Summary of How Budget Airlines Work

00:00:00 - 00:05:00

Budget airlines have become increasingly popular in recent years, as they offer a cheaper alternative to traditional airlines. However, there are some trade-offs associated with flying on a budget airline, such as less comfortable seating and fewer amenities. Budget airlines also tend to have more delays and cancellations than traditional airlines. Despite these drawbacks, budget airlines offer a convenient and affordable option for many travelers.

• 00:00:00 Budget airlines reduce the cost of flying by avoiding expensive parts of the flight, like airplanes and fuel, and by avoiding luxury items. They do this by placing large orders for new planes and by operating only for a few hours per day. This often leads to delays and leaves the planes dirty and unused.
• 00:05:00 Budget airlines work by allowing first-come, first-served boarding, which results in passengers arriving at the gate early and lining up in an orderly line. This way, less time is spent on the ground boarding the aircraft and more time is spent in the air flying. Another principle of budget airlines is the point-to-point model, which focuses on having a lot of destinations from all over the world. This does mean, however, that many destinations are served only a few times per week, which cuts down on personnel costs. At the airport, budget airlines use steps and just have passengers walk across the tarmac or take a bus to the plane. Budget airlines make a lot of money, but it can be done right if the airline is large and flexible. Delta created Song, which failed, US Airways created MetroJet, which failed, United created Shuttle, which failed, then they went into bankruptcy and decided they should try again and make Ted, which failed. None of these worked. Traditional airlines can't get away from their labor agreements, honest business practices, and devotion to their hubs, which is why Ryanair and EasyJet are able to succeed where others have failed.