New Airline to launch Transcon routes out of YHM by end of Summer, how will AC react?
Jun 10, 2015, 9:50 am
#46
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Jun 10, 2015, 9:56 am
#48
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Yes, it was. I also seem to recall that Tango was to expand beyond the sunspot leisure destinations to TATL routes to allow AC to better compete with charters though ultimately it never did.
Jun 10, 2015, 10:50 am
#49
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You'd better change it to red!
The various charter ops with their "several flights weekly" offerings didn't have the Saturday night stay fence on their fares prior to WJ but it was WJ who removed that fence permanently on all scheduled domestic flights when sales were launched in early Feb 1996.
It was matched, route by route, by AC and CP. For quite some time, there were no stay over requirements west of Winnipeg, but they stayed in place in Central and Eastern Canada so those zones would not see the yield meltdown Western Canada was incurring.
Suffice it is to say that the western network profitability for both AC and CP went down the tubes in that era. Margins for one of those airlines went from mid single digits pre WJ into the low -20% territory, according to that particular airlines own management presentation to its Board of Directors.
When WJ moved into YHM in 1999, and then targeted Moncton, the most central Maritime destination possible, the Saturday night stay rule for most, but not all flying in those regions magically disappeared.
It is a long stretch to suggest it was Tango that removed the Saturday night stay fence from the airline business in Canada.
The various charter ops with their "several flights weekly" offerings didn't have the Saturday night stay fence on their fares prior to WJ but it was WJ who removed that fence permanently on all scheduled domestic flights when sales were launched in early Feb 1996.
It was matched, route by route, by AC and CP. For quite some time, there were no stay over requirements west of Winnipeg, but they stayed in place in Central and Eastern Canada so those zones would not see the yield meltdown Western Canada was incurring.
Suffice it is to say that the western network profitability for both AC and CP went down the tubes in that era. Margins for one of those airlines went from mid single digits pre WJ into the low -20% territory, according to that particular airlines own management presentation to its Board of Directors.
When WJ moved into YHM in 1999, and then targeted Moncton, the most central Maritime destination possible, the Saturday night stay rule for most, but not all flying in those regions magically disappeared.
It is a long stretch to suggest it was Tango that removed the Saturday night stay fence from the airline business in Canada.
Jun 10, 2015, 10:54 am
#50
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Please explain how sitting on flights makes you knowledgeable about running a airline. I guess you know how to run a car company too because you have driven a car for hundreds of hours. Most people on this site know what Tango means. Canadian FF would know this word very well.
Jun 10, 2015, 11:52 am
#51
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The airline's name is short for "Tan and Go", which is in reference to the southern winter destinations that were initially planned to be served.[1]
Wikipedia is truth. Wikipedia is life.
Jun 10, 2015, 11:53 am
#52
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My bad, it was "tan and go" not "tan-go"It seems to come from Airliner World though, so not just made up by someone on wikipedia.
Jun 10, 2015, 12:12 pm
#53
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I don't think anyone saw this coming As to fares, they'll be a bit cheaper, but by how much, $20-$40? Flight costs in Canada are quite expensive between all the various grubby agencies/groups trying to get their hands on the travel dollar - very little left for the actual operator.
In this case it looks like a tour company doing a wet lease, very pie crumbs left for them. I suspect we'll see more than a few complaints about travel on this airline after a few days/weeks of operations.
We already have Sunwing, Air Transat, AC (mainline & rouge), Westjet, Porter (regional) AirNorth, Canadian North, Air Inuit and Canjet(?) doing the bulk of the flying in Canada - I just don't see how the tiny market that is Canadian Air Travel can sustain another operator in the long term - especially with the U.S. border airport taking a big chunk of the north/south travel.
Time will tell - but I suspect we'll probably see another JetsGo type of affair.
Jun 10, 2015, 12:21 pm
#54
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Jun 10, 2015, 12:33 pm
#55
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Care to weigh in, HangTen?
Last edited by Ben Lipsey; Jun 10, 2015 at 1:12 pm
Jun 10, 2015, 12:57 pm
#56
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"Hacked"? I think you're giving WS too much credit on the technical side of what was actually done - but yes, point well made as to why WS moved from YHM to YYZ.
Jun 10, 2015, 1:12 pm
#57
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Post edited.
Also, I should just clarify - the point of Tango wasn't to dissolve Saturday night stays, this is completely a byproduct and tangential/irrelevant to my original point. What Tango did was prove that bundled fare products (branded fare families) were successful, which is what Air Canada (and later others) adopted.
Last edited by Ben Lipsey; Jun 10, 2015 at 1:45 pm
Jun 10, 2015, 2:57 pm
#58
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You'd better change it to red!
The various charter ops with their "several flights weekly" offerings didn't have the Saturday night stay fence on their fares prior to WJ but it was WJ who removed that fence permanently on all scheduled domestic flights when sales were launched in early Feb 1996.
It was matched, route by route, by AC and CP. For quite some time, there were no stay over requirements west of Winnipeg, but they stayed in place in Central and Eastern Canada so those zones would not see the yield meltdown Western Canada was incurring.
Suffice it is to say that the western network profitability for both AC and CP went down the tubes in that era. Margins for one of those airlines went from mid single digits pre WJ into the low -20% territory, according to that particular airlines own management presentation to its Board of Directors.
When WJ moved into YHM in 1999, and then targeted Moncton, the most central Maritime destination possible, the Saturday night stay rule for most, but not all flying in those regions magically disappeared.
It is a long stretch to suggest it was Tango that removed the Saturday night stay fence from the airline business in Canada.
The various charter ops with their "several flights weekly" offerings didn't have the Saturday night stay fence on their fares prior to WJ but it was WJ who removed that fence permanently on all scheduled domestic flights when sales were launched in early Feb 1996.
It was matched, route by route, by AC and CP. For quite some time, there were no stay over requirements west of Winnipeg, but they stayed in place in Central and Eastern Canada so those zones would not see the yield meltdown Western Canada was incurring.
Suffice it is to say that the western network profitability for both AC and CP went down the tubes in that era. Margins for one of those airlines went from mid single digits pre WJ into the low -20% territory, according to that particular airlines own management presentation to its Board of Directors.
When WJ moved into YHM in 1999, and then targeted Moncton, the most central Maritime destination possible, the Saturday night stay rule for most, but not all flying in those regions magically disappeared.
It is a long stretch to suggest it was Tango that removed the Saturday night stay fence from the airline business in Canada.
Jun 10, 2015, 3:16 pm
#59
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WestJet stole the info "old school". By the way, why did no one go to Jail? I guess with white collar crime, make a little donations and you are good to go. Come to think of it, didn't Porter get route info a shady way too.
Last edited by Wpgjetse; Jun 10, 2015 at 3:33 pm
Jun 10, 2015, 3:25 pm
#60
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