US Airways Lowers Fares in 20 East Coast Markets

[MarkMyWords]

Two bankruptcies in less then two years proves my point.

Gee MWM, dont let the facts get in your way!

700,

Once again, please feel free to speak about what you know. Stick to defending your precious union and stay away from areas that you have no clue or facts.

In the past 4-5 months I have seen a vast change in YM and how we "sell" the airline. I know first hand that many of the things that they are now doing have greatly contributed to the rise in Revenue.

Don't let the facts get in your way.....this is a new airline, with new management, providing a new opportunity to prosper. When it is all said and done, we will be in a much better place.

 

[whlinder]

Many studies have been done which show
that revenue management programs have been
miserable failures. Let's hope that HP
knows how to price rationally to ensure
the flights are full, at a higher average
fare. Just like WN had been doing for
many years.

Links? Names of studies?

 

[UWCactus]

Theres a reason why investors decided to put money into this combined company under the leadership of HP management. They believed that they could pull it off, were not afraid to make change when needed to generate stronger revenue gains and had a track record to prove it. Remember, in this business its about generating and maximizing revuene per seat mile.

I think most support this move, lets see what happens, if it doesn't work, they will back out of it.

"700"....get out of that old way of thinking.

 

[Snafu]

Theres a reason why investors decided to put money into this combined company under the leadership of HP management. They believed that they could pull it off, were not afraid to make change when needed to generate stronger revenue gains and had a track record to prove it. Remember, in this business its about generating and maximizing revuene per seat mile.

I think most support this move, lets see what happens, if it doesn't work, they will back out of it.

"700"....get out of that old way of thinking.

EXACTLY!!! HP/AWA has been very adaptable and very forward thinking the past few years.

700, please educate yourself on how things have been on the west side and how they will be at the NEW airline. The facts WILL speak for themselves.

 

[barbeetantrums]

US implementing this fare structure is going to give LUV a terrible headache and will be a painful thorn in its side. I said it here first. B)

 

[Barbell]

Some people just can not grasp that if you sell pieces of pie for less money per piece you many times will end up having sold more pie. If you price the pieces of pie correctly you end up having sold more pie for more money than before.

Then if you can lower the numbers of bakers of those pieces of pie (Employees per aircraft) and keep the ovens baking longer (Better A/C utilization) you have a really cool bakery and people will line up to buy your pie. (SWA)

The first paragraph clearly demonstrates what HP learned 3 years ago and became the only non-LCC (at the time) to become profitable, beginning the transformation into an LCC. Now the transformation has begun systemwide. Watch out East, you're going to start seeing fuller planes, and profits rise.

The second paragraph is also, essentially, where the US system is headed. Albeit, we're already there in some respects. Doug indicated that the merger made sense because BK allowed Legacy US to right size pay and workforce size, and the exit w/ merger allowed for right sizing of the fleet (an ongoing project). Now we'll begin with the route structure and long-range schedule planning.

This is the first in a series of steps to transform US to a true LCC, and Barbeetantrums is absolutely correct: this business plan does put a thorn in WNs side, because we begin generating our own traffic.

And to US1YFARE, FC fares were revamped approximately a year after the Coach experiment proved successful. Expect a shorter time frame now that we know it works. No, it won't happen next week.

 

[US1YFARE]

Don't let the facts get in your way.....this is a new airline, with new management, providing a new opportunity to prosper. When it is all said and done, we will be in a much better place.

I think they would be in a "much better place" more quickly if they wouldn't piecemeal announcements in degradation to FC and DM program. Their loyal VFF customers would at least know what they are intending and where we stand. Instead, we think, oh, geez, what are they going to announce next. Parker promised that the new DM program would offer the best of both FlightFUnd and the old DM--well, it doesn't. He has not announced one positive change to the DM program, particularly for VFF. Some changes have gone unannounced and they have tried to slide them in under the radar in a sneaky way. My point is that the fare rationalization is long overdue and I think it is a good move; however, while you are going through this merger, don't forget about your VFF's who stuck it out in some pretty lousy years at US.

 

[MarkMyWords]

OK, so some of us will be in a better place.

 

[US1YFARE]

OK, so some of us will be in a better place.

Not without your most loyal customers....

 

[MarkMyWords]

Just kidding. The folks in Tempe need to listen to the customers and find out what is important to them. Things as seemingly small as a snack basket are significant when you have stripped the product down to bare bones.