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Author Topic: Extremely Low Load Factors  (Read 8225 times)

Offline swiftus27

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Extremely Low Load Factors
« on: January 25, 2010, 02:43:14 AM »
-25% price on all tickets.
11 company image

I know that I am competing on some lines but ALL of my planes are flying with LFs in the 50%s.   

Yikes?

Yb

  • Former member
Re: Extremely Low Load Factors
« Reply #1 on: January 25, 2010, 03:39:49 AM »
-25% price on all tickets.
11 company image

I know that I am competing on some lines but ALL of my planes are flying with LFs in the 50%s.   

Yikes?

That is normal. My routes started on 35% and now are on 57%. People have to learn that you are flying somewhere  ;)

hybridace101

  • Former member
Re: Extremely Low Load Factors
« Reply #2 on: January 25, 2010, 04:00:41 AM »
1. Find out if there is actually demand for your route.  If supply (meaning all the available seats) is way more than demand, I suggest you look for another route.  If a carrier is well established (i.e. it mounts multiple flights to a major destination in a day), you will have a problem going head-on with it especially if you are in your early days.  Observe the graphic below and pay attention to Thursday's figures.  I wouldn't be flying there until I have a high enough route image (as well as company image).

2. Next, do you have active marketing campaigns?  

3. Temporarily decrease prices substantially but gradually increase them as you see fit.  
« Last Edit: January 25, 2010, 04:03:33 AM by hybridace101 »

Offline swiftus27

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Re: Extremely Low Load Factors
« Reply #3 on: January 25, 2010, 04:08:10 AM »
Hybridace...  I want to say I appreciate the help.  

In all honesty, I did write one of the newb manuals.   http://www.airwaysim.com/forum/index.php/topic,9211.0.html

I am just referring to this game in particular.

Offline Sigma

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Re: Extremely Low Load Factors
« Reply #4 on: January 25, 2010, 04:14:18 AM »
I seem to be hitting these magical cutoffs... 33% on my longer flights and 50% on my shorter flights @ default pricing.  They seem too exact to be simply chance.  And I've never had them stay so low for so long, they simply aren't increasing even while RI and CI go up.  Pricing decreases helped, but not much, and not as much as I've seen in previous games.   It looks like passengers really aren't liking flying on these densely-configured planes for too long and aren't too keen on the dense props even on the shorter flights.

But it's still early yet.  Hopefully things will turn around.  At least with costs so incredibly low, even with a plane at 30% full I can turn a gross profit.
« Last Edit: January 25, 2010, 04:26:01 AM by Sigma »

Offline swiftus27

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Re: Extremely Low Load Factors
« Reply #5 on: January 25, 2010, 04:39:14 AM »
yes the plane will produce a gross profit... you need to make a net profit.   Those profits need to cover your fixed costs too.

Offline Sigma

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Re: Extremely Low Load Factors
« Reply #6 on: January 25, 2010, 05:11:26 AM »
Yeah, but even with 2 C-46s running less than half full, I'm running at break-even and that's with a substantial Marketing initiative -- 50% of my total revenues.  if I cut my Marketing in half, which would still be sufficient to get it to grow, I'd be netting a 25% net profit margin.  And with more planes capitalizing on economies of scale, I'm quite certain profits in this era will dwarf even the staggeringly unrealistic ones we see in AWS' later eras.  Especially once they start actually filling up the planes.

Offline Maarten Otto

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Re: Extremely Low Load Factors
« Reply #7 on: January 25, 2010, 08:36:10 AM »
CI = 21 and dropped fares by 40%...  still I get a 50% load factor, and I am operating the route 6 times a day.

Offline Sami

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Re: Extremely Low Load Factors
« Reply #8 on: January 25, 2010, 11:47:26 AM »
The old planes combined w/ long flight times (slow planes) may cause this.. as that really hasn't been ever tested properly. Have to check that.

Offline swiftus27

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Re: Extremely Low Load Factors
« Reply #9 on: January 25, 2010, 01:59:43 PM »
"Long Times" shouldnt be an issue because all of my flights are under 2 hours.

Offline Daveos

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Re: Extremely Low Load Factors
« Reply #10 on: January 25, 2010, 03:44:39 PM »
In a way the reduced influence of marketing and low loads with standard/high density seating is a good reflection of the time period.  Granted its not the 1930s when having a huge armchair would have been the preferential way to fly commercially, but flying was still well beyond the vast majority of the population.  Food rationing, for example, was still in place in the UK until 1954.

Maybe its good then that pax will only fly if the seaing is beyond standard.

As mentioned in another thread, magazines were a strong location for adverts, but advertising was not as powerful or persuasive as it is now.  Word of mouth and a good reputation from expriences were probably more important.  I know this may seem far fetched, but flying was still extremely exclusive at this time.

Has anyone tried using luxury seats?  Are load factors higher then?


tofen

  • Former member
Re: Extremely Low Load Factors
« Reply #11 on: January 25, 2010, 04:46:06 PM »
The old planes combined w/ long flight times (slow planes) may cause this.. as that really hasn't been ever tested properly. Have to check that.

I think you might be on to something there. I've double checked my routes and the longer ones have way lower LF (50/60% vs. 30/40%).

A part of it could also be the cramped seating, since most planes comes with maximum pax configurations.
These configurations wasn't at all considered as "cramped" back in the days as we consider a Ryanair configured B737 today. Fact is that a 30pax DC-3 probably has quite a lot more leg space than todays LCC configs.
I think it should me more fair to have 30x standard economy on a DC-3, and ether remove the denser seating options or add a limit so that you can't have more than 30 seats anyway.

Jake43

  • Former member
Re: Extremely Low Load Factors
« Reply #12 on: January 26, 2010, 12:05:25 AM »
I am having the same problem here. I dropped my prices 15% initially and had LFs of 33%. I dropped them another 15% LF went to 43%. I am the only one on my routes and I have very little seats compared to the demand. Hmmm....

Yb

  • Former member
Re: Extremely Low Load Factors
« Reply #13 on: January 26, 2010, 12:22:02 AM »
It takes time to start operating. Use marketing, use other stuff. I have dropped the prices by 10% and I already have load factor of 53% and its raising all the time :) Dont forget we all use old uncomfortable planes with the highest density seats!

Offline Nonkan

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Re: Extremely Low Load Factors
« Reply #14 on: January 26, 2010, 12:50:33 AM »
It takes time to start operating. Use marketing, use other stuff. I have dropped the prices by 10% and I already have load factor of 53% and its raising all the time :) Dont forget we all use old uncomfortable planes with the highest density seats!

I have a average lf of 50,5% and I haven't tinkered with the price at all, I use standard pricing. With this little competition in the beginning, I think it is more important to fly the routes more often instead of with low prices.

All my marketing money goes to raising CI, I have no marketing on routes so I'm happy with lf of 50%.

Talentz

  • Former member
Re: Extremely Low Load Factors
« Reply #15 on: January 26, 2010, 01:34:16 AM »
Hey, who you call little ..  :P

Meh, around just above 50 as well. Still tough to turn a profit though.





Talentz

Offline Maarten Otto

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Re: Extremely Low Load Factors
« Reply #16 on: January 26, 2010, 10:04:42 AM »
I just configured all my DC3's to standard economy... lets see if it works out.

Offline maya666

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Re: Extremely Low Load Factors
« Reply #17 on: January 26, 2010, 11:34:11 AM »
I'm running a few dove aircrafts and sometimes making 5000 dollar profit but only when there are no maintenance costs or other odd things.. but the personnel costs are quite big in comparison with other costs.
But changing the high density to standard on a 11 seat plane it will be only 7 seats or something... i don't think you will make profit with that.

masoniclight

  • Former member
Re: Extremely Low Load Factors
« Reply #18 on: January 26, 2010, 07:59:59 PM »
Its the 1950's guys (and gals).. slowly losing more and more money but will fight to stay aloft.. this is why a game like this is necessary: to humble all those folks that use all airbuses and widebodies.. lets see you compete in this arena.. I'm happy for it.. and maybe JUST MAYBE, this will give Sami and the devs the tools they need to make regional, small airline companies viable in future games.  8)

Offline Sami

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Re: Extremely Low Load Factors
« Reply #19 on: January 26, 2010, 09:48:12 PM »
Its the 1950's guys (and gals)..

Yep but you should still be able to get 80-90% LF on big routes etc. Investigating that tomorrow.

 

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