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Old 04-01-2025 | 04:17 PM
  #101  
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Originally Posted by 11atsomto
Intentionally operating at a loss to starve out smaller competition. I believe that was the playbook for Starbucks massive growth in the 90's and early 2000's.......although I'm not sure it's analogous to Airlines in a smaller ( at least smaller than SF Bay Area, Metro NY, LA Basin Houston, Chicagoland and DC metro) market.
Starbucks did not lose money in the 90s or 00s.

You may be thinking of Amazon that was operating at break even as they expanded. They are about the only company that has pulled off the grab market share at a loss, then turn it around model. Hasn’t worked for the airline industry yet, and it’s been tried a lot.
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Old 04-01-2025 | 04:36 PM
  #102  
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Originally Posted by AF OneWire
Starbucks did not lose money in the 90s or 00s.

You may be thinking of Amazon that was operating at break even as they expanded. They are about the only company that has pulled off the grab market share at a loss, then turn it around model. Hasn’t worked for the airline industry yet, and it’s been tried a lot.
No No... I mean lost money only at certain stores and locations.....They would go into neighborhoods and intentionally operate at a loss to eliminate competition that was mostly small business owners who couldn't match scale.
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Old 04-02-2025 | 08:33 PM
  #103  
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Originally Posted by 11atsomto
Intentionally operating at a loss to starve out smaller competition. I believe that was the playbook for Starbucks massive growth in the 90's and early 2000's.......although I'm not sure it's analogous to Airlines in a smaller ( at least smaller than SF Bay Area, Metro NY, LA Basin Houston, Chicagoland and DC metro) market.
If you take over the market cap by taking the competition out, those pax will end up on us. Don’t know about the extent of Starbucks, but it seems that’s the strategy of UA and DL at least
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Old 04-07-2025 | 01:52 PM
  #104  
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Originally Posted by SoFloFlyer
BA, Virgin, GOL, Emirates, Copa, Azul and many others fly into MCO. DL does MCO-AMS on a 330. Maybe HR too (could be wrong on this one)? The demand is definitely there. Some of these carriers are our code share partners. I believe that UA is focusing on polishing their hubs before expanding MCO. Any new 787 deliveries go straight to the hubs. Hopefully in 2027, we’ll turn a corner with deliveries and we start expanding MCO/TPA.
DL just cancelled their mco-lhr after barely starting it. Yields just too low.
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Old 04-07-2025 | 08:46 PM
  #105  
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Originally Posted by GPullR
DL just cancelled their mco-lhr after barely starting it. Yields just too low.
I did see that, but I wonder if it had to do with Virgin also flying into MCO. I know DL/Virgin codeshare so that was my initial thought. Virgin MCO-LHR always had unfavorable loads for nonrevving
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Old 04-08-2025 | 01:39 AM
  #106  
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Originally Posted by SoFloFlyer
I did see that, but I wonder if it had to do with Virgin also flying into MCO. I know DL/Virgin codeshare so that was my initial thought. Virgin MCO-LHR always had unfavorable loads for nonrevving
SK was asked about international flights out of MCO at a meeting and his answer was essentially, “I can make a lot more money with the airplanes elsewhere due to the yield.”
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Old 04-08-2025 | 05:41 AM
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Originally Posted by SoFloFlyer
I did see that, but I wonder if it had to do with Virgin also flying into MCO. I know DL/Virgin codeshare so that was my initial thought. Virgin MCO-LHR always had unfavorable loads for nonrevving
Loads to MCO are always full . Has nothing to do with yields. Yields to MCO have always and always will be low. Airlines have to fly there because of what it is. Same for Vegas. Percentage wise very few business travelers. Vacationers dont pay the bills.
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Old 04-08-2025 | 07:51 AM
  #108  
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Originally Posted by GPullR
Loads to MCO are always full . Has nothing to do with yields. Yields to MCO have always and always will be low. Airlines have to fly there because of what it is. Same for Vegas. Percentage wise very few business travelers. Vacationers dont pay the bills.
which is why MIA/FLL/PBI starts to make more sense these days. Especially since the S Florida area is dependent less on tourism as its main source of income.
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Old 04-08-2025 | 08:06 AM
  #109  
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Originally Posted by JoePatroni
SK was asked about international flights out of MCO at a meeting and his answer was essentially, “I can make a lot more money with the airplanes elsewhere due to the yield.”
Core point here is he didn’t say it’s unprofitable. Just not as much as other locations for a fixed amount or resources.

I suspect it’s why DL pulled their route. It’s not that it wasn’t making money, but that airplane can make more money somewhere else.
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Old 04-08-2025 | 08:15 AM
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Originally Posted by Grumble
Core point here is he didn’t say it’s unprofitable. Just not as much as other locations for a fixed amount or resources.

I suspect it’s why DL pulled their route. It’s not that it wasn’t making money, but that airplane can make more money somewhere else.
I thinks it’s always about how many FC seats they can actually sell and cargo. I would think flying between major business centers will always beat Orlando.
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