Problem for Cyrano
There is a major problem with Cyrano's model
You assume that all passengers will fly whatever the cost.
What if simpleprops passengers 1 and 2 only fly because the price is below £40?
Many people only fly low cost beacause its cheap, they dont care about the destination - at £20 they will go anyway.
The guys paying the top price will certainly fly anyway as they have to, the the folks in the cheap seats are largely only flying cos its cheap.
Problem with NOW is that they will undercharge the late bookers who would pay more, and are indifferent - and they will overcharge the early bookers, who therefore may choose not to fly at all, as they are the most price sensitive.
Its is simply crazy to fix prices. You are then reliant toally on high load factor to cover costs, and the only stimulation left to you is marketing - which is expensive and crowded.