In the last article, I described how the algorithm of transferring passengers works in my game. In this article, I will explain how the price of tickets is formed; why will flights not be canceled if the aircraft isn`t full; why in one case is the plane ladder used and in another case the bus is used for transportation of the passengers. This article is for players and travelers.
As you can know, a price of tickets increases closer a date of the flight.This stipulates by an urgency business flights mostly. The main profit is earned by business passengers because a price isn`t important for them. Time and the destination are more important then the price. Tourists plan the flights in advance.
Airlines go for many tricks to earn more from passengers. For example. Airlines will overstate a price of tickets if you buy a ticket to one direction. When you buy one way ticket their programs consider you are a business passenger, so they will increase a price. The main profit of airlines gets from the business flights for above described reasons. If you buy a round trip ticket the programs consider you as a tourist. The question has to be answered is:
“Why do airlines sale cheaper tickets for tourists?”
Maybe you guess it`s the business struggle. For airlines are important a full-passenger aircraft to maximaze the profit. If aircraft isn`t full airlines need increase the price of ticket to not flight at a loss. But if the price is high people will use service of another airline.
That is how we figured out increasing price, we will learn the 3 months advance price assessment.
The price of ticket depends on many parameters:
- the price of the aviation fuel
- the price of the flight in one hour
- personal of the airline
- the aircraft crew
- an airport parking
- aircraft depreciation
- the price of maintenance
- the price of the preflight inspection
- the price of the gate
- the price of the departure
- the price of the landing
- the price of time of the landing
- the price of the flight in airspace above a country
Let me explain some points that may not be clear.
An airport parking. The place where aircraft staying is not free, so for airlines are profitable when aircraft is in air.
The price of the preflight inspection. This is a fee-paying service for airlines witch ensures the flight safety.
The price of the gate. Perhaps many have noticed that you are taken by bus to the aircraft, although there is a free plane ladder nearby. Why? A bus is cheaper.
Departure and landing. The airport takes a payment for a departure and a landing. Usually this is a fixed payment for the ton of the aircraft or this can be a payment for the number of passengers.
The price of time of the landing. An airport sales it also. This time can cost a few million dollars. This is one of the reasons why the flight isn`t canceled if the aircraft isn`t full.
If an airline stops to fly other airlines will buy this time. So, an unfilled passenger aircraft is more profitable than losing this time.
Airspace. This point we can divide on two subparagraphs. The first subparagraph is the payment for crossing country`s airspace. The second subparagraph is payment for providing air traffic dispatching services, the information flight services and the emergency warning.
We figurated out how the price of tickets is formed. But how much do airlines earn on one flight? Each flight has a different profit. All depends on occupancy of aircraft. The flight will be payed off if 80% of the passenger seats are sold at lowest price. 20% of tickets will be profitable. Also they sale wi-fi and they take the fee of overweight luggage. Usually airlines declare about 5% of profit per flight but I would not trust it.