Originally Posted by
nicholasblonde
Darned right...many people wonder why the European carriers aren't laying off en masse as we are here in the US...three reasons:
1) When you calculate in the devaluation of dollars vs. the euro (all oil is sold in US dollars the second it comes out of the ground in Saudi Arabia), fuel has only gone up 25% in the EU vs. 40-50% in the US over the same period.
2) The Euros have a transportation infrastructure and economies that are structured around high fuel prices, since they tax the heck out of energy to limit consumption.
3) Fares over there (with the notable exceptions of Ryanair, Easy, and a few others) are where they should be, and companies like BA and Lufthansa have had success "selling up" and offering excellent customer service and amenities, vs. everyone here whoring themselves out to people who would've been on a Greyhound less than 15 years ago.
Send the Greyhound people back to the bus, and jack up fares (but offer better service and real food on real plates). If we're going to cut capacity so much anyways, we might as well upsell our product lines and get rid of the economy travelers who demand their $50 flight to Lauderdale to take their obnoxious family to Grandma's retirement village.
When I was a child (late 70s and 80s) I remember people still dressing nice to go fly. It was not a cheap experience. You worked hard to get the money to go on a trip. You were proud to be able to afford the luxury of flying somewhere. Now you walk through the airport and it looks like a sleepover party. People in pajamas and flip-flops, ratty clothes - stuff I would be embarrassed to be seen in out in public. Anybody who has $100 can get on a plane. It has become the Greyhound of the 21st Century. Pilots get paid on a bus driver's level and treated with about the same level of respect.
I agree that we need to jack ticket prices up to a higher level...but also increase/return the amenities that used to be there. People will pay more for a better experience...just not as many of them. You cannot...and I repeat cannot compete on price alone in ANY industry. You have to offer something else otherwise someone will always come around and undercut you to get the sales. That is exactly what has been happening in our industry. Shave $10 off the price of a ticket and get 20 more passengers. If people bought cars and houses like they currently bought airline tickets they would all drive Chevy Aveo's and live in used FEMA trailers. Something has to give. I still think the word "cheap" has a negative connotation for a good reason. The industry has been doing quantity of passengers over quality for far too long...and it shows.
Another thing I notice -- how many airlines do you actively see trying to build a recognizable brand that people will commit to? I've only seen a handful of airlines advertise on television with decent commercials - nothing like they used to be. And no, "American Airlines is the official airline of the Oprah Winfrey show" does not cut it. Tell me why your airline is different and why I should pay the few extra dollars to fly it. Build a brand for me, give me a compelling reason to fly with YOU! I flew Continental a few years back and had such a positive experience and felt strongly about the company - I was willing to pay $50 extra for a ticket just to fly Continental! Its the same reason people pay $30 for an Abercrombie t-shirt rather than a $5 Wal-Mart t-shirt. What do you get in a Lexus that you can't have in a Hyundai? What is the difference between a Timex and an Omega? Brand and brand loyalty. The feeling you're getting something extra for your money. Crummy frequent flyer programs aren't enough...give people something COMPELLING! Bigger seats, meals, better service. Until someone is sucessful in this people will continue to fly the "other" airline to save 52 cents.
But I digress...