Posts

Showing posts with the label fees

Time for a rethink about all costs and incomes, also taxes, fees and slots

The Ryanair costbase have in the later years been steadily creeping upwards as they have added frills and abandoned smaller airports for more mainstream ones only sometimes closer to city centers. Yes they have charged extra for the extras but it have let an airline like Wizz creep up under its radar and end up with a lower costs per passenger, according to Ryanair's own presentations. Is a perceived segment of potential customers, the business traveller, worth going after so much you'd give up the single most important competitive advantage you have had within the industry for years. The one that let you gain market share and dominance by your most important marketing tool, lower prices than everybody else. Wizz abandoned Frankfurt when the initial discounted deal on airport fees ran out. Ryanair have moved their flights from nearby Hahn and have stayed put even when costs went up. Maybe the need for deeply discounted prices to entice people back into the air will require ...