When Southwest ushered in the low cost model of operation of
airlines, it was a new beginning which many would not have anticipated to run
into profits. There is always a challenge to change and this happened in the
case of Southwest as well. However, the airline was able to gauge the need of
the people to have low airfare tickets, especially on flying on small distance
routes.
It began to do its calculus on how best this need of the people can be
met. The whole initiative was to look inwards and do what can be done at the
operational level in order to meet this demand. This proved to be path-breaking
and the airline became a raging success story, which was to be followed
globally with many other airlines emerging around the globe functioning on same
or similar low cost model.
Let us briefly look into what this airline model of LCC
requires and then we will describe how the model was also applied to
international routes. So, the low-cost-carrier model requires the following
changes to be made to airline operations:
1 1. Point to point flights
2.
Flight duration of about 4-5 hours maximum
3.
Short flight routes. In a large country, this
essentially means coverage of domestic routes but can also be international
ones.
4.
No-frills services. This means that no
complimentary foods when you buy flight tickets. These are paid in nature.
5.
Operation of only economy cabin class. You would
usually not find business or first class cabin classes on these airlines.
6.
Reluctance to offer frequent flyer programs.
Some LCC airlines might not be having any loyalty rewards program to maintain
simplicity of operations.
7.
Price of air tickets can change within a short
period of time as the seats on these flights are demand driven.
8.
Focus on reducing the maintenance costs of
airplanes.
9.
Focus on operational efficiencies and lesser
turnaround times.
These are some of high points of low cost carrier model of
the airline. Now, cheap international flights offered by these airlines are
generally for the short haul routes which can be reached in a span of a few hours.
Passengers gain with the offer of these discounted fares on international
routes as LCCs compete directly with the full-service carriers in the neighborhood
of the country. Whether it is flights to Canada or any of the Central American countries
from the southern cities of USA, the low cost model of operation of flights
gives a fair bit competition to the full-service carriers.
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