FlyerTalk Forums - View Single Post - America West Fares are VERY Expensive in Many Markets.
Thread: America West Fares are VERY Expensive in Many Markets.
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Old Jan 20, 2006, 1:50 pm
  #5  
ClueByFour
 
Join Date: Jul 2000
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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.
That would work, except for the fact that 3 of the 4 hubs have a LUV-ing problem: they will happily undercut HP/US for that traffic, and they are not afraid of adding capacity.

This strategy gets torpedoed if LUV enters CLT.
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