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Old 16th Jun 2008, 14:20
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JulietNovemberPapa
 
Join Date: Jul 2007
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A common fallacy believed by many of Ryanair. There are a number of seats sold at headline grabbing fares at below cost per flight - but there are many more seats sold at above cost on the same flight!


Indeed, and FR's average one-way fare is around €40.

Don't forget that numerous ancillary revenue sources (surcharges, if you prefer) complement ticket revenue; indeed, James Fremantle, of the AUC, argues: 'Airlines are simply putting up their prices with these surcharges.'* Whatever, ancillary revenue is of fundamental importance to FR, without which it would be considerably less profitable.

* http://www.thisismoney.co.uk/consume...n_page_id=1093

Last edited by JulietNovemberPapa; 16th Jun 2008 at 14:37.
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