FlyerTalk Forums - View Single Post - Speculation: Will AA continue to pull back in NYC?
Old Apr 9, 2019, 11:37 am
  #724  
ashill
 
Join Date: Apr 2009
Location: YYF/YLW
Programs: AA, DL, AS, VA, WS Silver
Posts: 5,950
Originally Posted by golfingboy
For hub rebanking - sometimes how things look on a spreadsheet does not always translate in reality. Rebanking absolutely helps drive down costs by a considerable margin....
I thought rebanking (ie moving from more banks to fewer larger ones or moving from a rolling hub to a banked hub) generally drives up costs because you have to staff for the peak and then pay employees to be idle between banks. It's going for revenue because customers (including me) as well as, eg, Google Flights's "best flights" algorithm often sort by (or at least consider) total travel time when searching for flights, so efficient connections win. Those shorter connections and congestion certainly introduce operational challenges, and reducing those can be a cost savings, but I don't think the operational cost savings outweigh the staffing cost increases.
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