An Airfare Pricing Mystery

The airlines need to solve airfare pricing problems because their algorithms depend on historic data that is no longer relevant.

November 2018 Friday’s e-links: From Cow Horns to Potato Chips and Airline Deregulation

Friday’s e-links: Today we share links to some smiles through an article on a Swiss cow horn referendum and a podcast, “When Dogs Fly.”

Throwback Thursday: Remembering Plane Comfort

For Throwback Thursday (#TBT) we can fondly look back to comfortable economy class travel before less pitch and width created shrinking airline seats.

Getting Bumped Off Your Flight

Instead of command and control, a reverse auction or a Coasian solution would provide better ways to manage overbooked flights and bumped passengers.

Back to the Future… of Air Travel

Although 82% of the U.S. airline industry is dominated by 4 airlines, it is not a typical oligopoly because of new small airlines flying routes that the bigger carriers cut.

Airline Product Differentiation: It's About More than Just Plane Comfort

Whether departing on Imperial Airways from Great Britain or Pan Am in the US, for most of the 20th century you had no need for business class. Only the wealthy could afford to fly. In 1934, anyone with £180 ($17,000 today) could travel on…

Changing Air Travel Routes

The marketplace affects where we can and cannot fly. If you need to travel between Lima, Peru and Atlanta, you can thank asparagus lovers. More than passenger traffic, Delta values the route because of its asparagus cargo. (While China is…

Speed Pricing

What does a price tell you? Assume that you were going to purchase a GE Advantium 120 microwave oven on Sunday, August 12. Comparing Sears, Best Buy and Amazon’s sellers at 3 a.m., you would have seen, respectively, $899.99, 809.99 and…

Plane Train Competition

Should government subsidize a railroad? Our story starts during the 1970s when you could fly from New York to Washington, D.C. on the Eastern shuttle. Eastern left hourly (!) and guaranteed a seat to everyone who showed up for the…

Low Costs and Big Benefits for Spirit Airlines

Spirit Airlines is doing everything it can to charge us less for a seat on one of its planes. One gentleman paid $77 for a round trip seat between Chicago and Fort Lauderdale. Just the seat. How much more could…