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lesfalls
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Wizz Air Cheaper Then Ryanair In The Future?

Tue Jan 19, 2016 8:02 pm

Wizz air states that they will be cheaper then FR in Europe in some time and that they are not afraid of FR. Your thoughts?

https://au.news.yahoo.com/world/a/30604238/wizz-air-aims-to-catch-ryanair-on-costs-over-next-year-or-so/

[Edited 2016-01-19 12:04:45]
Lufthansa: Einfach ein bisschen besser.
 
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AirPacific747
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RE: Wizz Air Cheaper Then Ryanair In The Future?

Tue Jan 19, 2016 8:48 pm

Quoting Lesfalls (Thread starter):

Well, they are based in Eastern Europe to omit higher costs associated with bases in Western Europe. Doesn't matter if they are cheaper than Ryanair on a few selected routes in Eastern Europe when they need to open W. European bases to compete with Ryanair.

And they are forgetting an important part of their strategy to be cheaper. They will run out of pilots from Eastern Europe who will be satisfied with worse conditions than in Ryanair and already now they are struggling to find enough pilots who are willing to work under current conditions. I believe they had to increase the pilot salaries last year not to lose too many pilots, so if they are planning on ever expanding into W. Europe, I think they will have to come up with better pilot contracts and then they won't be cheaper after all.
 
AWACSooner
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RE: Wizz Air Cheaper Then Ryanair In The Future?

Tue Jan 19, 2016 9:16 pm

They also have more ancillary fees than FR (and charge for carry-ons).
 
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eurowings
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RE: Wizz Air Cheaper Then Ryanair In The Future?

Tue Jan 19, 2016 11:04 pm

Thinking about the wider competitive landscape, I'm not sure they need to open bases in Western Europe. In the same way that U2 doesn't need to open bases in Eastern Europe.

I personally don't interpret the article meaning that they want to take on FR across Europe, but just compete more effectively against them and grow within and to/from Central and Eastern Europe. A lot of the traffic on these routes (e.g. labourers, tourists) is extremely price sensitive, they will choose a long distance bus if the price is 'too high' to fly.

They're in a pretty strong position in their core markets, particularly BUD and WAW and there's definitely room for further growth in the area - lots of interesting markets they can reach from their bases like the Middle East etc. They are very strong at LTN, a lot of the routes that are performed to non-bases e.g. LTN-LJU are performed in a W flying pattern from another base. No reason why they can't continue doing that. FR does the same thing with CPH, the aircraft flies in from Vilnius and operates another route out of CPH.

[Edited 2016-01-19 15:07:56]
"Freddie Laker may be at peace with his Maker, but he is persona non grata with IATA."- HRH Duke of Edinburgh
 
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AviatorW6
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RE: Wizz Air Cheaper Then Ryanair In The Future?

Wed Jan 20, 2016 12:51 pm

Wizz Air can be very cheap, however it has happened to me not even once that legacy carriers offered better price on the same route at almost the same time (+/-1 day). The worst case scenario is when you are about to fly a route where Wizz has no direct competitor; in such cases they can be ridiculously expensive. I understand how supply and demand works, however it is still a major pain to pay so much money for such a basic level of service (e.g. boarding from the low-cost gates at BUD, surcharge even for standard size carry-on, secondary airports, Y180 config, etc.).

AviatorW6
 
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eurowings
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RE: Wizz Air Cheaper Then Ryanair In The Future?

Wed Jan 20, 2016 1:00 pm

Quoting AviatorW6 (Reply 4):

Unsurprising considering they have basically fallen into the role of national carrier in Hungary, BUD is their fortress.
"Freddie Laker may be at peace with his Maker, but he is persona non grata with IATA."- HRH Duke of Edinburgh
 
Cassi
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RE: Wizz Air Cheaper Then Ryanair In The Future?

Wed Jan 20, 2016 6:03 pm

Not surprisingly, the CFO of Ryanair claims this is completely false:

http://www.dailymail.co.uk/travel/tr...costs-expected-drop-two-years.html
 
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lesfalls
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RE: Wizz Air Cheaper Then Ryanair In The Future?

Wed Jan 20, 2016 9:00 pm

Quoting Cassi (Reply 6):

Well he does deny practically everything that is spoken about him 
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