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Nesgroup address: rec.travel.europe - Date & Time for the message: Sat, 24 Sep 2005 01:45:05 +0100 /

Author of the message: bigbrian

Title of the message:
Re: euro airfares R nuts

Text of the message:
On Fri, 23 Sep 2005 19:28:50 -0500, "Douglas W. Hoyt"
<nospamthankyoumam@nada.net> wrote:

>>>>> No idea why that should be, but apparently it is
>
>Volume, I would imagine.  But I don't think volume can explain why
>Hannover-Milan is one cent.  That is probably more a matter of desperately
>trying to attract attention.

Volume is certainly a factor. Some low cost airliines'  business
models are based around getting bums on seats, rather than how much
those bums pay for being in the seats. The actual fare is often
insignificant in comparison to the incremental direct revenue from
value added product sales. and the incentives that the airline gets
from opening new routes into hitherto under-utilised airports.
Full planes three times a day into otherwise disused former airfields,
(not mentioning any names:-) )  for example, has a knock on effect on
regional employment levels, arriving passenger spend and local tourism



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