aaden
Posts: 774
Joined: Mon Jan 09, 2006 9:49 am

Airline Route System Priceing

Thu Mar 09, 2006 2:32 pm

why do airlines offer connections to destinations that are far out of the way?
how can they offer these for the same price as the non stop for example
den-st louis $257 non stop or den-lax-st louis for $257 American doesn't this hurt the airline when i fly the long way instead of non-stop? i would think they would lose money in that connection
 
Simpilicity
Posts: 881
Joined: Mon Oct 31, 2005 4:21 pm

RE: Airline Route System Priceing

Thu Mar 09, 2006 3:12 pm

raather complicated, but all depends on load factors/capacity on services your talking about & what other carriers are doing. Perhaps on example you give, services via LAX at certain times have poor loadings. Plus, you don't know how many seats at these prices ... there ight only be a a few via LAX at funny times of day/week.

We have strange scenarios in Australia.

BNE/LAX is much shorter than SYD/LAX or especially MEL/LAX, but QF fares are generally more expensive BNE/LAX than flying EG. BNE/SYD/LAX.

Reasons I presume are:-

1)QF only operator on BNE/LAX

2) UA also operates SYD/LAX & QF has up to 4 flights/day on this route

3) UA common rates MEL/LAX (via SYD)

Am sure if UA or NZ or new Branson airline started BNE/LAX then guarantee that QF BNE/LAX fares in general would become cheaper than SYD/LAX the second UA, NZ or Branson announced it.