New Lower Fares At M I A On American

[FWAAA]

This could be good news for AA in Miami. Let's hope it increases overall revenue.

American Airlines Restructures Pricing at Miami International Airport, Lowering 'Walk-Up' Fares and Eliminating Minimum Stay Requirements

Thursday November 18, 12:00 pm ET

New Price Structure Combined With Unmatched Convenience Makes American Airlines Even More Competitive in Miami

MIAMI, Nov. 18 /PRNewswire-FirstCall/ -- American Airlines today unveiled a new simplified domestic fare structure for South Florida. As a result, domestic fares to and from Miami International Airport (MIA) are now simpler and more competitive than ever for travel on American Airlines, American Eagle and AmericanConnection.

With American's new pricing structure at Miami, everyday domestic fares are much simpler, with fewer coach fare levels in each market. American has also eliminated many fare restrictions, including all Saturday night stay requirements. In addition, tickets for nonstop itineraries to and from Miami are available for one-way purchase.

"This fundamental restructuring of domestic fares for American Airlines and American Eagle in Miami further strengthens our competitive position in South Florida. We have eliminated Saturday night stay requirements and other significant restrictions to give our customers easier access to great fares and all the conveniences of Miami International Airport," said Peter J. Dolara, American's Senior Vice President-Miami, Caribbean, and Latin America. "This change is a winning proposition for customers in Miami looking for convenience and value and is vital to the prosperity of our community, which requires an airport that can compete with other markets."

Fares for last-minute domestic travel have been dramatically reduced, particularly in Miami, where one-way coach "walk-up" fares are discounted up to 85 percent off previous walk-up fare levels not requiring a minimum stay. The highest one-way full coach fares are set at $499, $599, or $699, depending on mileage -- most fares are much lower. In addition, American offers a range of advance-purchase fares, each without a minimum-stay requirement. Change fees from all three South Florida airports have also been set at a standard $50, down from $100 in some cases, making it easier for customers to adjust their travel plans when the need arises.

Along with fare changes in Miami, American's fares for Fort Lauderdale and West Palm Beach airports have been similarly restructured to give travelers throughout South Florida more access to more great fares with fewer restrictions. More information is available online at http://www.aa.com/simplifiedpricing .

Dolara added that this bold fare-simplification initiative is the latest sign of American's commitment to working with local community leaders to boost Miami's popularity and ensure its success as the hub of the Americas.

American's simpler, competitive fares, combined with strengths that only a global airline can offer -- including an extensive network, extensive flight schedule, the AAdvantage® travel rewards program and oneworld Alliance -- makes American Airlines the best value for travel to and from South Florida. From Miami, American and American Eagle offer 128 daily flights to 38 destinations in the U.S. and Canada.

http://biz.yahoo.com/prnews/041118/dath022_1.html

 

[WingNaPrayer]

Of course it means increased revenue, but it also means increased voucher activity as yield will continue to oversell the snot out of their tin in MIA - so it will most likely be a wash.

 

[goingboeing]

AA might as well just start giving tickets away and stop charging for them.
This way we can get to chapter 11 much quicker and get all the same crap as USAir and UAL.

 

[AAStew]

What do you want AA to do? Maintain the archaic price structure and sell no tickets? They have to compete domestically! If you are this negative on the job and are this unhappy, and honestly no insult is meant here, is it really too late for a career change? I can't imagine working anywhere, where my dislike for the company and ALL it's actions are as intense as I see above.

 

[Art at ISP]

With any luck, this will prove to be a big success for AA, and will expand systemwide, forcing all the others to change as well. I applaud the initiative of changing an outdated revenue model.

I have always said that by RATIONALIZING the fare structure, you could actually increase revenue, as ticket prices would become more balanced, and more of them would actually be higher than the actual cost of transportation.

Only time will tell, but this is a BIG first step.

My best to you all.....

 

[B737NG]

What do you want AA to do? Maintain the archaic price structure and sell no tickets? They have to compete domestically! If you are this negative on the job and are this unhappy, and honestly no insult is meant here, is it really too late for a career change? I can't imagine working anywhere, where my dislike for the company and ALL it's actions are as intense as I see above.

[post="202588"][/post]​

Never a truer word said.... There seem to be way too many unhappy people working at AA.

 

[AAStew]

I just do not understand being that negative about my life's work. If the moment came when I positively hated the company and everything it sttod for, I would leave. American needs to compete with Airtran , Jetblue and the other carriers flying into S Florida. I think they should revise thier fares systemwide. Crandall tried years ago to no avail. Yes there will be additional loss of jobs but that is the nature of the beast. Look at US and UA.In order to keep a dying monster going they are trying to wipe out benefits and wages, AA has not totally gone there yet, but with attitudes as above and elsewhere on this board we will surely help the company sink also.

 

[goingboeing]

What do you want AA to do? Maintain the archaic price structure and sell no tickets? They have to compete domestically! If you are this negative on the job and are this unhappy, and honestly no insult is meant here, is it really too late for a career change? I can't imagine working anywhere, where my dislike for the company and ALL it's actions are as intense as I see above.

[post="202588"][/post]​

This attitude brought to you courtesy of 19 years at AA.
I guess that every employee that speaks their opinion about some of management's decisions has a bad attitude and is not a good,productive employee for AA.
One does not have to worship at the altar of AA management to be a trained, skilled, and productive employee.
You can fly airplanes 65% full and charge more for tickets or you can fly with 80% + load factors by charging less and LOSE money.Our record PROFIT years had load factors around 67%.
Big deal if you fly with 80% load factors but are LOSING money.I'd rather fly less people by charging more and still make a profit.[like the 1990's]

I LOVE my job its just the management that I dislike!

 

[Andre1980]

I Welcome this move but I don't think AA will give away the shop I think they will try to strike a balance with this one. Goingboeing made a good point about the amount of yield this may result in but we must realise that everyday more and more people are chosing to go to FLL for cheaper fares and the number of high yielding pax will continue to leave unless AA did something to stop the outflow. I don't think it is too late for AA to implement this strategy in MIA but I am wondering about the cost of doing business in MIA in comparison to doing it at FLL and if the competition between MIA and FLL is on a level playing field when it comes to cost of operation.

 

[Garfield1966]

I'm sorry, maybe I missed it but where did you say those passengers are that will pay the higher fares are?

 

[AAStew]

I'm sorry, maybe I missed it but where did you say those passengers are that will pay the higher fares are?

[post="202737"][/post]​

In that imaginary dream world of theirs, I'm sure.

 

[goingboeing]

I'm sorry, maybe I missed it but where did you say those passengers are that will pay the higher fares are?

[post="202737"][/post]​

SWA and JetBlue do not have enough airplanes to fly everyone who wants to purchase a cheap airline ticket.AA will get a large portion of the spillover due to marketshare and sheer size.
If you have ever studied business economics the "people in the know" thought Dave Thomas was crazy for building Wendy's as close as possible to MacDonald's.He proved them wrong by understanding the basic principle of spillover business.
There is more than one way to make money in business and AA's problem is that they are trying to become like everyone else.[A bunch of LOSERS!]
I realize this is not the school of popular thought but Mr.Smith proved his college professor wrong when he started FedEx.
There are numerous examples of success of individuals willing to go against the grain and go the opposite direction of everyone else.
We are following everyone else off the cliff by selling a product cheaper than it cost to produce it.
This is an opinion and only an opinion.

 

[Garfield1966]

From what I can tell, Fed Ex is a unique bird in it's services. USPS does not offer anything comparabe, and what they do offer is quite a bit more expensive.

I do not eat fast food but Wendy's, Mc D's, BK .... seem to all have the same crap at pretty much the same price. Besides, people don'd seem to mind paying a buck more for a burger that they "perceive" is better or different. They do mind paying more for a big ticket item like transportation.

Studies have shown that a carrier will loose market share over just a few dollars (or less) difference in fares.

To me, this sounds like a good idea. At least it is better than anything else that people on this board have come up thus far (which is nothing except got boeing).

 

[AAmech]

These types of Fare rationalizations almost always result in lower revenues. Thats why AA and others have been reluctant to implement them. But its the competition that dictates what you charge weather we like it or not and the customers love it!

 

[WingNaPrayer]

. . . There seem to be way too many unhappy people working at AA.

Why do you suppose that is?