What's The Better Way To Price The Product?

Tadjr,

I don't know how the ticket was priced. All I know is at 6:55PM I was @ TPA and asked my travel dept for a ticket home. They said US has one at 7:30PM can you make it. I said of course, because I knew the US people would issue a ticket right away, and I know I could catch the tram and could easly get through security at that time without running.

When I saw it was jsut over $200.00 all I thought was US left money on the table. I don't know if my travel dept would have paid $600.00 because I don't know what the DL flight cost was, but I do know they would have paid $400.00 with out a question.

We do look for the best deals, but that is on value, not just the price of the ticket. DlL's flight was on a MD80 and an RJ. US was all mainline, and SW, well you know. So it is worth payning more for US all mainline flight.
 
The ticket was priced point to point TPA-PHL, PHL-MHT. I tried it tonight and it came out to the fare you were quoted. I also did it via DC and it was about $348 point to point with GoFares while the same time frame via CLT or on the direct flight to MHT it fared out at over $600.
Morale of the story then is try connecting via PHL or DC if an option just in case there are point to point GoFares available and it will more than likely be cheaper than the option via CLT.
 
Tadjr,

That is my point, why does the airline charge twice as much to fly through CLT over PHL or DCA. I know you don't have the answer. But, that is not rational pricing. I do like CLT but its not worth hundreds $$ more thany PHL.
 
BoeingBoy said:
On a more serious note and in keeping with the thread title, I'd be interested in hearing what you'd suggest if someone asked you to design our fare structure from scratch...
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The structure would look very much like WN's. Conceptually, you're looking at four or five price points to hit: high-flexibility walkup business, restricted business, most leisure, and one or two sale leisure fares to be used sparingly.

The real work for YM would be managing the relative sizes of the fare buckets.
 
I think you also need to change the sales process.

The way it works now there is a relentless drive to the lowest fare. Trying to deliberately buy something less restrictive is an exercise in frustration.

WN makes it really easy to make that choice. US makes it pretty much impossible.
 
Tom's point is an excellent one, by listing all the fares WN makes it easy to see how much extra it would be to buy up to the value of an unrestricted fare. US does not.

The fare display I would have for US would be very similar to WN, with it displaying the lowest available fare, the lowest available unrestricted fare, and the lowest F fare. (I'd probably also change to upgrade program where it upgrades elites at time of booking subject to availability like AS does if they buy a higher fare, and show the lowest available upgradeable fare as well.) Entice the customer to spend a little more by providing more value in the form of fewer restrictions or the F cabin at those higher fares.
 
Air Canada's website has descriptions and brand names for their fare levels and pictures of hip, happy customers enjoying their lack of restrictions or advanced seat assignments. It's almost a seabury market segment power point presentation come to life on a website.