How is the absence of Spirit Airlines going to impact the ULCC segment? As we noted in the previous post, the Network carriers are best placed to exploit the growing bleisure market. The market is continuing to adjust, Spirit’s absence…
With the demise of ultra low cost carrier Spirit , the ULCC market is being widely criticized as an obsolete business model and one that can’t compete with the more sophisticated products from the full service airlines. We view the…
For years, the conventional wisdom in U.S. aviation has been simple: ultra-low-cost carriers win because they operate more efficient aircraft. Newer planes burn less fuel, carry more passengers, and drive down costs. But a closer look at the Department of…
Frontier’s Q1 results will draw more attention than usual due to the recent shutdown of Spirit Airlines. The narrative centers on two competing forces: the structural upside from Spirit’s exit and the near-term pressure from spiking fuel prices. Early retirement…
What might a combination of these two airlines look like? We assembled data and created these charts to illustrate the potential outcome. This is not a comment on whether the combination will be successful; it is an attempt to represent…
United’s CEO said Frontier is “going out of business.” This comment caused a lot of industry chatter. After all, the model espoused by ULCCs has worked very well. Ryanair is doing a roaring business in Europe. Why can’t that work…