JetBlue launch Long Beach - Atlanta

Anyone that calls David Neeleman arrogant has never met or worked with him. There is not one arrogant molecule in his body. He may be confident, but confidence is built with success. Arrogance, on the other hand, is built and fed by ego.

Keep in mind, that David is at the helm, but he is not running the ship alone. He is not a one-man show. On the contrary, his shrewdest move has been finding the right people to help him build JetBlue. He listens to each and every one of the employees that has a suggestion or concern, and actually gives them sincere consideration. He has a lot of great ideas himself, but he also accepts and nurtures ideas from others.

In the early days of JetBlue, the rumors were flying about SLC, his hometown. However, even though he really wanted to serve SLC, he stated that JetBlue would not go anywhere unless the numbers made it a good idea. Many months later, when the numbers made sense in light of yield and corporate needs (reservations is in SLC), then SLC was added.

Bash us for being positive. Bash us for being willing to take a calculated risk. But don't make bad assumptions about us. JetBlue is a lifestyle as much as an airline. That's the secret ingredient in the recipe for success.

AKAAB
 
How could it be bad? Two major markets and the point to point stuff JetBlue is so good at. The future will only see more of this erosion of the fortress hubs and their yeilds. This may only be a glimps into the future of domestic aviation in the U.S.
 
While everybody is heaping praise on starting service to Atlanta, nobody seems to ask the question: Is this a part of a viable jetBlue business plan OR is it just a reaction? (i.e. memories of PeoplExpress)
 
AAKAB, if I didn't have to move all the way to "Krew Gardens", I'd love to work there! In the meantime, I'm out of the industry, making some money for once, in a very, very stable industry.
 
Generally speaking, flying into a "Fortress Hub" like ATL, MSP isn't a smart move. The incumbent matches prices, keeps or gains traffic and the LCC struggles. You don't see WN going into ATL or MSP and they're very tepid about IAH. But who knows maybe its a good time to try. DL is very weak and their passenger satisfaction is very low so maybe it will be a smashing success.
 
AAmech - the time may be right to go into ATL. Delta is going to be busy getting their new "Industry saving airline within an airline" concept off the ground (as well as icurring the costs of starting up a whole new airline). A jab by JetBlue into one of those "gravy" routes that Delta was planning on maintaining the rape and pillage airfares on is bound to do a bit of damage.
 
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On 2/18/2003 9:34:38 PM dfw79 wrote:

ATL-JFK...umm, get DL ticked off...now you tick off AirTran - how much do you think Neeleman really wants to press his luck? Leonard isn't someone who rolls over from pressure - he's won against DL for years.
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But it's not nearly the challenge to AirTran that it would be to Delta, as AirTran serves only LGA.
 
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On 2/18/2003 8:57:23 PM KCFlyer wrote:

AAmech - the time may be right to go into ATL. Delta is going to be busy getting their new "Industry saving airline within an airline" concept off the ground (as well as icurring the costs of starting up a whole new airline). A jab by JetBlue into one of those "gravy" routes that Delta was planning on maintaining the rape and pillage airfares on is bound to do a bit of damage.
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I thik you're correct. And, if successful, isn't ATL-JFK the obvious next move?
 
ATL-JFK...umm, get DL ticked off...now you tick off AirTran - how much do you think Neeleman really wants to press his luck? Leonard isn't someone who rolls over from pressure - he's won against DL for years.
 
I don't think Neeleman is worried about AirTran. JetBlue already competes fiercely with AirTran in the Northeast to Florida leisure market. Sure, for New Yorkers, JetBlue flies nonstop while AirTran requires a stop in Atlanta, but when the average Joe goes on Expedia to find a cheap fare, AirTran is often what he ends up with. Their offerings are even more comparable on routes from Upstate NY to Florida, where pax can choose to stop in either JFK or ATL, depending on the airline. So, in some ways, AirTran is already one of JetBlue's biggest competitors, yet they seem to be able to coexist peacefully. I think it's only a matter of time before we see JFK-ATL.
 
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On 2/19/2003 12:04:48 PM funguy2 wrote:
......Rather, they seem conifdent that they can undercut the majors on "retail price" .........
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Yet when a 'major' does this lawsuits result.
 
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On 2/18/2003 9:34:38 PM dfw79 wrote:

ATL-JFK...umm, get DL ticked off...now you tick off AirTran - how much do you think Neeleman really wants to press his luck? Leonard isn't someone who rolls over from pressure - he's won against DL for years.
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I don't think JetBlue worries much about retaliation. I used to have the same opinion, but thus far JB has taken on:

American - LGB / SJU
USAirways - NYC-Update NY
Southwest - LGB-LAS/OAK/SLC
United - IAD-OAK/LGB/FLL

So it seems clear to me that JB is not worried about Delta or AirTran. Rather, they seem conifdent that they can undercut the majors on "retail price" when they enter a market, and still end up with a higher average fare. (Someone here reported that on JFK-FLL, JB's average ticket prices was $20 more than DL.) If they can continue to do this while building a loyal following via customer service, they will do fine in just about any market...
 
I welcome B6's entrance into the Atlanta market because it should have an unintended positive effect on Delta.

B6 is a well run company with a killer business plan. Up to now, B6 has been a carnivore, moving into markets and eating the other carrier's lunch at will.

Delta employees see what has happened to our network carrier peers that have LCC competition. We see that smaller yields, shrinking market share, and high costs lead to bankruptcy. As these boards show, bankruptcy is not good for employees.

The entry of B6 into Atlanta might be the wakeup call to ALPA and the rest of the Delta employees. We will need to focus on the challenge at hand if we are to survive. The enemy is not management, it is the free market. The market rewards the most efficient provider. B6 will help provide the motivation for us to become that efficient provider.

The next couple of years will show if we are up to the challenge.

I think we are.

Welcome to ATL, JetBlue.
 
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On 2/19/2003 12:17:08 PM FrugalFlyer wrote:

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On 2/19/2003 12:04:48 PM funguy2 wrote:
......Rather, they seem conifdent that they can undercut the majors on "retail price" .........
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Yet when a 'major' does this lawsuits result.

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Not exactly. When a major "cuts the retail price" to below cost, and adds frequencies and drives the low cost carrier out of the market and raises the fares and cuts the frequencies...then the lawsuits result.
 
I saw LGB-FLL coming in the not too distant future. After all B6 did say that they were going to concentrate on "connecting the dots". So LGB-ATL really blindsided me. That said, I have to say that I think it is the right move at the right time. A nice little zinger at Delta plus I'm sure the route will be a money-maker for them. Perhaps that is why they just exercised the options on two additional A320's for this year.

What next? Well assuming that jetBlue really does want to connect some dots, you could make a case for ATL-OAK, and ATL-JFK if for nothing else aircraft/crew rotations. By that logic (if it is) then ATL-FLL once or twice a day would make sense as well. Plus I think they'd make a buck two while they were at it.