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Old 6th May 2010, 09:51
  #1225 (permalink)  
virginblue
 
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LCY-PLH axed:

BBC News - London City air route from Devon and Cornwall scrapped


I am wondering if LCY with its contuined expansion of capacity needs to re-think its pricing. Apparently only 15 or so high-frequency, high-yielding routes have formed the core business for LCY over the past decade, with other destinations coming and going on a regular basis but without lasting success. Such marginal routes might have lasted longer if the costs of operating into LCY were lower - it looks as if airlines, because of the high costs, axe new routes rather quickly if they do not work instantly. With more movements and runway capacity available, LCY must have an interest to grow with additional routes - particularly as the core business, i.e. routes to places like Paris, Amsterdam, Rotterdam, Antwerp, Frankfurt is increasingly coming under pressure from the high-speed trains and is likely to generate less rather than more pax in the future.
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