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Old 2nd Dec 2001, 03:36
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Question What plane?

Any marketing wiz out there? I am working on a fleet selection project and I am trying to find out what the DOC of 737s, A320s, DC9s, F100s etc. (100-150 pax airplane) are...

Plus, what factors determine the Direct Operating Cost (DOC)?
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Old 2nd Dec 2001, 05:44
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what airline are you working for ?

cheers.
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Old 2nd Dec 2001, 22:50
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No airline, I fly corporate. I am doing this for my university class. I recommend taking classes in "Airline Management" or similar.

You can also rephrase it: "One Million Ways To Get Out Of Business"
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Old 3rd Dec 2001, 02:34
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Aircraft Operating Statistics - 1997
(figures are averages for most commonly used models)


Average
Cargo Fuel Aircraft
Number of Payload Speed Flight (gallons Operating
Seats (tons) Airborne Length per hour) Cost Per Hour

B747-100 447 8.75 520 2,661 3,638 $6,447
B747-400 396 8.89 538 4,988 3,410 6,859
B747-200/300 374 8.33* 525 3,489 3,663 7,300
B747-F 75.48 496 2,191 3,810 7,497
L-1011-100/200 310 6.60 495 1,206 2,428 3,720
B-777 292 10.19 521 2,927 2,117 4,241
DC-10-10 289 9.44 500 1,540 2,287 5,281
DC-10-40 285 5.57 504 1,921 2,651 4,746
DC-10-30 265 8.96* 520 2,554 2,667 6,078
MD-11 253 10.91* 524 3,123 2,462 6,406
A300-600 249 12.63 473 1,228 1,678 5,237
L-1011-500 223 5.45 517 2,222 2,376 3,829
B767-300ER 214 8.27 495 2,217 1,602 3,558
B757-200 186 2.24 465 1,198 1,050 2,675
B767-200ER 181 4.70 488 2,184 1,409 3,348
MD-90 150 0.41 435 764 808 1,636
B727-200 150 0.69 437 720 1,287 2,504
B727-F 14.07 434 529 1,284 4,993
A320-100/200 148 0.77 460 1,153 820 2,177
B737-400 144 0.62 414 692 792 2,124
MD-80 141 0.45 432 790 933 2,087
B737-300 131 0.41 417 601 776 1,918
DC-9-50 122 0.43 374 342 915 1,923
B737-100/200 113 0.35 389 460 824 1,904
B737-500 110 0.37 420 636 747 1,743
DC-9-40 109 0.42 388 496 839 1,500
DC-9-30 101 0.41 385 474 810 1,988
F-100 97 0.15 383 497 646 2,002
DC-9-10 71 0.94 381 422 743 1,409


*Passenger aircraft models only

Click here for the Aircraft Operating Statistics - 2000 (figures are averages for most commonly used models)

Airline Costs - Where the Money Goes

According to reports filed with the Department of Transportation in 1999, airline costs were as follows:
  • Flying Operations - essentially any cost associated with the operation of aircraft, such as fuel and pilot salaries - 27 percent;
  • Maintenance - both parts and labor - 13 percent;
  • Aircraft and Traffic Service - basically the cost of handling passengers, cargo and aircraft on the ground and including such things as the salaries of baggage handlers, dispatchers and airline gate agents - 16 percent;
  • Promotion/Sales - including advertising, reservations and travel agent commissions - 13 percent;
  • Passenger Service - mostly inflight service and including such things as food and flight attendant salaries - 9 percent;
  • Transport Related - delivery trucks and inflight sales - 10 percent;
  • Administrative - 6 percent;
  • Depreciation/Amortization - equipment and plants - 6 percent.
Labor costs are common to nearly all of those categories. When looked at as a whole, labor accounts for 35 percent of the airlines' operating expenses and 75 percent of controllable costs. Fuel is the airlines' second largest cost (about 10 to 12 percent of total expenses), and travel-agent commissions is third (about 6 percent). Commission costs, as a percent of total costs, have recently been declining, as more sales are now made directly to the customer through electronic commerce. Another rapidly rising cost has been airport landing fees and terminal rents.

For more details have a look at
Airline Handbook Chapter 4: Airline Economics

P.S. For a profitable airline, leave the marketing people out of the fleet planning process decision making.

[ 02 December 2001: Message edited by: Zeke ]
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Old 3rd Dec 2001, 02:42
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Talking

Thanks Zeke!

[ 02 December 2001: Message edited by: Squawk7777 ]
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Old 7th Dec 2001, 17:38
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Zeke,

I'm impressed with the accuracy of your info.
I added up the everything, at least costwise, and it came to 100%. This leaves a profit margin of 0%- which seems pretty true to form for a lot of carriers.
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Old 8th Dec 2001, 03:16
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Zeke,

I suspect the validity of your numbers. How
can the B-767-300 have a direct operating
cost that is only 67% of the A-300-600 when
they operate the same GE CF-6 engine, at nearly the same max wt, with the Airbus
having (per your example) 25 more seats?

EBD
 
Old 8th Dec 2001, 08:26
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EX Bus Driver, I suspect it has something to do with using some aircraft as freighters.

For example, look at the differences for the B727-200 and B727-F. The DOC is substantially higher for the freighter (because freighters burn more full per mile given their payloads). I think the data is an industry average for each type, and you'll notice that the DOC seems noticeably higher for those types where a fairly large percentage of the total airframes (in service) are used for freight, including the A300-600.

I know the chart says (for passenger models only) but I don't really think that's true for all types in the chart. Just for fun, look at the difference in the DOC for the A300-600 and the B777, WOW!

[ 08 December 2001: Message edited by: Flight Safety ]
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