ewmahle
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US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 12:47 am

GSO announced today in its Fly From PTI e-mail that US will cut fares to 33 cities up to 66%. It looks like it will only affect the walk up fares not the advanced purchase fares.

Do you think that we could see a drop in the advance fares from other airlines to compete? This also states that GSO is the airline's first non-hub airport to have a wholesale restructuring of fares.

Maybe an attempt to fend off any intrusion by Jet Blue into GSO?
 
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OzarkD9S
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 12:56 am

Quoting Ewmahle (Thread starter):


This also states that GSO is the airline's first non-hub airport to have a wholesale restructuring of fares.

They need to roll out a systemwide restructring of fares. At the moment they are neither fish nor fowl. Which is it US? Are they really gonna be a low-fare carrier a la HP or or they clinging to the last vestiges of the legacy model?
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Tornado82
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 1:04 am

Quoting OzarkD9S (Reply 1):
They need to roll out a systemwide restructring of fares.

Why? Price what the market will bear.
 
FlyPIJets
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 3:36 am

Quoting Tornado82 (Reply 2):
Why? Price what the market will bear.

That worked so well for US in the past. Besides, how do you know, exactly, what the market will produce if you don't change fare structures from time to time. The market is not static.

Good news for GSO. Also good to see US taking advantage of a market that seems to be able to sustain itself but not appeal to LCC's. Lowering the walk up fare is a really good move. That should act to shore up Greensboro business traffic, which doesn't really want to go to RDU or CLT to fly.

[Edited 2006-02-13 19:37:04]
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FCYTravis
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 4:43 am

Quoting OzarkD9S (Reply 1):
They need to roll out a systemwide restructring of fares. At the moment they are neither fish nor fowl. Which is it US? Are they really gonna be a low-fare carrier a la HP or or they clinging to the last vestiges of the legacy model?

What the heck do you think this announcement is about? Contrary to popular belief, setting fares is not a matter of throwing darts at a board, a-la Ryanair.

The airline's revenue/yield management people are working constantly to revamp the old US Airways fare structures, and it's not going to happen overnight. This is about the third or fourth announcement that the New US has put out about its fare restructuring efforts.
USAir A321 service now departing for SFO with fuel stops in CAK, COS and RNO. Enjoy your flight.
 
ScottB
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 7:29 am

Quoting Tornado82 (Reply 2):
Why? Price what the market will bear.

Because eventually someone else will decide that the "market" price you're getting looks pretty darned good and that if they enter the market with significantly lower fares, they may just be able to scare up enough traffic to fill the planes profitably. Who used to be the dominant carrier in BWI, PVD, MHT, ISP, ALB, BUF, and ORF? Do you really want AirTran, JetBlue, or Southwest deciding that the market will bear a lower price? At some point, you have to come to accept that the old revenue management playbook doesn't work anymore.

I'm even more shocked to see that US no longer flies any mainline equipment into GSO!
 
Tornado82
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 7:32 am

I guess my post was vague and therefore misunderstood. What I meant was there's no need to go bargain basement on the fares with something stupid like $49 o/w to Philly or something of the sort... whicih is what I thought the poster I replied to was inferring.
 
FCYTravis
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 7:35 am

Advance purchase fares ex-GSO also dropped in most cases, although not as dramatically as last-minute fares because, of course, 21-day advance fares are already pretty darn low if you've been paying any attention lately. The gouging was the walkup BloFares to business markets, and that's what HP is focusing on fixing.
USAir A321 service now departing for SFO with fuel stops in CAK, COS and RNO. Enjoy your flight.
 
flyf15
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 7:43 am

Quoting ScottB (Reply 5):
I'm even more shocked to see that US no longer flies any mainline equipment into GSO!

Wow, is this true? If so, thats pathetic. US used to fly a whole bunch of 737s, DC-9s, and F100s into GSO, even as late as a few years ago.
 
ScottB
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 7:47 am

Quoting Tornado82 (Reply 6):
What I meant was there's no need to go bargain basement on the fares with something stupid like $49 o/w to Philly or something of the sort

Agreed. What I see as being problematic is that the walk-up fares have only gone from extortionate to overpriced. US's lowest GSO-PHL walk-up fare is still over twice their RDU-PHL walk-up fare -- obviously because Southwest has limited how much US can expect to charge on the latter route.

Yes, US is making progress in this direction. Unfortunately, I don't think they've gone far enough to blunt the expansion of the real LCC's in their core markets.
 
FCYTravis
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 7:48 am

Well, "a few years ago" would be pre-9/11. US doesn't *have* DC-9s or F100s anymore, and the 737 fleet has been dramatically shrunk. There just aren't the mainline birds there used to be.

I would not be surprised to see the E190s come into GSO early on.
USAir A321 service now departing for SFO with fuel stops in CAK, COS and RNO. Enjoy your flight.
 
ejmmsu
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 7:55 am

GSO is down to 72 flights per day after having around 100 a year or so ago. Also, passengers are down about 5% from the year before. The GSO MSA is only about 15% smaller than RDU, yet RDU has 8 times more flights.

Its all about FARES. Peope here in the Piedmont Triad drive to CLT and RDU to get much lower fares.

This is a good move by US.. they will still be able to extract more revenue than RDU or CLT, but get fares low enough where people will actually purchase them.

A month or so ago, GSO representatives flew to PHX to talk to USair managment about the fare problem at GSO. It sounds like their trip wasn't in vein.
"If the facts do not conform to the theory, they will have to be disposed of"
 
ScottB
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 8:00 am

Well, even as recently as the summer of 2004, US was still operating 6 daily mainline departures from GSO. It is a bit ironic that GSO has a US Airways Club but not a single US Airways-operated flight (not to mention the INT reservations center).
 
gsoflyer
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 8:35 am

US Airways still has mainline flights, I still see 737s here daily out of my office. And I see A319 I think going up to PHL and LGA weekly.
 
stirling
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 8:51 am

Quoting Gsoflyer (Reply 13):
US Airways still has mainline flights, I still see 737s here daily out of my office. And I see A319 I think

Really? Are you certain?
Funny, because I can't seem to find them (737, 319) in any schedule source.....
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ewmahle
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 11:55 am

I have never seen an A319 in GSO, except for an NWA one afternoon. Going to assume it was an equipment change, because I have not seen one since. US used to have two or three 737s daily just in the past few months. I think most of them were just short hops to CLT and there used to be one from PHL.

I think that the lower "walk-up" fares will benefit both US and GSO. I would imagine that the group that traveled to PHX made sure to mention the new Fedex hub, Dell, and all the other potential big business makers that are going to settle down in triad. I think there is a strong business travelers market in GSO and now that the fares are more reasonable we will see them utilizing GSO and not RDU and CLT.
 
deltairlines
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 12:07 pm

Only times I've ever seen an A319 was a UA 319 or two heading up to ORD during furniture market...I've never seen a US or NW Airbus here.

As for some non-fare gouging, bring it on...fares everywhere have skyrocketed as of late...it's cheaper for me to fly to LAS/LAX than Boston, which is a pain in the behind (yes, I do have to go out to the West Coast about 3-4x a year, but I also have to go to BOS about 8x a year).

Jeff
 
fdex727
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 12:14 pm

Quoting Ewmahle (Reply 15):
I have never seen an A319 in GSO, except for an NWA one afternoon. Going to assume it was an equipment change, because I have not seen one since.

At UA, we have run both 319 and 320's to ORD including the TED 320's. In all my time at PTI I've never seen an NW Airbus in scheduled service, I did see one that brought the Minnesota Timberwolves in several years back. Only mainline flight these days are 2 UA to ORD, I believe 3 DL MD-88's and one 737-200 to ATL and AA one MD-80 to DFW. Other than that all GSO receives are RJ's from 35 to 90 seats other than the occasional equipment subs.

Added, US did fly A-321's to CLT two markets ago and DL flew 757's to ATL, maybe three or four markets ago.


UA flew 757's to ORD back in 2002 at market time.

[Edited 2006-02-14 04:18:07]
 
flyf15
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 12:18 pm

Quoting Fdex727 (Reply 17):
2 UA to ORD, I believe 3 DL MD-88's and one 737-200 to ATL and AA one MD-80 to DFW

Wow, thats sad. 7 mainline flights a day. I remember in the late 90s, sitting at GSO and seeing more than 7 mainline birds at the terminal at one time, much more for an entire day.
 
fdex727
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 12:20 pm

Quoting Flyf15 (Reply 18):
Wow, thats sad. 7 mainline flights a day. I remember in the late 90s, sitting at GSO and seeing more than 7 mainline birds at the terminal at one time, much more for an entire day.

As young as I am I can still remember Easterns 757's and an occasional L-1011 going to ATL then continuing on to SJU.
 
ejmmsu
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 12:23 pm

NW was running DC-9's GSO-DTW over the summer and over the hollidays. They are currently in the schedule for this summer, but with NW everything is up in the air right now.

Not only has NW removed mainline from GSO, but DTW went from 4 flights to 3 flights per day. On the bright side, there are now 3 GSO-MEM flights, up from 1 last spring.
"If the facts do not conform to the theory, they will have to be disposed of"
 
Tornado82
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 12:23 pm

Quoting Fdex727 (Reply 17):
one MD-80 to DFW

Hell that beats Pittsburgh. Prepare for it to become a CRJ-700 soon.
 
deltairlines
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 1:19 pm

Quoting Fdex727 (Reply 17):
I believe 3 DL MD-88's and one 737-200 to ATL

Delta does fortunately still have 6 mainliners a day down to ATL, 4x M80 and 2x 737-200.

Still, when I moved down here in Fall 2005, here was the GSO schedule:
UA - 2x 737/2x RJ to ORD, 4x RJ to IAD (in all, one added flight)
NW - 3x D93/1x CRJ to DTW, 1x CRJ to MSP, 2x CRJ to MEM (now 3x CRJ/DTW, 3x CRJ/MEM, 1x CRJ/MSP)
DH - 8x CRJ/IAD (we all know here...)
CO - hasn't changed
AA - 3x ERD to DFW (went to 3x CR7, then 2xERD/1xM80 to DFW, 1x ERD to MIA)
DL - 2x CRJ to DFW (gone), 8x M88/1x 732 to ATL (now 4x M88/2x 732/1x ERJ/1x CRJ), 1x 732/4x CRJ to CVG (now 5x CRJ), 2x CRJ to BOS (same), 2x CRJ to JFK (went to 3x, now gone), 3x RJ to MCO (went to 4, now gone), 1x TPA (gone now), 2x FLL (down to 1x), 3x CRJ to LGA (now 3x CRJ/1x CR7)
US - 4x ERJ to BOS (gone), 7x ERJ to LGA (same), 2x 733/2x 734/multiple Dash 8s/ERJs to CLT, now about 7 CRJ/CR7/CR9, 2x 733/1x 734 to PHL (now 5x ERJ), 4x J41 to BWI (gone), 4x J41 to PIT (gone)

It's been quite a change in the past 18 months for sure...

Jeff
 
ouboy79
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 1:36 pm

I really wish people would stop and use their brain for a second.

LCC = Low cost carrier. Where in that do you see the word "fare"?
 
ejmmsu
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 1:39 pm

Unfortuantely, their competition is both Low Cost and Low Fare. Have to keep up with the Jones's.
"If the facts do not conform to the theory, they will have to be disposed of"
 
fdex727
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 1:43 pm

Quoting DeltAirlines (Reply 22):
3x RJ to MCO (went to 4, now gone),

When did we lose the MCO flights? I still see three flights a day.

[Edited 2006-02-14 05:45:15]
 
deltairlines
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 2:07 pm

Quoting Fdex727 (Reply 25):

When did we lose the MCO flights? I still see three flights a day.

Oops...my bad (especially since I'm booked on a non-stop GSO-MCO flight in April). GSO-MCO is at 3x daily now (2x ER3/1x CRJ)...must have been putting it between 2 of the discontinued cities...

Jeff
 
ScottB
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RE: US Cuts Fares Up To 66% @ GSO

Tue Feb 14, 2006 4:08 pm

Quoting Ouboy79 (Reply 23):
LCC = Low cost carrier. Where in that do you see the word "fare"?

Actually, not even an LCC so much as an LLCC (Low Labor Cost Carrier). Pretty much everything else is still high-cost, with banked hubs, scads of RJ's, congested airports, low utilization in the east, complex product, etc.
 
gsoflyer
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RE: US Cuts Fares Up To 66% @ GSO

Wed Feb 15, 2006 7:44 am

Maybe I am wrong, but I've flown in and seen 737s from Philly and LGA recently (within the past few weeks).

I noticed NW dumped all mainline to GSO, which marks them off my list now. And it looks like we still have a handful to Charlotte.

As for US Airways, this is going to up their market share in GSO a ton. My company, and many others, fly US Airways almost exclusively domesticly and send us to RDU for most flights out. Now, with lower fares, most of us will fly out of here, given there are enough seats. I'd be willing to bet US Airways will up frequencies or upgrade jets, coming in soon and may even pick up Baltimore and other destinations (PIT, MYR, ROA, RIC or others) again at some point.
 
CentPIT
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RE: US Cuts Fares Up To 66% @ GSO

Wed Feb 15, 2006 9:20 am

Quoting Gsoflyer (Reply 28):
I'd be willing to bet US Airways will up frequencies or upgrade jets, coming in soon and may even pick up Baltimore and other destinations (PIT, MYR, ROA, RIC or others) again at some point.

Well, hopefully they would add PIT back before adding MYR, ROA, and RIC.
Pittsburgh International: US Airways---160 daily departures! (52 destinations)
 
Tornado82
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RE: US Cuts Fares Up To 66% @ GSO

Wed Feb 15, 2006 9:24 am

Quoting Gsoflyer (Reply 28):
I'd be willing to bet US Airways will up frequencies or upgrade jets, coming in soon and may even pick up Baltimore and other destinations (PIT, MYR, ROA, RIC or others) again at some point.

Keep dreaming. USAirways pulled down BWI long ago, and MYR? This is USAirways not Hooters Air.
 
CentPIT
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RE: US Cuts Fares Up To 66% @ GSO

Wed Feb 15, 2006 9:29 am

Quoting Tornado82 (Reply 30):
Keep dreaming. USAirways pulled down BWI long ago, and MYR? This is USAirways not Hooters Air.

I was just trying to say this in a nicer way. Hahaha...your responses are great!

[Edited 2006-02-15 01:30:08]
Pittsburgh International: US Airways---160 daily departures! (52 destinations)
 
ejmmsu
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RE: US Cuts Fares Up To 66% @ GSO

Wed Feb 15, 2006 9:37 am

Didn't the elimination of PIT and BWI come about due to the elimination of the Trans-States J41's from the US system?
"If the facts do not conform to the theory, they will have to be disposed of"
 
bond007
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RE: US Cuts Fares Up To 66% @ GSO

Wed Feb 15, 2006 9:52 am

Quoting Gsoflyer (Reply 28):
Maybe I am wrong, but I've flown in and seen 737s from Philly and LGA recently (within the past few weeks).

Nope, no US Air ones this month. Also no Airbuses except freight.

Quoting Ejmmsu (Reply 11):
ts all about FARES. Peope here in the Piedmont Triad drive to CLT and RDU to get much lower fares.

Actually usually it's cheaper to fly GSO-CLT-XXX rather than CLT-XXX on US, but regardless, yes, I work with 10 people that travel in GSO, and most drive to RDU or CLT for direct flights. I drive to CLT.

In my opinion, lowering walk up fares will do little. Everyone I work with in GSO and Winston-Salem will not be affected at all - and still drive to RDU.



Jimbo
I'd rather be on the ground wishing I was in the air, than in the air wishing I was on the ground!