Having just listened to the “How I built it” podcast episode on jetBlue it made me think. Is Moxy gonna be another mediocre airline that starts off pretty strong but either grows too fast or makes the wrong desisions?
No disrespect to the guy he’s been part of the founding of Morris Air (now Southwest (great episode on Southwest on How I Built This too)), jetBlue, WestJet, and Azul. Founding any profitable airline, which jetBlue is and WestJet will likely return to being is a major success. Let’s not forget about the Independence Airs of the industry. Or the California Pacific Airline which lasted about a month.
Let’s start with Morris Air - the episode with Herb Kelleher states a different recollection of Morris Air. Didn’t a former Southwest CEO, or someone high up in Southwest found Morris Air? Morris Air was successful enough not to go under, but couldn’t survive on its own.
jetBlue - Smart idea of using JFK airport for domestic during the day because it was mainly an international airport at the time. My first question was how could they afford the slots when the first started? Also at what point in their time did they move into Boston. Howbout Ft Lauderdale? Long Beach?
They claim to “Bring the humanity back to air travel” but frankly bringing the humanity back to air travel means charging more. It seems like only Delta is getting away with it. A piece of that is their above industry average operational metrics, but the cost of PTVs in every seat and other amenities will no doubt be passed on to the customer. Today the market has proven that they care about cost most. So jetBlue has put themselves in the position where they are expected to have longer leg room (I know they are densfying the cabin now, but it’s still generous), PTVs, and free WiFi and charging lower cost fares. I wouldn’t say as cheap as Spirit or Frontier but I would say something less than American or United. Definitely less than Delta.
Their JFK and BOS are great business hubs, with good transcons. Why can’t they charge more for the Mint seats like the legacies do? Does it have to do with having a less valuable frequent flier program and smaller network?
Their FLL hub is while Florida and vacationers which brings me to another point. Their focus on bringing the Northeast to Florida. Those yields are garbage.
And lastly their LGB “hub”. While frankly it doesn’t seem like a bad idea at first it doesn’t seem like LGB really wants them there and once they started the curfews I would have gotten out.
About jetBlue’s future - they really have to get their operations down. I don’t expect them to have the on time performance of Delta overnight, but they shouldn’t be lagging significantly behind the industry average either.
WestJet - This is an interesting one because it started fairly successfully. Canada really had no LCCs besides Rouge before WestJet and it definitely filled a gap. Not to long ago Delta formed a JV with them and I think in general Delta is a good partner even though they may be overly influencing. What’s with Delta though and their partenerships with struggling airlines Jet Airways, Virgin Atlantic, WestJet? WestJet wanted to expand so they took the concervative approach with some used 767s for longer routes. Okay fine, not too risky. Last year WestJet went nuts with launching their ULCC Swoop and celebrated their delivery of their first 787 with posting a loss.
Azul - Frankly I don’t know much but it seems like a fine airline. It doesn’t seem to have a huge market share though. If you know more I would be interested.
Moxy - What gap is being filled here? From what we know about on board product it doesn’t seem much different than jetBlue, longer leg room, PTVs. So it’s gonna try to be Southwest with using secondary airports and a point to point model with a jetBlue hard product? I frankly don’t get it.
Last edited by atcsundevil
on Sat Feb 09, 2019 5:35 am, edited 1 time in total.
Reason: Title updated