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Online Airline Management Simulation
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Author Topic: Load Factor v. Profit  (Read 342 times)

bariboy16

  • Former member
Load Factor v. Profit
« on: January 15, 2015, 10:06:06 PM »
Hello all,

So I am currently testing the game out during the 7 day free trial, which I started Monday. About 4 months have passed in game time and many of my routes have gone from being only about 70-80% LF to 97 or 98. Now I know the manual says to not let this happen and then start raising your ticket prices, but I have already raised them about 10% above the default and the LF still remains the same. Im not complaining about the extra profit, I just did not expect this to happen. Any advice?

P.S.- On some of the routes I am the only airline operating, such as KBOS-KSAN, and there is a high passanger demand. Could this be the reason the LF is not falling when I raise prices?

Thank You,
Dante Nicotera
CEO FlyAmerica (Beginner's World)

Offline Sami

  • Administrator
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  • Posts: 14536
    • AirwaySim - Are you the next Richard Branson?
Re: Load Factor v. Profit
« Reply #1 on: January 15, 2015, 10:35:33 PM »
If there is unserved demand, then you can increase prices quite much. Especially if you are the only airline on that route. But you should only pay attention to LF and profit figures and not the demand when adjusting prices. In other words if you are flying with nearly 100% LF, then just keep increasing the prices (let's say +10% at a time) until you reach the optimum profitability, which is usually around 75-85% LF area as a general rule.

 

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