Airline Mogul Forum

Route Preventions?

sam051

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on: May 24, 2008, 05:52:35 am
Is there anyway to ensure that a routes ticket price will not get to $1. I'm editing a route that is from London to Paris Charles De Gaulle and the price is dropping immensely fast. Yes, i know i can just quit the route and go somewhere else but is there something implemented to prevent such things? It slows down the airline economy of many dramatically. I'm not complaining by the way, i am simply stating if there is anything to help such a situation. If not then i shall be lenient and content and never repeat this subject again.

Thank you for any consideration,

Sam


dktc

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Reply #1 on: May 24, 2008, 05:57:01 am
There is no way to prevent it officially. If we set a minimum price, people would just drop their prices to that minimum, if not create the routes at the minimum price.

An unofficial way is to contact the other players politely to ask for a collaboration. Whether that works really depends on the cooperation of other players.
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sam051

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Reply #2 on: May 24, 2008, 06:01:12 am
Quote from: "dktc"
There is no way to prevent it officially. If we set a minimum price, people would just drop their prices to that minimum, if not create the routes at the minimum price.

An unofficial way is to contact the other players politely to ask for a collaboration. Whether that works really depends on the cooperation of other players.


If such an official prevention was implemented, would the other airlines in theory be non-affected once they started a route on the particular trip if they applied a more hefty price, or would they be driven to the absolute minimum also?

Thanks for the quick response, (It is my up most to sincerely thank anyone who listens to their consumer)

Sam


dktc

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Reply #3 on: May 24, 2008, 06:20:26 am
Quote from: "sam051"
If such an official prevention was implemented, would the other airlines in theory be non-affected once they started a route on the particular trip if they applied a more hefty price, or would they be driven to the absolute minimum also?



Let's say the priceswould still drop, the same way as now, because the script would not be changed. Therefore, we would be merely changing the minimum from 1 euro to x euros. The price would still drop and reach that x euros. Whether other airlines would be affected is the same as now, where some airlines could charge more when others are running 1 euro routes. However, generally speaking, nothing would change.
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Chavaquiah

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Reply #4 on: May 24, 2008, 08:04:13 am
Quote from: "sam051"
Is there anyway to ensure that a routes ticket price will not get to $1. [...] is there something implemented to prevent such things?

Your question was obviously about some "administrative" control, and dktc already answered that.

But you might also consider how you, as a player, can alleviate the problem. For starters, think carefully before joining the fray. It's easy to see an opponent lower his fares and jump to the edit button. If we took some time to consider the effects, fare slashing would probably happen at a slower pace.

Another thing to try is to mismatch the number of seats on offer. I use this method quite effectively to keep high load factors while minimizing price wars.


sam051

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Reply #5 on: May 24, 2008, 09:04:43 am
Thank you for the diplomatic and helpful answers which were thoroughly explained.


 

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