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Author Topic: Reducing Costs/Fees  (Read 3957 times)

roboczar

  • Former member
Reducing Costs/Fees
« on: June 04, 2009, 06:43:51 PM »
I have a flight from Houston to a small regional airport and I'm trying to figure out how to reduce costs and make regional feeder flights worthwhile.

Sold tickets   52 990 USD
Line maintenance (A+B)   -2 993 USD
Insurance   -1 340 USD
Fuel cost   -6 272 USD
Route fees (1)   -14 966 USD
Weekly leasing cost   -9 034 USD
Total   18 385 USD

Clearly you can see that the "Route Fees" are the highest expense. Should I move to a smaller, less used airport? Should I change my takeoff/landing times for less busy periods? Can I do anything at all to affect this? I don't want to have to cut costs by flying a shorter route, but if I can't reduce fees I will have to.

roboczar

  • Former member
Re: Reducing Costs/Fees
« Reply #1 on: June 04, 2009, 06:49:06 PM »
Oh wait, is this because I'm running 3 flights a day? Maybe a longer flight only twice a day?

Offline Sami

  • Administrator
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  • Posts: 14535
    • AirwaySim - Are you the next Richard Branson?
Re: Reducing Costs/Fees
« Reply #2 on: June 04, 2009, 07:30:45 PM »
For each landing you gotta pay the landing fee. For each passenger moved you gotta pay the airport pax fee... (smaller airport = smaller fees also) For routes you pay the enroute nav fee according to the length flown. So less landings is cheaper.

roboczar

  • Former member
Re: Reducing Costs/Fees
« Reply #3 on: June 04, 2009, 07:42:36 PM »
I'll try a longer route with my next plane, and see if I get better margins.

Offline NorgeFly

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  • Posts: 3650
Re: Reducing Costs/Fees
« Reply #4 on: June 04, 2009, 07:48:57 PM »
I'll try a longer route with my next plane, and see if I get better margins.

I generally find that if you are using regional aircraft its much more profitable to fly as many short flights per day as possible to bring in the most revenue. Four short distance return flights normally generate more revenue than two longer ones. Costs are obviously higher too, but the extra revenue normally more than makes up for that.

roboczar

  • Former member
Re: Reducing Costs/Fees
« Reply #5 on: June 04, 2009, 07:53:13 PM »
Interesting. I'm still experimenting to figure out what works best. I'll try both on my leased Embraers and see which one outperforms the other.

Offline Sami

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    • AirwaySim - Are you the next Richard Branson?
Re: Reducing Costs/Fees
« Reply #6 on: June 04, 2009, 07:55:06 PM »
And of course make sure you pack the schedules as tight as possible to fully utilize the plane.. (not too tight to avoid unnecessary delays of course)

DenisG

  • Former member
Re: Reducing Costs/Fees
« Reply #7 on: June 10, 2009, 08:05:45 PM »
Does anybody know, whether it makes a significant difference to fly planes out of a big airport at night and let them spend the night at a smaller one in order to save ground costs? Thanks.

Denis

Offline Lairyliam

  • Members
  • Posts: 27
Re: Reducing Costs/Fees
« Reply #8 on: June 11, 2009, 10:54:43 PM »
Hey Dennis.

I just try and keep my birds in the air at night, sometimes we have to have a longer turnaround to fit with the AM departures
my worst night route make me around 1500 bucks which isn't a lot in the grand scheme of things, but its profit none the less

the only space in my planner is the night of the A check apart from that there is no spare time,

Liam

Lonesome_Phoenix

  • Former member
Re: Reducing Costs/Fees
« Reply #9 on: July 30, 2009, 02:58:06 PM »
There are other fees as well like the "Overflight Fee", which is paid to any country you fly over in your route, suppose I'm flying from UK to Spain, I would have to pay overflight fee to France because I used their skies.

There are other fees, and fines (like for noise for example), that can be added to the game which can have a large impact on the player's choice of aircraft and route, for example if there was a fine on noisy aircrafts players will then avoid leasing/buying old aircrafts, of course some new feature will have to be added to the aircraft properties page to indicate the noise level of the aircraft, noise regulations also differ between countries which will have to be taken into consideration, some countries do not have noise regulation, maybe because their major airports are far away from the city.

 

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