Why Did Southwest Pick Volaris?

November 11, 2008 By Leave a Comment

Yesterday Southwest Airlines announced that it would enter into a Codeshare Agreement with Mexican airline Volaris.  Southwest has been talking for a while about expanding its network outside of the United States through codeshare agreements and has done so in the past.  In the past, however, Southwest has chosen airlines with already established route structures to specific destinations, something Volaris  does not have.

Volaris currently serves a number of markets throughout Mexico, however it serves no destinations in the United States.  Conversely, Southwest serves hundreds of markets in the United States but not one in Mexico.  So how do these route networks connect?

It’s assumed that Volaris will start serving select shared markets in the United States which will allow for Southwest’s passengers to easily transfer to these international flights.  To make this happen, Volaris must get the authority to operate in the United States and then create the infrastructure or lease the infrastructure to operate here.  I don’t expect Southwest to try connecting south of the border with its fleet, otherwise it wouldn’t have bothered with the code share.

Neither airline has released details on the agreement, and it will be interesting to see how it pans out.

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Pilots and Flight Attendants, The Untold Story

November 11, 2008 By Leave a Comment

It may seem cliche, the pilot and the flight attendant dating.  It’s easy, all of us see each other on a day to day basis and can’t help but fall in love.

Although this paradigm may seem like the best perk of the aviation industry, in a way some relationships are born of necessity.  Pilots and flight attendants have been dating as long as the industry has been around.  They have been the subject of films and books, and even today almost every guy I talk to mentions it as my greatest job benefit.

I have dated a few flight attendants, and almost dated many more. It is easy, when you spend 3 or 4 days with someone you can’t help but get to know them, even more than the normal person after even a few months dating.  In addition, there is something about this industry that just draws us together.

I have dated many women outside of aviation and it seems that none of them “get it”.  They want to know what I’m doing for 12 hours that I can’t talk to them, or who these people I fly with are.  They get so caught up in the stereotype that they cannot seem to separate truth from fiction. In this way it has almost become easier to date those within our industry.  When you know the normal goings-on of crew members while away it is easier to identify with what does and does not happen.

Pilots and flight attendants will always get along.  When you have single men and women working closely together for days at a time there will be chemistry.  Often it is an easy way to tell if you can get along for days being stuck together, because you are.  It is easy to tell if you like someone because their personality and yours either click or they don’t.  After many 4 day long trips I have gotten phone numbers and gone out or simply said “no thank you.”  Either way it’s easy.

The last reason why so many in the industry get along is time.  Many Pilots and Flight Attendants spend a majority of their week at work. When we work it means we are gone, away from home and friends for days at a time.  This makes it difficult to for many crewmembers to go out and meet other people out on the town.  Additionally, it also makes it difficult to schedule follow-on dates with people who work a normal schedule.

Pilots and flight attendants have been together since the dawn of the airline industry.  There is little to say that this relationship will fade and even less to say why it should. When working together with someone for so long, a natural trust and relationship is born.

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How-To Get the Best Seat

November 10, 2008 By Leave a Comment

I found this little How-To video while browsing around today.  While it doesn’t cover many of the nuances of getting a good seat it definitely shows the best way if you want to do a little research.

Remember, getting to the airport early is the key to getting not only a good seat, but often times the seat that you reserved.  Although you may have “reserved” a specific seat assignment, that is no guarantee you will get that seat when you show up to the airport.  The airlines often upgrade frequent fliers to the best seats which means if they get there before you, you may be out of luck.

On another note, if you know you’re going to be flying in a propeller powered aircraft, the best seat is in the back, since sitting as far behind the spinning prop is the quietest.  In a jet, forward is always quieter.  Also, exit row seats often don’t recline, and if you’re in a bulkhead, you can’t store anything under the seat in front of you, it’s all up in the overhead.
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United Making Smart Fuel Decision

November 9, 2008 By Leave a Comment

Yesterday, United announced that it may have to ground up to 100 airplanes in response to growing fuel prices. Today, the airline took an even better step by adding fuel surcharges to most domestic tickets sold. Passing the cost to the consumer is the only way that airlines will be able to keep up with fuel costs and remain profitable in the future.

The average large airliner uses 500-1,500 gallons of fuel every hour that it is in the air. Until now, airlines have been able to absorb the increased fuel costs by changing they way they fly to save fuel. Now with $3.00 per gallon fuel prices, it is impossible to offset growing costs. Instead, all airlines need to take United’s lead and start passing rising costs on to consumers.

When the price of fuel goes up, the price to ship a package via UPS, FedEX, or the US Postal Service goes up. Milk prices have risen along with countless other items that are shipped to stores. All of these price increases are the result of companies passing on their increased costs to consumers. Airlines should be no different.

The average US flier has enjoyed the same air fares for roughly the last 30 years. Fares have not gone up with inflation or changed due to increasing or weakening demand. A ticket that cost $100 in the late 1970′s probably costs right about $100 today give or take a few dollars. Airlines have been unwilling to increase fares due the rise of internet bookings where passengers are automatically shown the lowest price flights first and are much more willing to buy the first fare they see. Prices have also stagnated because of reduced demand following 2001. As a way to lure more passengers to air travel, airlines kept fares low. Now airlines are afraid to unilaterally raise fares and risk losing business to other air carriers.

It is time for prices to go up and for the cost of airline tickets to accurately reflect what it costs to fly and airplane across the country. Other airlines need to take note and start passing their real costs of business on to the consumer. Only then will the industry complete its turnaround and the airline will once again be profitable.

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Turnaround in the Works?

November 9, 2008 By Leave a Comment

After getting hammered by growing fuel costs through three quarters of 2008, is the airline industry staging a comeback?  Just this week, United announced it was rolling back its increased second bag fee, fuel surcharges were removed from most frequent flier programs, and web and phone booking fees also took a tumble.

The quick fall of jet-fuel prices over the last month has certainly helped the airline pocketbooks, but it may be a little too premature to say what will happen long term.  Knee jerk reactions to immediately changing market conditions are a hallmark of the airline industry and the pattern that usually gets it into trouble.

If the airlines are going to move towards long-term profitability, they must make flying enjoyable again.  While this doesn’t mean they need to return to providing ever available service for free, they need to make their services more enjoyable overall.  If an airline wants to sell a meal, make it a substantial meal equal to those served in first class or on international flights.  If they want to sell beverages, make them 20 oz bottles, or bring the prices in-line with vending machines and other sources.

Another way to entice travelers to fly is ensuring quality customer service.  This starts with increasing morale and increasing wages to front-line employees.  Airlines have stopped caring about their own people which are ultimately what make the bottom line grow.  Quality customer service is the number one reason I hear for travelers selecting the airline they are flying on.  I have met more travelers that avoid certain airlines due to customer service than any other reason.

I have NEVER heard anyone say “I don’t fly XYZ Airlines because generally their prices are too high.”

While these changes will cause a small increase in overall expenses, the benefit could be huge for the airline.  I may just buy a $5 plate of food, but I sure won’t buy a $5 bag of mixed nuts I was recently offered.

Filed Under: Airlines, Business, Rumor Tagged With: , , , , ,

TSA Family Lanes, Finally

November 8, 2008 By Leave a Comment

The one problem plaguing US security checkpoints is that one-size does not fit all travelers.  The differing level of experience amongst travelers often causes backups and frustration at most checkpoints.  Finally, the TSA may have come up with a solution.

Family Lanes are designed to allow travelers who are unfamiliar with security procedures, traveling with small children, or otherwise need assistance to move through without being rushed by screeners.  Anyone who will potentially cause a backup at a normal security lane will be brought over to a Family Lane so that they can get the attention they deserve.

While this is a necessary first step, the second issue the TSA needs to resolve is the disparity in security screening methods at airports across the country.  With a standardized security plan, travelers will not be caught off guard so often and will be able to more easily move through any airport’s security checkpoint.

It’s a good move, but we hope to see more out of the TSA to help streamline their security process and remove needless hassles.

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Southwest Going High Class?

November 7, 2008 By Leave a Comment

Southwest Airlines has announced the introduction of new “Business Select” fares for last minute bookings. These fares which are higher than the average Southwest fare are aimed at business travelers who are willing to pay more for a few extra services.

Extra services received for paying major bucks at the last minute include a guaranteed “A” zone boarding card and a complimentary cocktail. “A” zone boarding will allow business travelers to select seats that may give them better opportunity to conduct business, such as an aisle or front bulkhead.

This could be a smart marketing move if it does prove able to lure business travelers from other airlines. Airlines increasingly need the extra revenue generated by travelers willing to spend a few extra dollars for their tickets to offset higher oil costs. Gary Kelly, CEO of Southwest Airlines, anticipates that this move will generate up to $100 million in extra revenue per year, a significant increase. The average fare difference will be $10-30, hardly a deal breaker for the cost conscious.

Southwest will continue with one-class seating and no pre-assigned seats as it has successfully done for years.

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The Cost of Bringing it All With You

August 22, 2008 By Leave a Comment

A story published in the LA Times today revealed that surfers are paying as much as $150 domestically and $300 internationally to check their surfboards as baggage.  This, in addition to the ever increasing list of baggage fees imposed by almost every major airline has me wondering when or if it will stop?

One passenger even mumbled to me today: “Tell your boss to raise ticket prices, not charge me to check my bag!”

What are your experiences with baggage fees?  Are they out of control?
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Gallons Per Mile

August 22, 2008 By Leave a Comment

Oil powers the world, and since it powers the world it also powers all those airplanes up in the sky.  With record high oil prices sending the price of gas through the roof it has become increasingly expensive for airlines to power their aircraft.empty fuel tank

When airliners gas up we measure how much we need in terms of pounds.  The very rough calculation is about 6 pounds per gallon of fuel (it’s more like 6.6 but round numbers are easier). At cruise altitude and at normal cruise speeds, most modern airliners burn between 3200-6000 pounds per hour depending on the size of the aircraft.

Doing the math, on the average airliner we burn roughly 650 gallons of fuel per hour.  Now multiply that by the $4 or so per gallon and you come up with a whopping $2600 per hour at cruise just to pay for the fuel.  That’s not counting the takeoff or climb which can routinely burn twice as much fuel.

To compare all of this to your car, let’s look at miles per gallon.  The typical sedan gets about 28-32 mpg on the highway when driving at about 65 mph.  An airliner burning 650 gallons of fuel an hour covers roughly 500-550 miles in that hour.  This translates into about 1.25 gallons per mile, ouch!

So now it’s easy to see how every $1 increase in the price of oil means $1.6B in extra cost for the world’s airlines.
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Hawaiian Grows on Aloha's Misfortune

April 4, 2008 By Leave a Comment

The collapse of Aloha Airlines last week has left the door open for remaining Hawaiian carriers to expand operations.  Hawaiian Airlines has announce that it will bring additional aircraft online and step up inter-island and mainland flying to help displaced passengers.  go! airlines also announced increased capacity by adding two more aircraft to its fleet.Hawaiian Ticket Counter

 Hawaiian Airlines has also stepped in an offered free mainland flights to travelers stranded by Aloha’s shutdown.  According to the airline there are still over 100 displaced passengers waiting to get to Los Angeles.  To increase inter-island capacity, Hawaiian has brought an additional Boeing 767 aircraft online to help with the spike in demand.

go! airlines, which has been credited for Aloha’s collapse, has also announced that its fleet is growing.  It will double its fleet to four aircraft and increase from 54 to 94 flights per day.  In addition, Mesa Airlines has announced that it will replace go!’s current fleet of 50-seat CRJ-200 aircraft with larger 90-seat CRJ-900 aircraft.  go! is heavily subsidized by Mesa’s other operations which have taken a hit recently with the loss of a large portion of Delta Connection flying.

Although this may be a boom time for current Hawaiian operations, time will tell if they are careful enough not to create too much more capacity.  Flights were not that full before the Aloha bankruptcy, so this may just be a small spike.

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