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Old 12th Oct 2008, 10:56
  #2701 (permalink)  
 
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Coquelet

At Ryanair, you don't always get the best price when booking early
Very true - mine was just a simple breakdown. The yield management system is well aware of the sorts of number of people who will book early for any particular route at any particular time, and can thus load the ticket price to the best advantage (for the airline/shareholders). If there is a sector that is selling particularly slowly on a particular day/time, it is sometimes worth selling at a distressed rate (perhaps even flying that flight at a loss), in order to get the people moving, tickets selling and bums on seats ready to pay a higher price on their return.

Gone are the days when yield management was as simple as "we sell the first 10 seats for 1GBP, next 10 for 10, next 10 for 20 etc". By statistically analyzing historical sales it is possible to get very close to the maximum price from each seat and operate at a very high load factor. Why do you think it is that FR fly with exceptionally high load factors while the rest of us are drudging around on similar routes (but to BETTER airports) with desperately low load factors?

RIX
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Old 12th Oct 2008, 11:55
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RYR,

if he decides to do it then no amount of scaremongering will stand in his way, as regards the impossible, last week i booked MAN-DUB and back, first flight out last back, days spotting for the total price of £0.02 all in !!!

I would have thought that impossible 5 years back !!
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Old 12th Oct 2008, 12:31
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JDB1052, if you can carry 400 people on a 6 hour sector burning only 20 tonnes of fuel you are definitely onto a winner! And if you can get that fuel for £500 a tonne, will you start sourcing our fuel too please? We'll give you a commission of £25 a tonne and be happy to pay...
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Old 12th Oct 2008, 12:35
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If intending to fly, first find out what's on offer from full service airlines eg non refundable tickets, two to go fares, special promotions, non flexible tickets, advance purchase etc. Then check the LCC fares this can yield surprises, I found a low costs ticket to be $12 more than an excellent airlines regular, fully flexible, frequent flyer miles included fare on a route I wanted to fly. This was BEFORE the LCCs baggage charges were applied to their non changable ticket price !

B777 with free food and drink 20kg baggage, inflight entertainment and FF miles somehow beats a cramped A320 with none of the above on the same route.

Be a savvy traveller and shop around, if you can comply with a LCCs terms and conditions, and you think the saving is worthwhile take the deal. Just don't expect too much and don't assume they are always cheaper.
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Old 13th Oct 2008, 11:33
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The passengers departing from Irish airports will soon have to pay a new tax. Eoghan Corry from Herald.ie speculates on how MOL reacts if/when the new levy is announced.
Screwed again. The word coming down the tracks from tomorrow's Budget is that a new airport departure tax is to be introduced.

No doubt it will be glossed up with some sort of pious environmental dressing, but don't be fooled. This is a revenue issue. You can see why governments love departure taxes.

With 30m passengers passing through the three main airports, the €10 tax will deliver €150m to the Government in one easy stroke. Better still, someone else will have to collect it. Michael O'Leary will kick and scream, and declare that the Muppets in Merrion Street have done something incredibly stupid again.

But a departure tax is incredibly good news for Ryanair. It doesn't refund the departure tax to people who don't travel. Miss your Ryanair flight, and not only are you paying the highest fares on the plane to get the next one, you pay the departure tax on the double. Ryanair will have a lot of extra cash to pocket.
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Old 13th Oct 2008, 13:16
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And another country that adds a departure tax.
Though the Irish airports and airlines serving them won't have the problem that passengers "bleed" to other countries, like Holland has.
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Old 13th Oct 2008, 15:08
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Not good news for travellers in the Republic, but may benefit the two Belfast airports, to help stop the leakage of passengers to Dublin who are tempted by cheaper flights.
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Old 13th Oct 2008, 15:56
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They wont make much money from it!

For every 1c seat they sell, they will lose an extra 10 euros. That will seriously outweigh the pros.
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Old 13th Oct 2008, 17:26
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For every 1c seat they sell, they will lose an extra 10 euros.
Just stop selling 1c flights, start selling... you know what*.
___________________________________________________________
*make some research, re-organize the schedules, create a parallel website and sell for real money the choice of connecting flights. Sorry to be boring.
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Old 13th Oct 2008, 17:30
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Personally I believe FR selling connecting flights would not work too well as a lot of their flights are either 2/3/4 weekly or daily which would not work well for connecting flights.

Also, they try to keep a VERY small bottom line and if passengers were to miss connections, especially on a low frequency route or in an evening they would have to fork money out of paying for hotels, food, taxis, etc.

I believe it would be a better move for U2 who serve more of a business sector and have more frequencies on many of their routes. A lot like BE butover a larger scale.
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Old 13th Oct 2008, 18:21
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connecting the dots

I believe it would be a better move for U2
Not necessarily. EZY serve bigger airports. Between the big centres the point to point system is efficient and works very well. FR likes smaller places. One centrally located hub could boost LF to these destinations by giving pax the option to fly "from nowhere to nowhere" via this selected one. Under conditions of course, e.g. connecting strictly a.m. arrivals with p.m. departures only. By selecting just one centrally-located airport FR could concentrate there much more at least twice-daily flights from almost every corner of Europe (at present you cannot fly to most of FR smaller destinations more than once-daily or less, due to generally insufficient streams of passengers).

Okay, I'm a visioneer, but such a system would work, believe me. In 1980 or so (as a very young man) I've been to Hungary and visited Budapest. I still remember a centrally located square in that city where most of tramway lines were crossing. If you didn't know how to continue you could always go to Moszkva ter - always being sure to find a solution [meaning: connection]. Is it still there?
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Old 13th Oct 2008, 18:45
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Ryanair connecting flights

STN is by far FR's biggest base. Although the airline publicly does not encourage it - thus avoiding any liability in case connections get missed -they are aware of a lot of people flying from Ireland to STN, and getting another flight to somewhere in continental Europe a few hours later.

There would be nothing to stop FR arranging their schedules such that more connections become possible throughout Europe - perhaps make somewhere like Hahn or Bergamo a pseudo-connection-hub as well.

The difference though is that unlike network airlines, MOL will probably want the passenger to take the risk of a connection being missed. Once connections become advertised by an airline, they are more liable for EU compensation rules. Then one has to consider tranferring luggage between flights with the associated costs and the potential for lost bags. This all adds to complexity which translates into higher costs.

Of course, MOL will make a huge fuss before paying a penny of compensation. If a couple of people on a flight get this compensation and need a hotel for the night - it can wreck the profitability of an entire flight.
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Old 13th Oct 2008, 18:51
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Mikey the thieving pikey being slaughtered on Watchdog now.

Ban them from UK airspace.
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Old 14th Oct 2008, 10:26
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Ryanair now threating Shannon if the Irish Governmant introduce a 10 € tax with a reduction at their 'loss making' base. For 5 months in the year the average fare in Shannon is under 10 €!! Put in up and customers will still fly.
Valencia being threatened as well if the local government don't help to promote routes.
They must be busy in planning new routes.
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Old 14th Oct 2008, 11:15
  #2715 (permalink)  
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Not only Shannon. Today it also threatened to close its Valencia base, "following the alleged failure of the regional government to meet with its management and respond to a proposal about how to ensure continued passenger growth at the airport". Ryanair set a deadline of Oct. 17 to get a response from the government before it makes it final decision on the future of the base. It accused the government of "supporting other airlines that have not provided such growth to the airport".

Based on the Market Watch news.
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Old 14th Oct 2008, 11:29
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Just out of curiousity, all this talk from MOL about closing bases because of the cost base etc etc. Has he actually pulled the plug on the bigger bases? Hes not getting what he wants so close DUB for instance. So then where does he put the aircraft? He can bitch as much as he wants but MOL still needs bases to park aircraft or else you will just see FRs growth fall and fall.

Finally, will FR always be able to get the 19 year old Eastern European girl to work for buttons or the newly qualified ATPLer to replace all the crews that have come and gone or will everybody eventually stop and not work for a tyrant?
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Old 14th Oct 2008, 13:33
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It may get to the point were MOL can get more money selling all the planes to china and puting the money in an bank ( or maybe but a bank). The FR model only works when debt is easy.
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Old 14th Oct 2008, 15:18
  #2718 (permalink)  
 
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As well as Shannon and Valencia, he`s threatening to pull the plug on winter flights to Fuerteventura as well over costs there, which hasnt half got the overstretched property owners knickers in a twist..

Maybe Mikey hasnt yet smelt the very recent coffee and thinks he can still bully his way round Europe....lets hope he gets his ass kicked soon...pleeeese
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Old 14th Oct 2008, 17:04
  #2719 (permalink)  
 
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10Eu for long trips..
2Eu for short trips..ie under 300km...so you can get to most of the UK from Dublin for a 2Eu charge but from any other airport in the country you can get to Dublin or else pay 10Eu. There's competition for you..

Its 200Eu to park at your office now among toher ridiculous measures..joke shop!
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Old 14th Oct 2008, 17:08
  #2720 (permalink)  
 
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Shannon + Valencia

I reckon some of it is a load of bluster and noise. A while back he made a huge fuss about Cork not giving him everything he wanted - his response was to just cut a couple of routes.

The only reason I can think to retain Shannon as a non-trivial base is to demonstrate the Irishness of the airline. If FR becomes too UK-centric, the CAA has a case to move regulation from Ireland to the UK. I do not wish to make any comment on the safety of FR or the efficacy of the Irish authorities, but I am sure that because the UK CAA is much larger than its Irish counterpart, FR would have to spend more time on things of a regulatory nature. MOL would clearly prefer to keep regulation with a small regulatory authority. No business likes having its costs increased - he's right to make some sort of fuss before accepting it. Can anybody give any other reason as to why MOL has Shannon as a base ?

Valencia has plenty of potential to be a good base for MOL (if only as a way of knocking Vueling / Clickair out of the game) - he knows this and is not going to do anything to seriously compromise this. The Valencia regional Govt and airport know this as well !

Fuerteventura has far too much potential to make money in winter for MOL to even think about cutting routes.
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