Tag: premium pricing

Spirit Airlines Is Branching Out as It Keeps Expanding | host.madison.com

Spirit Airlines Is Branching Out as It Keeps Expanding | host.madison.com

After a multiyear run of stellar profit growth, Spirit Airlines (NASDAQ: SAVE) has faced increasingly severe margin pressure over the past two years. The company’s operating margin is on track to sink to 15% or less in 2017, down from a peak of 23.7% in 2015. Spirit’s recent woes have been driven primarily by abrupt […]

$20 Jeans, $800 Tees: In Fashion, Prices Are Out of Control | The Fashion Law

$20 Jeans, $800 Tees: In Fashion, Prices Are Out of Control | The Fashion Law

Whether it be $4 shirts from H&M or $800 tees from Dior, prices in fashion are extreme and growing increasingly out of control. A phenomenon that occurs at both ends of the spectrum, with fast fashion and high fashion entities, alike, the proliferation of such pricing disparity appears to symbolize something significant: Consumers have lost […]

Depressed pricing still hangs over Mexico’s domestic market, but demand holds steady | CAPA

Depressed pricing still hangs over Mexico’s domestic market, but demand holds steady | CAPA

Mexico’s domestic market continues to grow at a steady pace, with passenger levels increasing 9% year-on-year for the first nine months of 2017. But pricing in the country’s domestic market was depressed during 3Q2017, creating challenges for the larger airlines operating in Mexico. The country’s second largest airline, Volaris, continues to be under pricing pressure in […]

British Airways Hints at Disrupting Its Loyalty Program in 2018 | Skift

British Airways Hints at Disrupting Its Loyalty Program in 2018 | Skift

The blog Ultima Llamada spotted the slide in the presentation that showed that IAG was working towards a “progressive introduction of dynamic pricing from 2018.” This means that instead of a standard award chart where travelers book a 25,000 mile domestic fare, for example, members of British Airways’ Executive Club would see award tickets priced as […]

The Fat Years For U.S. Airlines Are Coming to an End | Bloomberg

The Fat Years For U.S. Airlines Are Coming to an End | Bloomberg

America’s passenger carriers have discovered that it’s getting more expensive to run an airline these days. While summertime profits were fine, and travel demand remains robust, a number of airlines are facing higher bills from a variety of factors: labor contracts, significant airport renovation projects, technology spending and fleet upgrades. The increase in expenses is creeeping into 2018 […]

JC Penney slashes profit outlook, sending shares to an all-time low | CNBC

JC Penney slashes profit outlook, sending shares to an all-time low | CNBC

“While we acknowledge the positive work JCP is doing to become less apparel reliant (with initiatives like the expansion of home, appliances, beauty, and salon) the sector faces intense secular headwinds as mall traffic wanes and the shift to e-comm should also continue to weigh on profitability,” Jefferies analyst Randal Konik wrote in a note […]

The Psychology of Competitive Pricing for Ecommerce | Business2Community

The Psychology of Competitive Pricing for Ecommerce | Business2Community

Pricing for ecommerce is a tricky beast. You need to account for competition with other sellers, but you don’t want to de-value your products in a race-to-the-bottom. Purely competitive pricing can lead to disappointing results: you might not sell enough to compensate for offering the lowest prices. A profitable pricing strategy involves considering not only […]

Don’t wait to book your holiday travel: Get those airline and hotel reservations now | Orange County Register

Don’t wait to book your holiday travel: Get those airline and hotel reservations now | Orange County Register

Ho ho ho. Gobble gobble. I know it’s barely October, but you’re not going to save money by waiting to book your holiday flights and hotels – in fact it’s going to cost you money. Airlines are flying packed, and hotels now use so-called dynamic pricing, which means that as supply of available rooms goes […]

Spirit Airlines Is Crashing: Is It Still a Buy for Long-Term Investors? | The Motley Fool

Spirit Airlines Is Crashing: Is It Still a Buy for Long-Term Investors? | The Motley Fool

After a strong run in its first several years as a public company, Spirit Airlines (NASDAQ:SAVE) has disappointed investors again and again since 2015. Yet while profitability has been receding, the carrier continued to exceed its long-term goal of generating “mid-teens or higher operating margins” — until now. Unfortunately, a damaging dispute with its pilots […]

United Keeping `Painful’ Discounts to Fend Off Low-Fare Airlines | Bloomberg

United Keeping `Painful’ Discounts to Fend Off Low-Fare Airlines | Bloomberg

United Continental Holdings Inc. vowed to keep discounting fares amid an expanding price war that contributed to a projected $400 million blow to third-quarter sales. The third-largest U.S. carrier will continue fighting low-cost carriers with cheap tickets at major hubs despite the short-term pain, Chief Financial Officer Andrew Levy told investors Wednesday. The clash is adding […]