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Old Jul 14, 2000, 5:08 pm
  #1  
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Join Date: Nov 1999
Posts: 3,511
NE-Shuttle-type product in CA

Why isn't there a high-end shuttle between LAX and SFO, like the Delta/US Shuttles in the Northeast?

I know Southwest has kept fares low in this market, and United responded with their shuttle product that provides poor service and low fares. Why not a shuttle product that provides higher fares but good service?

There are many that commute on this route frequently, and I'm sure they'd rather pay a bit more on the company's tab for better, more reliable service.

One reason people stick with UA Shuttle is for convenience (flights departing every hour, or multiple times an hour during peak periods) and the mileage plus program. Frequent delays offset the first factor (I know SFO weather is a problem, but often shuttles are delayed when other flights into SFO are fine), and the MP program keeps many from diverting to Alaska, or, god forbid ( ), southwest.

Any thoughts?
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Old Jul 15, 2000, 7:27 am
  #2  
 
Join Date: Mar 1999
Location: arlington, va
Programs: AA Gold, UA Silver, Marriott Plat
Posts: 660
Maybe it's just market forces (competition) at work? 12+ years ago, Eastern had a monopoly on the DCA-LGA-BOS high-freq shuttle . It was very efficient and reliable but they flew cattle-car 727s (168 seats - all Y as I recall)and you paid your fare on board- f/a's came down the aisle with a credit card swiper . Then, PanAm launched a competing service and the two companies began adding features like more leg room, beverages (incl free liquor), snacks, lots of free newspapers and magazines stocked at all 3 terminals, and upscale gate areas. Then, EA sold the shuttle to Trump and DL took over PA's shuttle. Eventually, Trump sold out to USAir. Late last year (99), US started replacing the antique 72Ss with A320s- about 90% of the flights are now operating with this equip. This put pressure on DL- they are supposed to begin replacing their 72Ss with 738s (transition may already have begun).

As for why the west coast is so different, beats me except that after AA/AirCal and US/PSA left the scene (late 80s/early 90s?), the only real options were UA and WN. UA elected to compete on WN's terms, probably after concluding that 90% of the market considers only one factor- price- when making travel choices.

The contrast between the 2 coasts would make for a fascinating business-school case. If UA succeeds in taking on US, how will they come to terms with their SFO-LAX etc "Shuttle" concept vs the BOS-LGA-DCA brand? Maybe the wizards at UA marketing will come up with a new brand name to further complicate things?
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Old Jul 15, 2000, 8:36 am
  #3  
 
Join Date: Jan 1999
Location: Manhattan
Programs: 40 46'N 73 57'W; AA Gold; CO Silver
Posts: 381
Because you overestimate people's desire to pay more for service. Most people will just pick the cheapest fare, business or pleasure. With the existence of a Southwest flying directly into those airports, unlike the East where they go into Providence or Manchester, a premium service would not compete well with it. Remember that TWA's Comfort Class was a miserable failure

Also LAX-SFO is not a regulated route like the LGA-BOS and LGA-DCA routes. DL and US are running a duopoly. Anyone can challenge UA in SFO and AA, DL, and WN do just that.
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