Ty Webb
Hostage to Fortune
- Joined
- Dec 10, 2001
- Posts
- 6,524
This is primarily to resond to a few issues that "Fly Deltas Jets" has raised:
1) "Low Cost Carriers" don't necessarily succeed or fail because of "lower pay" as you claim. That would be like me saying that Delta is losing billions because they pay too much. The truth is not so simple.
In our case, we are succeeding for a number of reasons, and a lot of them have to do with shrewd management, employees who are willing to use a little more innovation to save money where possible, and keeping things simple with a single fleet type. Hence the reason to outsource the RJ's. It made more sense, and it adds to the bottom line. If the company makes money and grows, we make money and grow.
2) Perhaps the problems in the industry could be traced not to the (marginally) lower pay of our pilots, but to the assinine pricing strategies employed by the big 5.
We make money at our prices, but when your company sees us open a city, they will flood that city with hundreds of extra seats, at prices that cause them to hemmorhage money, while we are still making money.
Now, there's a business strategy- it's called "cutting off your nose to spite your face". That dinosuar business model will cause Delta to continue to lose money, until they are dragged, kicking and screaming, into the millenium.
3) Which leads me to my next point- your airline is losing money because they are trying to provide something that they can't.
Mercedes doesn't make money competing against Chevy. Mariott doesn't compete with Days Inn, and Delta will not make money trying to compete with us for the bottom customer.
The sooner they figure that out and start focusing on what they CAN succeed at, the sooner it will get better for us all. Delta has things to offer that we never will, and the sooner they focus on what they are, instead of trying to be all things to all people, the better for everyone.
And you know what? Maybe then we will be able to get more money in our third contract and meet your expectations.
Oh, and last- our concessions (the ones you were so worried about) lasted for 60 days. That's it. Then back to the contract.
1) "Low Cost Carriers" don't necessarily succeed or fail because of "lower pay" as you claim. That would be like me saying that Delta is losing billions because they pay too much. The truth is not so simple.
In our case, we are succeeding for a number of reasons, and a lot of them have to do with shrewd management, employees who are willing to use a little more innovation to save money where possible, and keeping things simple with a single fleet type. Hence the reason to outsource the RJ's. It made more sense, and it adds to the bottom line. If the company makes money and grows, we make money and grow.
2) Perhaps the problems in the industry could be traced not to the (marginally) lower pay of our pilots, but to the assinine pricing strategies employed by the big 5.
We make money at our prices, but when your company sees us open a city, they will flood that city with hundreds of extra seats, at prices that cause them to hemmorhage money, while we are still making money.
Now, there's a business strategy- it's called "cutting off your nose to spite your face". That dinosuar business model will cause Delta to continue to lose money, until they are dragged, kicking and screaming, into the millenium.
3) Which leads me to my next point- your airline is losing money because they are trying to provide something that they can't.
Mercedes doesn't make money competing against Chevy. Mariott doesn't compete with Days Inn, and Delta will not make money trying to compete with us for the bottom customer.
The sooner they figure that out and start focusing on what they CAN succeed at, the sooner it will get better for us all. Delta has things to offer that we never will, and the sooner they focus on what they are, instead of trying to be all things to all people, the better for everyone.
And you know what? Maybe then we will be able to get more money in our third contract and meet your expectations.
Oh, and last- our concessions (the ones you were so worried about) lasted for 60 days. That's it. Then back to the contract.
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