This week in aviation, Spirit Airlines gets revenue increases by charging extra for non-seat purchases, Southwest makes a smart business move to attract new customers, and American Airlines makes it clear Mesa Airlines had better start improving.
Almost everything is improving at Spirit Airlines. Its on-time performance is getting better, and customer satisfaction is rising, according to the airline. More importantly for investors, ancillary revenue is up. Can the good times last?
The old idea of payments in monthly installments is seeing new life in the U.S. online travel sector. Uplift is one of the leading tech vendors powering loans to travelers for buying from airlines such as Spirit and search sites like Kayak. Expect a lot of marketing around this in 2019.
It was not clear three years ago whether Spirit could make it long term. It ran a shoddy operation, and it had alienated many of its customers. But Spirit is back, and it's making good returns for shareholders.
If you're an investor, it's not clear Spirit's model is the right one. But if you're a passenger, you should love the airline, even if you never fly it. Spirit is responsible for many of the U.S. fare wars we've seen in recent years.
The last time Spirit Airlines replaced its CEO, it bungled the public messaging. It's not letting that happen this time. Investors are getting more than one year of advance warning.
Louis XIII Cognac's most recent activation is a great example of how luxury brands are aligning with meaningful causes and influencers to appeal to luxury consumers' growing desire to feel their purchases are part of something bigger than themselves.
Spirit Airlines spent years angering customers with shoddy customer service. Now it wants those travelers to return, promising they'll find a kinder, gentler airline with an increased emphasis on on-time arrivals. But will they come back, or will they opt for deeply discounted fares from full-service airlines?