United to stop serving international coach meals!?

CoffeeIcePapers

Well-Hung Member
Even though I hate the government running things, they would have to do a better job than these bozos and their oligopy. RAISE TICKET PRICES!!!!!!

I think regulation is the only way.
 

Ramsey

Well-Known Member
Free meals? There's no such thing! It was built in the price of the ticket. If fuel has gone up 52% then fares should go up 52%. Seems simple to me...

So they expect to cover a 52% fuel increase by makling pax pay $6-9 for a box of snacks?
 

meyers9163

Well-Known Member
Oh lordy the classic raise ticket prices response. Its not that simple. What do you look at when you buy a ticket period? You look at the bottom line and that's the price. So for anyone to be competitive they must keep their fare low as others have. However you as the classic passanger who is bitching about paying for a coke do not look at the fine print in which you must pay for your first bag, pay more for a 2nd and even more for an over weight bag. Then you forget to look at the fact you must pay for a snack. You are throwing a fit about a coke and a snack? What the heck! You would still be surprised how many people are still buying cokes, water and tea/coffee. You all forget that when people get on a plane or to an airport they are on vacation and do not care what they spend. Heck if we had a way to go to credit card they would even do better because we all know that people dont think too much when it comes to swipping that thing. Its not cash and they are more willing to swipe it! Get real people. These places have to make it. They have made cuts, they arent having to refill the cart as much, thus they dont have to order as much thus they are SAVING money. Oh and people arent flying because they are charging for this either. Just a fact.
 

CoffeeIcePapers

Well-Hung Member
Oh lordy the classic raise ticket prices response. Its not that simple. What do you look at when you buy a ticket period? You look at the bottom line and that's the price. So for anyone to be competitive they must keep their fare low as others have.
They ALL need to raise their prices. They are ALL losing money because they are afraid to lose fairs.
 

Michael95U

Well-Known Member
They ALL need to raise their prices. They are ALL losing money because they are afraid to lose fairs.
Exactly. It has to be a fare hike across the board. And they shouldn't worry about what Southwest is doing since they A) Have a different business model and B) Rarely have the cheapest fares any more.

How about an airline cartel a la OPEC? :eek:
 

wzgrza

Well-Known Member
It is stupid.

I agree, put the food, the snacks, the inflight meal, and drinks into the damn ticket price. That is the way it has been for years, and should continue to be. It would literally cost about 10$ more per ticket for all that stuff.(not sure really how much it would be, but I am sure it wouldnt be much more, if even that, and the service and atmosphere you would get in return would boost morale, and the experience of air travel by a lot).

But guess what? Thats not the reality of it. People don't want to pay. If U.S Airways tommorow was to throw in the price of pretzels and free drinks into the ticket price, when you type them into expedia they wouldnt come out as the cheapest and although they only cost maybe 5$ more for a round-trip, your average joe-smoe will go off and book on Skybus anyways because they are 2$ cheaper(yes i kno they are gone). Thats how things work now'a'days. Nobody pays attention to anything other then the price of the fare, and that is what is ruining this industry, and causing airlines to nickel and dime you every step of the way.

And so continues the race to the bottom fueled by the consumer.
 

Michael95U

Well-Known Member
argh! You cant just raise PRICES! Someone else come in and shed the light for these people!
Ok. Explain to me why you can't raise ticket prices across the board?

I just flew Midwest out to LGA from MCI and back last weekend. Totally full aircraft both ways. The ticket prices were 15-20% more than the competition when I booked on Midwest. But the service is better and it was a direct flight. People WILL pay more!
 

av8sean

New Member
The average vacation traveler will not avoid UA because of this, but the business traveler and full-Y pax definitely will. Lose one full-Y pax and replace them with a normal deep discount ticket... the load factor will remain the same, but the airline could lose +$1000... Probably about the cost of catering a meal for the entire cabin.
 

Ramsey

Well-Known Member
argh! You cant just raise PRICES! Someone else come in and shed the light for these people!
I worked for DL at FRA for 6 years and was a ticketing supervisor...so if you would not mind, please do shed some light on this.

A 52% fuel hike is not covered by a $6.00 lunch.

They already swipe your card domestic for food..when it works...
 

wheelsup

Well-Known Member
Free meals? There's no such thing! It was built in the price of the ticket. If fuel has gone up 52% then fares should go up 52%. Seems simple to me...
I know it does, here's why it's not so simple. Fuel isn't 100% of the airlines operating costs (although it sure is approaching it!!!).

Let's do some math (I like numbers).

In 2001 fuel was approximately 10% of the average airlines expenses.

Q: $200 fare, how much was fuel?
A: $20.

OK, so what happens when fuel prices double? Do ticket prices need to double?

No.

Fuel expenses double and go from 10% to 20%. On the $200 fare, fuel now costs $40. $40 - $20 = $20, or a $20/10% increase would preserve the profit.

So a 10% increase in ticket costs would preserve the same profit (haha I know, what profit...just go along with it), NOT a 100% increase.

Just an example.
 

wheelsup

Well-Known Member
Ok. Explain to me why you can't raise ticket prices across the board?
For one it's illegal. Google "Sherman Anti Trust Act" for some good reading.

I just flew Midwest out to LGA from MCI and back last weekend. Totally full aircraft both ways. The ticket prices were 15-20% more than the competition when I booked on Midwest. But the service is better and it was a direct flight. People WILL pay more!
That's great. Some people will. Midwest also is reducing flights 40% and asked their union for a 40% pay cut. The FO's there will make less than I make as 50 seat RJ FO.
 

CoffeeIcePapers

Well-Hung Member
For one it's illegal. Google "Sherman Anti Trust Act" for some good reading.



That's great. Some people will. Midwest also is reducing flights 40% and asked their union for a 40% pay cut. The FO's there will make less than I make as 50 seat RJ FO.
So what is better? Slowly outpricing each other while they each die a slow death or raise prices or focus on customer service and cut expenses until they reach a profit or go belly up?

Either way sucks, but I don't see how any airline can plan long term for Plan A.
 

wheelsup

Well-Known Member
So what is better? Slowly outpricing each other while they each die a slow death or raise prices or focus on customer service and cut expenses until they reach a profit or go belly up?

Either way sucks, but I don't see how any airline can plan long term for Plan A.
Well the ones that raise prices quickly also quickly go out of business...so I guess pick your poison...?

No airline can plan long term, well except for 1, Southwest, because they smartly lock in variable costs and make them fixed. It's why they suck collectively as an industry. "The best time to short the airlines is when the market is open" from Fast Money...seems accurate enough! :D
 

Bubba

New Member
Heck if we had a way to go to credit card they would even do better because we all know that people dont think too much when it comes to swipping that thing.
Southwest is already in the process of putting hand held CC readers on their planes.
 
Top