Originally Posted by Joeypete
I'm sure many of our prices are higher than competitors but they have stated to us that they are no longer interested in fare wars.
This past Thanksgiving we had record revenue numbers, but fairly low load factors compared to years before. This is because we did not match the other carriers lower fares. After they were sold out, people booked on us and we made more money in the process. I don't think we will post a profit for the 4th quarter but they said our revenue was up considerably because of the pricing.
As a business traveler for a professional services company we are required to fly the lowest carrier (within reason). This is due to the federal law imposed by the IRS for perks. Please refer to the IRS guidelines for information on miles as “perks.”