Airline Club

BulAir, please stop dumping like 15000 capacity on domestic routes where I am already serving like 5-6000, or at least warn me first you are creating massive price wars.

BulAir, please stop dumping like 15000 capacity on domestic routes where I am already serving like 5-6000, or at least warn me first you are creating massive price wars.

Sorry about that, I was pushing for 2nd spot in Australia for next base and thought instead of doing it incrementally which would be more annoying and time consuming to jump in the deep end from the start. I won't create anymore headaches for you there promise.

By the way I figured out I think where the confusion with the plane depreciation and renewal formulas was coming from. It seems the depreciation is being calculated from "initial price value" and not "after purchase discount value" so in essence part of the 20% initial discount of value of planes gets accounted for every week as it is included in the depreciation.

I was assuming the depreciation was on the actual value of the plane and not on it's initial price.

Oh yah and Tans, I connected Melbourne to your HQ to feed you some traffic hope it helps.

hey guys,

does it really make sense to adopt those Jumbo planes? In general, I think international flights are not limited by the slots
since frequency is low, but I wonder if it makes sense to use larger plane due to the savings of take-off and landings.

Currently my largest planes are A350-900

Depends on your goal. Generally you want them on routes between top end airports in countries with high income to generate good profit. However if you're chasing passengers for rankings you can use them on other lines too even at a loss, Overall though if you have the slots and are not chasing rankings use more economical planes on domestic and short and middle regional routes unless it's between top airports.

Quote from: trans nations on October 19, 2018, 08:54:23 pm

hey guys,

does it really make sense to adopt those Jumbo planes? In general, I think international flights are not limited by the slots
since frequency is low, but I wonder if it makes sense to use larger plane due to the savings of take-off and landings.

Currently my largest planes are A350-900

Depends on your goal. Generally you want them on routes between top end airports in countries with high income to generate good profit. However if you're chasing passengers for rankings you can use them on other lines too even at a loss, Overall though if you have the slots and are not chasing rankings use more economical planes on domestic and short and middle regional routes unless it's between top airports.

thanks guys, lots of my domestic routes are slot-limited. I use 787 on those routes, but I will try to use A350 on some of them to see if it's profitable.

The A350 is a trap. It looks good based on its fuel efficiency, but its capital inefficiency eats up almost all of the savings. It is only optimal on a fairly narrow range of routes.

Stick with Dreamliners, 767-ERs, 747-400s, and A380s IMO.

Gosh, I got tons of A350, they look fancy though.. I mean the fuel savings..

Actually capital inefficiency vs fuel efficiency never becomes a relatively better or worse tradeoff with increasing flight distance, because both fuel and capital intensity (as in, you need more planes to run the same number of flights) increase with distance.

Short distance / high value I use the 737-700C, 767-300ER, or (very rarely, on maybe 3 routes) the Ilyushin 96-400.

Just noticed that BulAir is gone!!

 

Good! I need breathing room!