AirwaySim
Online Airline Management Simulation
Login
Username
Password
 
or login using:
 
My Account
Username:
E-mail:
Edit account
» Achievements
» Logout
Game Credits
Credit balance: 0 Cr
Buy credits
» Credit history
» Credits FAQ

Author Topic: Crazy world  (Read 1077 times)

Online Lambert_M

  • Members
  • Posts: 564
Crazy world
« on: May 07, 2013, 09:00:31 AM »
You know fuel prices are pretty crazy when I am regretting I didnīt hedge on 696 $ ...

Offline Infinity

  • Members
  • Posts: 1564
    • Aviation Awareness
Re: Crazy world
« Reply #1 on: May 07, 2013, 09:22:17 AM »
I'd be happy if it doubled :)

Offline Andre

  • Members
  • Posts: 1091
Re: Crazy world
« Reply #2 on: May 07, 2013, 03:03:08 PM »
I'd be happy if it doubled :)

Do your leased DC-9 make money with these fuel prices? I'm just curious.

Offline Superbenj

  • Members
  • Posts: 247
Re: Crazy world
« Reply #3 on: May 07, 2013, 04:05:45 PM »
Noob Questions-

Are prices likely to stay around these levels now, or will they come down?

Can you raise prices to counter fuel increases (as happens in real life) or does demand fall sharply?

Online schro

  • Members
  • Posts: 3077
Re: Crazy world
« Reply #4 on: May 07, 2013, 04:09:35 PM »
Noob Questions-

Are prices likely to stay around these levels now, or will they come down?

Can you raise prices to counter fuel increases (as happens in real life) or does demand fall sharply?

There might be one more dip, but my expectation is that this will be the low end baseline from here on out. However, we don't really know what sami has cooking in the future for us.

As for price increases, the fuel index and pricing index are not tied together, so while price/demand will increase, right now, the fuel increases are far exceeding that.  If you watch where standard fares are going then you can get a good feel for where that metric is moving.  You should be somewhat safe increasing fares globally by 1-2% per year from here on out... (but keep an eye on it)


Offline Infinity

  • Members
  • Posts: 1564
    • Aviation Awareness
Re: Crazy world
« Reply #5 on: May 07, 2013, 04:53:40 PM »
Do your leased DC-9 make money with these fuel prices? I'm just curious.

They roll a profit of 100-300k per frame, so taking into account the overhead, they will pretty much be a zero summer.
I run them because they are small, take slots, and require the same pilots as the A320, other than the F100. I couldn't phase them out earlier because the A318 comes so late and can afford them, the sad thing is that I now have to waste money D-Checking most of them because I need my used market capacity for expansion.

Offline Tom14cat14

  • Members
  • Posts: 639
Re: Crazy world
« Reply #6 on: May 07, 2013, 11:21:31 PM »
I'd be happy if it doubled :)

Same here.
APB Airlines

brique

  • Former member
Re: Crazy world
« Reply #7 on: May 08, 2013, 03:22:44 AM »
re : increasing prices to cover higher fuel costs : as suggested, a regular 1-2% price increase is usually okay as it covers general inflation anyway in default prices.

but you should be looking to max out pricing on routes regardless of fuel costs : if you have a route monopoly, then default+ pricing is an easy way to up your revenues : observation is that you can push them to default+50% before the resistance leads to major drops in loads : the exact % is dependant on that routes supply/demand ratio, of course, so its usually necessary to add a bit, see the effect, add some more and so on until you reach the tipping point.

On competed routes, oddly, I've found that as the 'junior' airline with least market share, its still possible to raise prices above default. Providing the overall demand is high enough, you'll always get some of the demand even if you price above your competition : conversely, even with rock-bottom pricing, you'll never take all the demand : as for why that seems to be so, I guess the other factors (CI, RI, flight-times, frequency, etc) do enough to counter pricing, even though price is a major effect, its not the sole factor in pax choice.

Offline Kadachiman

  • Members
  • Posts: 914
Re: Crazy world
« Reply #8 on: May 08, 2013, 05:39:52 AM »
Two things astound in this post and post of a similar nature.

1. Do people really want other airlines to fail?

It is as though they believe they are more successful if others are failing.
I wonder if the mentor program really works if that is the case.
Personally I would like to see all players succeed in their chosen strategy as it makes for better competition and better gameplay.
PS - I would like to not go as B/K as often as I do...lol

2. Do people really micro-manage their airlines so closely that they pay attention to each and every route that their airline flies?

Who has the time or the desire to play at that detailed level?
It would become a full time job.

In Summary
The thread title is correct - it is a cray world.
« Last Edit: May 08, 2013, 05:42:04 AM by Kadachiman »

Offline Infinity

  • Members
  • Posts: 1564
    • Aviation Awareness
Re: Crazy world
« Reply #9 on: May 08, 2013, 08:26:35 AM »

2. Do people really micro-manage their airlines so closely that they pay attention to each and every route that their airline flies?

Who has the time or the desire to play at that detailed level?
It would become a full time job.


I usually go over all of my routes and their pricing once every other week, takes two hours for a huge airline like mine with a decently designed spreadsheet.

brique

  • Former member
Re: Crazy world
« Reply #10 on: May 08, 2013, 03:50:21 PM »
Two things astound in this post and post of a similar nature.

1. Do people really want other airlines to fail?

It is as though they believe they are more successful if others are failing.
I wonder if the mentor program really works if that is the case.
Personally I would like to see all players succeed in their chosen strategy as it makes for better competition and better gameplay.
PS - I would like to not go as B/K as often as I do...lol

2. Do people really micro-manage their airlines so closely that they pay attention to each and every route that their airline flies?

Who has the time or the desire to play at that detailed level?
It would become a full time job.

In Summary
The thread title is correct - it is a cray world.

Actually, yes, people do micro-manage at that level : when you fly small aircraft, its the difference between so-so survival and go-go success : as for how long it takes, well, flick through your route management pages, if the LF is in your 'high' zone, go fix the price, if its in the 'low zone', go fix the price, if its in the 'oh yes I like that' zone, leave it alone... not exactly time-consuming rocket science...

 

WARNING! This website is not compatible with the old version of Internet Explorer you are using.

If you are using the latest version please turn OFF the compatibility mode.