Originally Posted by
Speed Pilot
Price.
Stop asking “How do we make money?” and start asking “How do we save money?” Do that and you’ll know how Alaska makes any business decision that comes up.
👆🏼👆🏼👆🏼 Sooo incredibly true. 👍🏼
We make money through decreasing costs and offering our mid level product to markets that are underserved. Once one of the big three or four decides they would like that market (or like it back) we’re done…. Because …. We..don’t…compete. That’s not a dig… we don’t… At least not in major cities. 8 years ago, there were 6 pilot bases. JFK…. gone. Now SFO… gone. Probably LAX gone.
In the last 8 years, there has been only one major airline hub closed by the big four combined … CVG… by Delta. We are on track to close 3 in that same time frame.
Thats just cause Alaska is the Beta, in an industry of Alpha’s. We cosplay being what they are…. to one city… SEA. Outside of SEA we eat the leftovers that the Alphas let us eat. They are lions. We are jackals. They have staked claim territory. We are always on the move to lesser targets.
But…. we DO make money! Or at least always have. What’s interesting about this latest move is that it’s gonna impact legacy Alaska pilots QOL, not just former merger brand pilots. In 8 years they will have “grown” in such a way that they turned HALF of their pilots that lived in base into commuters, while also, killing the short lived commuter hotel MOU….. or…. saving money.
That same mentality goes for what aircraft we purchases and when. Again, not really a dig. It just is what is. It’s best to live with the reality of it than hope and wish it what it isn’t.