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Daily profit %

Started by ceo.fernando, April 13, 2016, 11:55:08 PM

ceo.fernando

Hello,

I was just wondering, what determines the daily profit percentage?

ex. On some days my profit for a specific route would be $18,000 (65% - 73%) , on other days it would be $90,000 (65%+546%)

what determines the -73% and +546%, how can I stabilize that?

Tsuneyoshi

Hey,
Imo it depends on the day, for example:
Generally Sunday and Saturday it gets low profit compared to another days.

Did u get it?

ArmaghanJalil

Profit can also vary with your ticket prices, fuel prices, average load factor, etc for the same flight.

For the same ticket price, when fuel price goes down, your profit goes up etc..

If you look at the demand, different days have different demand for passengers. While the load factor is average and therefore does not change dramatically.

gazzz0x2z

I think there is also a small-but-real random effect.

And there is also your opponent's actions. On very busy routes(Hong-Kong - Singapour), with pleny of flights, every day is different, with a different planning, different planes going into B, C or D check, etc..... so you really cannot stabilize.

I had made some tests by setting different prices for each day. Worked somewhat, but the limited increase in revenue was not worth the hassle. IRL, companies certainly do that, though.