vantheman63
Senior
Which is exactly my point - US doesn't have a product anyone wants to buy - if they did - they would be adding more seats or at least be keeping the same number of seats - not taking them out. My point is that if they did it right - they could actually increase business class revenue by improving the service.
Yes - UA is reducing the number of seats slightly - but that is so they can significantly improve the product and provide a product no other US Airline has - which is fully lie flat seats in business class. They are doing something to differentiate themselves so that people actually want to pay to fly on their airplanes. Let's see - $7,000 on USAirways for an "almost flat seat", lousy food, dirty planes, surly service, or $7,000 for UA with fully flat bed, great food, friendly employees. In the process, there will be fewer free upgrades on UA - yes. But overall I'm betting that with the improved product they will be able to sell more seats at higher prices than they were selling before the upgraded seats and will be making more money on their business class product overall than they were before.
In the case of US it is only a marginal improvement - and they still aren't offering a product anyone with half a brain will be willing to pay $7,000 for. So the yahoos in Tempe attempt to "upgrade" the product, fail at that, revenue stays the same or goes down - end up withe less upgrades for the FF's - so piss them off so they fly other airlines. Sounds like a great business model to me!
This is EXACTLY correct....
And I've probably said it 28,000 times, but this is the grand problem with US...."POSITIONING."
You simply can not call yourselves (or think of yourselves) as a "Business Casual" product, deliver a "Business Casual" service (READ: Not quite as good as "business") and charge full service prices.
Therefore, the product is only worth $0.04 to $0.07 per mile. It's not worth paying a full "business" price.
And of course, that leads to the next issue....the airline can not operate profitably at $0.04 to $0.07 per mile....
Thus "Business Casual" (read: "Business Crapual") is a poorly thought out product.
And the great stretch to mediocrity, "Reliability, convenience, appearance," puts the airline further behind a product like CO or UA....all the while charging prices at or above their cost. It just doesn't make any sense. For the LIFE of me, I can't understand this bizzare fascination with this stupidity the kids in the sand box have....
Bottom line, "are they making progress? Is US "getting better?" Sure, I would argue that....but while they just try to get "better" and perform at an average level, the others, including WN, are improving off an already higher level of service....and US is STILL ripping people off!
Incredible. If not for the fact, by their own admissions, they have a "captive audience" in places like PHL and CLT...I can't understand HOW they could actually make it.