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karatecatman · Guest

Budget carriers struggle to raise yield

http://www.hindustantimes.com/StoryPage/StoryPage.aspx?id=48786ca4-3fe0-436b-9b09-3fab39d460e8&&Headline=Budget+carriers+struggle+to+raise+yield

HAWK21M · Posted: Fri May 04, 2007 3:42 pm Post subject:

Drop ATF prices else only Freighter operators will post profits.
regds
MEL
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Think of the Brighter side !!!

stealthpilot · Member Joined: 19 Dec 2006 Posts: 2325 Location: BLR, DXB

Nice article, I enjoyed it more than the other boring articles that say the same old thing.

The ticket prices are too low, we all know that. If everyone raised prices by Rs. 500 it would help a lot and the airlines would grow at 19% instead of 25%. However, if all airlines colluded and did that = illegal.
The article mentioned the example of Air Deccan trying to raise prices on its BLR-DEL route, the other airlines did not and AD got burnt because their planes flew half empty.

Lower fuel prices will help, if the airlines don’t jump at the opportunity and lower fares or offer more discounted seats.
Better infrastructure will help too.
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eP007

shivendrashukla · Posted: Fri May 04, 2007 11:35 pm Post subject:

Fuel prices + AAI fees like landing, Navigation and handling charges should also come down so that LCC can really provide fares that AAM ADMI can afford. Right now it's only possible for Middle class to fly. Still i will say it's an improvement from what it was 5 years back.

Cheers
Shivendra