Low-Cost Carriers Reinvent the Transatlantic Market and 10 Other Aviation Trends This Week
These are the aviation trends we were talking about this week.
Airline News
United Signals It Wants a Better Deal with Reservation Middlemen
If United were Facebook friends with reservation systems like Sabre and Amadeus, it would have just changed its relationship status from "Friends" to "It's complicated." New President Scott Kirby is worried how those companies will display its new basic economy product to travel agents and (indirectly) to ticket buyers.
Google’s Travel Search Dilemma — Digital Marketing News This Week
One of the dirty "secrets" of digital advertising is that companies like Google, Facebook and Microsoft purchase ads on their own platforms, essentially competing with other buyers for the top placements. The news should give any marketer spending top dollar to try and earn high-ranking search results cause for concern.
What If Airlines Measured Revenue Like Traditional Retailers?
Is it time for the airline industry to adopt a new metric to determine revenue growth? Probably not, but kudos to analyst Hunter Keay for trying something new.
United’s Chief Commercial Officer Leaves After Five Months on the Job
Haywood was a big hire for United several months ago, but apparently it did not work out. That's OK, as President Scott Kirby should continue to do a fine job running the airline's commercial team.
American’s New International Upgrade Policy Is Good For All Frequent Flyers
New details on how frequent flyers will upgrade on flights with premium economy leaked this week. For once, the news is good for almost everyone.
Travel Megatrends 2017: Low-Cost Carriers Reinvent the Transatlantic Market
Airlines in Europe and the U.S. may have underestimated the threat posed by short-haul, low-cost operators. There's not much they can do about that anymore. But as more low-cost airlines look to add long-haul flights, expect legacy carriers to respond aggressively.
American’s Cheapest Fares Soon Won’t Include Access to Overhead Bins
As happened with United, this story will probably go viral, and consumer groups will whine about not having access to bin space. But remember, the market has spoken: Frontier and Spirit charge for bin space, and yet passengers fly them. Why should American and United not sell similar products?
JetBlue Rolls Out Loyalty Program Incentives For Cuba Routes
Demand to Cuba may be weaker than originally forecasted, leaving airlines like JetBlue to incentivize travel. Through March 18th, TrueBlue members will be rewarded with 3X the points when traveling to the region.
United Still Lags Delta But Has Big Hopes of Closing the Margin Gap
In the previous Jeff Smisek reign, United fell far behind some of its competitors in profitability. But that's beginning to change — slowly.