Originally Posted by
VegasGambler
Doesn't an airline need to actually be low cost to qualify as a LCC?
"Low cost" is properly low
CASM. AS makes their bones by having lower CASM than the US3. Doesn't mean they charge lower fares, the profit is when CASM <
RASM. If you're not going to offer fancy seats in a low-density domestic F cabin (ahem), or international business class on longhaul to drive RASM, you'd better be able to keep costs down. LCC isn't referring to
your cost as a buyer of airfare, it's talking about the
airline's cost.