Spot the difference between legacy and LoCo
LEGACY AIRLINES are increasingly indistinguishable from their low-cost rivals in terms of the fares they charge and the service they offer, according to research published last week by KPMG, a consultancy. The
Airline Disclosures Handbook reveals that the cost gap between traditional and budget airlines has fallen by an average of 30% in six years, partly because legacy airlines have abandoned old differentiators like free baggage and in-flight catering on short-haul flights. “The service being offered by low-cost and legacy carriers is now more or less the same,” says one analyst.
An article in The Economist argues that legacy airlines have not benefited by adopting LoCo's policies.
Discuss.......