This is why people hate on Airlines for price gouging.

[Topspin]

Trying to make it to Toronto for christmas...

AC direct flight....YVR-YYZ $429.
AC CNX flight...YVR-YYZ-YOW $265.

Why not just buy the longer flight and not get on the second plane? I mean I understand you're in this business to make money, but at least have some resemblance of making sense.

I was looking at fares to Hong Kong last year. It was like $800 to fly direct, YVR-HKG. However drive down to Seattle & fly SEA-YVR-HKG...and it was like $550.

Somebody should tell the managers if they're going to gouge us Canadians on prices so ridiculously, at least be a little bit more subtle about it.

Sorry to rant, but you have to realize airline employees, in the eye of the regular consumer, this makes you look like oil companies.

[teacher]

There are a few reasons why that may be:

1) Competition on the route
2) You may be looking at a limited amount discount fare

In the end, airlines don't charge enough. How you can fly with an 80% load factor and not make money = 1 thing only. Airlines are not charging enough for the product that they provide.

[deflux]

The last 4 or 5 of my flights YHM - YEG on Westjet have been a $127 fare...That is absurdly low in my opinion.

[Topspin]

The last 4 or 5 of my flights YHM - YEG on Westjet have been a $127 fare...That is absurdly low in my opinion.

And what of airlines like Ryanair and their, 99 pence + airport fees? How in the world do they make money?
I can empathize with teacher on the view that prices across the board are too low, but this current scenario is just like a slap across the face. The counterargument being, what of the carriers that have continually made money through out this whole post 9/11 economic storm, what does that say about the management of the failing carriers? That in it's own is a whole other thread though.
Regardless, the powers that be should realize the power of marketing.

[teacher]

Don't some of those Europian carriers offer those fares as last minute? Kind of like the reverse of what North American carriers do? By early, pay for the privilege, sell at a discount late to fill the plane.

[Topspin]

Don't some of those Europian carriers offer those fares as last minute? Kind of like the reverse of what North American carriers do? By early, pay for the privilege, sell at a discount late to fill the plane.

http://www.ryanair.com/site/EN/

Have a look at the site. I just looked at a trip from London to Milan, same dates, what's the distance....about 2/3's? 79 pound. It's just ridiculous.

[Topspin]

http://finance.google.ca/finance?client ... SDAQ:RYAAY

Oh and finances don't look to bad. Complete with a CEO that says first class should get complimentary blow jobs.

Seriously though, something is wrong here. Do they pay the crew in monopoly money?

[square]

800 bucks to China is price gouging? The only other way you're going to get there is 3 weeks on a barge, so I'd say it's a reasonably priced service. I'm paying 133 bucks including taxes and fees, to get from Edmonton to Vancouver 6 days before Christmas. It'd cost me 3 times that in gas and 15 times longer to drive, and I'd be many times more likely to die on the way there. Price gouging? Quite the opposite. The reason you see differences in fares is just the round of musical chairs they're trying to accomplish in order to magically turn a hairline profit while charging you so little.

[Topspin]

800 bucks to China is price gouging? The only other way you're going to get there is 3 weeks on a barge, so I'd say it's a reasonably priced service. I'm paying 133 bucks including taxes and fees, to get from Edmonton to Vancouver 6 days before Christmas. It'd cost me 3 times that in gas and 15 times longer to drive, and I'd be many times more likely to die on the way there. Price gouging? Quite the opposite. The reason you see differences in fares is just the round of musical chairs they're trying to accomplish in order to magically turn a hairline profit while charging you so little.

Like I said, I'm not complaining, I understand (Somewhat), just ranting. I mean try and tell me it makes sense? Paying twice the landing fees, extra fuel, extra crew.....and charging less? How does that make more money? It makes no sense whatsoever. Perhaps price gouging was the wrong choice of words but still........

[North Shore]

And what of airlines like Ryanair and their, 99 pence + airport fees? How in the world do they make money?

'Cause they charge you for everything else... checked bags, service fee for paying other than by Ryan's approved methods, checkin at the airport, any seat selection (other than you being in line first), snacks, water, etc...

Want to work there? Pay up.. 50 Pounds for an application fee. IIRC, they want you to have a type rating before you apply. Cabin Crew - pay for your own training...

Head on over to PPrune for more nightmare stories..

[bmc]

Supply/demand drives price on any commodity. When selling airline chairs, look at day of week, time of day, seasonality. Compeition will influence the price, but if your airplanes are full, there's no need to lowball your fares. Your forward bookings, recent history, how the flights did this time last year, etc influence the price. Furthermore, as someone correctly pointed out, excess baggage charges, pillows, window seat, etc, etc, commonly referred to as ancillary revenue makes it up.

A price check for late January will show cheap seats. Check the price three days out from departure for those same seats and it may be different if the plane has filled up.

Cheap fares are always subject to availability and demand. It's not difficult to get a cheap ticket on a transcon sector at Christmas. That is, if you don't mind flying at 0700 on Christmas day or New Year's Day.

As for Ryanair, the cheap seats are sold for peanuts, yet the ticket includes all taxes. Because the fares are cheap, they have a large no-show, with passengers not flying. The tickets are non-refundable. If the passengers don't fly, they do not need to submit the tax.

[forbes]

Hey deflux,
I am not sure what you mean by absurdely low. Are you complaining that you only had to pay $127.00. on WestJet? You are right that is a great fare for the consumer. If WestJet can charge this fare AND still make money then what's the problem: bums in the seat + making money = Great for WestJet Great / great for the consumer!!!

[sarg]

Trying to make it to Toronto for christmas...

AC direct flight....YVR-YYZ $429.
AC CNX flight...YVR-YYZ-YOW $265.

Why not just buy the longer flight and not get on the second plane? I mean I understand you're in this business to make money, but at least have some resemblance of making sense.

I was looking at fares to Hong Kong last year. It was like $800 to fly direct, YVR-HKG. However drive down to Seattle & fly SEA-YVR-HKG...and it was like $550.

Somebody should tell the managers if they're going to gouge us Canadians on prices so ridiculously, at least be a little bit more subtle about it.

Sorry to rant, but you have to realize airline employees, in the eye of the regular consumer, this makes you look like oil companies.

Hope you booked. YVR -YYZ $812 one way now for the 17th - 23rd. YVR - YOW connecting in YYZ $827 for the same. want to fly on the 24th $249 and $279 respectively.

Ryanair has a stated goal sell the seats for cheap and make money on the fees.

http://www.ryanair.com/site/EN/faqs.php ... s=MYFLIGHT

[Brize]

Ever wonder how Google makes money????? Billions and billions of dollars? I wonder, and I dont exactly know the answer. But.. Let me tell you about my experience on Ryanair for (50 pounds, 2hr flight).

-No assigned seating, therefore lineup of 130 people, 30 min before departure (most hoping to get a seat sitting beside their travel partner)
-25 min turnaround policy for all flights
- No seat pockets to stuff with garbage, arm rests are welded down, briefing cards are glued to seatback in front of you
- 3rd party audio advertisements playing on PA during boarding
- Advertising banners all over the overhead bins
- Operating out of or near big cities but smaller less expensive airports

http://video.google.com/videoplay?docid ... 1290988541
This video explains the rest and makes me appreciate my job.

Personally, I think we should all consider ourselves lucky for the time being in Canada.

[Topspin]

Ever wonder how Google makes money????? Billions and billions of dollars? I wonder, and I dont exactly know the answer. But.. Let me tell you about my experience on Ryanair for (50 pounds, 2hr flight).

-No assigned seating, therefore lineup of 130 people, 30 min before departure (most hoping to get a seat sitting beside their travel partner)
-25 min turnaround policy for all flights
- No seat pockets to stuff with garbage, arm rests are welded down, briefing cards are glued to seatback in front of you
- 3rd party audio advertisements playing on PA during boarding
- Advertising banners all over the overhead bins
- Operating out of or near big cities but smaller less expensive airports

http://video.google.com/videoplay?docid ... 1290988541
This video explains the rest and makes me appreciate my job.

Personally, I think we should all consider ourselves lucky for the time being in Canada.

Isn't it just nuts though? Like Pasco, $47.00, YVR-YZT. Do they pay those guys in monopoly money?

[Embraer190]

The up side of the "Ryanair" business model: More driver jobs!
The down side of the "Ryanair" business model: Drivers are paid like shit and that affects the rest of the industry.

[Stick-Shaker]

If WestJet can charge this fare AND still make money then what's the problem: bums in the seat + making money = Great for WestJet Great / great for the consumer!!!

$127-$75 (taxes/fees)=$52-fuel/airport rent/nav fees/salaries/should I go on?=WJ $$ bleeding cash on such fare bases. The same can be said for AC offering YHZ-YYT for $129. No money made, its just a bum in the seat that is going otherwise empty. But don't kid yourself, there is no $$ made.

I realize you are are only trying spin this as a positive, but the problem is many non-airline employee viewers read/hear these statements and then complain when the fares do increase and move up to a sustainable level, that they are being gouged....this thread = case and point!

[Stick-Shaker]

Trying to make it to Toronto for christmas...

AC direct flight....YVR-YYZ $429.
AC CNX flight...YVR-YYZ-YOW $265.

Why not just buy the longer flight and not get on the second plane? I mean I understand you're in this business to make money, but at least have some resemblance of making sense.

I was looking at fares to Hong Kong last year. It was like $800 to fly direct, YVR-HKG. However drive down to Seattle & fly SEA-YVR-HKG...and it was like $550.

Somebody should tell the managers if they're going to gouge us Canadians on prices so ridiculously, at least be a little bit more subtle about it.

Sorry to rant, but you have to realize airline employees, in the eye of the regular consumer, this makes you look like oil companies.

Yeah, great arguement. We should be ashamed of trying to scatch out a profit. We should fly you for free and forget the millions upon millions of payables such as employee salaries (already slashed ie:AC pilots 25% salary cut since '04), maintenance costs, fuel costs, nav fees, airport rents. The fact is at $45/barrel, oil companies are still generating a profit, most airlines are not.

[Topspin]

Trying to make it to Toronto for christmas...

AC direct flight....YVR-YYZ $429.
AC CNX flight...YVR-YYZ-YOW $265.

Why not just buy the longer flight and not get on the second plane? I mean I understand you're in this business to make money, but at least have some resemblance of making sense.

I was looking at fares to Hong Kong last year. It was like $800 to fly direct, YVR-HKG. However drive down to Seattle & fly SEA-YVR-HKG...and it was like $550.

Somebody should tell the managers if they're going to gouge us Canadians on prices so ridiculously, at least be a little bit more subtle about it.

Sorry to rant, but you have to realize airline employees, in the eye of the regular consumer, this makes you look like oil companies.

Yeah, great arguement. We should be ashamed of trying to scatch out a profit. We should fly you for free and forget the millions upon millions of payables such as employee salaries (already slashed ie:AC pilots 25% salary cut since '04), maintenance costs, fuel costs, nav fees, airport rents. The fact is at $45/barrel, oil companies are still generating a profit, most airlines are not.

Wasn't complaining about cost, was complaining about marketing. I realize it costs money to move from point A to point B, I really do. I also realize we get a good deal, at the expense of others. See other posts in this thread.

[JBL]

If the plane is almost full, the price goes up.

If the plane is empty, the price is low.

You will have mid morning flights that are half empty. You will have prime time that are full. You will have 0600 departures on a Sunday morning that are wide open.

Every airline wishes it could fill every seat at top dollar. A regulated environment provided that in Canada up until May15, 1986 when "Freedom to Move" deregulation was introduced.

The bottom line is there is too much capacity chasing too few bums. Throw into that, the fact that every airline has a different cost structure.

While gas may be cheaper these days, demand is softening. Sure Christmas is expensive. But in the new year, the prices will fall.