The Future At Clt If Us Fails?

[sfb]

this is a question I have that has been bugging me...

we all talk about how CLT has the highest fares in the nation, and that US won't introduce go fares there (at least for awhile) because they basically have a monopoly. However, since the O&D is so low, how much would it hurt to implement go fares? CLT is about connections, not O&D... would US really lose a lot of revenue doing this? And as a result, wouldn't this move stimulate more O&D?

[post="170385"][/post]​

Funny thing you should mention this, since Delta announced something called "SimpliFares" at CVG today. Economy fares (within the lower 48) max out at $499, First at $599, and the advance purchase fares are relatively reasonable (i.e. $149 to LAX and $99 to FLL) -- with no Saturday night stay requirement.

That's one thing that I and several others have argued for a while -- before abandoning PIT, the company should have converted the PIT fare structure to GoFares instead of connecting people through PIT at bargain basement fares. See if the O&D traffic improves so that the airline can amortize its fixed costs at PIT over more fares.

 

[CLT-Douglas]

this is a question I have that has been bugging me...

we all talk about how CLT has the highest fares in the nation, and that US won't introduce go fares there (at least for awhile) because they basically have a monopoly. However, since the O&D is so low, how much would it hurt to implement go fares? CLT is about connections, not O&D... would US really lose a lot of revenue doing this? And as a result, wouldn't this move stimulate more O&D?

[post="170385"][/post]​

I have often wondered the same thing. The only thing that makes sense to me besides having a monopoly on many routes is that if they are able to keep the O&D on the low side, it will not attract LCC from trying to start operations in CLT to compete. Instead they have passengers driving to GSO or RDU, getting the better price and flying US back through CLT to connect.

 

[WorldTraveler]

I'm sure many airline execs are pondering DL's move in CVG since it is by far the most expansive voluntary fare restructuring (not directly competitively driven) to date.

 

[DalMD88]

Just a guess but I think the DL fare structure announced for CVG is going to be seen system wide very soon. I also doubt CO would move into CLT for a hub operation. I would expect DL/CO/NW to increase codeshare flying in the future. I do see DL adding more point to point out of CLT if US should liquidate.

 

[BoeingBoy]

sfb,

I finally got around to looking at the press on the CVG fare revisions. What struck me was how similiar "SimpliFares" are to what has been discussed at some length on this board. Maybe U management wasn't lurking, but DAL's might have been.

Jim