you can fly nonstop also on new aircraft( 321 )to these destinations. It''s good to see US going head to head with the low fare/no frills people express''s of today,although this can''t be too healthy for the precarious financial situation US is in.[/P]
[P][A href=http://www.ata.com/sales/net_fares/021015.html]http://www.ata.com/sales/net_fares/021015.html[/A][/P]

 

[KCFlyer]

[P]Well, they're reacting...not leading. U could most likley get away with charging $200 to $220 for a nonstop CLT-DFW flight, and most likely get more people to book them than ATA. It's convenient, and a nonstop flight can in many cases be well worth fifty extra bucks to the leisure travller. But, it's competition and I understand that, so they match the fare. The real difference is this CLT-DFW leaving tommorow and returning on Saturday (only did that to demonstrate the business fare one might pay during the week...the kind without a Saturday stay). On ATA it's $510. On U it's $1,327. For a savings of $800, lots of folks (and companies) could justify changing planes in Chicago. If U would be a leader and DROP that last minute fare to something in the neighborhood of $700, it would make it very tempting for business passengers to book U. That's been my point all along - Why oh why do you have to charge almost 3 times the fare of a low fare carrier on last minute flights? Why not encourage business by offering a fare that, while not matching the low fare guys, be within reason for a person (or company) to justify booking it? [/P]

 

[TomBascom]

KC is 100% right. There's no need to match or, worse yet beat, the low fare guys. Get in range at the low end (within $50 to $100 depending on market) and stop the gouging at the high end and there would be no reason why a business traveler would even consider ATA or SWA. (An awful lot of your supposed leisure travelers are carrying on briefcase...)

But as it is you'd have to be stupid or irresponsible to book a last minute flight on US Airways in these markets. And relying on customers to stay stupid isn't very bright.