Finger66
Well-Known Member
If we are not the last then the business model change/direction argument stands up ok. But if do end up being the only one then questions may have to be ssked
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EasyJet very much have a cost advantage over based carriers being based outside the UK. Yes scale can reduce costs but being based overseas will mean much lower staffing costs, lower fuel costs, lower handling costs. UK airports are some of the most expensive in Europe as O’Leary reminds us regularly.FR and LS have been here for years
They have built up millions of data points about pricing and demand and know the market
They are based carriers, operating at scale, meaning they have all sorts of cost advantages
They have a lot of capacity on popular routes and can easily afford to attack new comers
Etc
Easyjet on the otherhand
- no base
- low frequency routes
- brand new entrant
- entered in a tough market
- vulnerable to pricing attacks
- very easy to move the capacity somewhere else
Etc
The new owners haven’t taken control yet and there’s still major hurdles to overcome. It’s business as usual at easyJet at the moment and this has nothing to do with any potential takeover unfortunately.The proposed new owners have made it clear that Easyjet may well chsnge its business strategy. I just wish LBA wasnt the first victim!
But the question was asked about FR&LS vs EZY at LBA specifically. FR&LS are scale operators at LBA and EasyJet are not. They operated a handful of flights and I would be amazed if their seat costs on LBA-PMI for example were lower than Jet2. Even if they are, the other point is that Jet2 can just outprice them. If I was Jet2 and could see that Easyjet were planning to move in and develop a base I would absolutely make life as difficult as possible for them.EasyJet very much have a cost advantage over based carriers being based outside the UK. Yes scale can reduce costs but being based overseas will mean much lower staffing costs, lower fuel costs, lower handling costs. UK airports are some of the most expensive in Europe as O’Leary reminds us regularly.
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What I would like to know is how his performance is measured.Very disappointing news but lets hope they return and in greater numbers.🙏. As i have reported previousy, BFS loads have been consistently high on the many occasions i have used the service.Surely FR will see the potential? Definitely a blow for LBA.😞I wonder how much Declan Maguire gets paid?
Why would FR and LS seemingly sustain a profitable operation out of LBA and EZY not?? There has to be more to it.
I appreciate they are scale operators but they have high base costs which will include property and staffing, while Jet2 operator older aircraft with high fuel and maintenance costs.But the question was asked about FR&LS vs EZY at LBA specifically. FR&LS are scale operators at LBA and EasyJet are not. They operated a handful of flights and I would be amazed if their seat costs on LBA-PMI for example were lower than Jet2. Even if they are, the other point is that Jet2 can just outprice them. If I was Jet2 and could see that Easyjet were planning to move in and develop a base I would absolutely make life as difficult as possible for them.
Does anybody here have access to that information?The biggest problem is that easyJet couldn’t make some of these routes work on wafer thin yields.
One quick check on their current pricing will give you a big clue….£17 to Palma one way in September, £32 to Barcelona, £26 to Paris.Does anybody here have access to that information?
Just to emphasise my earlier point. I’ve just seen the T&A article announcing the news on facebook and at a rough guess about half the comments are along the lines of ‘I never knew Easyjet flew from Leeds Bradford’One quick check on their current pricing will give you a big clue….£17 to Palma one way in September, £32 to Barcelona, £26 to Paris.
These are all within a month of departure. It’s impossible for the airline at these air fares to have good yields when compared to Jet2 and Ryanair.
I’d question as to how/why the airline isn’t filling seats at these prices? Surely it isn’t to do with the size of the market as Yorkshire is plenty big enough!
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