Originally Posted by
jsloan
If they could, they already would have. UA is able to charge a premium on some flights because of nonstop service, and competitors like to offer discounts to try to poach customers. That doesn't work systemwide, where they're more likely to be on an even footing with the competition.
Except in the case of CDG service, UA with stops is more than AF nonstop. And charging 4 to 5 grand more for the same service class/stops in certain cases Is there any real difference connecting via MEX (or frequently YYZ) vs EWR or ORD?
And while UA does fly SCL and EZE nonstop, theyre charging more for coach service than AM charges for business first.
There is a historical precedent for new entrants too. AC/UA routinely charged a minimum of 1800 to 2000 for flights that originated in Houston or Calgary for travel between the 2 cities. Even with stops, it was 1500, minimum. Thats why Westjet is now in the market. They played that game with Mexico as well...Now there are multiple airlines competing with UA.
And Houston doesnt have the competition that ORD or EWR or IAD has. They introduce the Houston Premium at those hubs and theyll lose market share and incentivize new entrants, which can create further problems.
Ive been a lot less angry with UA since Ive started just flying other airlines when UA gets non competitive. Even in Houston, you can do it easily. UAs European and Asian options are very limited out of IAH anyway. Dont need status when you can just buy the upgraded seat cheaper on another airline. And you dont need to fool with status or lists either.
Flying to Europe? Aeromexico. Or if youre really adventurous.. connect with La Compaigne via Newark. Youll pay roughly half. Air Canada sometimes works too. Asia? Usually American. I do still fly UA, but only when the price is within 20 percent of the price on other carriers.
Try explaining to your client or corporate travel department....I spent 4000 more on a the same quality ticket and times to CDG because I wanted miles and status.
Airline prices are "low" because airlines can make money charging what they charge. If UA wants to set prices artificially high, theyll just get new entrants.