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Thread: Jet2 - 3
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Old 1st Dec 2009, 16:40
  #2778 (permalink)  
MUFC_fan
 
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Ryanair ARE going to undercut Jet2 on price as they have a massive war chest (£2 billion+)
It is nothing to do with their war chest. The main reason for being able to undercut competitors is mainly because of:
  • Economies of scale - large fleet, large employee base and huge passenger numbers
  • Superb deals for the airline on both new aircraft and airport contracts
  • New aircraft
  • Ancillary charges
  • Ultra high efficiency levels - if in operation, planes spend little time on the ground

I have neighbours who are already defecting from flying Jet2 and booking with Easy/Monarch/Ryanair as Jet2 prices are getting expensive.!
I agree! I think their fares are rising quite quickly - they ain't cheap! I think it has a lot to do with the Jet2Holidays taking a number of seats on the planes and these will probably consist of quite a number of the lowest fares.
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