Ideal LF

Started by Chaxterium, October 13, 2017, 02:38:46 AM

Chaxterium

Hello,

I'm curious about pricing strategies. I understand if I have a really high load factor on a route (>95% let's say) then that means that I could probably increase my pricing on that route. I'm curious then what is a good LF to aim for? Should I keep increasing my prices until the LF goes down to around 85-90? Or can I go even lower while still increasing profits?

Cheers!
Chax.

Sami

There is no ideal Load Factor. There is the ideal profit level = maximum profit you can get from that flight (highest possible price, with highest possible number of seats sold). Load factor can be anything then ...

But generally speaking the sweet spot of best earnings is somewhere arouind 75-90% LF.

Chaxterium


wilian.souza2

I'd like to know about some things that are pertinent to this subject: There are some columns in the Manage Routes page that show the routes' Yield/ASK (Available Seat Kilometres) and Revenue/RPK (Revenue Passenger Kilometer). How are these variables calculated, especially the ASK and RPK? I believe orange/red values for Yield/ASK means that the fares are too low for that route, is that correct?