Moderators: richierich, ua900, PanAm_DC10, hOMSaR
Dominion301 wrote:Kicking off the 2023 thread (still in 2022 in the Americas), I wonder how long into the new year will PD wait before announcing YWG? I’m guessing second week of January.
I would not be surprised if the Dash 8s find their way to YWG as a tag to the new YOW and/or YTZ route.
IceCream wrote:Dominion301 wrote:Kicking off the 2023 thread (still in 2022 in the Americas), I wonder how long into the new year will PD wait before announcing YWG? I’m guessing second week of January.
I would not be surprised if the Dash 8s find their way to YWG as a tag to the new YOW and/or YTZ route.
I think it's very likely YWG is announced next, but I don't foresee Dash 8s in YWG (although like most things I'll be proven wrong). I guess PD could launch YQT-YWG or YXE/YQR-YWG to connect onto their YYZ flights but WS has that market covered and I don't really see there being much demand for YXE/YQR-YWG-YYZ. Although sometimes I've wondered if that would've been a good foray to explore expansion in the west.
Jfermeee wrote:A question for Jimbo737 from last years thread.
How does the e2 compare to an a220 and 737 MAX on cost, say YYZ to YEG…where PD is on the e2 and WO or Lynx or F8 are flying a MAX.
Curious about the concept of trip cost which is argued for by embraer and by extension porter versus the casm. In this example removing the stage length.
In my mind, Porter will argue that they can charge a premium fare to cover their premium casm, or trip cost.
drgmobile wrote:Jfermeee wrote:A question for Jimbo737 from last years thread.
How does the e2 compare to an a220 and 737 MAX on cost, say YYZ to YEG…where PD is on the e2 and WO or Lynx or F8 are flying a MAX.
Curious about the concept of trip cost which is argued for by embraer and by extension porter versus the casm. In this example removing the stage length.
In my mind, Porter will argue that they can charge a premium fare to cover their premium casm, or trip cost.
It has not at all been their business model to charge higher fares. Fares on Porter are typically lower than Air Canada or WestJet.
jimbo737 wrote:Neither A220’s or E2 airframes have low unit costs. How do you ascertain that?
When Southwest and Ryanair each order 300 of either type, you can be pretty certain it’s a low cost airframe and appropriate for the business model.
Neither have bothered with either of them. They are niche airframes for niche markets.
jimbo737 wrote:If trip cost was the be all, end all, we’d all be flying in Cessna 152’s.
In a commodity business, it’s all about unit costs.
And that means unit costs adjusted for an identical standardized average stage length. It’s pointless to try and compare unit costs between an airline that has an asl of 600 miles to one with 1,100 miles. The longer the asl, the lower the unit costs. You can bet the farm on that.
How much does it cost you to deliver and sell 1 lb of bananas to the local grocery store after accounting for ALL costs, not simply “trip costs”?
Unless you can figure out how to charge a 20% premium for your bananas which happen to be identical to my bananas, you better have significantly lower costs than me if you intend on undercutting me by 20% or more if you plan to be a sustainable business venture.
Sure, you might have a bathtub full of cash, but it will empty out eventually if a liter an hour is draining out and only being replaced by 950 mls an hour from the tap. It’s just a matter of time.
You can’t lose money on every banana and expect to make it up on volume. Many have tried. All have failed.
Neither A220’s or E2 airframes have low unit costs. How do you ascertain that?
When Southwest and Ryanair each order 300 of either type, you can be pretty certain it’s a low cost airframe and appropriate for the business model.
Neither have bothered with either of them. They are niche airframes for niche markets.
jimbo737 wrote:If trip cost was the be all, end all, we’d all be flying in Cessna 152’s.
In a commodity business, it’s all about unit costs.
And that means unit costs adjusted for an identical standardized average stage length. It’s pointless to try and compare unit costs between an airline that has an asl of 600 miles to one with 1,100 miles. The longer the asl, the lower the unit costs. You can bet the farm on that.
How much does it cost you to deliver and sell 1 lb of bananas to the local grocery store after accounting for ALL costs, not simply “trip costs”?
Unless you can figure out how to charge a 20% premium for your bananas which happen to be identical to my bananas, you better have significantly lower costs than me if you intend on undercutting me by 20% or more if you plan to be a sustainable business venture.
Sure, you might have a bathtub full of cash, but it will empty out eventually if a liter an hour is draining out and only being replaced by 950 mls an hour from the tap. It’s just a matter of time.
You can’t lose money on every banana and expect to make it up on volume. Many have tried. All have failed.
Neither A220’s or E2 airframes have low unit costs. How do you ascertain that?
When Southwest and Ryanair each order 300 of either type, you can be pretty certain it’s a low cost airframe and appropriate for the business model.
Neither have bothered with either of them. They are niche airframes for niche markets.
Dominion301 wrote:PD are hoping there’s room for a RASM premium for a “higher end” experience for those that want it. In the grocery world that exists even more so with the likes of Whole Foods…akin to AC’s J fare pax.
CrewBunk wrote:Dominion301 wrote:PD are hoping there’s room for a RASM premium for a “higher end” experience for those that want it. In the grocery world that exists even more so with the likes of Whole Foods…akin to AC’s J fare pax.
That’s a good theory, but historically, NO North American carrier has ever been able to garner a higher yield in exchange for an enhanced Economy product. And …. a lot of very capable airlines have tried.
Perhaps it’s an “opening day” sale. But I notice that Porter’s fares are considerably cheaper than AC or WS, not a good start if a premium price is the aim. (But higher than Flair or Swoop). As I said on another thread, I want to try out Porter. In February, I’m flying in Premium Economy on PD, YYZ-YVR for about $470, returning on WS in Premium Economy for about $1000.
I acknowledge the idea of a “per trip” cost and that’s a hard one to quantify. Namely, can Porter carry say 100 passengers on an E195 cheaper than Flair can carry 100 passengers on a Max-8?
CrewBunk wrote:Dominion301 wrote:PD are hoping there’s room for a RASM premium for a “higher end” experience for those that want it. In the grocery world that exists even more so with the likes of Whole Foods…akin to AC’s J fare pax.
That’s a good theory, but historically, NO North American carrier has ever been able to garner a higher yield in exchange for an enhanced Economy product. And …. a lot of very capable airlines have tried.
Perhaps it’s an “opening day” sale. But I notice that Porter’s fares are considerably cheaper than AC or WS, not a good start if a premium price is the aim. (But higher than Flair or Swoop). As I said on another thread, I want to try out Porter. In February, I’m flying in Premium Economy on PD, YYZ-YVR for about $470, returning on WS in Premium Economy for about $1000.
I acknowledge the idea of a “per trip” cost and that’s a hard one to quantify. Namely, can Porter carry say 100 passengers on an E195 cheaper than Flair can carry 100 passengers on a Max-8?
jimbo737 wrote:Provided Porter can generate the yield premium necessary to cover their higher casm.
That’s not an easy task for a new entrant.
Indeed, the opposite is generally case.
Jetport wrote:The per trip costs are obviously significantly lower on a E195E2 vs a MAX8. Otherwise everyone would just buy MAX8's and fly around lots of empty seats most of the time.
If Porter can get good load factors on their E195E2's they should do well vs. Air Canada and WestJet if these 2 competitors load factors are poor on competing routes.
Air Canada must be the highest cost and most unnecessarily complex airline in North America.
Dominion301 wrote:True but a not insignificant portion of Porter E95 fliers will come from PD’s existing Dash 8 customer base and know what to expect from them…and spread their reputation out west by word-of-mouth. It’s highly likely their POS for western Canada flights will be heavily provided by easterners.
CrewBunk wrote:Granted, the E2-195 is considerably more fuel efficient than the E-190, but …. how much? Say 20%? It’s also carrying more than 20% less passengers than an all Y Max.
Jfermeee wrote:drgmobile wrote:Jfermeee wrote:A question for Jimbo737 from last years thread.
How does the e2 compare to an a220 and 737 MAX on cost, say YYZ to YEG…where PD is on the e2 and WO or Lynx or F8 are flying a MAX.
Curious about the concept of trip cost which is argued for by embraer and by extension porter versus the casm. In this example removing the stage length.
In my mind, Porter will argue that they can charge a premium fare to cover their premium casm, or trip cost.
It has not at all been their business model to charge higher fares. Fares on Porter are typically lower than Air Canada or WestJet.
Well they are significantly higher than Lynx or Flair. Fairly certain I saw base fares in the media reports - $350 or so YYZ YEG. That may be below air Canada or west jet. I’m asking about the casm for the e2 versus max on the same route.
Jetport wrote:Otherwise everyone would just buy MAX8's and fly around lots of empty seats most of the time.
drgmobile wrote:They are competing as a value carrier-- not an ultra low cost carrier, but not a premium carrier either.
KarlB737 wrote:Forum members what service could Porter add out of YQG-Windsor? How about a jet flight from Windsor to Montreal as an example.
KarlB737 wrote:Forum members what service could Porter add out of YQG-Windsor? How about a jet flight from Windsor to Montreal as an example.
YQG Web Site:
https://flyyqg.ca/
Acey wrote:Jetport wrote:Otherwise everyone would just buy MAX8's and fly around lots of empty seats most of the time.
In the case of Flair's entire transborder network as per publicly available numbers, and in the case of a lot Lynx flights based on anecdotal evidence, this is literally what's happening in this country.
If the E195-E2 had such insanely amazing costs, it'd be selling more... no? Genuine inquiry.drgmobile wrote:They are competing as a value carrier-- not an ultra low cost carrier, but not a premium carrier either.
If I were to consider booking a YYZ-YEG fare in April, there is no difference. Porter's base fare matches the others, and they similarly allow no carryon bag with their base fare.
Acey wrote:My first thought is that YQG-YUL, if attempted, would be better suited for their Q400 aircraft.
Jungleneer wrote:CrewBunk wrote:Granted, the E2-195 is considerably more fuel efficient than the E-190, but …. how much? Say 20%? It’s also carrying more than 20% less passengers than an all Y Max.
https://simpleflying.com/azul-e195-e2-oneyear/
19% lower trip costs than E190 with 32 more seats, in the Azul case.
Juju2004 wrote:Acey wrote:My first thought is that YQG-YUL, if attempted, would be better suited for their Q400 aircraft.
Indeed, Flair load factors are proving the route can't really sustain a 737.
Jfermeee wrote:Juju2004 wrote:Acey wrote:My first thought is that YQG-YUL, if attempted, would be better suited for their Q400 aircraft.
Indeed, Flair load factors are proving the route can't really sustain a 737.
Oh is there a source in Canada for load factors? I'm in the states have no idea.
AWNP wrote:I would assume the trip cost would be in the 6-8% lower range than the E-190.
Acey wrote:KarlB737 wrote:Forum members what service could Porter add out of YQG-Windsor? How about a jet flight from Windsor to Montreal as an example.
My first thought is that YQG-YUL, if attempted, would be better suited for their Q400 aircraft.
Dominion301 wrote:Acey wrote:KarlB737 wrote:Forum members what service could Porter add out of YQG-Windsor? How about a jet flight from Windsor to Montreal as an example.
My first thought is that YQG-YUL, if attempted, would be better suited for their Q400 aircraft.
If Porter’s history and recent expansion is any indicator, YQG-YOW would happen before YQG-YUL. Definitely a Dash 8 route. Unless PD acquire more DH4s there’s a limit as to how much additional Dash flying they can add. There’s likely slack/room for a bit more DH4 expansion, even after the four new YOW routes, but probably not much.
Acey wrote:2 big Canadian startups trying to rock all 7M8 fleets. One is selling airplanes,
yyztpa2 wrote:Acey wrote:2 big Canadian startups trying to rock all 7M8 fleets. One is selling airplanes,
Which Canadian airline is selling Max 8s?
IceCream wrote:yyztpa2 wrote:Acey wrote:2 big Canadian startups trying to rock all 7M8 fleets. One is selling airplanes,
Which Canadian airline is selling Max 8s?
Flair
IceCream wrote:Dominion301 wrote:Acey wrote:My first thought is that YQG-YUL, if attempted, would be better suited for their Q400 aircraft.
If Porter’s history and recent expansion is any indicator, YQG-YOW would happen before YQG-YUL. Definitely a Dash 8 route. Unless PD acquire more DH4s there’s a limit as to how much additional Dash flying they can add. There’s likely slack/room for a bit more DH4 expansion, even after the four new YOW routes, but probably not much.
YQG-YOW is definitely more likely. PD talked about building up YHZ/YUL has bases as well but for now it seems like YYZ and YOW are getting all the action.
Dominion301 wrote:IceCream wrote:Dominion301 wrote:
If Porter’s history and recent expansion is any indicator, YQG-YOW would happen before YQG-YUL. Definitely a Dash 8 route. Unless PD acquire more DH4s there’s a limit as to how much additional Dash flying they can add. There’s likely slack/room for a bit more DH4 expansion, even after the four new YOW routes, but probably not much.
YQG-YOW is definitely more likely. PD talked about building up YHZ/YUL has bases as well but for now it seems like YYZ and YOW are getting all the action.
One way to add a bit more DH4 slack down the road would be to convert YHZ-YOW and YHZ-YUL partially to jets. The YHZ-YTZ thru pax are now less important given the YHZ-YTZ nonstops that now exist.
yyztpa2 wrote:I could be wrong but I believe they're leasing them from 777 partners, but the planes painted in their livery, with their configuration are now being sold by 777 partners.I thought their fleet was leased. Do they outright own any?
IceCream wrote:Dominion301 wrote:IceCream wrote:YQG-YOW is definitely more likely. PD talked about building up YHZ/YUL has bases as well but for now it seems like YYZ and YOW are getting all the action.
One way to add a bit more DH4 slack down the road would be to convert YHZ-YOW and YHZ-YUL partially to jets. The YHZ-YTZ thru pax are now less important given the YHZ-YTZ nonstops that now exist.
I could see YQG and maybe one of YTS/YAM/YSB added to YOW and the routes you mentioned being upgauged to jets.yyztpa2 wrote:I could be wrong but I believe they're leasing them from 777 partners, but the planes painted in their livery, with their configuration are now being sold by 777 partners.I thought their fleet was leased. Do they outright own any?
Dominion301 wrote:IceCream wrote:Dominion301 wrote:
One way to add a bit more DH4 slack down the road would be to convert YHZ-YOW and YHZ-YUL partially to jets. The YHZ-YTZ thru pax are now less important given the YHZ-YTZ nonstops that now exist.
I could see YQG and maybe one of YTS/YAM/YSB added to YOW and the routes you mentioned being upgauged to jets.yyztpa2 wrote:I could be wrong but I believe they're leasing them from 777 partners, but the planes painted in their livery, with their configuration are now being sold by 777 partners.I thought their fleet was leased. Do they outright own any?
YOW-YSB had service for decades until Bearskin vacated Southern Ontario. I could see that one too down the road. Ironically as I recall, JV cited PD’s competition and driving down fares on the city pair as the primary reasons for their withdrawal. They couldn’t get the same level of $309-$500 one-way fares anymore.
For YAM & YTS, possibly given I doubt PD will ever send the Dashes to YYZ. A daily YOW-YTS/YAM/YSB/YQG would open up a future pile of new connection options not available at YTZ without a YTZ shuttle & UP Express trudge. YTS-YOW-YVR is only marginally further than YTS-YYZ-YVR on AC.
I could also see YSJ-YOW-YTZ returning eventually once there’s several YOW-west nonstop connections available.
Skywatcher wrote:Dominion301 wrote:IceCream wrote:I could see YQG and maybe one of YTS/YAM/YSB added to YOW and the routes you mentioned being upgauged to jets.
I could be wrong but I believe they're leasing them from 777 partners, but the planes painted in their livery, with their configuration are now being sold by 777 partners.
YOW-YSB had service for decades until Bearskin vacated Southern Ontario. I could see that one too down the road. Ironically as I recall, JV cited PD’s competition and driving down fares on the city pair as the primary reasons for their withdrawal. They couldn’t get the same level of $309-$500 one-way fares anymore.
For YAM & YTS, possibly given I doubt PD will ever send the Dashes to YYZ. A daily YOW-YTS/YAM/YSB/YQG would open up a future pile of new connection options not available at YTZ without a YTZ shuttle & UP Express trudge. YTS-YOW-YVR is only marginally further than YTS-YYZ-YVR on AC.
I could also see YSJ-YOW-YTZ returning eventually once there’s several YOW-west nonstop connections available.
Sorry but none of those markets/options offers any sort of growth beyond what AC/Jazz already covers I suspect. All those secondary cities are declining in population as far as I know.
jumbojettony wrote:KarlB737 wrote:Forum members what service could Porter add out of YQG-Windsor? How about a jet flight from Windsor to Montreal as an example.
YQG Web Site:
https://flyyqg.ca/
Technically the Yqg-yul is already offered but as a through flight at Ytz. So you just stay onboard at ytz for the 30 minute stop. Not sure if the demand is there for a direct but if so I would imagine it would be a Q route.
CrewBunk wrote:Dominion301 wrote:PD are hoping there’s room for a RASM premium for a “higher end” experience for those that want it. In the grocery world that exists even more so with the likes of Whole Foods…akin to AC’s J fare pax.
That’s a good theory, but historically, NO North American carrier has ever been able to garner a higher yield in exchange for an enhanced Economy product. And …. a lot of very capable airlines have tried.
Perhaps it’s an “opening day” sale. But I notice that Porter’s fares are considerably cheaper than AC or WS, not a good start if a premium price is the aim. (But higher than Flair or Swoop). As I said on another thread, I want to try out Porter. In February, I’m flying in Premium Economy on PD, YYZ-YVR for about $470, returning on WS in Premium Economy for about $1000.
I acknowledge the idea of a “per trip” cost and that’s a hard one to quantify. Namely, can Porter carry say 100 passengers on an E195 cheaper than Flair can carry 100 passengers on a Max-8?
yyztpa2 wrote:By reducing flight options, they have been reducing connection options from other locations in US and Canada and further exasperate the lack of stimulation problem by driving more people to their cars to get to YYZ.... which is not a great option in the winter when facing 5-7 hour drives. My review of options shows that to reach YSB from Florida now frequently is a +24 hour overnight connection in YYZ and as soon as weather turns bad, the YYZ-YSB leg gets cut.
Options for NE Ontario that support a potential N America hub other than YYZ might turn out to be a welcomed option. .
Skywatcher wrote:Dominion301 wrote:IceCream wrote:I could see YQG and maybe one of YTS/YAM/YSB added to YOW and the routes you mentioned being upgauged to jets.
I could be wrong but I believe they're leasing them from 777 partners, but the planes painted in their livery, with their configuration are now being sold by 777 partners.
YOW-YSB had service for decades until Bearskin vacated Southern Ontario. I could see that one too down the road. Ironically as I recall, JV cited PD’s competition and driving down fares on the city pair as the primary reasons for their withdrawal. They couldn’t get the same level of $309-$500 one-way fares anymore.
For YAM & YTS, possibly given I doubt PD will ever send the Dashes to YYZ. A daily YOW-YTS/YAM/YSB/YQG would open up a future pile of new connection options not available at YTZ without a YTZ shuttle & UP Express trudge. YTS-YOW-YVR is only marginally further than YTS-YYZ-YVR on AC.
I could also see YSJ-YOW-YTZ returning eventually once there’s several YOW-west nonstop connections available.
Sorry but none of those markets/options offers any sort of growth beyond what AC/Jazz already covers I suspect. All those secondary cities are declining in population as far as I know.
Dominion301 wrote:Skywatcher wrote:Dominion301 wrote:
YOW-YSB had service for decades until Bearskin vacated Southern Ontario. I could see that one too down the road. Ironically as I recall, JV cited PD’s competition and driving down fares on the city pair as the primary reasons for their withdrawal. They couldn’t get the same level of $309-$500 one-way fares anymore.
For YAM & YTS, possibly given I doubt PD will ever send the Dashes to YYZ. A daily YOW-YTS/YAM/YSB/YQG would open up a future pile of new connection options not available at YTZ without a YTZ shuttle & UP Express trudge. YTS-YOW-YVR is only marginally further than YTS-YYZ-YVR on AC.
I could also see YSJ-YOW-YTZ returning eventually once there’s several YOW-west nonstop connections available.
Sorry but none of those markets/options offers any sort of growth beyond what AC/Jazz already covers I suspect. All those secondary cities are declining in population as far as I know.
Out of the five secondary cities listed only YTS and YAM saw population declines and in both those cases the rate of decline slowed significantly meaning they very well may have stopped declining by now.
What Porter offers those markets is completion to AC beyond the regional reach of YTZ. Thunder Bay’s population has been stagnant for 40 years yet pre-pandemic traffic at YQT was booming thanks to all the competition. Porter’s not launching YQT-YOW twice daily just for the O&D traffic as that’s only enough to fill 1 of the 2 DH4s. They will be increasingly selling YOW connections be it haphazardly as a focus city or as a deliberately banked hub (time will tell which one happens) in the years ahead.