Originally Posted by
Mando314
Putting a low CASM plane on the routes to minimize losses? Giving people signing up for the loyalty program enough seats to use their miles on?
No one doubts there's lots of traffic to/from Orlando. Just that it doesn't make sense to put a hub there when the business traffic isn't there to put tons of flights there to smaller cities that would justify smaller planes.
Might as well just keep building the hubs to increase the profits there.
Totally agree with your analysis. The problem UAL management has is, if you put five 750 mile radius circles around all 7 of UAL's hubs you end up with a big glaring hole in the Southeast (where DAL probably makes 50% of it's system wide profits). And if you transverse any of those 7 UAL hubs it becomes readily apparent that most are now bursting at the seams. UAL will go somewhere and I would argue the Southeast is its last frontier. But (and a big but) UAL probably wont step on DAL's toes and try and establish a true Southeast hub, but more likely a smaller regional hub in the periphery (FLA or nearby). 400 more Max's and 150+ A321's are coming and they will need a home, somewhere.