Travel Information

Why the Discount Carriers are Winning

Over the years, air travel has declined significantly. Bad economic times, acts of terrorism, and the overall high cost of flying have deterred many travelers from flying the friendly skies. Instead, they’re opting for local travel that doesn’t require flying or selecting other methods of transportation such as driving, taking the train, or going “Greyhound”. As a result, the major airlines are making less and less each year, forcing some to close up shop and call it quits.

However, bad economic times and acts of terrorism aren’t the only things affecting the major airlines and the air travel industry as a whole. Discount air carriers who offer limited yet discount air travel rates have put a huge dent in the business of the major airlines. These airlines, such as U.S. based Jet Blue and Southwest Airlines, can undercut the major players in the air travel market because of lower overhead and less labor costs. Since the discount air travel carriers are smaller and often only have one type of aircraft (compared to bigger airlines that have full fleets of varying plane types), they have more flexibility with their pricing and can offer discount air travel deals more often then their much larger counterparts. And when combined with the decline in overall air travel, the discount air carriers are winning out over the larger airlines, causing the major players to rethink their game plan and, in many cases, start offering discount air travel through dynamically priced fares. Read More…