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Author Topic: How many of you are losing $?  (Read 7272 times)

Offline tacsniper

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How many of you are losing $?
« on: August 02, 2009, 11:38:36 PM »
Wow this game is much harder than the previous games! I have already bankrupted once and now on my 2nd try I am not selling enough tickets to cover my expense! Are there anybody in the same boat?

comet3506

  • Former member
Re: How many of you are losing $?
« Reply #1 on: August 03, 2009, 02:31:17 AM »
What are kind of aircraft are you using and have you tried lowering your ticket prices to fill your seats.

Offline ekaneti

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Re: How many of you are losing $?
« Reply #2 on: August 03, 2009, 02:47:49 AM »
Im barely making money but I have a decent cash cushion...

The new vaiables in the game will make it all but impossible to run a regional or commuter airline

Talentz

  • Former member
Re: How many of you are losing $?
« Reply #3 on: August 03, 2009, 02:51:04 AM »
Nope. Turned a profit from week one.

727s are very good when used right. Add the fact they come w/ 162 seats.. smooth sailing.




Talentz

jamboy2378

  • Former member
Re: How many of you are losing $?
« Reply #4 on: August 03, 2009, 02:52:52 AM »
Made enough the last week to buy a six-pack of beer...the local cheap ones at that

Offline tacsniper

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Re: How many of you are losing $?
« Reply #5 on: August 03, 2009, 03:02:25 AM »
I am running a Airbus A300B4-220 flying from Los Angeles to Atlanta to Toronto back to Los Angeles. I already lower ticket price by 3% and have route specific and general marketing going

Offline Sigma

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Re: How many of you are losing $?
« Reply #6 on: August 03, 2009, 03:31:14 AM »
I think I've come to the conclusion that with the new demand model there's no way regional jets can work right off the bat.  Judging by what I can see from the stats, it seems to be the case that those actually pulling off to a positive start almost none are operating jets under 125pax.

The economics on the expense side of the game never particularly favored smaller jets to begin with, but couple that with low load-factors and you can't reach a critical mass where your income exceeds your expenses in any meaningful form.   I can turn a profit, but it's so small that I'll never get anywhere.  Additional routes to spread overhead don't help much as it only exacerbates the problem that the expense side suffers from of largely the same expenses to run a route whether it's for a 75pax jet or a 200pax jet.

coopdogyo

  • Former member
Re: How many of you are losing $?
« Reply #7 on: August 03, 2009, 03:41:46 AM »
I wish the game started later when a regional airline would have been possible

Offline JJP

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Re: How many of you are losing $?
« Reply #8 on: August 03, 2009, 03:52:27 AM »
Nope. Turned a profit from week one.

727s are very good when used right. Add the fact they come w/ 162 seats.. smooth sailing.




Talentz

This is what I'm experiencing.  You're quite right, Sigma.  I have noticed in this sim, it just is not worth operating low capacity aircraft.  Sad, but true.  :-\

Offline ekaneti

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Re: How many of you are losing $?
« Reply #9 on: August 03, 2009, 08:34:52 AM »
Nope. Turned a profit from week one.

727s are very good when used right. Add the fact they come w/ 162 seats.. smooth sailing.




Talentz

That's good but youre going to run out of markets pretty quickly if your smallest plane can be a 727-200

DenisG

  • Former member
Re: How many of you are losing $?
« Reply #10 on: August 03, 2009, 09:08:40 AM »
I think I've come to the conclusion that with the new demand model there's no way regional jets can work right off the bat.  Judging by what I can see from the stats, it seems to be the case that those actually pulling off to a positive start almost none are operating jets under 125pax.

The economics on the expense side of the game never particularly favored smaller jets to begin with, but couple that with low load-factors and you can't reach a critical mass where your income exceeds your expenses in any meaningful form.   I can turn a profit, but it's so small that I'll never get anywhere.  Additional routes to spread overhead don't help much as it only exacerbates the problem that the expense side suffers from of largely the same expenses to run a route whether it's for a 75pax jet or a 200pax jet.


Well, let me stand up against this analysis. I am in ATB2 right now, but I assume it is the same engine. I started out as a regional airline with small a/c props. After around 2 months, I finally hit break even on total cost basis. I think that is fine. I fly 12 routes with 2 a/c and the overhead does not kill me, although it would be easier with less routes. But my route management requires me to fly this way for a different reason. So I can be quite satisfied after this time. Don't forget that with those guys gaining value quickly right now, the lease costs are higher as well, but they will only kick in after the first four months. So let's see if they will manage to uphold that expansion speed. We have seen this so often before. Further, I strongly believe that my small props will have a huge advantage competing against any 100 seat jets on my domestic routes! It is easier, I admit, to fly with a 100 seat jet on a 120 demand route. But it is not necessarily economically efficient nor sustainable, once I get into that route with a 50 pax prop and much lower operating costs. The jet will quickly run out of profit while I stay easily in the green. But let's see. I just wanted to point out that I believe the game engine is fine. And reaching break even on total cost after two game months is actually quite fast (compared to real life). And those growing strongly right now, still have to prove the viability of their expansion model, as the leases kick in, which can be quite high for the larger planes.

Denis

Talentz

  • Former member
Re: How many of you are losing $?
« Reply #11 on: August 03, 2009, 06:18:16 PM »
That's good but youre going to run out of markets pretty quickly if your smallest plane can be a 727-200


Thats the point Ekaneti. I will squeeze what I can out of the 727 fleet type. Then, I'll add another fleet type. Remember, I also have the 727-100. I've configured it into a 100 seater (5/102). Thus, I can cover every route above 90 daily pax.


At the start of any game, you have to select an aircraft that can cover most of your routes. But also, you want an aircraft that can turn a decent profit. Sure, I could have started with DC-9s or 737s. But, why limit myself to 100 seaters when IAH has stronger demand then almost every other US airport? The avg route is somewhere north of 170 seats. Most major markets have 200 daily. So for me, 727 works nicely. Profit potential of a 727 vs 737 is always going to lean towards a 727, if used right.

I still need around 25-30 727s to fill my demand, before I have to worry about adding another fleet for routes too small for a 727.




Talentz

Yb

  • Former member
Re: How many of you are losing $?
« Reply #12 on: August 03, 2009, 09:49:46 PM »
Guys guys I am operating aicraft with less than 100 seats and I already have six and I keep growing. Stop whining and start playing  ;D

Hankmann

  • Former member
Re: How many of you are losing $?
« Reply #13 on: August 05, 2009, 08:58:14 AM »
Guys guys I am operating aicraft with less than 100 seats and I already have six and I keep growing. Stop whining and start playing  ;D

As a newb I find this comment mind numbing. Play the game? I've run so many airlines into the ground(bad pun I think) I have resorted to setting up 1 or 2 routes then not touching anything to see if that works !

Doesn't matter which game, I am blowing chunks in all of them !

BTW - new airline in NA - DazednConfused, watch, this will be the winning strategy !

Offline T8KE0FF

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Re: How many of you are losing $?
« Reply #14 on: August 05, 2009, 10:02:43 AM »
I've got 3 732adv's so far and there at about 45-79% LF and bringing in a reasonable amount. I have one loan but i hope to gradually pay it off  ;D

Offline Tube

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Re: How many of you are losing $?
« Reply #15 on: August 05, 2009, 04:09:02 PM »
Company image and Route image is pretty important to get your load factor up. Therefore make sure there is enough time between the flight so that you are not suffering from delays. Delays will impact your company image and thus load factor.


Offline T8KE0FF

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Re: How many of you are losing $?
« Reply #16 on: August 05, 2009, 04:27:07 PM »
I can't decide weather to build up a good network early and get a loan for $500,000 or just leave it and earn that money over a few weeks??

Offline Sami

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    • AirwaySim - Are you the next Richard Branson?
Re: How many of you are losing $?
« Reply #17 on: August 05, 2009, 04:30:02 PM »
my 4x DC-9 are pulling money now.. was a very rough start though as I invested too much right from the start.

Offline T8KE0FF

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Re: How many of you are losing $?
« Reply #18 on: August 05, 2009, 05:02:50 PM »
I invested too much right from the start.
Thats what I fear. I don't know weather to invest early and get an upper hand in the market.

Offline Sami

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    • AirwaySim - Are you the next Richard Branson?
Re: How many of you are losing $?
« Reply #19 on: August 05, 2009, 06:21:11 PM »
Well hey, I leased 4x DC-9 in the first two days of operation with max loan ... and had 1500$ left at my account after that .... so ....  :P

it drove me some -400k red but now back up.

 

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