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oozypal
Topic Author
Posts: 4
Joined: Fri Nov 20, 2015 4:02 pm

Passenger Load Factor PLF

Wed May 02, 2018 7:28 am

I have come across the PLF equals to:

PLF = RPK/ASK

where RPK is revenue passenger kilometre and ASK is the available seat kilometre.
If the total revenue passenger is 100 flying 200 KM and the available seat is 300 flying 200KM then PLF is

PLF = (100 * 200) / (300 * 200) = .66 = 66%.
My question is why do we have the distance (200KM) in the equation since it is in numerator and denominator which they will cancel each other.
 
mmo
Posts: 2054
Joined: Thu Apr 18, 2013 3:04 pm

Re: Passenger Load Factor PLF

Wed May 02, 2018 9:36 am

You are not factoring in the aircraft capacity. The formula I am used to is

Load Factor = (number of passengers carried (revenue))*(distance/available seat*distance) *100
If we weren't all crazy we'd all go insane!
 
RushmoreAir
Posts: 88
Joined: Mon Nov 14, 2011 4:29 am

Re: Passenger Load Factor PLF

Thu May 03, 2018 3:15 am

oozypal wrote:
I have come across the PLF equals to:

PLF = RPK/ASK

where RPK is revenue passenger kilometre and ASK is the available seat kilometre.
If the total revenue passenger is 100 flying 200 KM and the available seat is 300 flying 200KM then PLF is

PLF = (100 * 200) / (300 * 200) = .66 = 66%.
My question is why do we have the distance (200KM) in the equation since it is in numerator and denominator which they will cancel each other.



You are correct that distance cancels when looking at a single route, but this equation was designed to work on a system level, when you have flights of different stage length.


mmo wrote:
You are not factoring in the aircraft capacity. The formula I am used to is

Load Factor = (number of passengers carried (revenue))*(distance/available seat*distance) *100


This equation works too for individual flights, but is the Average Leg Load factor, or ALLF for a system, since it doesn't distinguish between the significance of JFK-BOS vs JFK-LHR when averaging multiple flights.
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oozypal
Topic Author
Posts: 4
Joined: Fri Nov 20, 2015 4:02 pm

Re: Passenger Load Factor PLF

Sat May 05, 2018 6:21 pm

RushmoreAir wrote:
You are correct that distance cancels when looking at a single route, but this equation was designed to work on a system level, when you have flights of different stage length.


Can you give an example of at least three different stages?
 
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SumChristianus
Posts: 627
Joined: Tue Jan 09, 2018 3:00 am

Re: Passenger Load Factor PLF

Sat May 05, 2018 7:30 pm

50% LF on 100 M route: 5000 RPM for a 100 seat plane, 10000 ASM, 50 pax
75% LF on 1000 M route: 75,000 RPM, 100,000 ASM, 75 pax
100% LF on 10,000 M route: 1000000 RPM, 1000000 ASM, 100 pax

Total system (three routes) : 1,080,000 RPM, 1,110,000 ASM, 225 pax
97.3% LF overall (RPM/ASM) as opposed to unadjusted (225/300) 75% seat departure occupancy.
RPM/ASM = PAX/Seats for an individual route but RPM/ASM is much more accurate for the system as a whole, adjusting for the length of the flights.

A very rough example but an example nonetheless (assuming a 100 seat plane could operate all of these stage lengths...)
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