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Author Topic: Beginner - What to do next?  (Read 878 times)

Eugenis

  • Former member
Beginner - What to do next?
« on: March 25, 2018, 11:15:47 AM »
I have setup a few routes, and all are profitable now. Load factors are all above 90%. I am making profit like 1.5 mil. What should I do next?  ???

Offline JumboShrimp

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Re: Beginner - What to do next?
« Reply #1 on: March 25, 2018, 11:17:32 AM »
Keep growing, try to dominate your HQ airport, possibly open additional bases.

Offline Tha_Ape

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Re: Beginner - What to do next?
« Reply #2 on: March 25, 2018, 11:25:47 AM »
Add other fleet types to try different ops (regional, LH, etc.). But try not to go above 3 types.
Learn how to have a renewal done, planned well ahead.
Open another base, try to confront with other players.

Plenty of things to do, actually.

Online gazzz0x2z

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Re: Beginner - What to do next?
« Reply #3 on: March 25, 2018, 06:23:21 PM »
if load factors are above 90%, raise prices.

Offline wilian.souza2

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Re: Beginner - What to do next?
« Reply #4 on: March 25, 2018, 07:58:10 PM »
if load factors are above 90%, raise prices.

If the route is undersupplied, add more flights, or even use high density seats if the route is short (<1000 NM). But don't aim to supply 100% of the demand of busy routes or you'll become vulnerable to competitors.

Offline paddk989

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Re: Beginner - What to do next?
« Reply #5 on: March 26, 2018, 12:09:16 AM »
 Willian But don't aim to supply 100% of the demand of busy routes or you'll become vulnerable to competitors.

Could you please explain this thinking, thanks

Offline wilian.souza2

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Re: Beginner - What to do next?
« Reply #6 on: March 26, 2018, 02:08:42 PM »
That's because if you supply 100% or more of the demand on a route, your load factors will start to suffer when a competitor starts to offer flights on that route.

For example, if both competitors supply 100% of the same route, both will end up with 50% load factor, considering both airlines have the same image and have similar aircraft, so they will be earning half of what they could be earning per flight. On the other hand, if you open one or 2 flights on a busy route (at least 1000 pax/day) on a route oversupplied by 200-300%, your load factors will be always high, 80-100%.

Offline wilian.souza2

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Re: Beginner - What to do next?
« Reply #7 on: March 26, 2018, 02:17:31 PM »
Supplying 100% of the demand of small demand routes (< 100pax) is sometimes inevitable, but on a busy route it's a bad idea because it takes dozens of aircraft, and you, as an airline, should use your fleet to fly to as many airports as possible, getting the biggest profit per flight possible.

 

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