"LOCO" Definition
"LOCO" (Low Cost Airline) refers to the cost base of an operator. In its purest form, expenditures by the company are kept to an absolute minimum (as demonstrated by Ryanair). This is not to be confused with the passenger experience which is best described as "NO FRILLS" (as opposed to "Full Service"). "Low Cost" does NOT refer to the fare paid by the customer, it relates only to outgoings on the company balance sheet.
As a customer, the "low cost" model can often see you paying a high fare for a "no frills" experience (eg. for booking on a popular route at short notice). Conversely, it is often possible to secure a bargain fare for a "full service" experience. This is normal business practice in the airline industry (yield management; maximization of revenues) regardless of the business model.
The widely held public misconception that a "no frills" airline exclusively offers low fares is one which the companies concerned have little incentive to correct. If the traveling public believe that Airline X will always offer them the lowest possible fare, why would the airline disabuse them of that notion?
If you are a regular purchaser of air travel, educate yourself to understand the demarcation between products. Then you can make an informed choice when selecting a tariff based on the price offered versus the service you can expect to receive.
Remember: "Low Cost Airline" does NOT mean "Low Fare Airline". Recognizing this distinction will allow you to make an informed choice when you book a flight. Bon Voyage!
SHED.