FICU wrote:Realitychex wrote:
Wrong...
Haven't seen a $75 Yellowknife-Edmonton fare since WJ played the good guy saviour role to take market share from the small northern airlines.
What happened?
36 straight quarters of profitability. That's about 9 years in a row according to my math and if memory serves me correctly, you can count the quarters that weren't profitable since 1996 on one hand. One of them was the first full quarter of ops, another was when they massively accelerated the depreciation of the -200 fleet to get rid of them all about 4 years earlier than planned.
If that isn't conclusive evidence WJ isn't vigorously focussed on the bottom line, I don't know what would be. Aside from SWA, you'll look long and hard to find any other airline in North America that can match that track record. I wouldn't waste time canvassing other airlines based in Canada when you do your research.
If WJ can produce that sort of track record and offer introductory advance fares of $75 into a market that had exorbitantly high fares for no particular reason other than because the incumbents could get away with them, what's the issue? The northern airlines have had plenty of time to get their market share back since 2009.
Last time I checked, all airlines operating in YZF prior to WJ's launch are still operating today. I guess a little competition forced them to run a tighter operation. There's nothing wrong with that either.
The cost of traveling south is considerably less expensive than it used to be and it's a pretty safe bet that Yellowknife is the smallest market in North America to be served by 4 airlines, 3 of which operate full sized narrow body jets to the key southern gateway.
I know of at least one southern developer who recently completed about 200 reasonably priced new homes in YZF who would never have contemplated building there, including a habitat for humanity build, were it not for the significantly lower cost of doing business there....namely, cheaper transportation.
I certainly wouldn't want to be the one to have to tell folks in Yellowknife that fares were going to revert to their previous levels of close to $700 one way for anything booked within about a week of departure compared to today where the same fare is rarely over $400 and typically in the low $300 range.
I'd be curious to hear your explanation as to why higher fares to isolated communities would benefit the community as a whole. It's already expensive enough in Yellowknife without airlines further gouging folks up there.