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| London Transport (uk.transport.london) Discussion of all forms of transport in London. |
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#27
December 19th 13, 05:31 PM
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Airport expansion: Heathrow runway 3 and Gatwick runway 2 constitute shortlist
"Graham Harrison" wrote in message ... "tim......" wrote in message ... "Graham Harrison" wrote in message news  "tim......" wrote in message ... "Graham Harrison" wrote in message ... "tim......" wrote in message ... "Roland Perry" wrote in message ... In message , at 20:21:52 on Tue, 17 Dec 2013, tim...... remarked: Intra UK transit pax are not the problem. It's the perceived need to steal pax from other European carries at major European "hubs", that is I was researching flights to SA the other day and it is 20% cheaper to fly LHR-FRA-CPT with LH than it is to fly FRA-CPT OTOH it is 20% cheaper to fly FRA-LHR-CPT with BA than it is to fly LHR-CPT. So the reason that LHR needs to be a hub is because BA (apparently) can't fill a plane from LHR to CPT without "bribing" pax from Germany to fly via London. You really don't understand yield management, do you? Yes I do It's about selling the highest priced fares to people who insist in direct flights, and the cheapest ones to people who book early then filling the remaining seats with people on feeders from nearby. The result maximises revenue, even if some people get cheaper flights as a result of agreeing to be those indirect passengers. That's fine, but it's no reason to insist you need a hub so that you can fill a plane that you have artificially made less full than it might have been You're both wrong. as I already pointed out the author of the report agrees with me so he must be wrong as well tim I haven't found that yet in the report or the appendicies. Can you please point me to it? It was repored in the newspaper, must have been the Telegraph as that's the only one that I read at work here it is http://www.telegraph.co.uk/finance/n...hort-list.html "Although two options have been short-listed for a possible third runway at Heathrow, Sir Howard said the commission is not convinced that London would be best served by one big hub airport" tim Firstly my "you're both wrong" comment applied to yield management. Oh, it was far from clear |
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