New AA Contract Offer - Scope Details
11-13-2014, 07:14 AM
#31
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Joined APC: Mar 2011
Posts: 726
So maybe they are giving up the 5 seats in "good faith," in order to get a concession from the pilots to allow more large jets.
It's clear what they are doing. 17% of all domestic flying was done by regionals in 2001. In 2012 it was 53%. Now you have E-175s flying routes like Houston to Montreal, and I'm willing to bet AA charges the same wether they use a 175 or 737. But they make more on that ticket if they use a 175 flown by a regional. It's good business from a management standpoint, but stinks for us.
It's clear what they are doing. 17% of all domestic flying was done by regionals in 2001. In 2012 it was 53%. Now you have E-175s flying routes like Houston to Montreal, and I'm willing to bet AA charges the same wether they use a 175 or 737. But they make more on that ticket if they use a 175 flown by a regional. It's good business from a management standpoint, but stinks for us.
11-13-2014, 08:50 AM
#32
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Joined APC: Feb 2007
Posts: 2,487
Originally Posted by ArcherDvr
.....and I'm willing to bet AA charges the same wether they use a 175 or 737.
But they make more on that ticket if they use a 175 flown by a regional.
11-13-2014, 09:06 AM
#33
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Posts: 7,339
Originally Posted by TallFlyer
And I'm willing to bet a lot more that aircraft type has very little to do with what an airline charges for a given ticket. I suggest doing a little research on yield management.
Eh, don't think so either. Pretty sure the cost to move one seat a given distance is more expensive on a regional aircraft than a mainline one. Having large regional fleets have allowed airlines to sell frequency and flexibility, which thus far has proven easier to sell that one mainline flight at a lower cost into a given smaller destination.
Eh, don't think so either. Pretty sure the cost to move one seat a given distance is more expensive on a regional aircraft than a mainline one. Having large regional fleets have allowed airlines to sell frequency and flexibility, which thus far has proven easier to sell that one mainline flight at a lower cost into a given smaller destination.
11-13-2014, 09:11 AM
#34
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Joined APC: Mar 2011
Posts: 726
Originally Posted by TallFlyer
And I'm willing to bet a lot more that aircraft type has very little to do with what an airline charges for a given ticket. I suggest doing a little research on yield management.
Eh, don't think so either. Pretty sure the cost to move one seat a given distance is more expensive on a regional aircraft than a mainline one. Having large regional fleets have allowed airlines to sell frequency and flexibility, which thus far has proven easier to sell that one mainline flight at a lower cost into a given smaller destination.
Eh, don't think so either. Pretty sure the cost to move one seat a given distance is more expensive on a regional aircraft than a mainline one. Having large regional fleets have allowed airlines to sell frequency and flexibility, which thus far has proven easier to sell that one mainline flight at a lower cost into a given smaller destination.
To the second point, you probably know more about it than I do. What I meant was they make more money using the regional 175 vs a 175 flown by mainline pilots because of lower payroll which is a huge expense for companies.
More and more we see routes flown by regionals vs. mainline, and I'm not talking small destinations either, I'm talking like IAH to ORD, DFW -IAD. Why would they be doing this if it wasn't making them more money.
11-13-2014, 09:25 AM
#35
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Joined APC: Jul 2013
Posts: 10,082
Originally Posted by ArcherDvr
To your first point, I believe that is what I am trying to say.
To the second point, you probably know more about it than I do. What I meant was they make more money using the regional 175 vs a 175 flown by mainline pilots because of lower payroll which is a huge expense for companies.
More and more we see routes flown by regionals vs. mainline, and I'm not talking small destinations either, I'm talking like IAH to ORD, DFW -IAD. Why would they be doing this if it wasn't making them more money.
To the second point, you probably know more about it than I do. What I meant was they make more money using the regional 175 vs a 175 flown by mainline pilots because of lower payroll which is a huge expense for companies.
More and more we see routes flown by regionals vs. mainline, and I'm not talking small destinations either, I'm talking like IAH to ORD, DFW -IAD. Why would they be doing this if it wasn't making them more money.
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