Airlines in a Crisis

Who convinces airlines that the solution for all their problems are a rebrand. Or for any othe rcompany for that matter. Rumours are coming out that Flybe was weeks from a rebrand when they collapsed. A rebrand due to some baggage failure that supposedly had made the airline name toxic ant that could only be fixed with a new name.  Remember a new name is unknown in the market and will not only cost to effectuate but also swallow up massive amounts of cash for marketing to get it known so potential passengers can trust it enough to book with it. And trust is important in the airline sector. We trust after all the Airline to bring us safely from A to B and that is not all ablout that we get value for our bucks but that we actually arrive physically safe.  That kind of trust is not easily built so any rebrand will have to be linked to the old brand name and suddenly the whole purpose of it evaporated. The only winners are the marketers and their often outside brand designer helpe...

How to set the pricing strategy for a profitable airline. You start with the costs. It is important to know both the set and variable costs for each leg (city pair) you would potentially fly.  Include everything like cost of plane, crew, maintenance, fuel and taxes. Plus an ad on for other costs like managment, admin and marketing. Hence lowering the costs is alpha and omega for creating a competititive airline that is also profitable. Ceate a pricing strategy fpr eah route that gives you a profit at 80% capacity, or lower if you think you can get away with it in the market. Create several steps in the pricing ladder so you have a low starting price for marketing purposes and the fuller the plane the more you get in. Now you have your base price model. Add on a percentage premium for more poular times of the week, or of the day, and if there are any events scheduled for that market. Add also on a percentage for any premium services you offer, example a 50% add on for middle s...