Thanks, andrasz, great summary.
Originally Posted by
andrasz
- Fares offer a basic service, tolerated only by the mazochists among us. All creature comforts cost extra - this is probably even more relevant on longhaul, but customers can only be fooled for so long. Some of them can actually count.
Overall, on shorthaul the low-cost model can achieve up to 30-35% cost advantage over the traditional model, but a lot of that is given up by offering promotional fares below cost to attract customers. On longhaul this cost advantage is reduced to max 10-15%, not enough for a really massive reduction of fares, especially if the premium segment is out of the equation.
I've looked at Norwegian routes to the US for some business travel recently and found them to be not (or just slightly) cheaper and far less convenient than many flights offered by LH or similar carriers. Even if you can plan your trips well in advance (as we can with annual fairs etc), as soon as you add decent seats and some luggage you might as well chose LH.