When Will Lower Gasoline Prices Work Through to Airline Tickets?

When will much-lower gasoline prices start showing up in reduced airfares?
I'm still getting quotes for round trips from west coast US to Cancun of
$900+.

--
W

W wrote:
When will much-lower gasoline prices start showing up in reduced airfares?
I'm still getting quotes for round trips from west coast US to Cancun of
$900+.

Probably not too soon. The airlines have mothballed planes and reduced
staffing to the point where the supply of seats is so much lower that
they're selling only to those that _really_ want to go and that are
willing to ante up.

I guess it's a win-win for everyone. The airlines can charge more for
seats, and we can decide not to save money and not pay what they're asking.

Maybe next year they will lower the prices......

---
http://www.moviesitearchive.com/travel


On Nov 25, 1:24*pm, "W" wrote:
When will much-lower gasoline prices start showing up in reduced airfares?
I'm still getting quotes for round trips from west coast US to Cancun of
$900+.

--
W

"Shawn Hirn" wrote in message
...
.. An article I read a
few months ago said that the major airlines need to make an average of
$700 per passenger per flight in order to just break even.


By definition, an airline needs to make $0 to "break even". That's what
"break even" means.

I suppose it depends what you mean by "make". There are too many variables
for a statement like that to make sense.

In article ,
W wrote:

When will much-lower gasoline prices start showing up in reduced airfares?
I'm still getting quotes for round trips from west coast US to Cancun of
$900+.

Heck, I just got dinged $700 in fuel surcharges on a ``free''
(i.e., paid with frequent flier miles) BA ticket. It seems that
BA *raised* their fuel surcharges even after oil prices dropped
by two thirds.

"Shawn Hirn" wrote in message
...
In article ,
"W" wrote:

When will much-lower gasoline prices start showing up in reduced
airfares?
I'm still getting quotes for round trips from west coast US to Cancun of
$900+.

Don't hold your breath waiting for that to happen. An article I read a
few months ago said that the major airlines need to make an average of
$700 per passenger per flight in order to just break even. Remember that
airlines have a lot of overhead besides just fuel.

Is that domestic or international?

Originally Posted by W

When will much-lower gasoline prices start showing up in reduced airfares?
I'm still getting quotes for round trips from west coast US to Cancun of
$900+.

--
W

try this on for size, it sure saved me. Now I save on gas and I am making real good money. 2Rucker.Neverpayforfuel.com

On Nov 25, 4:24*pm, "W" wrote:
When will much-lower gasoline prices start showing up in reduced airfares?
I'm still getting quotes for round trips from west coast US to Cancun of
$900+.


Airline tickets are sold pretty much on the basis of "what the
market
will bear". Unfortunately for the airlines right now, those markets
won't "bear" what the marginal costs are. It has put the airlines in
a
position of needing to treat most airline seats as "loss leaders",
which is to say they hope to sell you something else to make
up for the loss on the seat. They have slashed capacity so as
to try to only serve the folks willing to pay the most. Any reduction
in their costs due to fuel savings will merely translate into smaller
losses on the base ticket price. The business model that had them
charging huge prices for "business travel" has died, probably never
to be born again. "Supersaver" fares were never directly profitable
and now have little interest in that market segment at all. None the
less, even with the higher prices, travel is vastly more affordable
than
it was in the late '60s and early '70s.

"Kev" wrote in message
...
On Nov 25, 4:24 pm, "W" wrote:
When will much-lower gasoline prices start showing up in reduced
airfares?
I'm still getting quotes for round trips from west coast US to Cancun of
$900+.


Airline tickets are sold pretty much on the basis of "what the
market
will bear". Unfortunately for the airlines right now, those markets
won't "bear" what the marginal costs are. It has put the airlines in
a
position of needing to treat most airline seats as "loss leaders",
which is to say they hope to sell you something else to make
up for the loss on the seat. They have slashed capacity so as
to try to only serve the folks willing to pay the most. Any reduction
in their costs due to fuel savings will merely translate into smaller
losses on the base ticket price. The business model that had them
charging huge prices for "business travel" has died, probably never
to be born again. "Supersaver" fares were never directly profitable
and now have little interest in that market segment at all. None the
less, even with the higher prices, travel is vastly more affordable
than
it was in the late '60s and early '70s.

That is part of the problem. Air travel should NOT be so cheap that the
average person can afford to fly at the proverbial drop of a hat.
Flying should be for special occasions and not, as a matter of course,
unless one lives in a location not served by other means of travel.

On Dec 3, 2:23*am, "Sharx35" wrote:
"Kev" wrote in message

...





On Nov 25, 4:24 pm, "W" wrote:
When will much-lower gasoline prices start showing up in reduced
airfares?
I'm still getting quotes for round trips from west coast US to Cancun of
$900+.

*Airline tickets are sold pretty much on the basis of "what the
market
will bear". *Unfortunately for the airlines right now, those markets
won't "bear" what the marginal costs are. *It has put the airlines in
a
position of needing to treat most airline seats as "loss leaders",
which is to say they hope to sell you something else to make
up for the loss on the seat. *They have slashed capacity so as
to try to only serve the folks willing to pay the most. *Any reduction
in their costs due to fuel savings will merely translate into smaller
losses on the base ticket price. *The business model that had them
charging huge prices for "business travel" has died, probably never
to be born again. *"Supersaver" fares were never directly profitable
and now have little interest in that market segment at all. *None the
less, even with the higher prices, travel is vastly more affordable
than
it was in the late '60s and early '70s.

That is part of the problem. Air travel should NOT be so cheap that the
average person can afford to fly at the proverbial drop of a hat.
Flying should be for special occasions and not, as a matter of course,
unless one lives in a location not served by other means of travel

Well, I'm not sure why you would declare such a premise. But
"below cost" or "cattle class" has basically always existed, whether
it was trains, planes, or ships. Once you have a vessel going from
A to B, it is a matter of filling it to capacity, ultimately at any
price.
The trick has always been to reach capacity before the total price
fell below the profitable levels. The airlines passed that line in
about 2001.