SuseJ772
Topic Author
Posts: 701
Joined: Wed Aug 10, 2005 11:13 am

Why Is ATL So Expensive Compared To ORD

Sat Jun 23, 2007 11:59 pm

Everybody goes back and forth on which airport is the busiest: ATL or ORD. In the end it depends on how you define busiest (number of passengers or number of take-offs/landings). But this is the mystery I don't get: Why is ATL so much more expensive to fly out of than ORD?

Take ATL-LAX vs. ORD-LAX. On average, I find that ATL is $100 more than ORD (which is about 33%). They are similar in distance (1940nm vs 1740nm). I would imagine they are similar on demand. I would further imagine they are similar in supply - with adequate competition (ATL = DL, FL - ORD = AA, UA). So what's the difference?
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airportplan
Posts: 319
Joined: Wed Jan 14, 2004 12:36 am

RE: Why Is ATL So Expensive Compared To ORD

Sun Jun 24, 2007 12:06 am

You answered part of you own question. ORD has more competition. Two hub carriers (AA/UA) v.s. one (DL). This fact creates much more price competition. In addition one of WN's largest hub (MDW) is only ten miles away. This creates on of the most compeative markets in the US.
 
Alitalia744
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Joined: Thu Mar 30, 2000 8:22 am

RE: Why Is ATL So Expensive Compared To ORD

Sun Jun 24, 2007 12:08 am

WN being down the road from ORD helps drive down prices on competiting services.

Down in ATL, Delta competes with AirTran on the route, and usually their fares are on-par, with r/t U tix going for $400 bucks (at least on DL).

And amazingly, they're usually full, and that's with Delta on a typical day operating 6 767-300s, 1 767-400ER, 1 777-200ER and 2 757-200s...

[Edited 2007-06-23 17:19:09]
Some see lines, others see between the lines.
 
SuseJ772
Topic Author
Posts: 701
Joined: Wed Aug 10, 2005 11:13 am

RE: Why Is ATL So Expensive Compared To ORD

Sun Jun 24, 2007 12:13 am

Quoting Alitalia744 (Reply 2):
Chicago-LAX also has WN service (MDW-LAX) which adds to the competition.

Ahh, I forgot about the WN @ MDW. That would probably explain it. I was just thinking the AA/UA vs DL/FL competition would "cancel" each other out, but I forgot about WN.

I am sure DL (and to a lesser extent FL) wouldn't like it, but Fulton County needs to get going with their second airport as the FAA recommends. But that is a whole other tread  Wink
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SuseJ772
Topic Author
Posts: 701
Joined: Wed Aug 10, 2005 11:13 am

RE: Why Is ATL So Expensive Compared To ORD

Sun Jun 24, 2007 12:21 am

Quoting Alitalia744 (Reply 2):
Down in ATL, Delta competes with AirTran on the route, and usually their fares are on-par, with r/t U tix going for $400 bucks (at least on DL).

That's usually what I find as well. Where as ORD-LAX is in the $300 range.
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airportplan
Posts: 319
Joined: Wed Jan 14, 2004 12:36 am

RE: Why Is ATL So Expensive Compared To ORD

Sun Jun 24, 2007 12:43 am

Quoting SuseJ772 (Reply 3):
Ahh, I forgot about the WN @ MDW. That would probably explain it. I was just thinking the AA/UA vs DL/FL competition would "cancel" each other out, but I forgot about WN.

FL at ATL does not compare to AA/UA at ORD. FL operations are just a drop in the bucket at ATL v.s. DLs. AT ORD AA and UA generally match flights in most markets on a one for one basis.

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