The future of the LAX hub?
#347
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I felt UA has gone backwards at ONT. Sure, maybe the ONT-LAX flight wasn't really a viable route (but very cool). However, too many non-jet to hubs is just no fun.
ONT has no curfew and seeing AA put in a late-night to DFW on certain days and ORD is very interesting. Frankly, AA would do nothing at ONT unless it shows demand so UA needs to really take a look at its surrounding LAX operations.
Rasheed
ONT has no curfew and seeing AA put in a late-night to DFW on certain days and ORD is very interesting. Frankly, AA would do nothing at ONT unless it shows demand so UA needs to really take a look at its surrounding LAX operations.
Rasheed
Given such a mass migration of Southern California residents away from the primary catchment of LAX, and into areas far closer to ONT, there is a great opportunity to tap this market with some O/D routes and global connections ex-SFO - frankly it can take the same amount of time for someone in the IE to drive to ONT and FLY to SFO vs driving from the IE in the morning all the way to LAX, parking (or returning a rental), transferring to T6-8 and then flying out from there.
#348
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Continental had a decent amount of service at ONT - now that the airport has thrown off the oppressive yoke of LAWA and can go out on its own, there is hope airlines will step up their service offerings, and create revenue for the airport to grow its facilities. CI is starting service from ONT this year, putting Asia within easier reach of the IE.
Given such a mass migration of Southern California residents away from the primary catchment of LAX, and into areas far closer to ONT, there is a great opportunity to tap this market with some O/D routes and global connections ex-SFO - frankly it can take the same amount of time for someone in the IE to drive to ONT and FLY to SFO vs driving from the IE in the morning all the way to LAX, parking (or returning a rental), transferring to T6-8 and then flying out from there.
Given such a mass migration of Southern California residents away from the primary catchment of LAX, and into areas far closer to ONT, there is a great opportunity to tap this market with some O/D routes and global connections ex-SFO - frankly it can take the same amount of time for someone in the IE to drive to ONT and FLY to SFO vs driving from the IE in the morning all the way to LAX, parking (or returning a rental), transferring to T6-8 and then flying out from there.
Ontario is a sleeping giant IMO and if UA would seriously look at it as an option. Granted it defeats the new paradigm of spoke and hub operations as LAX is the hub and needs feeder routes, but again so cal is a unique market and throwing some A319's on some routes to hubs with a first class cabin should be profitable. Don't forget about parking fees are about half of what LAX as well.
#349
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#351
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#352
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#353
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#354
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The beautiful thing about LA, and LAX is that the traveler has options. If UA doesn't want to compete options are plenty (and will only continue to grow in the region), and people will continue to purchase based on price and convenience. Airlines changed the loyalty paradigm anyway so money upfront trumps loyalty and incremental business. At least with DL they have a fairly consistent onboard product/customer service and the perception of a reliable airline giving them an edge to market. What does UA have right now?
We've seen so many strategies over the last 5 years to try and squeeze revenue and they just don't work. Nobody wants to fly an RJ from LAX to PDX via SFO. No one is going to stay loyal to UA if they need to fly to BOS, PHL, ATL, etc., and those who would throw incremental business to UA for loyalty reason prefer to fly UA over LH to FRA, but can't. UA really thought it was a great idea to end ps to JFK for west coast NYC OD traffic? C'mon. Let's not even talk about the impact B6, WN, (and to a lesser but growing extent) AS have out here with their customer friendly policies.
At this point I'm carrier agnostic, so build LAX, dehub LAX, whatever. Get your customer service right first I would say. I don't bother connecting anymore unless a) I have to because it's a redemption, or b) to snag a flatbed aircraft. This laissez faire attitude should worry the airlines because it doesn't drive incremental business, but they don't seem to care...
We've seen so many strategies over the last 5 years to try and squeeze revenue and they just don't work. Nobody wants to fly an RJ from LAX to PDX via SFO. No one is going to stay loyal to UA if they need to fly to BOS, PHL, ATL, etc., and those who would throw incremental business to UA for loyalty reason prefer to fly UA over LH to FRA, but can't. UA really thought it was a great idea to end ps to JFK for west coast NYC OD traffic? C'mon. Let's not even talk about the impact B6, WN, (and to a lesser but growing extent) AS have out here with their customer friendly policies.
At this point I'm carrier agnostic, so build LAX, dehub LAX, whatever. Get your customer service right first I would say. I don't bother connecting anymore unless a) I have to because it's a redemption, or b) to snag a flatbed aircraft. This laissez faire attitude should worry the airlines because it doesn't drive incremental business, but they don't seem to care...
Last edited by anc-ord772; Nov 8, 2017 at 8:29 am
#355
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The beautiful thing about LA, and LAX is that the traveler has options. If UA doesn't want to compete options are plenty (and will only continue to grow in the region), and people will continue to purchase based on price and convenience. Airlines changed the loyalty paradigm anyway so money upfront trumps loyalty and incremental business. At least with DL they have a fairly consistent onboard product/customer service and the perception of a reliable airline giving them an edge to market. What does UA have right now?
We've seen so many strategies over the last 5 years to try and squeeze revenue and they just don't work. Nobody wants to fly an RJ from LAX to PDX via SFO. No one is going to stay loyal to UA if they need to fly to BOS, PHL, ATL, etc., and those who would throw incremental business to UA for loyalty reason prefer to fly UA over LH to FRA, but can't. UA really thought it was a great idea to end ps to JFK for west coast NYC OD traffic? C'mon. Let's not even talk about the impact B6, WN, (and to a lesser but growing extent) AS have out here with their customer friendly policies.
At this point I'm carrier agnostic, so build LAX, dehub LAX, whatever. Get your customer service right first I would say. I don't bother connecting anymore unless a) I have to because it's a redemption, or b) to snag a flatbed aircraft. This laissez faire attitude should worry the airlines because it doesn't drive incremental business, but they don't seem to care...
We've seen so many strategies over the last 5 years to try and squeeze revenue and they just don't work. Nobody wants to fly an RJ from LAX to PDX via SFO. No one is going to stay loyal to UA if they need to fly to BOS, PHL, ATL, etc., and those who would throw incremental business to UA for loyalty reason prefer to fly UA over LH to FRA, but can't. UA really thought it was a great idea to end ps to JFK for west coast NYC OD traffic? C'mon. Let's not even talk about the impact B6, WN, (and to a lesser but growing extent) AS have out here with their customer friendly policies.
At this point I'm carrier agnostic, so build LAX, dehub LAX, whatever. Get your customer service right first I would say. I don't bother connecting anymore unless a) I have to because it's a redemption, or b) to snag a flatbed aircraft. This laissez faire attitude should worry the airlines because it doesn't drive incremental business, but they don't seem to care...
International flights - I can choose a number of international flights out of LAX and the UA connection to SAN is so hit and miss with delayed flights and the flight schedule such that it is often less expensive to get a car home (and miss the last part of the return flight). I choose based on cost and benefit out of LAX.
Domestic flights - nothing beats South West for quick trips to Vegas (from SAN) although I will take UA every so often but only if the price is right. UA taught me well.
Starting next year I am so looking forward to Lufthansa flying non-stop SAN-FRA, and then I can connect elsewhere to Europe. Adding to the SAN non-stop international flight network.
UA should think about some flights to Hawaii out of SAN...I am starting to consider Hawaiian Airlines going forward
Last edited by Aussienarelle; Nov 8, 2017 at 9:58 am Reason: As always, spelling and grammar
#356
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You need to keep in mind though that ending PS and possibly dehubing LAX were all Smisek era decisions and that team is more or less non-existent now. Nobody but Smisek's crony bean counters actually believed leaving JFK was a good idea and Kirby has openly (well almost openly) admitted that abandoning JFK was a mistake, and his strategy is to do the opposite with LAX.
#357
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You need to keep in mind though that ending PS and possibly dehubing LAX were all Smisek era decisions and that team is more or less non-existent now. Nobody but Smisek's crony bean counters actually believed leaving JFK was a good idea and Kirby has openly (well almost openly) admitted that abandoning JFK was a mistake, and his strategy is to do the opposite with LAX.
I’ve been around for a while. I’m aware which management team was responsible. However it’s still UA and those were the decisions the company made at the time. Just like some of the silly distractions UA is engaging in now with Kirby. One management team to another, plenty of short term thinking has permeated the C suite.
#358
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The SNA curfew is what kills that capacity and making it viable for more flights. I like John Wayne, but they just don't have enough flights. I really think ONT is a good alternative and if they did more direct flights would take so So Cal residents due to traffic concerns. I know of some friends who stay at an LAX hotel the night before morning flights due to the threat of traffic jams/accidents. I don't care how much they expand the 405 (which it is better than when I lived there in the late nighties and early 2000's) it will still be a parking lot.
Know the routine well enough that I now realize how little time I spend connecting. Doing less through DFW or ORD (used to be UA through DEN or ORD) and just generally more flights is a good backup.
On longer trips I'll use Uber or Lyft to LAX - Normally I leave for these on Sunday AM and get to LAX quick. Then at least I get the benefit of the Carpool Lane (it's not great but a bit better) for the journey home
That SNA-YYZ AC flight did exist - flew it a few times mid week - it was likely 30% full each time. Writing on the wall on why AC killed that.
Last edited by NickP 1K; Nov 8, 2017 at 1:12 pm
#359
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UA used to do this in the ancient past -- I remember flying them SAN-HNL. Must not have been enough traffic at the time to sustain it, and as you mentioned HA does it.
#360
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You need to keep in mind though that ending PS and possibly dehubing LAX were all Smisek era decisions and that team is more or less non-existent now. Nobody but Smisek's crony bean counters actually believed leaving JFK was a good idea and Kirby has openly (well almost openly) admitted that abandoning JFK was a mistake, and his strategy is to do the opposite with LAX.
So yes, Kirby may have IDed some of the past mistakes, but that is not enough to get valuable traffic to return.
So while I think UA's LAX pull down (and particularly killing LAX-JFK PS) was a major strategic mistake, absent United being better than OALs - so that it can begin to attract back some of the traffic it lost to AS/VX, DL, AA, B6 - I think adding a lot of feeder flights will just result in (a) some SFO cannibalization, and (b) lower yields.
Using the ps example, the problem for UA is that from LA I can fly AA/DL/B6/VX to JFK. That’s the whole point, with options comes freedom.
I’ve been around for a while. I’m aware which management team was responsible. However it’s still UA and those were the decisions the company made at the time. Just like some of the silly distractions UA is engaging in now with Kirby. One management team to another, plenty of short term thinking has permeated the C suite.
I’ve been around for a while. I’m aware which management team was responsible. However it’s still UA and those were the decisions the company made at the time. Just like some of the silly distractions UA is engaging in now with Kirby. One management team to another, plenty of short term thinking has permeated the C suite.