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Old Apr 24, 2007 | 12:19 pm
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iahphx
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FWIW, I think SkyBus will fail. Mind you, the odds are ALWAYS in favor of a start-up airline failing, but there are some specific reasons this one will likely do poorly.

First, Columbus. It's a loser. Doug Parker is a very smart man and certainly knows how to run a low cost airline. Before buying US, he battled WN at PHX and LAS for years and SURVIVED. But he did close down AWA's Columbus hub -- because it had lost money for years. If there was a reasonable opportunity to run a low fare airline out of Columbus, do you think he would have done that?

Second, the domestic airline market is saturated. We've got plenty of good low fare airlines, and the majors have returned to profitability. This isn't an untapped market.

Third, Americans are still used to SOME service when they fly. JetBlue was a hit because it offered frills while the majors were removing service. Who wants to fly barebones service when there's a reasonable alternative?

In short, a bad business plan is going to lead to failure. At least that's my guess.
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