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Old Apr 19, 2022, 11:04 pm
  #28  
CalanMan
 
Join Date: Mar 2014
Location: US West Coast
Programs: Alaska 100K, Hyatt Gl, Marriott Ti/LTP
Posts: 353
Originally Posted by mtofell
Negative framing? It's less than half the cost at cities of similar distance. I'm supposed to be positive about this? I don't need a "sweeter" deal. How about the same you offer others? Or, something not 2.5X what your competition is offering?

I'm just a small business owner and probably don't get all these big-company things but I can't imagine a world in which gouging my core clients is a good long term strategy. Or, if "gouging" is too strong a word. I can't imagine offering my product for 60% less to my non-regulars is going to be perceived very well by my regulars.
I'm not saying you are supposed to feel anything in particular, and definitely not saying your feelings should be positive. I absolutely miss paying less to fly my family 4.5 hours to get to the islands, as opposed to the more I pay now to spend 6 hours in the air getting everyone out there.

But a flight to OGG from SEA/PDX is not the same product as a flight to OGG from SFO/SJC. AS is offering "the same" fares to everyone. But folks in the PNW don't want a flight from SJC, they want it from where they live. The markets are different, the time in the air is different, the frequencies are different.

And I suspect as a small business owner you understand just fine how competition in your area affects the local market.

If you open up a new location in a new community and people don't know you and trust you less, you'll probably offer some sales that aren't necessarily company-wide. It doesn't mean you don't value your longtime customers. But the difference between these two customer bases isn't just regular vs. non-regular. Your Portland-based customers don't care what your prices you charge "for the same service" but in San Jose. They care what prices you charge in Portland, and what your competitors in Portland charge.
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