Originally Posted by
bonvoyage
We have a different business model than legacies have. We do not fly everyday of the week, and certain days we fly more than others. It’s market demand, we mimic Allegiant. With 800+ planes, each legacy can afford to run half full planes multiple times a day and it still doesn’t really affect their load factor. We have under 30 planes, so running one or two near empty is not worth it for us. It’s frequency (or lack thereof) of flights here. Regardless, it works and has been working here. Just let corporate do what they do, and we do what we do and everything works out.
That's your problem. You're trying to outallegiant allegiant. You will never beat them at that game. They invented that game.
It's kind of surprising that Neeleman showed so little creativity this time. All he did was cut and paste the allegiant business model but hired a bunch of Skywest refugees at Skywest pay to keep costs low and flew used worn out E190s. Then they acquired a bunch of brand new 220s thinking brand new factory warantee airplanes would have extremely low operating costs. Well the 220 has turned out to be a train wreck and the pilots and FAs all went union and will demand pay parity with the majors. Breeze is not making money. Breeze has never made money. Breeze can't make money. If they ever get a market foothold allegiant will just move in there and squash them. PVU is a fine example. It's not long before the investors quit throwing good money after bad and force a sale.